Anti-Counterfeiting Connections Newsletter

Winter 2013-14
Anti-Counterfeiting
Connections
Last but certainly
not least:
The $5 and $10 are released into circulation
By Danielle Côté, Senior Analyst, Currency Awareness and
Education Team, Bank of Canada
On 7 November, the Bank of Canada
issued the $5 and $10 bank notes,
the last of the new Polymer series.
To mark the occasion, Governor
Stephen S. Poloz launched the $5 at a
national media event at the Canadian
Space Agency in Saint-Hubert. He
was joined by Chris Hadfield, retired
Canadian astronaut and former
Commander of the International
(continued on page 3)
In this Issue
FEATURES
The $5 and $10 are released 3
into circulation (cont’d)
Law Enforcement Award of
Excellence
4-5
Money Flow Workshop
5-6
Making Prop Money
6
A specialized service
7
IN THE REGIONS
Regional events
8-9
Forum on Counterfeiting
and Fraud
10-11
Where are they now?
A look at Sgt. Jim Laing
12
First Edition of La
bientraitance,
c’est l’affaire de tous!
13
CONTACT US
Stephen S. Poloz, Governor of the Bank of Canada, and Chris Hadfield, retired Canadian astronaut and
former Commander of the International Space Station, during an official ceremony to issue the new $5
polymer bank note into circulation, at the Canadian Space Agency in Saint-Hubert, Quebec.
Compliance
Currency Department
Bank of Canada
Send your story ideas to
[email protected]
Find us on the Web
bankofcanada.ca/banknotes
Be vigilant
The Bank of Canada would like to remind you to be vigilant in checking bank notes, especially Canadian Journey series
paper $20 notes. Counterfeiters are now targeting that particular denomination.
Counterfeiters see frantic shoppers and busy retail line-ups as a great opportunity to pass fake notes. The Bank’s
advice—don’t let them.
Here’s a quick and easy way to check three key security features on the $20 notes in question. Hold a note to the light
and look through it:
• Ghost image: a small ghost-like image of the portrait appears.
• Puzzle number: the irregular marks form a complete number.
• Dashes: form a solid line.
For more information on these and other Canadian Journey series security features visit the Bank’s website.
The new Polymer series is our most secure issue yet. So if you have doubts about a paper note, refuse it and ask for a
polymer note instead.
22
nd
ANNUAL NIAGA RA 28 - 29
COUNTERFEIT AND MAY
FRAUD WORKSHOP 2014
EMBASSY SUITES
NIAGARA FALLS
The Bank of Canada, the RCMP and the Niagara Regional Police
Service invite you to our annual Counterfeit and Fraud Workshop.
Niagara Regional Police Service
Service de police de la région du Niagara
DATE:
Wednesday 28 May – Thursday 29 May 2014
LOCATION:
Embassy Suites Niagara Falls
6700 Fallsview Boulevard
Niagara Falls, Ontario
FEE:
$150
RSVP:
To register, or for more information, go to
www.counterfeit-investigators.com
Registration is limited and will be first-come, first-served.
2 | Anti-Counterfeiting Connections — Winter 2013-14
Space Station.
The $10 was launched simultaneously
at the Pacific Central Station
in Vancouver by Senior Deputy
Governor Tiff Macklem and VIA
Rail Canada President and CEO
Marc Laliberté. The Canadian, the
train that is featured on the note to
represent Canada’s great technical
feat of linking its eastern and western
frontiers by rail, served as the
backdrop for the event.
Regional events also took place at the
Johnson GEO Centre in St. John’s, at
the Ontario Science Centre in Toronto
and at the University of Alberta TELUS
Centre in Edmonton.
All of these events brought to a
close a process that began with the
announcement, in March 2010, that
Canada’s next series of bank notes
would be printed on polymer—a first
for this country.
A pioneering spirit
VIA Rail Canada President and CEO Marc Laliberté and Bank of Canada Senior Deputy Governor
Tiff Macklem are shown standing in front of the Canadian train during an official ceremony to
issue the new $10 polymer bank note into circulation, at the Pacific Central Station in Vancouver,
British Columbia.
As a special nod to the occasion,
The launch date itself was a significant at the Bank of Canada we will
Governor Poloz was presented with
continue to innovate and apply new
one. November 7th is the anniversary
technologies so that we stay ahead of the famed $5 note unveiled by Chris
of the driving of the last spike in
Hadfield from orbit last April.
the counterfeiters.”
