Special Economic Measures (Haiti) Permit Authorization Order: SOR/2022-227

Canada Gazette, Part II, Volume 156, Number 24

Registration
SOR/2022-227 November 3, 2022

SPECIAL ECONOMIC MEASURES ACT

Special Economic Measures (Haiti) Permit Authorization Order

P.C. 2022-1191 November 3, 2022

Her Excellency the Governor General in Council, on the recommendation of the Minister of Foreign Affairs, under subsection 4(4)footnote a of the Special Economic Measures Actfootnote b, authorizes the Minister of Foreign Affairs to issue to any person in Canada or any Canadian outside Canada a permit to carry out a specified activity or transaction, or any class of activity or transaction, that is restricted or prohibited under the Special Economic Measures (Haiti) Regulations.

REGULATORY IMPACT ANALYSIS STATEMENT

(This statement is not part of the Order.)

Issues

For several years, Haiti has been gripped by a multidimensional crisis characterized by a political deadlock paralyzing most public institutions, rampant inflation, chronic poverty as well as alarming insecurity. In this context, Haitians experience daily assaults on their basic human rights.

Haitian political elites are using their position as previous or current public office holders to protect and/or support the activities of criminal gangs, including for personal and political gain, which is contributing to a severe humanitarian crisis and threatening regional peace and security.

The armed gangs who operate under the protection and support of political interest groups and business leaders have deliberately killed, injured and committed acts of sexual violence to terrorize and subjugate the population and to expand territorial control. Recently, the gangs have encircled Port-au-Prince and are blocking access to strategic installations, such as ports and the Varreux fuel terminal. These blockades are affecting critical public services and infrastructure, as several health facilities and schools have had to close. They have resulted in a humanitarian crisis with 4.7 million people in Haiti experiencing acute hunger and now facing an outbreak of cholera.

The Special Economic Measures (Haiti) Regulations (the Regulations) prohibit persons (individuals and entities) in Canada and Canadians outside Canada from conducting the specified activities, such as dealing in any property, wherever situated, that is owned, held or controlled by a listed person or by a person acting on behalf of a listed person, or providing any financial or related services to or for the benefit of a listed person.

The Regulations will allow Canada to target sanctions at key individuals who finance, support or benefit from the activities of armed gangs. These gangs operate under the protection of political interest groups and perpetuate gratuitous violence on vulnerable populations, including kidnappings, murders as well as sexual and gender-based violence.

The Regulations align with existing policy and objectives to address the multidimensional crisis in Haiti, particularly through advancing political dialogue and overcoming the current political deadlock, the humanitarian situation as well as alarming insecurity. It also advances policy objectives focused on promoting good governance, democracy and the fight against corruption and impunity. Finally, the Regulations reinforce Canada’s steadfast commitment to restoring law and order in Haiti and promoting regional development and prosperity.

Typically, when the Government imposes sanctions, individuals or entities in Canada and any Canadian outside Canada can be permitted to carry out activities that are otherwise prohibited if authorized by the Minister of Foreign Affairs.

Objective

Description and rationale

The Special Economic Measures (Haiti) Permit Authorization Order (the Order) authorizes the Minister of Foreign Affairs to issue to any individual or entity in Canada and any Canadian outside Canada a permit to carry out a specified activity or transaction, or any class of activity or transaction that is otherwise restricted or prohibited pursuant to the Regulations.

The Order will create additional compliance costs for businesses seeking permits that would authorize them to carry out specified activities or transactions that are otherwise prohibited. However, costs will likely be low, as it is unlikely that Canadian businesses have dealings with the newly listed persons.

One-for-one rule and small business lens

The one-for-one rule applies to the Regulations, as there are incremental administrative costs for businesses seeking permits that would authorize them to carry out specified activities or transactions that are otherwise prohibited.

However, the administrative burden associated with the Regulations is exempted from the one-for-one rule, as the Regulations are made to address a unique and exceptional circumstance.

However, costs will likely be low, as it is unlikely that Canadian businesses have dealings with the newly listed individuals or entities. No significant loss of opportunities for small businesses is expected as a result of the Regulations.

To facilitate compliance by small businesses, Global Affairs Canada conducts enhanced outreach with stakeholders to better inform them of changes to Canada’s sanctions. This includes updates to the sanctions website as well as the creation of the sanctions hotline.

Contact

Sébastien Sigouin
Executive Director
Haiti Division
Global Affairs Canada
125 Sussex Drive
Ottawa, Ontario
K1A 0G2
Telephone: 343‑548‑7620
Email: sebastien.sigouin@international.gc.ca