May 2018 Charity & NFP Law Update
Bill C-59 Amended by Committee
On May 3, 2018, Bill C-59, National Security Act, 2017 (“Bill C-59”), which had been referred to the Standing Committee on Public Safety and National Security (the “Committee”) before second reading, was reported back to the House of Commons with a number of amendments. Bill C-59, introduced on June 20, 2017, was previously discussed in the June 2017 Charity & NFP Law Update. The amendments made by the Committee include the following:
- The introduction of the new Avoiding Complicity in Mistreatment by Foreign Entities Act, regarding “the disclosure of and request for information that would result in a substantial risk of mistreatment of an individual by a foreign entity and the use of information that is likely to have been obtained as the result of mistreatment of an individual by a foreign entity”;
- Amendments to the Communications Security Establishment Act requiring that the Communications Security Establishment, which is created by the same Act, carry out its activities of foreign intelligence, cybersecurity and information assurance in accordance with the Canadian Charter of Rights and Freedoms, including considerations such as the reasonable expectation of privacy that a Canadian or a person in Canada may have with respect to information acquired;
- A number of technical amendments to the National Security and Intelligence Review Agency Act and the Canadian Security Intelligence Service Act;
- Several amendment to the Criminal Code, including the broadening of the scope of certain provisions regarding the promotion or counselling of terrorist activities, specifically:
- 83.221(1) Every person who counsels another person to commit a terrorism offence without identifying a specific terrorism offence is guilty of an indictable offence and is liable to imprisonment for a term of not more than five years.
- (2) An offence may be committed under subsection (1) whether or not a terrorism offence is committed by the person who is counselled.
While Bill C-59 has yet to pass second reading in the House of Commons, charities and not-for-profits, especially those operating internationally, should continue to monitor its progress and how Bill C-59, if enacted, may affect their operations. Proactive due diligence policies which address both anti-money laundering and anti-terrorism legislation are critical for non-profits and charities, whether working internationally or domestically.