Pubdate: Wed, 07 Mar 2001 Source: National Post (Canada) Copyright: 2001 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 Author: Jim Bronskill, Southam News BORDERS HAMPER CRIME FIGHTERS Elite Unit Review OTTAWA - International and provincial borders posed jurisdictional headaches that frustrated elite federal units set up to tackle organized crime, says a secret annual evaluation of the program. The review of the Integrated Proceeds of Crime initiative for 1998-99 chronicles the difficulties faced by Canadian authorities in a world where illicit activities straddle global boundaries. Under the IPOC program, administered largely by the RCMP, specialized units in 13 Canadian cities zero in on the illegal proceeds of drug crimes, smuggling, fraud and gambling. The units include police, Crown counsel, customs officers, forensic accountants and tax investigators. The report, which looked at the third year of the $180-million, five-year initiative, indicates the value of the program in dollars-and-cents terms had yet to be proven. "IPOC investigations continue to be very costly and complex," says the evaluation. "While the benefits of integrated investigations were evident early in the initiative, the monetary effectiveness of the program remains unclear, particularly for the smaller units." A declassified version of the report, prepared last March by the Solicitor-General's department, was obtained by Southam News under the Access to Information Act. It reveals investigators were hampered by the absence of legislation that would provide for enforcement of a foreign forfeiture order in Canada. The problem meant that an order originating abroad could not be enforced unless Canadian authorities undertook a second complete proceeds of crime investigation, says the report. "The lengthy processes are costly and usually considered redundant and inefficient." The evaluators note legislative work was underway to provide for easier enforcement. However, another aggravation stemmed from the fact that, within Canada, fines or forfeitures that result from certain Criminal Code charges go to the province of jurisdiction and therefore cannot be shared with partners that assist with the probe. For instance, a Montreal IPOC case involving money laundering and drug trafficking led to several arrests in Canada, Holland, Belgium, Switzerland and Costa Rica. The investigation was "one of the most arduous and complex" undertaken by the RCMP, costing $7.5-million and involving extensive physical and electronic surveillance. Nine people pleaded guilty to possessing proceeds of crime and were fined about $3.6-million. However, money recouped by authorities in Canada was slated solely for Quebec, since the province's laws specifically forbid asset-sharing with other jurisdictions, says the report. "Unfortunately, asset sharing in Canada is not reciprocal, and is undertaken only by the federal government. While there have been some discussions regarding reciprocal arrangements, no province has expressed an interest in doing so." The report notes the IPOC initiative is primarily a drug-related one, with 90% of revenues and 80% of seizures related to drug investigations in 1998-99. However, drug probes generated only 93 cents in revenue for each dollar spent during the time-frame, compared with $1.39 for each dollar in 1997-98. "This would indicate that such investigations are becoming significantly more expensive to conduct," says the report. The evaluators stress that because investigations and prosecutions routinely take several years to complete, final tallies will not be apparent for some time. Overall, the IPOC model has increased co-operation between law-enforcement agencies and has improved their capacity to target high levels of organized crime, notes the report. - --- MAP posted-by: Beth