Fighting Foreign Corruption Act

An Act to amend the Corruption of Foreign Public Officials Act

This bill was last introduced in the 41st Parliament, 1st Session, which ended in September 2013.

Status

This bill has received Royal Assent and is now law.

Summary

This is from the published bill. The Library of Parliament often publishes better independent summaries.

This enactment amends the Corruption of Foreign Public Officials Act to
(a) increase the maximum sentence of imprisonment applicable to the offence of bribing a foreign public official;
(b) eliminate the facilitation payments exception to that offence;
(c) create a new offence relating to books and records and the bribing of a foreign public official or the hiding of that bribery; and
(d) establish nationality jurisdiction that would apply to all of the offences under the Act.

Elsewhere

All sorts of information on this bill is available at LEGISinfo, an excellent resource from the Library of Parliament. You can also read the full text of the bill.

Fighting Foreign Corruption ActGovernment Orders

May 24th, 2013 / 10:40 a.m.
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NDP

Paul Dewar NDP Ottawa Centre, ON

Mr. Speaker, in its 2001 report, which is not that long ago, Transparency International ranked Canada as the worst of all G7 countries--I know that hurts the parliamentary secretary's image of his government, but there it is--with respect to international bribery. In fact, quoting from the report, there is little or no enforcement and there is a problem in terms of legislation.

We are glad that the government is finally getting on board with what everyone else has been doing; providing better legislation, but also enforcement. We can have all the rules in the world but if we do not enforce them, we are going to find ourselves having a bit of a problem, in terms of legitimacy.

Finally, I find it interesting. The government talks about dealing with these issues. When it comes to the Canada Revenue Agency, what does it do? It cuts capacity. It does the same with the RCMP. It defies credibility for the government to say that it is serious about these issues when it is cutting the enforcement side. It still is living in the past when it comes to consensus in improving our disclosure of Canadian companies doing all of their work abroad.

Fighting Foreign Corruption ActGovernment Orders

May 24th, 2013 / 10:45 a.m.
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Liberal

John McKay Liberal Scarborough—Guildwood, ON

Mr. Speaker, we might title this day “corruption day on the Hill”. After all, for the first hour or so, we are going to be talking about Bill S-14, a bill on bribery and corruption. I dare say question period will have something to do with the other place, which might have something to do with bribery and corruption. Then we will go back to debating this bill, which is clearly about bribery and corruption. Then we will be on to debating my sunshine bill, which is also about bribery and corruption. I would say that this is corruption day on the Hill.

I take note of the irony, as has my colleague, but there is also a double irony going on here. The government's position is that it wants us to support Bill S-14, which we both agree is a good idea. However, when it comes to actually generating evidence that would support prosecutions under Bill S-14 the government does not want Bill C-474 to pass or to see the light of day.

It is great to say that we have all this great law, but it is utterly useless if in fact we cannot generate the evidence.

I am quoting from what the parliamentary secretary seems to be fond of quoting from:

Transparency International, a group that monitors global corruption, put Canada in the lowest category of countries with “little or no enforcement” when it comes to applying bribery standards.

And also:

By contrast, the United States has prosecuted more than 200 companies and individuals, many of them “a veritable who’s who of the corporate world”.

My question is very simple. What is the use of Bill S-14 if in fact Bill C-474 does not pass and if in fact there are no resources available to the RCMP?

Fighting Foreign Corruption ActGovernment Orders

May 24th, 2013 / 10:45 a.m.
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NDP

Paul Dewar NDP Ottawa Centre, ON

Mr. Speaker, the government is having a real problem keeping up with current trends, and that is not new to anyone who has watched what has happened in the Senate. As a footnote to that, the member mentioned the irony of this bill coming from the Senate when it has had allegations of bribery and corruption. For the Conservatives to come here with a bill to deal with corruption, maybe they should have started at home. I do not mean in Canada; I mean in their party.

