:
I call this meeting to order.
Welcome to meeting number 103 of the House of Commons Standing Committee on Public Safety and National Security. Today's meeting is taking place in a hybrid format, pursuant to the Standing Orders. Members are attending in person in the room and remotely using the Zoom application.
I would like to make a few comments for the benefit of the witnesses and members.
Please wait until I recognize you by name before speaking. To prevent disruptive audio feedback incidents during our meeting, we kindly ask that all participants keep their earpieces away from any microphones. Audio feedback incidents can seriously injure interpreters and disrupt our proceedings. I will remind you that all comments should be addressed through the chair.
Pursuant to the motion adopted on October 23, 2023, the committee resumes its study on the growing problem of car thefts in Canada.
We have, today, two panels of witnesses. I would like to now welcome our witnesses for the first panel. From the Montreal Port Authority, we have Félixpier Bergeron, director, port protection and business continuity; and Julien Baudry, director, public affairs. From the Vancouver Fraser Port Authority, we have Anita Gill, director of health, safety and security.
Welcome to you all. Up to five minutes will be given for opening remarks, after which we will proceed with rounds of questions.
I now invite Mr. Bergeron and Mr. Baudry to make an opening statement, please.
:
Thank you very much, Mr. Chair.
We are obviously pleased to be here to talk about a subject that concerns us.
The Montreal Port Authority has some 275 employees, and we believe that fighting crime is part of our social responsibility.
You can imagine that if Montreal is an important port in Canada, it is first and foremost because it is used to import essential goods and export the best we have to offer, and not to export proceeds of crime. Annually, the Port of Montreal receives and exports approximately 36 million tonnes of goods worth $151 billion. This represents 3.5% of Canada's gross domestic product.
It is important to know that these goods are transported in 1.7 million containers. These containers pass through the port and sometimes stay there for two or three days. So the port, like all other Canadian port authorities, is primarily a freight-transit site. No containers are filled on site and all containers that pass through have been previously sealed.
Of course, Montreal is often mentioned in connection with the export of vehicles. There are essentially two reasons for this: We are very close to the major urban centres of Quebec and Ontario, but we are also the main container port for supplying markets in Africa or the Middle East. According to Interpol, these two markets are among the destinations for these stolen vehicles.
Obviously, we do not work alone. Our responsibility is limited, but we work in collaboration with our partners. That is why the investments that have been recently announced in the Canada Border Services Agency, not to mention the renewed collaboration with our police partners, allow us not only to improve security, but also to assume our responsibilities.
Finally, I want to say that we do not want to stop there. We want to do more. That is why we are very pleased to take part in the committee's discussions today.
I now give the floor to Mr. Bergeron.
:
The Canada Marine Act, which governs marine infrastructure, gives us powers and obligations. Under this act, we have a responsibility to ensure the overall safety of people and goods transiting through the Port of Montreal. We are not talking about the cargo inside the containers; we are talking about the container. This means that access to the port is monitored 24 hours a day, seven days a week, at all times. Any access to the port is monitored and logged.
Although we do not have the authority to inspect containers, we have launched and supported initiatives to help police and businesses conduct their investigations and activities. For example, in addition to the spaces we provide to customs officials, we provide the spaces, buildings and infrastructure needed for those people to carry out their operations.
More than 800 police and customs officers have access to the port at any given time. The Royal Canadian Mounted Police, or RCMP, the Sûreté du Québec, the Service de police de la Ville de Montréal and customs all have access to the port. Access cards have been issued to these agencies. More than 600 cameras are also monitoring the entire port, and the police has access to them to carry out their activities.
In addition, we are working with private companies that monitor or track stolen vehicles in the port using the famous Tag stolen vehicle tracking system. We have installed antennas for them. They are present in the port to detect vehicles. In collaboration with these companies, we are in the process of reassessing the number of antennas they need to more quickly and accurately identify vehicles. They currently have a certain number of antennas, but if we add some, we will be able to better locate trains and trucks. We are proud to be part of this initiative, which is currently being developed.
