Industry committee  The definition in the act is actually quite broad. It encompasses direct and indirect influence, influence of individuals, and it allows the minister to make a determination after taking into account all of the facts. In fact, if you ask the members of the bar, and I believe you've had a number of them before you, they would probably say that is quite an open provision, and it's actually one that we would log—

Industry committee  Well, the provision is quite broad as it's structured now.

Industry committee  With so many small and medium-sized enterprises with a lot of really interesting technology in Canada, these types of businesses may not have the significant corporate resources to make the assessments sometimes that might be required, and of course that's important. They are also often lacking in financial resources and need investment.

Industry committee  The committee's review of this is timely and important in that regard to raise awareness. My colleague from the service has also mentioned extensive efforts being undertaken by CSIS to get out there and talk to Canadian businesses. Of course, we do that in partnership with them, and support them in that, because we have many connections in the business sector.

Industry committee  Madam Chair, I think it's an important question on the role of manufacturing. Obviously, we count on our manufacturers to help produce this critical equipment in this particular time. I would say also, just in terms of the foreign investment, that we do have to realize that some of those large foreign investments are anchoring our supply base as well, our small businesses, and came more or less to our rescue to produce necessary equipment.

Industry committee  Thank you, Madam Chair. In reference to the question and the earlier testimony, which we did note, I think it's important to take into consideration the changes made under the Investment Canada Act, after a previous review changed the basis for evaluation to “enterprise value”.

Industry committee  In general, I would describe the process as providing.... That depends on the net benefit or the national security process in the act, because the state-owned enterprise guidelines apply to both, but of course there are also different considerations. In terms of net benefit, the matter that is looked at is the corporate practices, the transparency and the commercial orientation of the businesses.

Industry committee  I would like to add to an answer that was previously given, as we're talking about shell companies. The minister has the authority, and does exercise it, to seek full disclosure of the ultimate controller of any investor. That is to say, we will look at the party that's initiating the investment or the act.

Industry committee  In legislative terms, regulatory changes have been made to allow for longer review periods, so the 200-day maximum for a national security review. We also added disclosures in the public reporting on which reviews have been undertaken, the country of origin and the outcome of those reviews, to provide more information.

Industry committee  I'll offer a distinction. The dollar thresholds in the act apply to the net benefit provisions and do not apply to the national security provisions. Any dollar value investment can be examined under those provisions, so no change in the market valuation of any Canadian business would affect the national security review process at all.

Industry committee  —are part of the information. Those are then reviewed to determine which ones are prioritized.

Industry committee  Madam Chair, in this case the two ministers involved in the process are the Minister of Public Safety and the Minister of Innovation, Science and Economic Development. Those are the two ministers who are involved in the identification of cases for which notices need to be offered, and also the recommendation of the Governor in Council.

Industry committee  —that's a strong process built into the law.

Industry committee  Madam Chair, I'll just start, and then my colleagues may wish to comment. I mentioned over 900 notices received under the Investment Canada Act in the last fiscal year. All of those notices—

Industry committee  Madam Chair—