Craigellachie, British Columbia. This
ceremonious action completed the
Hadfield spoke of the significance
From the train station in Vancouver,
construction of Canada’s railway
of featuring Canadian robotics
Senior Deputy Governor Macklem
in 1885. At the time, it was the
innovations on the new $5 note.
added: “Not only are these notes
longest ever built and its completion
“The Canadarm2 and
demonstrated
Dextre images on the
Canada’s pioneering
“You can be sure that at the Bank of
$5 remind me of the
spirit by connecting
Canada
we
will
continue
to
innovate
determination, ingenuity
people and
and dedication of so
and apply new technologies so that
facilitating the
many people at the
exchange of goods.
we stay ahead of the counterfeiters.” Canadian Space Agency,
in the space industry
Both events focused
Stephen S. Poloz,
and academia across the
on recognizing
Governor of the Bank of Canada
country,” he said. “As
Canadian
Canadians use their $5
accomplishments,
bills
and
see
these space symbols, I
and it was a fitting day to look back at safer, they are also cheaper and
know
they
will
be reminded of these
the spirit that helped unite our country greener than the previous series. They
qualities,”
he
said.
while also looking ahead to the future. last longer that paper notes which will
“With this series, the Bank sets a
global benchmark for currency,” said
Governor Poloz. “And though we are
very proud of these bank notes, we
are not standing still. That’s because
neither technology nor counterfeiting
stands still. You can be sure that
save millions of dollars since fewer
polymer notes will have to be printed,”
he said. “Fewer notes produced
means fewer notes transported
and this reduces the impact on the
Canadian environment. Plus, polymer
notes will be recycled.”
The ‘space note’ will soon become
part of the National Currency
Collection and in a few years, when
the Bank’s head office renovations are
complete, the note will be displayed in
the Currency Museum.
See page 8 for more on the regional events.
Anti-Counterfeiting Connections — Winter 2013-14 | 3
2013 Law Enforcement
Award of Excellence
By Marie Terrien, Senior Analyst, Compliance, Bank of Canada
During a sweltering heat wave this
past August, Winnipeg played host for
the Canadian Association of Chiefs of
Police annual conference. And, once
again, the Bank of Canada presented
its Law Enforcement Award of
Excellence for Counterfeit Deterrence.
But one nomination stood out
from the rest. Recognizing that
some front-line officers lack basic
knowledge, skills and abilities in
the area of counterfeit enforcement
and deterrence, Corporal Shelley
Olson and Sergeant Johanne Wirsta,
2013 Law Enforcement
Award travels to Fort
McMurray
By Marie Terrien, Senior Analyst,
Compliance, Bank of Canada
The Bank’s 2013 Law Enforcement
Award of Excellence traveled all the
way to Fort McMurray in December.
RCMP Sergeant Johanne Wirsta
wasn’t able to travel to the CACP
conference this past summer, so the
Bank came to her.
Presented before the mayor and
the municipality’s regional council,
Johanne, formerly of the RCMP’s
“E” Division Commercial Crime
Section, was recognized for her role
in designing a highly successful anticounterfeiting workshop for front-line
officers. She shares the honours with
her former colleague Cpl. Shelley
Olson.
Johanne was very proud to receive
the award stating, “This is considered
the Stanley Cup of awards for financial
crime investigators.”
From left to right: from the Bank of Canada, Michael Duncan, Assistant Director, Compliance,
and Richard Wall, Chief of Currency; from the RCMP, Cpl. Shelley Olson, Federal Serious and
Organized Crime Group, “E” Div., A/Commr. Todd Shean, Federal Policing Special Services, and
C/Supt. Derren Lench, Deputy Criminal Operations Officer - Core Policing “E” Div.
While things were heating up outside,
everyone enjoyed the luncheon
presentation of the award showcasing
another “cool” video about the award
recipients.
This year, the Bank received a
record number of nominations
representing the excellent and varied
work being done by the Canadian
law enforcement community. To
attract more interest in the award,
the Bank modified the eligibility and
nomination criteria to recognize
contributions in police education.
This strategy clearly worked since we
received many excellent nominations
from across the country involving
educators, teachers and schools that
developed or delivered successful
anti-counterfeiting programs.
formerly of the RCMP’s “E” Division
Commercial Crime Section, were
selected for their role in designing
an innovative and highly successful
anti-counterfeiting workshop for
front-line officers in Lower Mainland
British Columbia.
