Federal regulators say non-profit groups are “at risk of terrorist financing abuse.” The Department of Finance in a report proposed forcing non-profits to disclose suspicious cash transactions.
“These organizations were identified as being at risk of terrorist financing abuse as they are not monitored for terrorist financing activities or educated about their terrorist financing risks in the same way registered charities are by the Canada Revenue Agency,” said the report Canada’s Anti-Money Laundering And Anti-Terrorist Financing Regime Strategy.
The department identified what it called a “possible coverage gap with respect to non-profit organizations.” No specific allegations of wrongdoing were detailed.
“In order to respond to an ever-evolving operational and threat environment the Government of Canada seeks to identify opportunities for continual improvements to its anti-money laundering and anti-terrorist financing legislative and regulatory frameworks,” said the report. “This includes strengthening the regime through amendments to the Proceeds Of Crime And Terrorist Financing Act and Criminal Code to address gaps.”