The member is talking about something that is very important. He is right that we will be debating later this afternoon the Cardin-Lugar elements of the Dodd-Frank's legislation in the United States, which has been challenging all of us to do more when it comes to transparency for, in the case, Canadian companies doing business abroad. No longer is it acceptable for any country to allow its companies to operate overseas and not abide by the same rules they abide by in their own country. It is very simple. It is called consistency and ethics.

I think every country in the G7 has stood behind it. It will be interesting to see what happens in the G8 meetings and whether Canada is going to embrace this or not. This afternoon we will find out what the point of view of the government is on this sunshine bill. To date, it sounds like it will be against it.

Industry wants to see this happen. Why is the government being a laggard on this?

Fighting Foreign Corruption ActGovernment Orders

May 24th, 2013 / 10:45 a.m.
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Liberal

John McKay Liberal Scarborough—Guildwood, ON

Mr. Speaker, I appreciate the opportunity to talk about corruption and bribery. It looks like this will be a discussion that we will have all day. We will have this discussion before question period, during question period, after question period and, I dare say, this is not a conversation that will go to go away any time soon.

As I said in my previous interventions, we generally support this bill. The various aspects of the legislation are actually pretty good ideas. We hope the bill will go to committee sooner rather than later, that it will not suffer the fates of a potential prorogation and that we will have an amendment to the Criminal Code, which would enable better prosecution of companies that find themselves in difficult situations with respect to allegations of corruption and bribery.

Canadians are thoroughly fed up with reading about their companies being involved in allegations and convictions of bribery.

I bring to the attention of my colleagues several recent instances. Regrettably we have about one of Canada's premier companies, SNC-Lavalin, which has been banned from bidding on contracts with the World Bank for the next 10 years because of convictions regarding bribery and corruption. Not only has it lost its reputation, it has had to fire a number of its senior executives. It has had to undergo the humiliation of being investigated by the RCMP and other international police forces. Its stock has been hammered, which always gets the attention of shareholders. Niko Resources was fined $9.5 million for bribing a former energy minister also in Bangladesh. Griffiths Energy International was fined $10.3 million for bribing the wife of Chad's former ambassador to Canada.

I do not care to carry on with this laundry list, but these are very difficult times for some of Canada's premier industries and they know they have a problem. As the member for Ottawa Centre indicated, they are actually asking for enforceable transparency initiatives and those transparency initiatives hopefully would go to help this.

Not only is the reputation of the individual company hammered, not only is its stock hammered, but the industry itself is hammered. The vast majority of companies that wish to operate by internationally recognized standards of corporate social responsibility are also getting hammered and they have difficulties getting out their message that they operate ethically, transparently and in a corporately social responsible fashion. Therefore, the company is being hammered, the stock is being hammered, the industry is being hammered and, in addition, we have our national reputation being hammered.

The parliamentary secretary pulled out some quote and talked about how our nation still had a good reputation and things of that nature. That is not due to anything that the Conservatives have done, but I think he is living in a bit of a la-la land because we actually have had a reputational decline and that is very difficult to recover. Those who conduct these surveys have noted that the loss of reputation is very difficult to reverse. The government has made some efforts. This is one of the efforts.

The government has tried to repair the reputation in the extractive sector with the corporate social responsibility counsellor. After four years, and I do not know how many millions of dollars, two cases or three cases gives the appearance of doing something without actually having done anything at all. I do not know if the government has actually taken our decline in reputation seriously. This damage to our reputation is a serious issue.

The Globe and Mail published an article stating that Canada was at the lowest category of countries with little or no enforcement when it came to not initiating new measures, but applying the bribery standards set out in the Organisation for Economic Co-operation and Development. The issue is not the absence of legislation but the application of the legislation.

I am perfectly prepared to admit that this is complicated law to apply. It requires a lot of resources and we all know these resources are being stretched. Nevertheless, it seems that other nations take it far more seriously than we do.

By contrast, the U.S. has prosecuted more than 200 companies and individuals, many of them “a veritable who’s who of the corporate world”, according to Peter Dent, a partner at Deloitte Touche who sits on the board of Transparency International Canada. Then it goes on to list a number of cases, including Backfire Exploration Ltd. in Mexico, Niko Resources in Bangladesh, Nazir Karigar in India.