During this comprehensive
training, front-line officers received
practical instruction on counterfeit
production. They learned how
to recognize the equipment and
material typically found at a
counterfeiting crime scene, and
their knowledge of the related
Criminal Code offences increased
significantly.
This year’s recipients provided
invaluable training to front-line
officers,” said Richard Wall, Chief of
(continued on page 5)
4 | Anti-Counterfeiting Connections — Winter 2013-14
RCMP Supt. Bob Couture, Wood
Buffalo Detachment Commander,
thanked the Bank for recognizing
Johanne’s commitment saying, “I have
known her for several years in different
capacities, and she is passionate
about counterfeiting deterrence.”
From left to right: Supt. Bob Couture, Michael
Duncan, Assistant Director, Compliance, Bank of
Canada, Sgt. Johanne Wirsta, and Insp. Robert
McCloy.
“The Bank of Canada wishes to highlight
their important contribution to Canada’s
comprehensive deterrence strategy, which
has significantly lowered counterfeiting
rates over the past decade.”
the Currency Department. “The Bank
of Canada wishes to highlight their
important contribution to Canada’s
comprehensive deterrence strategy,
which has significantly lowered
counterfeiting rates over the past
decade.”
Richard Wall,
Chief of the Bank of Canada’s Currency Department
It is hoped that this workshop will
serve as a model for other RCMP
Divisions. And yes, the RCMP’s “E”
Division has now won this award for
three consecutive years.
The Bank of Canada’s Law
Enforcement Award of Excellence
for Counterfeit Deterrence was
established in 2004 to recognize the
work of Canadian law enforcement
personnel in deterring and preventing
the counterfeiting of Canada’s bank
notes.
2013 Money Flow Workshop
By Sophie Jenkins, Senior Analyst, Compliance,
Bank of Canada
The second Money Flow Workshop,
held in Ottawa on 8 October,
was attended by more than 60
representatives from various
organizations, including federal and
local police forces, prosecutors,
Financial Transactions and Reports
Analysis Centre of Canada (FINTRAC)
and Public Safety Canada. The
objective of this event was to share
valuable knowledge while building a
stronger partnership for the future.
Speakers from the Bank of Canada,
the Royal Canadian Mounted Police
(RCMP) and the Public Prosecution
Service of Canada presented during
the day. The morning session
provided participants with a solid
base for the constructive discussions
that followed. A presentation on
the development of the Polymer
series bank notes (given by the
Project Manager, Andrew Ward)
demonstrated the complexities
and considerations associated
with the issuance of a new note
series. By popular demand, Carolyn
Samuel spoke again about the
Canadian Bank Note Distribution
System (BNDS), which was of great
interest to police officers and led to
questions from experts in the room.
Our colleague, economist Ben Fung,
explained the changes occurring in
methods of payment. Cash is still
the preferred method of payment for
small-value transactions, although
the use of cards is rapidly increasing.
Virtual money is upon us, but it
seems unlikely that our bank notes
will disappear overnight!
Louis Champagne, prosecutor with
the Public Prosecution Service of
Canada, talked about major cases
of fraud generating proceeds of
crime. The Dorade project, led by the
Sûreté du Québec, showed that even
lawyers, notaries and the like may
be involved in corrupt practices and
suspicious activities. Once again, it
demonstrated that crime doesn’t pay
and that borders are not immune to
the wrath of criminal organizations.
Andrea Firth, Scientific Adviser with
the Currency Department’s Research
and Development Team, presented
(continued on page 6)
Anti-Counterfeiting Connections — Winter 2013-14 | 5
(continued from page 5)
the results of a “mystery shop” survey
on bank note verification. This survey
explored the public’s perceptions
when conducting cash transactions
and ascertained what features people
generally check, and what they
usually notice when handling bank
notes. When thoroughly examining the
notes, people look at the holographic
stripe, but when they are distracted,
the portrait and numbers get their
attention. The great news is that
consumers are refusing suspicious
notes! That proves that the efforts
of our various partners have been
worthwhile!
The lunch break offered participants
the opportunity to have good
discussions, make new contacts and
preview the new $5 and $10 polymer
notes.
different formats, virtual money has
no boundaries and no user fees. But
it is hard to use and obtain, and it is
very technically demanding, which is
daunting for many.
The afternoon session began with a
presentation by Sgt. Drew Kyle from
the RCMP on money laundering
trends in Canada with regard
to virtual and electronic money.
