Evidence of meeting #6 for Declaration of Emergency in the 44th Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was chair.

A video is available from Parliament.

On the agenda

MPs speaking

Also speaking

Isabelle Jacques  Assistant Deputy Minister, Financial Sector Policy Branch, Department of Finance
Barry MacKillop  Deputy Director, Intelligence, Financial Transactions and Reports Analysis Centre of Canada
Claude Carignan  Senator, Quebec (Mille Isles), C
Joint Chair  Hon. Gwen Boniface (Senator, Ontario, ISG)
Donna Achimov  Deputy Director, Chief Compliance Officer, Compliance Sector, Financial Transactions and Reports Analysis Centre of Canada
Peter Harder  Senator, Ontario, PSG
Julien Brazeau  Director General, Financial Crimes and Security Division, Financial Sector Policy Branch, Department of Finance
Vernon White  Senator, Ontario, C
Joint Clerk of the Committee  Ms. Miriam Burke

8:15 p.m.

NDP

The Joint Chair NDP Matthew Green

That's very helpful, and they were fine questions indeed, Senator Harder.

We're going to continue.

With that, we will go back to the top of the round, which is the Conservative Party.

Mr. Motz, you have the floor for five minutes.

8:15 p.m.

Conservative

Glen Motz Conservative Medicine Hat—Cardston—Warner, AB

Thank you very much, Chair.

Thank you, witnesses, for hanging in with us.

Ms. Jacques, you've had a chance to recoup, and I'd like to ask you some more questions, please.

In the first round, you indicated, to some of the questions I asked, that you couldn't answer given lawyer-client privilege. I take it to mean that you were getting advice and you were considered the client. Would that be accurate?

8:15 p.m.

Assistant Deputy Minister, Financial Sector Policy Branch, Department of Finance

8:15 p.m.

Conservative

Glen Motz Conservative Medicine Hat—Cardston—Warner, AB

With your background, you'd know that in Canadian law the client can waive lawyer-client privilege. Are you willing to waive that privilege?

8:15 p.m.

Assistant Deputy Minister, Financial Sector Policy Branch, Department of Finance

Isabelle Jacques

No, I'm not, and I'm not in a position to do so. It would have to be an appropriate person, and I believe that would have to come from the Clerk.

8:20 p.m.

Conservative

Glen Motz Conservative Medicine Hat—Cardston—Warner, AB

Okay. Thank you for that perspective.

Senator Harder and others—and Senator Boniface—asked some questions about the sequencing and when you knew and what you did about it. That's been helpful to give some perspective on timing.

However, Ms. Jacques, two times so far in your testimony today, you were given specifics about what your goals were. You said you had basically two goals for the account freezing: one was to stop funding of what became an illegal blockade or illegal protest after the Emergencies Act was enacted; and then two was to dissuade people from donating.

I find your use of “dissuade” to be an interesting choice of words. It could mean to intimidate, to ensure that people didn't continue to fund. At any time was it your intention to intimidate Canadians from donating?

8:20 p.m.

Assistant Deputy Minister, Financial Sector Policy Branch, Department of Finance

Isabelle Jacques

No, absolutely not. It was dissuading people from staying on the Hill. The intent was to ensure that there would be no funding of illegal activities, and certainly to ensure that people would go back home and stop the illegal activities that were ongoing on the Hill.

8:20 p.m.

Conservative

Glen Motz Conservative Medicine Hat—Cardston—Warner, AB

Okay. The illegal also became donations. That was also considered.

8:20 p.m.

Assistant Deputy Minister, Financial Sector Policy Branch, Department of Finance

Isabelle Jacques

No, the illegal activities were—

8:20 p.m.

Conservative

Glen Motz Conservative Medicine Hat—Cardston—Warner, AB

In retrospect, would the intimidation that Canadians felt be considered an intended action, or was that an oversight? Canadians did feel intimidated by the Emergencies Act and some of the economic measures order.

8:20 p.m.

Assistant Deputy Minister, Financial Sector Policy Branch, Department of Finance

Isabelle Jacques

It's hard for me to speak to how Canadians felt. I know there are a lot of Canadians who felt relief that measures were put in place to help the situation, which was untenable—

8:20 p.m.