The numbers tell the tale. There have been 227 cases prosecuted in the United States, 135 in Germany, 35 in Switzerland, 24 in France and in Italy and the United Kingdom 18 and 17 respectively. We have two. Yet we are the nation with the greatest number of companies operating in the world in the extractive sector. We have the greatest number of companies and the best stock exchange in the world. This is where the world comes to do mining right. We have the best geologist, lawyers, financing and accounting. We have it all here and yet apparently we have no corruption whatsoever. There have been two cases prosecuted in the last number of years.

I would like the government to accompany its initiative, which is a good initiative, with real resources and the support of the sunshine bill, Bill C-474. It would provide the evidence base for the prosecutions under this initiative by the government. Bill C-474 would require each company, 180 days after its fiscal year ends, to file with the government statement with respect to each project and what payments were made to facilitate that project. Therefore, within 180 days, the governments, shareholders and NGOs would know. Obviously, management would already know because that information would be readily available to it. Then a light would be shed on that.

If I am a police officer contemplating a prosecution against a company that has “allegations” against it, the first thing I would do is look at the record of filings for company X, Y or Z to determine if it filed the previous year or the year before and what it had listed.

Fighting Foreign Corruption ActGovernment Orders

May 24th, 2013 / 10:55 a.m.
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Conservative

The Speaker Conservative Andrew Scheer

The hon. member will have a full 10 minutes after question period to conclude his remarks.

The House resumed from May 24 consideration of the motion that Bill S-14, An Act to amend the Corruption of Foreign Public Officials Act, be read the second time and referred to a committee.

Fighting Foreign Corruption ActGovernment Orders

June 4th, 2013 / 6:20 p.m.
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Conservative

The Acting Speaker Conservative Bruce Stanton

When the House last had this motion before it the hon. member for Scarborough—Guildwood had nine minutes remaining for his comments.

Fighting Foreign Corruption ActGovernment Orders

June 4th, 2013 / 6:20 p.m.
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Liberal

John McKay Liberal Scarborough—Guildwood, ON

Mr. Speaker, I thank the member for Cambridge for that enthusiastic applause and possibly one or two others as well. However, I would be surprised if the member for Cambridge and others actually remembered what I was talking about two weeks ago when question period interrupted the profundities of my speech.

Let me say that we support Bill S-14. We think it is a good bill insofar as it goes. Regrettably, we do not think it goes very far. The thrust of my speech was to link Bill S-14 with Bill C-474, the sunshine bill sponsored by me, which would actually be the evidence base for Bill S-14. Bill S-14 becomes far stronger if one brings in the evidence. As such, one would actually succeed in getting prosecutions.

In my previous remarks I talked about how aggressive the Americans are with respect to prosecutions in corruption. The numbers are something in the order of, for the same period of time, 277 prosecutions in the United States for corruption whereas in Canada we only had two. In this respect, the Americans are world leaders and not only world leaders in terms of the aggressiveness with which they prosecute companies that engage in corrupt activities. They do not shy away from prosecuting some of the most recognized companies in the world that trade on U.S. stock exchanges. Therefore, not only is their prosecution aggressive but their legislative agenda is also aggressive.

They have passed the Cardin-Lugar amendment to the Dodd-Frank bill, which basically states that if mining or extractive companies secure a concession they would have to disclose to the U.S. Securities and Exchange Commission who they have paid, how much they paid, when they paid it, the frequency of the payments, the currency of the payments, and all other considerations in securing that concession. My sunshine bill, Bill C-474, mirrors that legislation. It is something that both President Obama and Prime Minister Cameron want to achieve at the next G8.

I had summarized all of this and talked about the decline in Canada's reputation and went on to discuss the incongruity of the government's position to, on the one hand, support S-14, which we think is a good idea, and to be opposed to the sunshine bill, Bill C-474, on the other.