Anonymous and highly volatile,
Bitcoin is currently the most popular
form of virtual money, especially
for money laundering. Similarly to
genuine money which is available in
Once again, the second edition of the
Money Flow workshop proved to be a
rewarding experience that strengthens
the mutual trust and collaborative
relationships between the Bank of
Canada, the RCMP and our external
partners. Through constructive
discussions, attendees were able to
better identify the needs and expertise
of their respective organizations. This
partnership is just waiting to expand!
Stay tuned for the next event in 2015.
Making Prop Money
By Michael Duncan, Assistant Director, Compliance, Bank of Canada
Dragons’ Den is a popular reality
show on CBC Television. Each week,
aspiring entrepreneurs pitch their
business concepts and products to a
panel of Canadian business moguls
who have the cash and the know-how
to make it happen.
To lend an air of realism to the show,
the producers have placed stacks of
money in the Den to illustrate the fact
that launching a business takes lots of
work and a ton of cash.
Just as the Bank of Canada was
preparing to issue the new Polymer
series of bank notes, the Currency
Awareness and Education Team
(CAET) devised a novel plan to help
promote our new bank notes to
Canadians. We would ask the show’s
producer to feature Polymer series
notes for those stacks of cash.
We reached out to Michelle
MacMillan, Associate Producer of
Dragons’ Den. She was very receptive
to the idea. But that’s when the Bank’s
image reproduction policy kicked it.
Every year, the Bank receives requests
6 | Anti-Counterfeiting Connections — Winter 2013-14
from television and movie producers
wishing to film stacks of cash to show
the proceeds of a bank heist, lottery
or casino winnings, or the fortunes of
a wealthy philanthropist. Prop money
is a concern because, after the initial
purpose has been served, there’s
always a risk that it could accidently
enter circulation and be mistaken for
genuine currency.
To counter that threat, we enlisted
CAET’s graphic designer, Tim
Gobuyan. His assignment? Design a
bank note that when stacked, creates
the illusion of real money while, at
the same time, poses no threat if it
accidently enters circulation. The
result was quite remarkable.
Using conceptual images of the $50
and $100 notes, Tim included design
detail around the edge of the note
Prop money created by graphic designer Tim
Gobuyan for use on Dragon’s Den.
images. The large amount of design
detail in the centre of each note was
removed. When reproduced, and then
stacked in piles, the illusion of money
was complete. Only the bill on the top
each stack would be genuine. To be
sure, the prop money would never be
mistaken for genuine currency.
A specialized service offered
by the Bank of Canada
By Richard Dea, Mutilated Notes Team Leader, Bank of Canada
The Bank of Canada offers a
redemption service for contaminated,
mutilated or damaged bank notes.
This service provides for the
replacement, in appropriate cases,
of Canadian bank notes which have
become contaminated, mutilated or
damaged beyond normal wear and
tear.
A bank note is mutilated when its
condition requires special examination
to determine its value. Some of the
more common causes of mutilation
are fire, floods, chemicals and
explosives, deterioration by burial,
animal, insect or rodent damage.
Other rare types of mutilation need to
be seen to be believed.
One of the largest quantities of
mutilated notes ever received at
the Bank occurred in June 2013.
Heavy rainfall caused extensive
flooding across Alberta, impacting
multiple communities and forcing
thousands of people to evacuate.
With the cooperation of the Bank’s
Prairies Regional Office and financial
institutions, members of the public
were encouraged to submit any
contaminated claim requests
through their financial institutions,
to ensure that claims were properly
handled and submitted to the Bank
for assessment. Throughout the
summer of 2013, over one million
dollars in mutilated and/or severely
contaminated notes cases were
submitted to the Bank for assessment
and reimbursement. The Bank
worked on settling these cases on a
priority basis so restitution could be
made quickly to Canadians who had
experienced flood damage.
A contaminated bank note is one that
may pose a health or safety hazard.
Notes are considered contaminated
when:
• There is risk of exposure to
potentially hazardous biological
substances, such as bacteria,
blood or mold. (Mold occurs most
often when bank notes are wet.)
• There is risk of inhaling potentially
hazardous dust particles from
notes covered with visible powder,
such as drugs or other unknown
substances.
