RCMP Fact Sheets

Proceeds of Crime

QUICK FACTS • The RCMP has enjoyed considerable success since proceeds of crime legislation was first passed in 1989, and has seized or restrained in excess of $400 million worth of assets. • In December 2003, a former Vancouver real estate lawyer was arrested as part of a joint RCMP-FBI undercover proceeds of crime investigation and was sentenced to almost 16 years in prison for laundering $700,000 US. Fifty-four other people were arrested as part of the investigation, dubbed Operation Bermuda Short. • An 18-month project, conducted by the RCMP A Division (Ottawa) IPOC* with the Outaouais Regional Task Force, culminated in November 2003. Approximately $5 million in assets were seized. The seizures included five residences, two businesses, vehicles, and others. There were 33 arrests made, including that of a lawyer; several search warrants were executed; and approximately 330 police officers from 14 police forces were involved.

Overview
The Proceeds of Crime (POC) Branch is responsible for policy development, program planning, program monitoring and resource allocation around RCMP efforts to separate criminals from the profits of their crimes. Policy development includes the identification of areas of legislative weakness and recommendations concerning statute amendments through the Department of Justice Canada. The Branch is also responsible for the development and publication of related RCMP policy, as well as for evaluating the Proceeds of Crime program.

The POC program is directed at identifying, assessing, seizing, restraining and forfeiting illicit wealth accumulated through criminal activities. Much of this wealth is linked to profits from Canada’s illicit drug trade, but proceeds from other crimes, such as frauds and cigarette smuggling, are also involved. Such proceeds of crime undermine the social and economic well-being of Canadians, while increasing the power and influence of organized criminals and illegal enterprises.

The POC program is concerned with investigations related to the laundering of proceeds derived from designated offences, as defined in the Criminal Code. The program is also concerned with accumulating financial intelligence on and targeting select organized crime figures in order to seize unreported wealth. Responding to requests for investigative assistance from foreign and domestic police agencies is also a major priority, as is fostering international cooperation in the area of money-laundering investigations.

Members in the field and at the policy centre in Ottawa are tasked with educating the community, local, national and international partners and clients in order to identify and prevent money laundering.

Statutes

The RCMP relies on various provisions of the Criminal Code – Controlled Drugs & Substances Act, Proceeds of Crime (Money Laundering) and Terrorist Financing Act – and other federal statutes to take proceeds of crime away from the criminal element.

Integrated Proceeds of Crime (IPOC)*

Most sections of the POC program work as part of the Integrated Proceeds of Crime (IPOC) units, which bring together the skills, knowledge, and abilities of diverse groups of experts. These groups include the RCMP, provincial and municipal investigators, lawyers from the Department of Justice Canada, forensic accountants from Public Works and Government Services Canada (PWGSC), tax investigators from the Canada Revenue Agency (CRA), and Customs officers from Canada Border Services Agency (CBSA). Since 1997, the IPOC initiative has helped to pioneer the RCMP’s integrated policing philosophy. The United Nations, the U.K., Australia and others have studied the initiative to learn from its successes.