We have also launched a national program to welcome all companies with technologies similar to these antennas. We invite them to contact us so that they can install their antennas at no cost. We will provide them with the necessary urban or port furniture at no cost. This recent program is under way. We do not have any new data to share with you, but we are working on it.
We also have discussions with the Automotive Industries Association of Canada, in particular, to try to understand their needs and to find other ways to support their efforts against the scourge of vehicle theft.
It should be noted that the problem is not just at the Port of Montreal, even though that seems to be the case at this time.
We also have to think about setting up an organization that includes the 17 Canadian port authorities, or CPAs. Otherwise, the problem will move to another port.
We are open to the discussion to find solutions.
:
Thank you and good morning.
On behalf of the Vancouver Fraser Port Authority, thank you for the opportunity to address the committee today.
My name is Anita Gill. I'm the port security officer and director of health, safety and security for the Vancouver Fraser Port Authority. My experience prior to joining the port authority was over 18 years in law enforcement working as a peace officer in all three levels of government: municipal, provincial and federal. I then joined the port authority just over 10 years ago, and I'm currently leading programs in safety, security, compliance and administrative enforcement.
As Canada's largest port, the port of Vancouver is home to 29 major marine terminals across five business sectors, including four container terminals with a total annual capacity of three million TEUs. The port environment is a complex one with many stakeholders contributing to the movement of goods to support Canada's trade.
One of the many regulations governing marine security is the Marine Transportation Security Act and regulations that outline the security roles and responsibilities within the marine environment. These regulations set out requirements for all port authorities and the requirements for independent marine terminal operators regarding the security of marine transportation and the protection of critical infrastructure.
Each of the 17 Canadian port authorities are responsible for implementing security measures within its jurisdictional boundaries, exclusive of leased spaces. The responsibility for security within those leased spaces falls to each independent terminal operator that has entered into a lease with that port authority.
The RCMP and CBSA are responsible for border protection and transnational crime, while municipal police agencies respond to calls for service from the terminals. Last, Transport Canada determines which categories of persons are required to have security clearances within the marine port environment. For the Vancouver Fraser Port Authority region, we have 29 different law enforcement and regulatory agencies that have a mandate on our port jurisdiction, and we have ongoing relationships with these agencies.
Considering the complex environment I've just outlined, I have a few suggestions for us to share collectively.
First, the Marine Transportation Security Act was introduced in 1994, and the regulations followed in 2004 after 9/11. This provided us with the legislative framework for the security of our marine transportation system in Canada. As the regulation is currently under review, we would like to provide input through ACPA for government consideration to potentially expand its focus to assist with some of the challenges we're currently facing.
Second, we know that port authorities are not responsible for the interdiction of criminal activity, which falls clearly to RCMP and CBSA. However, port security and port policing exist on a continuum, and enhanced information sharing between law enforcement and port authorities is essential.
At the port of Vancouver, we chair the committee called the PIMSWG, which includes senior leadership from regional Transport Canada, RCMP, CBSA, Vancouver Police Department and Delta Police Department, as they're our two largest municipal police forces on port property. The committee allows for ongoing collaboration, and we've seen many joint successes over the years.
Our second recommendation is for government to reinitiate the national port security committee with ACPA and port authorities to allow for ongoing national collaboration on marine security and policing matters.
For my third point, I think we can all agree that law enforcement agencies have an obligation to protect the jurisdiction in which they serve, and we appreciate that they have multiple competing priorities to balance. Here in the Pacific region, the number one ask of our law enforcement partners at the PIMSWG was for the port authority to share the inner workings of the port of Vancouver: our terminal operations, our labour operations, trucking operations and the supply chain environment.
I'll share the wise words of a senior RCMP officer who said, “If we don't know what 'in place' looks like, how are we going to detect something out of place? That's police investigation 101.” That really resonated with us at the VFPA, so we worked with our labour partners: ILWU, B.C. Maritime Employers Association, cruise and shipping partners, trucking and rail partners, terminal operators and many other port partners.