Bank notes submitted for
Mutilated Note Inspectors Shirley Chalker and
reimbursement will, subject to any
Nicole Fitzpatrick analyze some material; a
photo of the mutilated notes laboratory.
health and safety issues noted above,
be carefully examined by Bank
staff. The Bank will determine and
pay the assessed value of a claim,
having received complete, consistent
and accurate information from the
claimant, including the acquisition
process of the mutilated notes and
the source(s) and nature of the
mutilation. In exercising its discretion
to replace contaminated, mutilated
or damaged notes, the Bank has an
obligation to exercise due diligence in
the evaluation of any such claims.
To learn more, visit:
www.bankofcanada.ca/banknotes/
contaminated-and-mutilated-bank-notes/
Anti-Counterfeiting Connections — Winter 2013-14 | 7
IN THE REGIONS
Issuing the $5 and $10 across the country
By Marie Terrien, Senior Analyst, Compliance, Bank of Canada
As the national issue events for the $5 and $10 polymer
notes took place in Vancouver and Saint-Hubert, the
Bank’s Regional Offices were also very busy with
activities to mark this important milestone.
Prairies
The University of Alberta was the perfect site for the
Prairies issue event. The university has two research
institutes whose work relates to the themes illustrated
on the new $5 and $10. The Institute for Space Science,
Exploration and Technology (ISSET) and Canadian Rail
Research Laboratory (CaRRL) both actively participated
in the event by developing unique pieces of art to
support the theme of each bill.
Mrs. Phyllis Clark, the U of A’s Vice-President of
Finance and Administration, and member of the Bank
of Canada’s Board of Directors, officially welcomed
the 85-member audience. She spoke proudly of the
university being chosen as one of the five sites to
commemorate the issue of the last two polymer bills.
She also highlighted the work of ISSET relating to space
exploration and CaRRL’s research on the impact of the
railway on moving goods.
Ontario
In Ontario, the issue of the $5 and $10 took place at the
Ontario Science Centre “Hot Zone” and was attended
by over 80 stakeholders representing law enforcement,
the retail sector, financial institutions and the country’s
youth. Images of the Canadian train and the Canadian
landscape were projected for the audience and the
Ontario Science Centre showcased artifacts including a
full size replica of the Canadarm and a miniature space
Hubble telescope.
Atlantic
The Atlantic Regional Office celebrated the issue of
the new $5 and $10 polymer notes with an event at the
Johnson GEO Centre in St. John’s. The “Our Future”
and Space exhibit provided a striking backdrop for the
ceremony including a large scale model of Canadarm2.
Kenneth Pieroway, author of Rails Across the Rock,
spoke of the importance of the railway to the development
of Newfoundland.
Atlantic
From left to right: Cst. Talia Murphy, Royal Newfoundland Constabulary,
Brian Henley, Newfoundland and Labroador Bank of Canada Board
member, Monique LeBlanc, Senior Regional Representative, Atlantic
Regional Office, Andrew Snelgrove, Interpreter, GEO Centre, and Sgt.
Wayne Newell, RCMP.
8 | Anti-Counterfeiting Connections — Winter 2013-14
IN THE REGIONS
Ontario
From left to right: Manuel Pareirra, Senior Regional Representative,
Ontario Regional Office, Cst. Tracey Sokolowski, RCMP, Dr. Hooley
McLaughlin, Ontario Science Centre, Supt. Dave Bellamy and
Cst. Jennifer George, RCMP, and Yves Desjardins-Siciliano, VIA Rail
Canada.
National events in
Saint-Hubert and Vancouver
Two national media events took place at the John H.
Chapman Space Centre in Saint-Hubert and at Pacific
Central Station in Vancouver.
Grade 12 students attending a science program at the Ontario Science
Centre join members of the RCMP to celebrate the issue event.
in this undertaking, the Bank concluded the issue of the
Polymer series notes in spectacular fashion.
Thanks to the cooperation of the Canadian Space
Agency and VIA Rail Canada, our two principal partners
We’d like to highlight the hard work of the members of
the Quebec and British Columbia Regional Offices for
their key contributions to these successful national media
events.
British Columbia
Quebec
The Bank’s organizing committee celebrating a successful $10 note
issue event in Vancouver. From left to right: Diane Grenon, Sylvie
Mantville, Pascale Dangoisse-Sénéchal, Jean Thibault, Alexandre
Deslongchamps, Brian Parsons, Farid Salji, Sabrina Cordeiro, Trevor
Frers and Glyn Davies aboard the Canadian train.