My newest seatmate as of today, my colleague from Mount Royal, would say that there is a seeming incongruity with the government's position in supporting Bill S-14. It says that it wants to combat corruption, yet by opposing Bill C-474 it is saying that accountability is not important. I cannot reconcile the disparity easily. Perhaps it lies in the simple fact that Bill C-474 is not a Conservative bill. It is a bill that the parliamentary secretary and other Conservatives have claimed would overburden Canada's extractive sector, leaving our companies at a competitive disadvantage and so forth, when this was in fact contradicted by witnesses at the foreign affairs committee.

I have to take note that a number of mining companies and mining associations have come out and said that they not only support Bill S-14 but they certainly support the principles and indeed the mandatory aspects of Bill C-474. Some Canadian companies have enthusiastically taken up the issue of corporate accountability. Business leaders, such as the president of the Mining Association of Canada, Pierre Gratton, believes that corporate transparency mechanisms are not only the right thing to do but they are also good for business.

All of the investors agree. The last thing that investors want is to be embarrassed as they see their investments decline in value on the front pages of The Globe and Mail. Therefore, industry is on side with Bill C-474. It is certainly on side for Bill S-14. Most responsible extractive companies are on side with the EITI initiative. These are good insofar as they go.

Canada as a nation supports the EITI transparency international initiative, but it has not joined. The Government of Canada has declined to join the EITI, which is quite regrettable because we are the country that is of foremost importance with respect to the extractive sector.

Business, in this instance, is actually ahead of the government in terms of a desire to impose a mandatory regime upon itself. Not only is it a good thing to do, it is good for business. Joe Ringwald of Selwyn Resources said that it is important to become a leader in this and to gain reputational advantage. He also said that Canada has become a laggard on this issue.

Industry has generally taken a favourable tone to this legislation and a number of players want transparency, particularly with many of the projects where there is money going to foreign governments and sometimes more money going to foreign governments than to shareholders. The idea of financial transparency has both public and private sector support. As I say, the industry is certainly on side. The NGOs, as might be expected, are on side. Civil society is on side. I would dare say the public is on side. The only issue that we appear to have here is that the government does not want to legislate in this area.

It is going to be a very difficult issue at a difficult time for the Prime Minister when he goes to Great Britain for the G8. Clearly, Prime Minister Cameron wants a clear, mandatory statement with respect to legislation on the extractive sector. He wants other issues agreed on as well, as does President Obama, who is highly supportive of the Cardin-Lugar amendment. They are binding their own companies to this initiative.

Starting September 1, any company that trades on the U.S. stock exchange will be bound by this legislative initiative. The irony is that if we want to find out about a major gold company, Barrick, for example, including who they pay and what they pay for their concessions around the world to foreign governments, including the foreign government of Canada, we will have to go to the New York Stock Exchange to the Securities and Exchange Commission and look at the published reports to see what and who got paid. It seems to me that Canada as a nation, given its position as the number one mining country in the world, should be a little bit ahead of the curve, instead of behind it.

Internationally, the Prime Minister is going to have to do some tap dancing in Northern Ireland, and explain to his colleagues at the G8 why Canada is not supportive of the sunshine bill.

I see that my time is just about finished. I would like to say in conclusion that the incongruity of the government's position in presenting Bill S-14, which is a good bill, but not supporting Bill C-474 is something that the Prime Minister is going to have some difficulties explaining when he meets with his colleagues this month in Northern Ireland.

Fighting Foreign Corruption ActGovernment Orders

June 4th, 2013 / 6:30 p.m.
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Liberal

Kevin Lamoureux Liberal Winnipeg North, MB

Mr. Speaker, the other day, I was at a school in the north end of Winnipeg, the Garden City Collegiate, where I met with a number of students. It was interesting how the area of discussion was regarding, among other things, the sunshine bill, of which I know the member is the sponsor. I was provided with a couple of petitions. This is coming from young people. If I may, I would just read very briefly the two major points on them. In essence, they say:

—petitioners request that the House of Commons legislate that the standards for Canadian Mining Companies operating outside of Canada be the same as the standards they must reach operating inside of Canada. This would include....

