Highlights

  • The CDIC has amended a by-law to include penalties for non-compliance with the Eligible Financial Contracts By-law, aiming to ensure financial stability.
  • The Minister of the Environment has repealed an outdated service charges order to reduce regulatory confusion.
  • Corrections were made to the Firearms Act regulations regarding the registration and transfer of handguns.
  • Health Canada is remitting fees for expedited medical device license applications during the COVID-19 pandemic to alleviate financial burdens on applicants.
  • Canada has imposed sanctions on additional Iranian individuals for human rights violations, aligning with international partners.
  • New sanctions have been introduced against Russia, targeting individuals and entities to pressure changes in behavior and policy due to ongoing aggression in Ukraine and human rights abuses.

CDIC Amends Premium Surcharge By-law to Enforce Compliance with EFC Regulations

The Canada Deposit Insurance Corporation (CDIC) Board of Directors has amended the Canada Deposit Insurance Corporation Prescribed Practices Premium Surcharge By-law to include non-compliance with the Canada Deposit Insurance Corporation Eligible Financial Contracts By-law (EFC By-law) as a practice that warrants a premium surcharge. The EFC By-law, established on March 2, 2022, requires certain member institutions to amend their eligible financial contracts to include stay provisions as per the CDIC Act. The amendment to the Premium Surcharge By-law is designed to mitigate risks to the orderly resolution of member institutions and the Canadian financial system by penalizing non-compliance with the EFC By-law. The amendment comes into force on the day it is registered and does not impose additional regulatory costs or administrative burdens on member institutions. The CDIC had previously consulted with industry participants on the EFC By-law, and the amendment is a consequential measure to enforce it. [Source]

Repeal of Obsolete Environmental Assessment Charges Order to Clarify Regulations

The Minister of the Environment has repealed the Environmental Assessment Review Panel Service Charges Order, which was a regulatory instrument under the former Canadian Environmental Assessment Act (CEAA) of 1992. This act was replaced by the CEAA 2012 and subsequently by the Impact Assessment Act (IAA) in 2019. The repeal of the Order is to prevent confusion among stakeholders, as the Order no longer has any legal effect and is considered spent. This action aligns with the recommendations of the Standing Joint Committee for the Scrutiny of Regulations to remove obsolete regulations. The repeal will not affect small businesses and is in accordance with the one-for-one rule, which aims to reduce administrative burden by removing outdated regulations. [Source]

Erratum Issued for Firearms Regulations Clarifying Handgun Registration and Transfer Approval Responsibilities

An erratum was issued for the Regulations Amending Certain Regulations Made Under the Firearms Act to correct errors in the original publication. The first correction clarifies that the registration of all restricted and prohibited handguns is handled by the Registrar of Firearms, not the Chief Firearms Officers (CFOs) as previously stated. The second correction pertains to a transitional provision, specifying that Chief Firearms Officers are authorized to approve the transfer of a handgun for transfer requests submitted before the new regulations come into force. [Source]

COVID-19 Pandemic Medical Device Licence Fee Remission Order

The Medical Device Establishment Licence Fees Remission Order (Expedited Examination of Applications During the COVID-19 Pandemic) grants remission of fees to certain applicants who submitted applications for medical device establishment licenses or annual reviews during the COVID-19 pandemic. Specifically, it applies to applications submitted between April 1, 2020, and December 31, 2021, that were examined before payment was received, and where the license was canceled by January 31, 2022. This remission is in response to Health Canada’s decision to expedite the processing of these applications without waiting for fee payment to ensure a sufficient supply of medical devices during the pandemic. The order aims to resolve the debt to the Crown for these unpaid fees and applies regardless of whether an invoice was issued or paid. The total cost to the government is estimated at approximately $10.3 million, which includes the remitted fees and administrative costs for processing the remission. The order benefits industry stakeholders by remitting around $10.2 million in fees and is expected to have minimal impact on stakeholders, aligning with Health Canada’s legal authorities. The remission process is intended to be completed by spring 2023. [Source]

