2023 Year in Review
Serious Fraud Office 2023 Year in Review
This Year in Review provides a snapshot of the SFO's activities, performance, and strategic developments in 2023.
SERIOUS FRAUD OFFICE BY THE NUMBERS
Enforcement
The SFO demonstrated its commitment to combating high-level financial crime by advancing three major investigations, resulting in significant charges against key suspects. Six individuals were charged with a total of 20 serious offences.
Asset Recovery
Significant efforts were made to recover assets related to fraud investigations. Forfeiture orders totaling $500,000, fines in lieu of forfeiture amounting to more than $297,000, and restitution orders of more than $1.8 million were imposed. These outcomes demonstrate our commitment to both victim compensation and offender accountability.
Operational Efficiency
A key focus was maintaining operational efficiency within R. v. Jordan timelines – the Supreme Court's prescribed time limits for adult criminal court cases. 100% of cases were successfully resolved within these timelines, reflecting the efforts of the SFO to process cases expeditiously.
Victim Assistance
Recognizing the impact of financial crimes, the SFO assisted more than 1,800 victims throughout investigative and legal processes. This support included providing case progress information, guidance on available resources, and assistance in preparing victim impact statements.
Fraud Prevention
Public awareness campaigns were a crucial component of fraud prevention efforts. These initiatives reached an estimated 2,300 individuals through in-person presentations, and across various platforms including Facebook, Instagram, and X (formerly Twitter). The goal of these efforts was to educate and empower the public to recognize, avoid, and report fraudulent activities.
Specialized Training Programs
The SFO conducted 11 specialized training programs, including the 2023 Financial Crime Forum, and the SFO Advanced Fraud Investigation Course. These programs covered topics such as advanced investigative techniques, forensic accounting, and emerging trends in financial fraud. A total of 1,162 representatives from various organizations took part. This multi-agency participation included personnel from local and federal law enforcement, financial regulatory bodies, prosecutors’ offices, and other relevant government entities. The quantity and diversity of stakeholder representatives in attendance showcases the SFO’s commitment to fostering a collaborative, well-informed approach to tackling sophisticated financial crimes.
2023 BY THE NUMBERS
INVESTIGATIONS & PROSECUTIONS
The total value of the fines that offenders were ordered to pay because they had spent or hidden the proceeds of their crimes.
The value of forfeiture orders made by the courts. Forfeitures were directed to victims for restitution.
The number of charges laid.
The percentage of cases successfully resolved within R. v. Jordan timelines.
The number of people arrested and charged.
The amount of restitution ordered to be paid to victims.
ADJUNCT & SUPPORT SERVICES
The total number of victim support interactions.
The number of SFO-led education and training events attended by partners and stakeholders.
Policing partner attendance across education and training events facilitated by the SFO Education and Training Program.
The number of people receiving fraud prevention education from the SFO.
INVESTIGATIONS AND PROSECUTIONS
Several key cases demonstrated the SFO's efforts in investigating financial crimes:
- Project Routledge: This investigation examined alleged fraud against government COVID-19 relief programs. This project resulted in many charges laid, with one individual paying full restitution upfront.
- Project Ingram: This investigation targeted an organized fraud ring involved in various alleged financial crimes and international money laundering activities. This project resulted in charges being laid, with legal proceedings in progress.
- Project Paddock: This investigation examined the alleged improper sharing of inside information in relation to government construction procurement. Charges were laid and proceedings are in progress.
- Project Penny: This investigation focused on Government Guaranteed Loans fraud involving a former banking industry professional. This project resulted in three individuals pleading guilty to criminal offences, and being ordered to make restitution payments.
- Project Sherborne: This investigation was conducted jointly with U.S. authorities regarding alleged embezzlement related to a hospital renovation project. This project resulted in charges being laid by both U.S. and Canadian authorities, with legal proceedings in progress.
Prosecutions resulted in several key cases concluded with convictions:
- R. v. Nadarajah et al.: The accused defrauded a Canadian bank of $300,000 through false documents in a small business loan scheme. He pled guilty to using forged documents, received a three-year conditional discharge with probation terms that included house arrest and curfew, community service. He also paid full restitution.
- R. v. Morris: The accused stole $133,000 from an elderly man while acting as his power of attorney, using insurance settlement and cottage sale funds. The accused was convicted of theft over $5000, sentenced to 15 months in jail, 18 months probation, and ordered to pay $133,000 in restitution.
- R. v. Balasubramaniam: The accused orchestrated a credit card fraud against a Canadian bank, creating false accounts causing $53,903 in losses. The accused was found guilty of fraud, received a six-month custodial sentence, and was ordered to pay restitution and fines in lieu of forfeiture of more than $53,000.
- R. v. Lamont: The accused led a forgery ring creating hundreds of fake Norval Morrisseau artworks between 2002-2019. The accused pled guilty to defrauding the public over $5,000, and forgery. The accused was sentenced to five years imprisonment with forfeiture of seized forgeries.
- R. v. Croteau: The accused operated a fraudulent final notice and telemarketing scheme targeting 2,345 businesses, causing $1.3 million in losses. The accused pled guilty to Criminal Code and Competition Act offences, was sentenced to 30 months in jail, a DNA order, restitution in the amount of $1.28M restitution, a fine in lieu of forfeiture, and 10-year prohibition order.
SPOTLIGHT ON FRAUD PREVENTION
Through its investigation into predatory door-to-door sales practices targeting vulnerable homeowners, the SFO identified how Notices of Security Interests (NOSIs) could be used as potential vehicles for fraud. To help prevent future victimization, the SFO provided input to government regarding these NOSI-related issues. To further strengthen fraud prevention efforts, the SFO worked with a major media outlet to raise public awareness through television messaging.
STRATEGIC INNOVATIONS
In 2023, the SFO implemented several strategic innovations to enhance its effectiveness. Two key initiatives stand out:
- Advanced Digital Platform to Streamline the Disclosure Process: The SFO adopted a state-of-the-art digital platform to streamline the disclosure process in complex fraud cases. This innovation significantly enhanced its investigative and prosecutorial capabilities, allowing for more efficient handling of large-scale financial crime cases.
- Academic Partnership for Victim Support and Fraud Prevention Research: The SFO launched its first academic partnership focused on understanding the experiences of older adults targeted by fraud. This collaboration aims to develop more effective victim support and prevention strategies, particularly for vulnerable populations.
These initiatives demonstrate our commitment to enhancing our capabilities and developing evidence-based strategies to combat fraud more effectively.
LOOKING AHEAD TO 2024
Enhancing Our Online Presence
In 2024, our enhanced online presence will improve our efforts in combating fraud and supporting victims. Our online platform will contribute to our ongoing work. Key features include:
- Integrated Victim Support Portal: Providing readily available resources and guidance for those affected by fraud.
- Public Education Hub: Offering information on fraud prevention and emerging trends.
- Enhanced Transparency and Reporting: Sharing updates on SFO activities and guidance on identifying and reporting suspected fraud.
This online platform is designed to strengthen our connection with the public by centralizing access to information about the SFO, its mission, and resources. We anticipate that it will be a valuable tool in addressing serious fraud and keeping Ontarians informed.