The two-day, in-person course was co-created and endorsed by RCMP's federal serious and organized crime division, Pacific region, and CBSA operations and intelligence, Pacific region. It was delivered at a confidential level exclusively for peace officer members working at the port of Vancouver. It was well received.
Our third recommendation is that government consider similar national training for all law enforcement who have a jurisdiction within our 17 Canadian port authorities.
In closing, we at the Vancouver Fraser Port Authority are very pleased to see the leadership role that the government has demonstrated through the recent national auto theft summit and our subsequent engagement. We are encouraged by the recent meetings with Public Safety Canada and Transport Canada and their collaboration with the VFPA and ACPA on the auto theft issue in our country.
On behalf of the Vancouver Fraser Port Authority, I would like to thank the committee for the opportunity to provide input today. I will be happy to take any questions the committee may have.
Thank you.
:
Thank you for the question.
What I can say on that is that the general awareness and familiarity of how a port authority operates is a mystery to most people, including law enforcement. Going through the different levels of training that I received, there wasn't any specific training on a port authority or how it operates. It's a landlord port. Independent terminal operators are independent and the port authority administration doesn't have a say on what happens on container terminals, because they're independent.
It's those types of context questions that I think need to be answered first. Then we can go into the inner workings: how labour is dispatched, how the GPS on our trucks works, where they can get that information or how much notice CBSA has on what's in a container.
There are many pieces of information for the supply chain on how it comes in for them to really avail themselves of law enforcement to be able to have a better understanding and to pick out those areas where they feel they can do more investigation.
:
I will try to answer that.
We acknowledge that there might be some criminal organizations operating in the port. They are everywhere—at all sorts of points of entry, be they ports, land ports or other organizations. They are present and part of our society.
What we've done at the port over the years is manage the access and the identification of people working at the port, making it more difficult for them to operate openly in the ports.
[Translation]
That does not mean that they cannot bribe someone.
[English]
However, anything that goes in and out of the port is being captured electronically, either by identification or by biometrics.
The ports are now considered more of a conduit, not a destination, for the criminality. They do their stuff before the port and after the port. They don't do stuff in the port because the detection rates are too high for them.
:
Thank you very much for your question, Mr. Gaheer.
The Port of Montreal is the second-largest container port in Canada, but it is also the main export platform to markets where criminals are able to sell stolen vehicles. I am thinking in particular of Africa and the Middle East. In addition, it is located six hours from the GTA and a few minutes from Montreal. Unfortunately, criminals have taken advantage of the fluidity of our facilities, our good performance and our proximity to markets, whether by truck or by train, to export stolen vehicles. We are very aware of this problem.
Over the past year, in particular, we have intensified discussions with our partners. Our colleagues from Vancouver mentioned it. They said that it was important for our police partners to have a clear understanding of the port reality. To achieve this, communication and mutual understanding efforts have been intensified. In addition, we are looking at technological solutions to make it easier to identify containers carrying stolen vehicles.
Having said that, I want to emphasize that it is very important for us that solutions be applicable across Canada. If we find a solution that applies only at the local level, that is to say in Montreal, we will only displace the problem to other ports, and criminals will take advantage of these shortcomings.
We want to continue to work collaboratively and talk with our partners to find other solutions, through our association, for example. We are open to discussion.
I think for the folks who are watching this online, and for folks in general, there's some confusion about jurisdiction and what happens. There's the port authority. There's the CBSA. There's the local police of jurisdiction in that area. There's the police of the local jurisdiction where the car was stolen. I come from Peel Region in Mississauga, which is particularly hard hit by the car theft problem.
I'm confused. Let's say a car is stolen and is taken to the port of Montreal. At that point, when the car is in a container at the port of Montreal, can the local police—let's say the Peel police—come on their own, of their own volition, onto Montreal Port Authority property and search containers or not?