Conservative

Glen Motz Conservative Medicine Hat—Cardston—Warner, AB

I can tell you that many Canadians have lost trust in government, and I can tell you that many Canadians have lost trust in the financial institutions. I can tell you directly that during the invocation of the Emergencies Act, a number of banks in my riding had to close their doors on some days because of the run on the banks. They had to shut their doors and wouldn't let anybody else in because everybody was trying to close their account.

I met with the advanced life underwriters yesterday. A group of them had a reception here, and I talked to a number of them who said that we would be shocked at the tens of millions of dollars that have left the banking system and have gone to them because people no longer trust the banks. The banks are left to wear the actions of the government here, and I find it rather disturbing that this is what's happened.

Were you at all aware or even attuned to the fact that the actions of the Emergencies Act had these unintended consequences?

8:20 p.m.

Assistant Deputy Minister, Financial Sector Policy Branch, Department of Finance

Isabelle Jacques

I was made aware in one circumstance that people took their money out because they were concerned that because they gave $10 or $20, their bank account would be frozen.

One—

8:20 p.m.

Conservative

Glen Motz Conservative Medicine Hat—Cardston—Warner, AB

I will tell you that yesterday my office received a phone call from a—

8:20 p.m.

Liberal

Arif Virani Liberal Parkdale—High Park, ON

Mr. Chair, could the witness perhaps be allowed to answer the questions? This is the second time Mr. Motz has interrupted her.

8:20 p.m.

Conservative

Glen Motz Conservative Medicine Hat—Cardston—Warner, AB

It's my time, and I'd like to ask the last question. I have limited time.

8:20 p.m.

NDP

The Joint Chair NDP Matthew Green

It is his time, and he can redirect his—

8:20 p.m.

Conservative

Glen Motz Conservative Medicine Hat—Cardston—Warner, AB

Ms. Jacques, I will tell you that yesterday my office received a phone call from an elderly gentleman who we had helped deal with some pension issues. He and his wife have closed their bank accounts and have made it very clear to me that they have closed their bank accounts and they're pulling every investment dollar they had in a chartered bank because they do not trust this government and they do not trust the banking institutions any longer. Those are the unintended consequences of the actions of this government.

8:20 p.m.

NDP

The Joint Chair NDP Matthew Green

We'll take that to be a concluding comment and not necessarily a question.

We will go now to Mr. Naqvi, who has five minutes.

Mr. Naqvi, the floor is yours.

8:20 p.m.

Liberal

Yasir Naqvi Liberal Ottawa Centre, ON

Thank you very much, Mr. Chair.

I can tell you that what I think Canadians were feeling intimidated by was the illegal activities that were taking place by way of the occupation in Ottawa and the blockades that were happening around the country.

I am going to direct my question to both Ms. Jacques and Mr. MacKillop. I just want a few things clarified so that I can understand, just as I am sure Canadians want to understand what we are talking about.

Is it my clear understanding that the orders and the regulations under the Emergencies Act that we are discussing right now did not give the Department of Finance or the Government of Canada any power to freeze any bank accounts?

8:25 p.m.

Assistant Deputy Minister, Financial Sector Policy Branch, Department of Finance

Isabelle Jacques

That is accurate.

8:25 p.m.

Liberal

Yasir Naqvi Liberal Ottawa Centre, ON

Mr. MacKillop, I'll ask you the same question. Did the order or regulations we are discussing right now not give FINTRAC any powers to freeze any bank accounts?

May 3rd, 2022 / 8:25 p.m.

Deputy Director, Intelligence, Financial Transactions and Reports Analysis Centre of Canada

Barry MacKillop

That is correct, Mr. Chair.

8:25 p.m.

Liberal

Yasir Naqvi Liberal Ottawa Centre, ON

Okay.

Let me also ask you this. They also did not give any power to either of these organizations to direct banks to freeze certain bank accounts?

8:25 p.m.

Assistant Deputy Minister, Financial Sector Policy Branch, Department of Finance

Isabelle Jacques

That is also accurate.