They then go on to list off some things. Another petition states:

—petitioners request that the House of Commons legislate standards for the identification of the source of these minerals (tin, tungsten, tantalum (coltan) and gold), in much the same way that diamonds are now regulated....

The point is that we have a group of young students going to school in Winnipeg's north end and they have caught on to a very important issue, which the member has been talking a great deal about.

I wonder if he might want to provide some comment in terms of the type of support that he believes is out there for the government to take action today in dealing with this very important issue?

Fighting Foreign Corruption ActGovernment Orders

June 4th, 2013 / 6:35 p.m.
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Liberal

John McKay Liberal Scarborough—Guildwood, ON

Mr. Speaker, I remember well a telephone interview I did with one of the students from that collegiate. She phoned me about six weeks ago to talk about it. What I noticed is that these kids are pretty darn sharp. She asked me very pointed questions with respect to the sunshine bill and I hope I answered her questions well, but this is not an isolated example.

I have done a number of interviews and met with quite a number of students across the country at both the high school and university levels. This is a broadly-supported bill. Canadians, particularly young Canadians, are keenly interested in knowing that the companies their parents work for are acting in an ethical fashion. It is of great importance.

My colleague made reference to the fact that I had been promoting this bill for a while, but I go back to another bill that I was also promoting on corporate social responsibility. It is interesting what we have learned in the four years or so that I have been on this file. One thing companies now tell me is that when they do interviews with prospective employees, whether it is for their law, accounting or communications departments, just name a department, they get to choose the best and brightest because these are the premier companies in our nation.

The kids reverse the interview. They ask the people doing the interviews what the company's corporate social responsibility program is because they do not want to just shill for a company that does not have a serious corporate social responsibility program. The kids at this high school in North Winnipeg are highly reflective of my experience over the number of years I have been on this file.

Fighting Foreign Corruption ActGovernment Orders

June 4th, 2013 / 6:35 p.m.
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NDP

Jonathan Tremblay NDP Montmorency—Charlevoix—Haute-Côte-Nord, QC

Mr. Speaker, I think that this bill deserves to be studied in greater depth.

Does the Liberal member believe that the committee should determine whether the facilitation payments rule should come into force at the pleasure of the cabinet, as is currently the case, or whether the decision should rest with Parliament?

Fighting Foreign Corruption ActGovernment Orders

June 4th, 2013 / 6:35 p.m.
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Liberal

John McKay Liberal Scarborough—Guildwood, ON

Mr. Speaker, that is a good question. My quick reaction is that the facilitation payments should come into effect upon the passage of the legislation. They should not be left to the cabinet regulatory environment. Facilitation is a facilitation is a facilitation, and some people would call it a bribe. If, in fact, it is not legislatively mandated, the working of the regulation might work to be counterproductive to the intention of the bill. As I say, the intention of the bill is good. Unfortunately, all it does is bring us up to the regulatory environment of others. Since we are the lead nation in mining activity, we would rather hope we are ahead of the curve.

Karin Lissakers, former president of Revenue Watch, stated publicly that Canada was out of step with other countries on upping its game. If facilitation needs to be legislated, let us legislate it.

Fighting Foreign Corruption ActGovernment Orders

June 4th, 2013 / 6:35 p.m.
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Liberal

Kevin Lamoureux Liberal Winnipeg North, MB

Mr. Speaker, I have a follow-up question with regard to the whole issue of social corporate responsibility and how important it is for the government to play a leading international role. To what degree does the member feel Canada is playing second fiddle, possibly even third fiddle, to other nations in the world on this issue?

Fighting Foreign Corruption ActGovernment Orders

June 4th, 2013 / 6:35 p.m.
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Liberal

John McKay Liberal Scarborough—Guildwood, ON

Mr. Speaker, unfortunately our track record on this file is not as robust as one would like.

