Ottawa Proposes Fines Up to $1M for Failing to Comply With Foreign Influence Registry Rules

Ottawa is proposing fines of up to $1 million for individuals and organizations that fail to comply with its planned foreign influence registry’s rules.

A foreign influence registry was one of several measures brought forward in June 2024 when Parliament passed Bill C-70, “An Act respecting countering foreign interference.”

Ottawa has said the registry is needed because countries engaging in foreign interference to advance political goals might employ people to act on their behalf without disclosing those ties. The legislation was passed amid heightened public awareness about China’s meddling in Canada’s affairs via intelligence leaks in the media.

“Non-transparent foreign influence activities that aim to affect political and governmental processes for the undisclosed benefit of a foreign power undermines Canada’s sovereignty and democracy,” says a regulatory impact analysis statement published in the Canada Gazette on Jan. 3, alongside the newly proposed regulations.

The registry has yet to be set up and a commissioner for the registry is still not appointed, despite Public Safety Canada saying the registry would be operational by June of last year. When that didn’t materialize, the public safety minister said in August that the commissioner would be appointed in September.

Foreign Affairs Minister Anita Anand later told MPs of the foreign affairs committee on Nov. 27 that, as also stated by the public safety minister, the registry would be implemented by the end of 2025.

Anand said Canada would “never tolerate any form of foreign interference or meddling in our democracy,” adding that Canada was “showing leadership at a crucial time” by signing a joint statement with its G7 partners earlier in the year, which condemned transnational repression and pledged to support those who may be targets of foreign interference.

Proposed Regulations

Ottawa’s newly proposed regulations for its planned foreign influence registry, published in the Canada Gazette, define key terms and describe the information individuals and organizations would be required to provide to the registry when entering into arrangements with foreign entities to influence political or government activities in Canada.

Individuals, businesses, non-profit organizations, and educational institutions would be among those expected to register with the federal government to guard against foreign interference activities.

The public registry would contain data such as identifying information about the individuals and entities that have entered into an agreement, information about the foreign entity, and details of each arrangement, including its purpose and the types of influence activities involved.

The registry’s commissioner will administer the registration scheme, which is expected to be enforced through notices, monetary fines, and criminal penalties in the most serious cases.

Ottawa says the registry would enhance transparency by allowing Canadians to see who is engaging in foreign influence, the nature of their activities, and any enforcement actions that have been taken.

The government expects approximately 1,767 registrants would submit information under the registry annually, with an additional 54 new registrants each year.

The impact analysis statement acknowledged that Canada has lagged behind key allies, such as the United States, the United Kingdom, and Australia, when it comes to implementing legislation and regulations dedicated to addressing foreign interference.

“The proposed regulations would help close this gap by establishing a strong transparency framework aligned with the best international practices,” the analysis statement said. “This alignment would also strengthen Canada’s credibility as a trusted partner in advancing global security and protecting democratic institutions.”

Violations

Violations under the foreign influence registry rules could include failing to provide information within 14 days of entering into an agreement with a foreign entity, or knowingly providing false or misleading information to the commissioner, according to the proposed regulations.

For such violations, the proposed regulations would establish monetary penalties ranging from $50 to $1 million. When determining the penalty amount, the commissioner would consider factors such as the individual or organization’s history of compliance, whether or not the violation was intentional, the individual or organization’s capacity to pay, and the degree of cooperation with the commissioner after receiving a violation notice.

The commissioner would also be able to enter into compliance agreements to either reduce or remove a penalty entirely if the individual or organization meets specified conditions within an agreed-upon time frame.

To help inform the proposed regulations, the impact analysis statement said Public Safety Canada held consultations with key stakeholders, including provincial and territorial governments, civil society organizations, diaspora communities, public interest law firms, international partners, and national security experts.

The public now has until 11:59 p.m. EST on Feb. 2 to comment on the proposed regulations in the Canada Gazette.

Paul Rowan Brian and The Canadian Press contributed to this report.