Mr. Chair, I'm Nicolas Moreau from the Department of Finance. I'm the director general of the funds management division. I'll take care of division 2 with my colleague Kathleen Wrye from the pensions section.
I'll provide you with a brief overview of the changes that we're requiring here, and I'll be happy to take your questions after.
I will speak in French as there are interpreters.
Sections 140 to 150 of division 2 of part 4 deal with the modernization of the unclaimed amounts program and seeks to bring legislative changes to increase the efficiency of the program and also allow Canadians to recover amounts that they had lost or forgotten.
Unclaimed amounts are assets that were deposited in accounts with federally regulated financial institutions that are inactive for 10 years. After 10 years of inactivity, the assets are transferred to the Bank of Canada, which holds all unclaimed assets that were initially deposited with federally regulated banks and trust or loan companies.
The new clause proposes legislative amendments to improve and expand the unclaimed amounts program. Division 2 of part 4 of Bill C-30 contains amendments to the Bank of Canada Act giving the Bank of Canada the explicit authorization to publish information online about unclaimed assets.
The Pension Benefits Standard Act, 1985 would also be changed in order to provide a legislative framework for federally regulated pension plans. This framework would, under certain conditions, allow balances of unclaimed pensions to be transferred to a designated entity who could request that the balance be paid out.
Lastly, the Bank Act and the Trust Company Act would also be amended in order to expand the definition of unclaimed assets, which would henceforth include foreign currency deposits and assets, and would obligate financial institutions to inform the account holders via electronic means, such as by email, as well as by post, and to contact the Bank of Canada to provide more information, including the date of birth and the social insurance number of the account holder, which would make claim validation easier.
This brings me to the end of my description of division 2 of part 4 of Bill C-30.