The Bank’s organizing committee for the $5 note issue event pose with
Chris Hadfield at the Canadian Space Agency in Saint-Hubert. From
left to right: Laurie MacFarlane, Josianne Ménard, Joanne Smith, Julie
Girard and Amélie Crosson-Gooderham, Chris Hadfield, Rosemary
Chen, Phuong Anh Ho Huu, Silvia Moldovan, Annick Brunet, Michelle
Gervais, Stephane Raymond and Diane Lemieux.
Anti-Counterfeiting Connections — Winter 2013-14 | 9
IN THE REGIONS
2013 Forum on Counterfeiting
and Fraud: Ninth time around, ninth success!
By Michel Lebeau, Senior Analyst, Quebec Regional Office, Bank of Canada
The ninth Forum packed the hall—
once again! The Forum’s repeated
success since 2005 is undoubtedly
attributable to several factors: an
interesting program, the networking
opportunity for the 225 participants
and our fun-loving moderator, Sylvain
Boisvert of Québec’s municipal police
force.
Crime fighters can’t rest while
criminals quickly adopt new
technologies. There’s no stopping
progress! A worn cliché, but true
nonetheless.
Nothing more aptly demonstrates
the evolution of progress than the
developments in payment methods.
My distinguished colleague, Ben
Fung, Research Adviser and Assistant
Director in the Currency Department
of the Bank of Canada, has
demonstrated that in recent years the
use of bank notes has been declining
compared to the growth related to
payment cards. However, this will not
stop good old bank notes (preferably
new polymer notes) from surviving
alongside other payment methods
available to consumers … for the
time being, at least. The practical and
secure aspects of bank notes will
persist, probably just as much as the
new methods of payments will in the
future. Only time will tell (to use yet
another cliché).
The first block of presentations
dedicated to bank notes and
developments in payment methods,
provided topical evidence. First,
Daniel Michaud, the RCMP counterfeit
coordinator for Quebec, presented a
synopsis of the various counterfeiting
issues currently faced in the province:
counterfeit $100 bills from the Birds
of Canada series represent half of all
counterfeit notes in circulation and 80
per cent of all counterfeit $100 bills in
circulation in Quebec. The $20 bill of
the Canadian Journey series remains
very popular with counterfeiters, and
they do not seem too concerned with
finding ways to replicate the security
features—especially in light of the
poor quality of the metallic stripe.
However, a new counterfeiting activity
occuring in the Vancouver region is of
concern. Counterfeit $100 notes from
the Polymer series have been passed
in the area in small numbers and is
limited to the lower mainland of British
Columbia.
The security of Canada’s bank notes
is indisputable; they are second to
none. However, to detect counterfeits,
it is still necessary to examine them.
This is the message that the Bank of
Canada has been emphasizing for
some time now, urging shopkeepers
and the public to check the bank
notes they are handed. Much remains
to be done, to say the least. Those
involved must remain vigilant and
continue to spread the message that
a well-informed public is a wellprotected public!
The final presentation of this part of
the program dealt with our neighbours
to the south. Constable Tasha
Adams of the RCMP, together with
her colleague from the U.S. Secret
Service, gave a detailed account
of the dismantling of a counterfeit
finishing operation involving highquality US$20 bank notes, which
were then distributed around the
world. This operation, referred to
as Cranium, resulted in the seizure
of counterfeit bank notes valued at
approximately $1 million.
We wish to inform our readers that
this will be the final article submitted
by our colleague Michel Lebeau who
will soon be retiring from the Bank
of Canada after 30 years of devoted
service. Michel’s love of writing, his
quest for knowledge, and his fine
sense of humour have been a source
of inspiration for all of us.
The presentation by Benoit Dupont,
who holds the Canada Research
Chair for Security, Identity and
Technology and is Director of the
International Centre for Comparative
Criminology, addressed a much
more abstract aspect of fraud:
social networks. Subscribers to the
most well-known social networks
are, in fact, being “used,” in that
the enormous amount of personal
information they provide is then
resold to businesses seeking to
better target their marketing. The
value of each user is $13.70 (the
business’s profits/the number of
subscribers). The audience was
stunned by information regarding
a social network being billed “for
professionals,” from which it is
possible to construct a directory, or
at least the organizational structure,
for services of a sensitive nature
(continued on page 11)
10 | Anti-Counterfeiting Connections — Winter 2013-14
IN THE REGIONS
to be identified using binary image
comparison techniques—thereby
protecting personal information …
for now, at least. But for how much
longer?