Thank you to the witnesses for being here today. We appreciate that.
We were very much looking forward to the testimony of the Port of Montreal officials, who have been at the core of this whole thing that we have been hearing about for the past few months. Journalists have referred to the Port of Montreal as the hub for stolen and exported vehicles. Some have called it a sieve.
Earlier, Mr. Bergeron, you said that there was really no criminal activity at the port and that it happens before or after the containers' transition through the port. Otherwise, perpetrators would be afraid of getting caught. However, you are aware that organized criminal activities are taking place and that employees could be involved.
From what I understand, the Montreal Port Authority may be a victim in this matter. However, I would like to know what role it plays.
Mr. Baudry, you talked about social responsibility earlier.
What is the process? What are the administrative steps and where could you intervene? I know there are different jurisdictions and different partners that can step in.
Let us say that I own a business—or appear to own one. If I buy or rent a container to fill it with goods for export, there is a document associated with that activity, and it has to be certified by customs officers. That container then arrives, either by rail or by truck, at the Port of Montreal. If the container arrives by truck, for example, the driver has an access card to enter the port. I imagine that the documents associated with the container are shown to customs officers or someone from the port authority.
Could you walk me through the administrative process?
:
Thank you very much for the question.
I will start and then turn it over to my colleague.
It is important to know that the Montreal Port Authority has 275 employees and that approximately 25,000 people enter its territory annually. Obviously, every person who works for the authority or for one of its logistics partners—my colleagues will talk about the operators—receives a Transport Canada security clearance.
There is a logistics ballet, if I can put it that way, that takes place at the port. As you can well imagine, when a container arrives at one of our entries, at our trucking gate, a whole administrative process is triggered. However, we are not authorized to verify whether the truck is carrying the cargo indicated on the manifest.
It should also be noted that the information about what is in the containers is known to a very small number of people for a very simple reason: to make it more difficult for criminals to target a container for the purpose of committing a crime. Various barriers have been put in place, which makes it very difficult for us to intervene. So we have to rely on other partners or other agencies.
I have to stress that all of the necessary steps for a container to be eligible for export or for a trucker to be allowed to export occur outside of the port authority's jurisdiction. It is not up to the Montreal Port Authority to say that a given container can or cannot leave.
As we said, our focus is much more on the fluidity and the safety and security of the port sites. We are focusing on those activities.
:
Logistically speaking, would it be easier to focus on containers or on the documentation?
In terms of solutions, I have heard people say that there should be more scanners, that we needed to invest in that type of equipment to try and scan every container. Other people told us that it would be almost impossible to scan every container that goes through the Port of Montreal.
Should we be looking more closely at the documents to try to find the fraudulent ones?
Investigators from the Journal de Montréal put all the data in an Excel spreadsheet and were able to figure out that certain vehicle identification numbers came up multiple times, as if the same vehicle had been exported several times.
In your opinion, should we focus more on the documentation or on containers themselves?
:
Thank you very much, Chair.
I'd like to thank our witnesses today for helping to guide us through this study.
It seems to me when looking at this issue that there are two potential advantages that we can make use of when dealing with this problem. First, a car is not the easiest thing to hide because of its size and, second, our ports seem to be natural choke points, in that people rely on your ports to reach those lucrative export markets.
This is obviously a multi-faceted problem. We've heard from a range of witnesses: from auto manufacturers to police to intelligence-gathering. They all have a role to play, but given the fact that a car is not the easiest item to hide and that we have a natural choke point, I'm just wondering how best we can take advantage of that.
At the port of Montreal, when you have successfully located contraband cars, obviously stolen cars, I know that with the containers they are loaded off-site. They are sealed, and I assume that's with a wire tag with a manifest. When you've worked your way back, you've opened the container and you've found stolen cars.... That's how I like to approach problems. You find a problem and work your way backwards.
What have been some of the common themes in that investigation? Where did things go wrong? Who ultimately signed off on what was in the container? That's what I want to know: How do we best improve that process?
