British Columbia

B.C. money-laundering commissioner frustrated by lack of co-operation from federal agencies

A newly released interim report from Austin Cullen, the commissioner for the inquiry into money laundering in British Columbia, says many federal agencies have been slow to comply and documents have been heavily redacted.

Austin Cullen complains in new interim report that federal agencies have been slow to comply

Austin Cullen, commissioner for the inquiry into money laundering in British Columbia, has publicly released an interim report that highlights a lack of cooperation from some federal government agencies. (Ben Nelms/CBC)

A newly released interim report from Austin Cullen, the commissioner for the inquiry into money laundering in British Columbia, highlights several areas of concern surrounding cooperation from the federal government during the early stages of the inquiry.  

The report, which was sent to the provincial government in mid-November, was released publicly on Thursday, about a year and a half after the commission was established. 

"One area of particular concern involves Canada's compliance with its obligation to identify the nature and character of documents in its possession or control," Cullen writes in the report.

"Many federal agencies have been slow to comply with these obligations, and the lists that have been produced often appear to be incomplete."

Cullen pointed out that the documents initially provided by FINTRAC, the financial intelligence unit, were available to the public on its website.

"Another concern is that many of the documents produced by Canada have been redacted to the point that they provide no meaningful information," says the report.

David Eby, B.C.'s attorney general, issued a statement Thursday saying he was "profoundly concerned" with Cullen's comments regarding the lack of support from the federal government.

"Most troubling to me is the apparent failure of FINTRAC, the federal anti-money-laundering agency, to share what it knows about what is happening in British Columbia with the commission," said Eby.

B.C. Attorney General David Eby expressed displeasure at Commissioner Austin Cullen's account of the federal government's slow and stunted compliance with his work. (MIke McArthur/CBC)

"I never expected anything but full cooperation from Canada's only major anti-money-laundering agency. To have anything short of that, given the agency's stated mandate, is surprising and inexcusable," he said.

However, Eby said he has spoken to Bill Blair, federal minister of public safety, and has been assured Blair's office will assist with the federal response to the commission.

Commission work already undertaken

Cullen will be requesting a deadline extension, according to a media statement, beyond the scheduled commission conclusion in May 2021. The need for more time is blamed on the breadth of the issues being addressed, delays and challenges in gathering documents, and the effects of the pandemic.

According to the report, the commission has already gathered hundreds of thousands of documents from a wide range of governments, societies, unions, associations, crown corporations, companies, and individuals.

Public hearings have been held in Vancouver, Kelowna, Victoria, Richmond, and Prince George.

Cullen outlined some of the issues the commission will explore in the evidentiary hearings that began in October, including whether money laundering is an issue of great importance to the citizens of British Columbia.

But in his conclusion to the interim report, he provides an early assessment of the issue.

"Money laundering is an issue of great importance to the citizens of British Columbia," said Cullen. "It is a crime that strikes at the heart of our collective values and corrupts the fabric of a free and democratic society."