The 2013 organizing committee
From left to right: Cpl. Daniel Michaud and Insp. Serge Coulombe (RCMP), Det. Sgt. Sylvain
Boisvert (SPVQ), Mrs. Kim Powell (RCMP), Capt. Richard Gauthier (SQ), Mrs. Phuong Anh Ho Huu
(Bank of Canada), Mrs. Annie Riendeau (RCMP), Mrs. Silvia Moldovan and Mr. Michel Lebeau (Bank
of Canada), Ofc. Christian Émond and Cdr. Jérôme Morissette (SPVM).
within an organization. This poses
an enormous threat to businesses,
which must hasten to establish rules
on the use of these communication
networks both within and outside of
the organization.
The next presentation featured the
Chapitre operation, which resulted
in the dismantling of a vast network
involving counterfeit payment cards.
Corporal Jean-François Paquette of
the RCMP and Detective Sergeant
Mathieu Plouffe of the Sûreté du
Québec gave an overview of the
size and scale of this operation:
80 searches, 12,000 forged cards
and 200 point-of-sale terminals, 63
arrests, 368 fraud charges of fraud,
the manufacture of forged cards and
identity theft. Quite a lengthy chapitre!
A colourful individual then “testified”,
just as he would have before a
commission of inquiry. André
Cédilot, a former journalist and crime
reporter, described how the mafia
has infiltrated the legal economy
and the subtle but strong ties it has
formed at all levels of politics. Unlike
criminal motorcycle gangs, the mafia
is discreet. Ultimately, however, our
speaker—considered by many to
be a goldmine of information—did
not have the time to share all of the
secrets lying buried within his vast
experience. More information can be
found in the book he co-authored:
Mafia Inc.
Before the last break of the day,
Babak Pirmoradi of the firm CTIAI and
Bryan Carey, responsible for security
at Couche-tard, talked about the
latest trends in video surveillance.
For example, it is now possible
to match up business transaction
records with images captured by
surveillance cameras to prevent
internal fraud. Science fiction meets
reality. Unimaginable just a few years
ago, this technique allows a person
As was the case last year, the final
presentation was given by Michel
St-Yves, forensic psychologist
in the Division de l’analyse du
comportement of the Sûreté du
Québec. Mr. St-Yves spoke about
lying: innate to human nature, it is
often difficult to detect, especially
as some are experts at deception.
If we disregard the “white lies” that
punctuate our social interactions,
there remain several categories of
liars: manipulators, actors, social liars,
embellishers and mythomaniacs—
take your pick. Contrary to
conventional wisdom, verbal cues
are more likely to give away lies than
non-verbal ones. It’s completely false
to assume that liars will look away
when confronted; according to Mr. StYves, most of the time they will look
us right in the eyes, without blinking.
Think about that during your next
tête-à-tête, whether professional or …
amorous.
This ninth Forum on Counterfeiting
and Fraud was the last time that my
colleague Christian Émond of the
SPVM, and myself were involved in
its organization. To our successors
and to those who will continue to be
involved, we hope they will have as
much fun and take as much pride
in the organization of this annual
meeting as we did, and that they will
strive to further develop an event that
is greatly valued by all of our partners
from police forces, the retail sector,
financial institutions, the legal system
and elsewhere.
Anti-Counterfeiting Connections — Winter 2013-14 | 11
IN THE REGIONS
Where are they now?
A look at Sgt. Jim Laing, retired RCMP Counterfeit Co-ordinator
By Ted Mieszkalski, Senior Regional Representative, Prairies Regional Office, Bank of Canada
In 2004, in response to a worsening
counterfeiting situation in Canada
and a less than ideal investigative
response by the law enforcement
community, the RCMP (supported
by the Bank) developed the National
Counterfeit Enforcement Strategy
(NCES). The NCES focused on three
key areas: enforcement, prosecution,
and prevention.
The NCES received funding in the
2006 Federal Budget and the program
costs $7 million a year. It involves
close to 40 resources. In 2012, the
strategy was renewed for another
three years.
The NCES created three enforcement
teams, known as Integrated
Counterfeit Enforcement Teams
(ICETs) and regional Counterfeit
Co-ordinators in major Canadian
cities. The co-ordinators liaise with
local law enforcement and the Bank
in the development and delivery of
education and awareness programs.
The first co-ordinator for the RCMP’s
Northwest Region (identical to the
Bank’s Prairies region) was Sergeant
Jim Laing.