In 2011, the Prime Minister was invited to sign a transparency initiative, which was a robust transparency initiative by his colleagues in the G8, and he declined to do so. As a consequence, there was no statement that came out of the G8 which would have, at that point, moved the Cardin-Lugar amendment up everyone else's legislative agenda.

Here we are two years later. It is the same issue. It is even more important now. We have had a series of embarrassing incidents for Canada.

I do not know about other members, but I do not particularly feel good about seeing Canadian companies engaged in bribery and other kinds of scandals.

The government has had two years to kind of catch up to the rest. To this point, it has not done anything except for Bill S-14. I do not want to be entirely negative here. There have been some discretionary educational initiatives that the government has tried to put forward.

Sometimes we just have to bring the hammer down and the government has thus far declined to do that. The United States has brought the hammer down. The U.K. is in the process of bringing the hammer down. The EU has brought the hammer down. Australia is in the process. When we put all that together, what we have is, in effect, 85% of the extractive sector that will have a robust legislative environment if in fact we join in.

It is hypocritical on our part to say that those countries that are subject to a lot of corruption should clean up their act, if in fact we have legislative holes in ours. Right now Canada is the big hole in the fence. We need to rectify that. It can be rectified in this chamber and quite quickly. The only way, in my judgment, that is done is not only in passing Bill S-14, but in passing Bill C-474 as well.

Fighting Foreign Corruption ActGovernment Orders

June 4th, 2013 / 6:40 p.m.
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Conservative

Dean Allison Conservative Niagara West—Glanbrook, ON

Mr. Speaker, it is a privilege to rise today to speak to this very important initiative. With recent events around the world, especially in the Middle East and Africa, it is clear that the fight against global corruption is as timely today as it has ever been. Indeed, developments in our own courts highlight that combatting foreign bribery is significant to Canada. Bill S-14 is an expression of our government's commitment to doing exactly that. I will be using my time today to address the inclusion of the facilitation payments amendment.

Before I continue with my speech, I need to let you know, Mr. Speaker, that I will be splitting my time with the member for Bruce—Grey—Owen Sound.

I would also like to update the House on the three convictions that have already been made under the Corruption of Foreign Public Officials Act, which Bill S-14 seeks to amend. While these recent court decisions are evidence of the effectiveness of Canada's anti-corruption laws and a reminder that corruption is not a Canadian way of doing business, we have been asked to do more, and so we will.

First, I wish to note and thank members of the other place for their support of the bill. Indeed, Liberal Senator David Smith agreed that adopting the measures of Bill S-14 would send an important signal to the international community that we took our commitments seriously and would act on them.

I also wish to thank my colleagues for providing the detailed background on the CFPOA and the six amendments that would answer the call for heightened diligence. Taken together, they certainly demonstrate a broad approach to fighting unethical business practices.

As the Minister of Foreign Affairs has clearly stated, our government is committed to positioning Canada as a reliable supplier of the resources emerging markets need to grow. Canadian companies can compete with the best in this environment and will win fairly. These amendments would ensure that Canadian companies would continue to act in good faith in the pursuit of freer markets and expanded global trade.

I wish to remind my colleagues that a facilitation payment is a “grease payment”, paid to foreign public officials to do something that he or she is already obliged to do, such as deliver mail on time. It is specifically not supposed to allow the person paying to gain a business advantage in any way. Otherwise, the payment would be a bribe and it would be a crime to make the payment.

We have heard some concern that the elimination of the facilitation payments defence may create a competitive disadvantage for Canadian companies with international markets, given that legislation in other countries still contain the facilitation payments defence.

Let me be clear. Those who make facilitation payments are not allowed to receive any kind of business or competitive advantage from their payment. Payments that are made to receive a business advantage are bribes and these payments are already illegal under the CFPOA. They are also illegal under the legislation of every OECD country.

It is also important for hon. members to note that there is good reason to delay the coming into force of the elimination of facilitation payments exception. Canadian companies will need time to adjust their own practices and internal policies, if they have not already done so, to prohibit the use of facilitation payments in their habitual operations. This time to adjust is all the more important given that some other countries continue to allow facilitation payments.

