Public Accounts committee  You are correct that, in fact, it's an escalating penalty regime. In that regard, first infractions in some cases are warnings without a monetary assessment, and then it will build for repeat contraventions of the same nature.

Public Accounts committee  Certainly. It's an automated system within the CBSA. For the same importer for the same contravention, the system will automatically trigger the higher level penalty for subsequent infractions.

Public Accounts committee  In some instances, yes. Depending on the nature of the infraction, there may be a zero-rated penalty, or it might go right to a dollar or monetary assessment.

Public Accounts committee  Yes.

Public Accounts committee  Sure. In 2016-17, the agency issued a total of 26,000 administrative monetary penalties totalling $11.4 million of revenue. On the trade-related side—so those linking to revenue evasion—we issued 709 AMPs, totalling almost $1 million in assessments.

Public Accounts committee  I don't have that breakdown, but we'd be happy to provide that.

Public Accounts committee  I will just clarify that if, in fact, we issue a warning, it is in the system.

Public Accounts committee  Yes, I just don't happen to have it with me.

Public Accounts committee  We would automatically, if there was a subsequent infraction, revert to a monetary assessment.

Public Accounts committee  As all of you would be aware, the CBSA risks all goods entering Canada, and therefore, compliance records are taken into consideration.

Public Accounts committee  Essentially, due to their non-compliance to the duties relief program, they have either been suspended or revoked from the program, which means that they cannot import goods without those relieving provisions. They now import goods by paying regular duties and taxes at points of

Public Accounts committee  Of course, and they've lost privileges in terms of this program.

Public Accounts committee  Depending on when payment is made, once the importers have been notified of non-compliance and revenue owing, it will either be a prescribed or specified rate. That obviously shifts with government rate. Usually the specified rate is 6% higher than the prescribed lower rate. It

Public Accounts committee  Whatever the Government of Canada or Bank of Canada prescribed rate is at the time you're notified.

Public Accounts committee  Plus 6% only in instances where in fact you haven't made payment.