For a three-year period, Jim and
the staff at the Bank’s Prairies office
in Calgary developed a robust and
effective partnership. Jim developed
strong relationships with not only his
fellow RCMP members, but also the
many financial crime investigators
with local police agencies across the
region.
In the early planning days of the
NCES, Jim realized there was
an immediate need to develop a
communication strategy to reach and
share information with the targeted
stakeholders—law enforcement
12 | Anti-Counterfeiting Connections — Winter 2013-14
agencies, the Bank and their
respective customers and clients.
The Currency Department’s Retail
Strategy, which focussed on the
integration of the Bank’s education
tools into existing retailer training
regimes for staff, created another
opportunity for the Prairies office to
work closely with Jim. An extensive
and targeted education campaign
was initiated and used across the
region. The goal here was counterfeit
prevention. Over 60 per cent of all
retailers have now integrated the
Bank’s tools for use by front-line cash
handlers.
In addition to working with law
enforcement and the retail sector,
much work was done with the
financial institutions that are part of
the Bank Note Distribution System
(BNDS). As our BNDS partners
were actively processing notes that
were deposited by their respective
customers, they were in an excellent
position to see suspicious notes
coming through their systems. Jim
realized that this could lead to the
development of an early warning
system in the region that would
allow the banks to alert the police
of suspicious bills being processed,
without slowing down the Bank’s
internal systems. This early warning
system has worked so well that the
police have been able to quickly
launch investigations.
Although Jim left the co-ordinator role
to assume other responsibilities in the
RCMP a number of years ago, he set
the high standards that his successors
have followed and built upon.
After 35 years as an RCMP officer, Jim
retired several months ago and began
Sergeant Jim Laing, retired RCMP
Counterfeit Co-ordinator, and
Ted Mieszkalski, Senior Regional
Representative, Prairies Region.
his second career at Lethbridge
Community College (LCC) teaching
students about the many facets of
working within law enforcement.
Ironically, this is the college where
Jim was a co-presenter of the
Counterfeit Education Module for
Police Studies (CEMPS) when it was
first delivered several years ago.
During the presentation of CEMPS
at the LCC in November, I presented
a commemorative $10 gift set to Jim
on behalf of the Bank of Canada,
in recognition of the significant
contributions he made during his
tenure as Counterfeit Co-ordinator.
This was presented in front of the
same students he will be teaching
at LCC. Jim’s new role will permit
ongoing liaison with the Bank of
Canada, ensuring that the most
appropriate and current course
content is delivered to our future
police officers.
IN THE REGIONS
The First Edition of La bientraitance,
c’est l’affaire de tous!
By Phuong Anh Ho Huu, Senior Regional Representative, Quebec Regional Office, Bank of Canada
The first edition of La bientraitance,
c’est l’affaire de tous!, organized
by the Réseau FADOQ and
recognizing the World Elder Abuse
Awareness Day, was held on 14
June in partnership with several
organizations, including the Centre de
santé et de services sociaux (CSSS)
Cavendish, the Sûreté du Québec,
the Service de police de la Ville de
Montréal (SPVM), Info-Crime, the
Autorité des marchés financiers and
the Bank of Canada.
This was the perfect opportunity to
launch the fifth edition of the cachemonnaie project, managed by the
SPVM. The Bank of Canada is one
of the partners in this initiative, which
distributes money pouches—cachemonnaie—to the elderly. More
than 100,000 pouches have been
distributed since the beginning of
the project. The pouch is a practical
alternative to purses and wallets and
reduces the risk of theft and assault.
During the event, senior citizens
pointed out that the new polymer
bank notes are sometimes difficult
to handle. We were able to provide
If you think that Michel Lebeau from the Bank of Canada is getting all this attention and
interest from these women by showing them his new membership card for the Réseau
FADOQ, think again! He is explaining how to check the security features on the new
polymer bank notes and giving them advice on how to handle the new notes.
some tips and advice on how to
easily separate and count new
polymer notes. Just like the paper
notes that preceded them, they may
stick together at first; however, this
tendency will disappear as the notes
circulate.
Like the partners of the Réseau
FADOQ in the Senior-Aware abuse
and fraud prevention program,
the Bank of Canada was proud
to take part in the first edition of
La bientraitance, c’est l’affaire
de tous!, which was attended by
people of all ages.
Anti-Counterfeiting Connections — Winter 2013-14 | 13