Canada Expands Sanctions on Iranian Officials for Human Rights Violations

The Canadian government has amended the Special Economic Measures (Iran) Regulations to impose sanctions on an additional 12 individuals associated with human rights violations in Iran. These individuals include senior officials from the Islamic Revolutionary Guard Corps and the Law Enforcement Forces, as well as a warden of Tehran’s Evin prison and the head of Iran’s Supreme Council of the Cultural Revolution. The sanctions are a response to the lethal suppression of demonstrations, particularly in Kurdish areas, and policies that violate women’s rights, such as compulsory veiling.

The sanctions prohibit any dealings with the listed individuals, including transactions, services, or providing goods. These measures align Canada with similar actions taken by the European Union, the United Kingdom, and the United States.

The sanctions are part of Canada’s broader strategy to pressure Iran to change its behavior regarding human rights violations and threats to international peace and security. This includes Canada’s leadership in the United Nations General Assembly Resolution on the Human Rights Situation in Iran and the designation of Iran as a supporter of terrorism under the State Immunity Act, which allows victims to sue Iran for terrorism-related damages.

The sanctions are expected to have minimal impact on Canadian businesses and small businesses, as existing sanctions already limit trade with Iran. The amendments are enforced by the Royal Canadian Mounted Police and the Canada Border Services Agency, with penalties for non-compliance ranging from fines to imprisonment. [Source]

Canada Expands Sanctions on Russia Targeting Arms Imports and Defense Sector

Canada has amended its Special Economic Measures (Russia) Regulations to impose additional sanctions on Russia due to its continued aggression in Ukraine and human rights violations. The amendments prohibit the import, purchase, or acquisition of any weapons, military vehicles, equipment, or related spare parts from Russia. They also forbid any actions that assist in prohibited activities.

Seven individuals and fifty entities have been added to the sanctions list. These include senior managers in Russia’s defense companies, a Russian oligarch, and his family, as well as enterprises specializing in digital and cyber capabilities for military purposes, radar and reconnaissance, rocket and missile systems, armaments, and machinery.

The amendments also ban the export of certain chemicals used in electronics that could be utilized in weapons manufacturing and reinforce the prohibition on importing Russian arms into Canada.

The sanctions are designed to exert economic pressure on Russia, align with measures taken by Canada’s international allies, and demonstrate solidarity with them. Enforcement of these regulations falls to the Royal Canadian Mounted Police and the Canada Border Services Agency, with penalties for non-compliance including fines and imprisonment. [Source]

Canada Expands Sanctions on Russia with New Targets Including Parliamentarians and Entities

Canada has amended its Special Economic Measures (Russia) Regulations to impose additional sanctions on Russia in response to its ongoing military aggression against Ukraine. These amendments add 122 individuals and 13 entities to the list of those subjected to a dealings ban, which effectively freezes their assets and prohibits transactions with them. The individuals targeted include Russian parliamentarians who supported legislation related to the annexation of Ukrainian territory, senior officials, and family members of previously sanctioned individuals. The entities include Russian decision-making and implementing institutions, both houses of the Russian Parliament, the United Russia Party, the Federal Security Service, and the entity operating Ukraine’s Zaporizhzhia Nuclear Power Plant under Russian control.

The sanctions are part of a coordinated international effort to impose macroeconomic costs on Russia, undermine its military capabilities, and hold accountable those responsible for violating Ukrainian sovereignty. The measures align with actions taken by Canada’s allies and are intended to signal strong condemnation of Russia’s actions. Enforcement of the sanctions will be carried out by the Royal Canadian Mounted Police and the Canada Border Services Agency, with penalties for non-compliance including fines and imprisonment. The amendments are designed to have minimal impact on Canadian businesses and citizens, focusing instead on the individuals and entities that support Russia’s military operations. [Source]

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