FINTRAC publishes its 2022–23 Annual Report, Safe Canadians, Secure Economy

News release

December 4, 2023 — Ottawa — Financial Transactions and Reports Analysis Centre of Canada (FINTRAC)

FINTRAC today published its 2022–23 Annual Report, Safe Canadians, Secure Economy, which describes the significant impact the Centre is having in helping to protect the safety of Canadians, particularly Canada's most vulnerable citizens and communities, and the integrity of Canada's financial system.

FINTRAC's financial intelligence supported 292 major, resource intensive investigations last year, and many hundreds of other individual investigations at the municipal, provincial and federal levels across the country, and internationally. Ninety-six percent of the feedback that FINTRAC received from domestic law enforcement and national security agencies indicated that its financial intelligence was both valuable and actionable.

The Alberta Law Enforcement Response Teams recognized FINTRAC's assistance in a complex multi-jurisdictional investigation called Project Cobra in September 2022. This investigation resulted in the seizure of 928 kilograms of methamphetamine and 6 kilograms of cocaine, and the laying of 80 charges against 15 people, including in relation to laundering the proceeds of crime, participation in a criminal organization and drug trafficking.

FINTRAC also helped safeguard Canada's financial system and economy over the past year by assisting and ensuring the compliance of thousands of businesses with the Proceeds of Crime (Money Laundering) and Terrorist Financing Act and Regulations. In addition to publishing sector-specific guidance, responding to thousands of inquiries, undertaking extensive stakeholder outreach and hosting two national conferences, the Centre also launched modern new tools to help businesses better understand and meet their obligations.

FINTRAC took a comprehensive approach to ensuring the compliance of businesses in 2022–23, including monitoring transaction reporting, engaging in quarterly meetings with Canada's large banks and establishing and following up regularly on compliance action plans. The Centre also undertook hundreds of examinations, many of which were focused on complex entities that provide substantial reporting to FINTRAC, levied 6 administrative monetary penalties for a total of $1,113,596, and provided 10 Non-Compliance Disclosures to law enforcement.

FINTRAC worked to strengthen its key partnerships in Canada and internationally over the past year. The Centre collaborated with the Financial Consumer Agency of Canada and Scotiabank, under the umbrella of the global Finance Against Slavery and Trafficking (FAST) Survivor Inclusion Initiative, to support the survivors of human trafficking whose financial identity may have been hijacked by their traffickers for money laundering or other criminal purposes. FINTRAC also launched a first-of-its-kind international public-private partnership targeting the money laundering associated with illegal wildlife trade. By following the money and generating actionable financial intelligence for law enforcement in Canada and around the world, this international public-private partnership, named Project Anton, will be critical in identifying, pursuing and prosecuting perpetrators—and broader networks—linked to illegal wildlife trade.

Quote

"Working collaboratively with our domestic partners and international allies, FINTRAC is having a real and meaningful impact in the lives of Canadians. Whether it's our central role in Canada's successful public-private partnerships, the recognized value of our financial intelligence to critical investigations across the country, or our work with businesses in strengthening the integrity of Canada's financial system, we are making a significant contribution to Canada's battle against money laundering and terrorist activity financing at home and abroad."

Quick facts

• As Canada's financial intelligence unit and anti-money laundering and anti-terrorist financing supervisor, FINTRAC ensures the compliance of more than 24,000 businesses subject to the Proceeds of Crime (Money Laundering) and Terrorist Financing Act (the Act) and generates actionable financial intelligence for Canada's law enforcement and national security agencies.
• FINTRAC generated 2,085 unique financial intelligence disclosures 2022–23 in support of money laundering and terrorist financing investigations across Canada and around the world.
• The top three predicate offences related to FINTRAC's financial intelligence disclosures in 2022–23 were drugs (31%), fraud (25%) and crimes against persons (13%).
• The Centre's financial intelligence often contains thousands of financial transaction reports in each disclosure, which speaks to the complexity of connecting the flow of illicit funds involving organized criminal groups.
• FINTRAC's financial intelligence disclosures are regularly provided to multiple agencies simultaneously,  helping Canada's law enforcement and national security agencies connect criminal activities and operations across a number of domestic and international jurisdictions by following the money.
• The Centre provided 225 financial intelligence disclosures to foreign financial intelligence units in 2022–23.
• 100% of the feedback received from 25 foreign financial intelligence units indicated they were mostly or very satisfied with FINTRAC's financial intelligence.
• Following the Russian Federation's illegal invasion of Ukraine in 2022, FINTRAC worked with allies to establish the Russia-Related Sanctions and Illicit Finance Financial Intelligence Units Working Group to, among other things help surge the sharing of tactical financial intelligence.
• Throughout the year, FINTRAC responded to 11,000 enquiries from businesses, issued 302 policy interpretations to assist with compliance, and conducted 193 engagement and outreach activities with businesses and stakeholders across Canada.
• The Centre revoked the registration of 81 money services businesses, issued 6 notices of violation for a total of $1,113,596, and provided 10 Non-Compliance Disclosures to law enforcement.
• FINTRAC produces valuable strategic intelligence to inform businesses, federal partners, international counterparts and Canadians about the nature and extent of money laundering and terrorist financing in Canada and throughout the world. Over the past year, the Centre published new Operational Alerts, Laundering of Proceeds from Illicit Cannabis Activities, Terrorist Activity Financing and Laundering the Proceeds of Crime from Illegal Wildlife Trade, as well as a new Sectoral and Geographic Advisory, Underground Banking through Unregistered Money Services Businesses.
• FINTRAC continued to implement its multi-year Digital Strategy aimed at transforming the Centre into a leading digital organization.

Related product

• 2022–23 Annual Report, Safe Canadians, Secure Economy

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Contacts

Media Relations
Financial Transactions and Reports Analysis Centre of Canada
613-947-6875

media.medias@fintrac-canafe.gc.ca

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