Pubdate: Wed, 06 Dec 2000 Source: National Post (Canada) Copyright: 2000 Southam Inc. Contact: 300 - 1450 Don Mills Road, Don Mills, Ontario M3B 3R5 Fax: (416) 442-2209 Website: http://www.nationalpost.com/ Forum: http://forums.canada.com/~nationalpost Page: A22 Author: Robert Benzie, staff writer BILL PROMISES TO EASE SEIZURE OF ILLEGAL PROFITS Modelled On U.S. Anti-Racketeering Legislation The Ontario government introduced legislation yesterday that will enable it to seize illegal profits of criminal syndicates without charges being laid. Under the new measures, the province would use civil law to request the courts "freeze, seize and forfeit" to the Crown the proceeds of unlawful activity. "Whether they're telemarketing scams or ... bike gangs, we intend to do everything in our power to make Ontario not a desirable place for organized crime," said Mike Harris, the Premier. Mr. Harris said that his government was forced to act because the federal Liberals have been ineffective in tackling criminal gangs, which cost the Canadian economy between $5-billion and $9-billion annually. "There needs to be strong action at the federal level. But they have been proven to be a government consistently ... soft on crime and reluctant to be aggressive," he said. Jim Flaherty, the provincial Attorney-General, said he hopes the law, modelled on U.S. anti-racketeering legislation, will lead to "hundreds of millions of dollars" in property confiscated. Assets would go toward a compensation fund that would be administered by the province and be distributed to victims of crime. Police services could apply for grants from the the fund, as well. "The Remedies for Organized Crime and Other Unlawful Activities Act, if passed, would make Ontario a national leader in fighting organized crime," Mr. Flaherty said. "We intend to freeze, seize and forfeit the proceeds of organized crime, to follow the money and seize the profits ... of illegal activities," he said. Because police would be empowered to go to civil courts, where there is a lower standard of proof than criminal courts, Mr. Flaherty said charges need not be laid before assets are seized. "There may often be criminal charges pending at the same time that the civil remedies would be used, but not necessarily," he said. "You may have situations where in fact there is not a criminal prosecution underway or a conviction registered where the civil remedies would be used." While there are criminal-asset forfeiture provisions in the Criminal Code of Canada, Mr. Flaherty said they are "not really effective." Superintendent Chris Lewis, director of the criminal-investigation branch of the Ontario Provincial Police, agreed. "The problem with the federal legislation is you have to have that substantive criminal offence and conviction. There's many cases that we run into where people have great wealth -- cars, houses, boats, airplanes, big bank accounts -- and no job, no visible legal means of support. This legislation would assist us in those cases," said Supt. Lewis. Farah Mohamed, a spokeswoman for Anne McLellan, the Minister of Justice, said the federal government was still reviewing the provincial legislation late yesterday. But Ms. Mohamed disputed the suggestion that Ottawa was ignoring a growing problem that plagues every part of Canada. "We're not taking a backseat at all in terms of legislation or measures with respect to combatting organized crime," she said. "To say that we don't have measures is, I don't think, the true picture at all." In fact, the federal government has used existing proceeds-of-crime laws to seize about $230-million in assets since 1993. Opinions on the Ontario legislation, meanwhile, were divided. "It's a little broad, but that's preferable to the federal legislation, which is ridiculously narrow," said Lee Lamothe, an author and one of Canada's leading experts on organized crime. Mr. Lamothe said the province should "go for broke and take on a top criminal organization -- not a gang of burglars." But John Rosen, a prominent criminal lawyer, said the new act is "totally ridiculous" because Queen's Park is trying to supercede Ottawa. "This is clearly criminal legislation. It's beyond the jurisdiction of the province to pass. It's in the nature of criminal law ... the exclusive jurisdiction of the federal government," Mr. Rosen said. "It presumes guilt. Basically, the opinion of a police officer would be sufficient to seize assets." Ontario's move is the latest in a slew of initiatives by provincial governments to battle outlaw motorcycle clubs and other organized-crime syndicates. In Quebec, where the Hells Angels and the Rock Machine biker gang war has killed about 150 people since 1995, law-enforcement officials have been aggressively confiscating criminal assets once charges are laid. Over the past three years, Quebec police services have seized about $13-million in cash and sold off $3.1-million in property. In September, the Alberta government appointed a two-person team of prosecutors to clamp down on organized crime. - --- MAP posted-by: Eric Ernst