B.C. moves closer to money laundering public inquiry; feds vow ‘crack down’

An anti-money laundering group said that $1 billion annually was being filtered through B.C. casinos

Money laundering in British Columbia has become a top issue for the federal and provincial governments with federal Finance Minister Bill Morneau vowing a “crack down” Friday, while the province considers a public inquiry.

“The importance of dealing with money laundering concerns is something that is clearly on our agenda,” said Morneau at a news conference in Victoria. “We need to be very clear, we crack down on any issues around money laundering.”

Last year, an international anti-money laundering organization said in a report that up to $1 billion annually was being filtered through some B.C. casinos by organized crime groups.

The B.C. government also cited an RCMP intelligence report that estimated up to $1 billion from the proceeds of crime was used to purchase expensive Metro Vancouver homes. An RCMP official said Friday the Mounties are searching their data bases to find the report the government has cited.

Former RCMP deputy commissioner Peter German’s review last year of money laundering at some B.C. gaming outlets found casinos served as laundromats that siphoned the money to organized crime groups.

B.C. Attorney General David Eby said Morneau’s comments add support to recent commitments by the federal government to fight money laundering.

READ MORE: B.C.’s largest public-sector union wants inquiry into money laundering, drugs

Eby and Minister of Organized Crime Reduction Bill Blair met last month to work together and share information to combat money laundering.

“I’ve seen a real shift in the interest from the federal government on this issue,” Eby said.

Two B.C. government money laundering reviews are underway and are due in March. One probe will look to identify and close regulatory gaps that could be used by money launderers in the real estate and financial services sectors.

The second review will focus on identifying the scale and scope of illicit activity in the real estate market and whether money laundering is linked to horse racing and the sale of luxury vehicles.

Eby said the findings of those reviews, collaborations with the federal government on legal issues and public concern about money laundering will help the government decide if a public inquiry on money laundering is warranted.

“The premier hasn’t ruled out a public inquiry,” said Eby. “He is actively monitoring the situation and I’m doing my best to keep him and cabinet informed on this quick-moving file.”

Morneau said the federal government’s focus on money laundering spreads beyond Canada’s borders where there are global concerns with dirty money funding terrorist organizations.

“We worry more broadly with issues like terrorist financing, which is what the global community is looking at when they think about money laundering,” he said.

But Eby said many in the global community are looking at B.C. as a jurisdiction where money laundering by organized crime has flourished.

“To some extent international concern is focusing on what’s happening in B.C.,” he said. “We really need the feds on board here.”

He said it’s difficult to fully determine the extent of money laundering in B.C., other than to conclude the numbers are increasing.

“It’s really important that whether it’s $100 million, or a billion dollars, or $2 billion, whatever it ends up being, that the issue and the need to address it remains the same and … it is only growing in urgency,” Eby said.

Dirk Meissner, The Canadian Press

Like us on Facebook and follow us on Twitter.

Just Posted

Andrew Scheer makes campaign stop in Parksville

Federal Conservative leader talks tax cuts, environment

2019 FEDERAL ELECTION: Meet the candidates for the Courtenay-Alberni riding

In an effort to inform the Courtenay-Alberni riding constituents, we have supplied… Continue reading

Ballenas Whalers high school football squads take down Belmont

Parksville teams score back-to-back shutout wins over Bulldogs

Qualicum Beach goalie at training camp with Montreal Canadiens

LaCouvee angling for spot with AHL Laval squad

VIDEO: Vancouver Island mayor details emergency response after fatal bus crash

Sharie Minions says she is ‘appalled’ by condition of road where bus crashed

Federal party leaders address gun violence after weekend shooting near Toronto

One teen was killed and five people injured in the shooting

Scheer makes quick campaign stop in Comox

Conservative leader highlights tax promises early in campaign

Conservatives promise tax cut that they say will address Liberal increases

Scheer says the cut would apply to the lowest income bracket

B.C. VIEWS: Cutting wood waste produces some bleeding

Value-added industry slowly grows as big sawmills close

Fewer trees, higher costs blamed for devastating downturn in B.C. forestry

Some say the high cost of logs is the major cause of the industry’s decline in B.C.

Federal food safety watchdog says batch of baby formula recalled

The agency says it’s conducting a food safety investigation

UVic president offers condolences after two students killed in bus crash

‘We also grieve with those closest to these members of our campus community,’ Cassels says

Most Read