End Snow-Washing Coalition

Mission

Promote the establishment of a public beneficial ownership registry in Canada

Goals

Canada faces significant challenges with money laundering, often referred to in Canada as “snow-washing”. The Criminal Intelligence Service Canada estimates that between $45-$113 billion are laundered in Canada each year. Canada has become a node in a global network of dirty money.

To address this problem, the End Snow-Washing Coalition advocated for pan-Canadian access to beneficial ownership information.

Stakeholders

The Coalition was comprised of Transparency International Canada, Publish What you Pay Canada and Canadians for Tax Fairness. The Coalition engaged with a range of private sector stakeholders including through the Canadian Real Estate Association, leading law firms, as well as with all relevant stakeholders including government.

Activities

To achieve its goal, the Coalition created a solid evidence base to support its case by conducting research on the scope of the money-laundering problem in Canada. One key report on “OPACITY: Why Criminals Love Canadian Real Estate and How to Fix It” focused on real estate investments as a destination for money launderers. Another report, published in 2022, entitled “Snow washing Inc.: How Canada is Marketed Abroad as a Secrecy Jurisdiction” highlighted the issue of international jurisdiction shopping.

The Coalition also worked to address perceived obstacles to beneficial ownership transparency, with privacy concerns being chief among them. Through its collaborative effort, the Coalition overcame deep-seated resistance and succeeded in securing the passage of landmark legislation in the Canadian Parliament. On November 2, 2023, Bill C-42 received royal assent and was enacted. The new law is intended to fight corruption, money laundering, tax evasion and terrorist financing. Most importantly, it paves the way for Canada to establish a publicly accessible registry that lists the ultimate beneficial owners of companies.