:
Thank you very much, Chair.
Thank you to the witnesses for being here.
A couple of things are certainly troubling. One is the fact that the port authorities don't have access to review the manifests. CBSA does to some degree. Obviously there is a big gap where, as you said, Mr. Bergeron, a manifest is completed, but no one confirms that what's actually in the container is what's on the manifest. This is an area we can fix.
Are there any recommendations you have for that? I don't have time to do it all today, but if you guys from the port authorities could supply the information on your recommendations as to how we can fix that gap, that would be great.
I started in law enforcement in 1980, before most of you in this room were born, and I can tell you that back then, early on, traditional organized crime in Montreal and outlawed motorcycle gangs in Vancouver ran the ports, and they still run the ports. That is a fact. When I say that, it's not in the port proper necessarily. It's that gap between a car stolen in the GTA and.... People think they drive it into the port and drive it into a container on port property. We know that's not how it happens. We have a gap there as well.
We know that crime is getting worse in this country after the nine years of this government. What do we need to do to ensure that what's in the containers that are being filled elsewhere and coming onto port property is actually what is in them, and that we know what's in them?
How do we do that differently, given that organized crime is absolutely involved in that process?
I noticed, Ms. Gill, that you made a comment about the Marine Transportation Security Act.
If the government takes the initiative to update that act, is it possible that we could change the process such that, before a container is sealed and enters port property, it is inspected? You open up the back door and someone at the port entrance says, “Yes, we have refrigerators,” or, “No, we have cars. This is not what the manifest says.”
Would that be something that could stop the movement of contraband in and out of this country?
Thank you all for being here.
Mr. Bergeron, I want to start with you. Earlier, you said, in an answer to Mr. Caputo, that not many trucks are inspected at the port of Montreal by the CBSA.
On April 3, it was announced that over 600 stolen vehicles were recovered in an operation with the CBSA at the port of Montreal. A quick Google search shows that a 20-foot shipping container usually fits one, maybe two cars. A 40-foot container could maybe hold four cars. Therefore, if I take the largest containers, that would mean that about 150 containers, at least, were opened in that one operation.
I'm wondering if you could.... Are you involved in any of that? Are you aware of any of that, or was your statement earlier maybe that you wouldn't be aware of all the operational things that are happening?
Mr. Bergeron, you said earlier that you were willing to consider different solutions. For example, your officers could perhaps have more latitude to open containers or conduct inspections as they see fit.
When I listen to you, I understand that are other authorities are involved. You often say that you do not have access to the information, whereas customs officers do, and that it is incumbent upon the police to take action. Do you feel like you are just a bystander? Would you rather have more responsibilities and be a player in the fight against organized crime?
I know that you already work with partners, but do you feel that it could be beneficial if the port authority had more responsibilities, or do you prefer to leave that to the police or the Canada Border Services Agency? How do you feel about that?
Mr. Chair, I have a suggestion for committee members. I do not know if I can move it now or if I need to move a motion.
Most of the parties have asked questions on the same topic, and we have heard that Transport Canada handles the security screening of employees or people who have access to the ports. However, we have two meetings left, April 29 and May 2. On May 2, I see that the Minister of Public Safety has been invited. Could we also consider inviting the Minister of Transport, with his officials? They may be able to answer our questions on this topic?
I do not know if the committee likes the idea, but I am making that a suggestion. Thank you.
:
I call this meeting to order.
I would like to welcome our second panel of witnesses.
In person, from Service de police de la Ville de Montréal, we have Yannick Desmarais, commander, section head. From Sûreté du Québec, we have Michel Patenaude, chief inspector. Online by video conference, from Intact Insurance, we have Guillaume Lamy, senior vice-president, personal lines, Canadian operations.
We're going to give you each up to five minutes for opening remarks, after which we will proceed to rounds of questions.
Chief Inspector Patenaude, would you like to go first?
[Translation]
Thank you, Mr. Chair.