We on this side of the House have been clear that our priority is to create the conditions for Canadian businesses to succeed in the pursuit of our aggressive pro-trade agenda. I reiterate our position that corruption does the opposite. It hinders economic growth and long-term prosperity. It fosters an environment conducive to allowing other crimes to flourish. We expect our companies to abide by the laws of the countries they operate in, as well as to act in accordance with Canadian laws and ethical standards and practices.

For Canadian companies operating in developing countries, this legislation is even more important. As the minister noted before the Senate Standing Committee on Foreign Affairs and International Trade, on February 28:

It is not just about values and ethics. It is also about ensuring that we see meaningful development in developing economies. It is important that we see meaningful development and that this development benefits the people. Corruption, particularly in developing economies, is a real problem. It is basically tapping money that could otherwise go toward the public good, to the benefit of the people in these countries, so it is not just an ethical question but also very much a development question.

Foreign bribery weakens economic prosperity by corroding the rule of law that is the basis for market freedom.

Bill S-14 provides us with a robust tool for creating the conditions for Canadian businesses to play by the rules and for Canadian companies to be successful across the globe. It involves encouraging responsible and ethical conduct. It involves positioning our country as a reliable supplier of the resources that emerging markets need to grow.

As I mentioned at the outset, I would now like to use some of my time to provide the House with some details on the three convictions that have already been made under the CFPOA. These convictions highlight just how seriously our government takes its commitment to prosecute those involved in foreign corruption and bribery. I would like my colleagues to keep in mind that there are also two cases pending, as well as 35 ongoing investigations.

As others have noted, penalties are increasing substantially with each new conviction, and the adoption of these amendments means that those engaging in corruption will be penalized even more severely.

Griffiths Energy International Inc., based in Calgary, Alberta, pleaded guilty on January 22, 2013, to a charge under the CFPOA related to securing an oil and gas contract in Chad. Griffiths will pay a total penalty of $10.35 million.

Similarly, Niko Resources, another Calgary-based company, entered a guilty plea on June 24, 2011, for one count of bribery. The company admitted that through its subsidiary Niko Bangladesh, in May 2005, it provided the use of a vehicle valued at $190,984 to AKM Mosharraf Hossain, then the Bangladeshi state minister for energy and mineral resources, in order to influence the minister in his dealings with Niko Bangladesh. In June 2005, Niko Resources Ltd. paid travel and accommodation expenses for the same minister to travel from Bangladesh to Calgary to attend the GO Expo oil and gas exposition, and paid approximately $5,000 for the minister to travel to New York and Chicago to visit his family

As a result of the conviction, Niko Resources Ltd. was fined $9.5 million and placed under a probation order, which puts the company under the court's supervision for three years to ensure that audits are completed on the company's compliance with the CFPOA. The Canadian Trade Commissioner Service has placed a hold on providing services to Niko during the period of court supervision.

Finally, Hydro Kleen Group, based in Red Deer, Alberta, entered a guilty plea on January 10, 2005, to one count of bribery and was ordered to pay a fine of $25,000. Along with its president and an employee, the company had been charged with two counts of bribing a U.S. immigration officer who worked at the Calgary International Airport. The charges against the director and the officer of the company were stayed. The U.S. immigration officer pleaded guilty on July 2002 to accepting secret commissions. He received a six-month sentence and was subsequently deported to the United States.

In closing, I wish to address the importance of the timely passage of Bill S-14. This is signature legislation that has given Canada good marks with domestic stakeholders and at the OECD working group on bribery in 2013. We have invested a lot of credibility in Bill S-14.

We are due to report back to the OECD in the near future regarding the adoption of the bill, and further delays would have implications that go beyond the scrutiny of the OECD. Regardless of the merits of recent domestic developments, Canada would be criticized on the domestic and international stages for not meeting our commitments. I think this alone speaks to the importance of passing the bill at second reading today, and I urge my hon. colleagues to lend it their full support.