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CUSTOMS AND EXCISE

                                 Proceeds of Crime (Money Laundering) and Terrorist Financing Act

Judicial  review  of  Minister’s  delegate’s  (Adjudicator)  decision  returning  money declared at time of entry into Canada (C $15,000), forfeiting to Crown balance of money held based on reasonable grounds to suspect proceeds of crime—Proceeds of Crime (Money Laundering) and Terrorist Financing Act, S.C. 2000, c. 17, s. 12 requiring applicants to report full amount imported—Officer must return funds upon payment of penalty unless reasonable grounds to suspect that currency, monetary instruments constitute proceeds of crime—Minister of Public Works and Government Services cashing undeclared bank draft for US $28,000 payable to applicant but returning to travelling companion three undeclared cheques for US $20,000—No reasonable apprehension of bias but differential treatment inconsistent with decision to seize, forfeit funds—Decision to return three cheques to travelling companion patently unreasonable given scheme of legislation, Adjudicator’s suspicions regarding source of money—Application allowed.

Lyew v. Canada (Minister of Public safety and Emergency Preparedness) (T-1852-06, 2007 FC 1117, Phelan J., judgment dated 30/10/07, 19 pp.)

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