I would like to begin by saying hello to all members of the committee. Thank you for giving me the opportunity to testify today.
My name is Michel Patenaude. I have been the Director of Criminal Investigations at the Sûreté du Québec since last December. Prior to that, I spent most of my career fighting organized crime. I have been involved in that fight since 2005.
Vehicle theft is a growing concern in Quebec, where, like our neighbours in Ontario, we have seen a marked increase in this type of activity in recent years. Even if it is a property crime, public safety issues are starting to emerge, such as violence sometimes used to steal a vehicle or dangerous behaviour on the road, such as high-speed driving.
As committee members are no doubt aware, Quebec is the preferred transit point for the export of stolen vehicles from Quebec and Ontario, due to the strategic location of the Port of Montreal. To address the problem of vehicle theft, the Sûreté du Québec implemented provincial coordination measures in March 2022. The coordination began with the Rechercher initiative and continues to this day with other investigations. Over the past two years, this coordination has made it possible to develop partnerships with various key players, including the Canada Border Services Agency and the Port of Montreal. It has also made it possible to provide assistance to various partner organizations, including the Ontario Provincial Police, as well as municipal police forces in Quebec and Ontario. It made it possible to set up a team dedicated to collecting intelligence on exporters of stolen vehicles. This team is currently made up of police officers from the Sûreté du Québec, the Royal Canadian Mounted Police and the police services of the City of Montreal and the greater Longueuil area. In addition, since February 5, the Sûreté du Québec has been mobilizing some 30 members of the joint regional squad on the north shore of the greater Montreal area, on a full-time basis, in order to step up its efforts to deal with the problem of vehicle theft. Eleven municipal police forces on the north shore are taking part in efforts aimed specifically at exporters.
Over the past year, these measures have led to 43 investigations, 402 vehicle seizures, 202 container inspections and 11 arrests. The Sûreté du Québec also participated, along with the Ontario Provincial Police, the Canada Border Services Agency, the Service de police de la Ville de Montréal and the Équité Association, in searches conducted in the Port of Montreal as part of Project Vector, which was carried out by the Ontario Provincial Police. This project, which began in December 2023, resulted in the recovery of approximately 600 vehicles whose thefts had been reported. Finally, a virtual interprovincial and cross-border intelligence team on the export of stolen vehicles has been set up using resources from the Sûreté du Québec, the Ontario Provincial Police, the Royal Canadian Mounted Police and the Canada Border Services Agency. Two Sûreté du Québec officers are also part of the joint team working against vehicle theft in Ottawa, which is led by the Ontario Provincial Police.
Of course, collaboration with our partners is paramount to the success of the anti-vehicle theft activities. As evidenced by actions taken in recent years, the pillars of strong and effective collaboration are the fluid and ongoing exchange of current intelligence, the establishment of joint teams, the conduct of ad hoc joint operations, and mutual assistance among partners.
Finally, after taking part in the National Summit on Combatting Auto Theft organized by the federal government on February 8, the Sûreté du Québec decided to follow the federal government's lead and organize a Quebec symposium on vehicle theft, to be held in Montreal on May 30. I would also like to point out that the Association des directeurs de police du Québec, the Service de police de la Ville de Montréal, the Ontario Provincial Police and the Royal Canadian Mounted Police are involved in organizing this event. The symposium will be an opportunity to bring together public and private partners and share ideas, in the spirit of collaboration and innovation, with a view to assessing the current situation of vehicle theft, identifying new prevention and enforcement approaches in order to optimize response capacity, consolidate existing partnerships and foster the development of new collaborations.
Thank you, and I look forward to your questions.
:
Mr. Chair and members of the committee, thank you for inviting the Service de police de la Ville de Montréal, or SPVM, to speak today. As the commanding officer of the investigation projects unit for the city's southern division, I am responsible for the SPVM's activities against vehicle theft.
As you know, vehicle theft is a problem that has become significantly worse in recent years. Montreal is one of the cities that has been hit hard. From 2020 to 2023, the number of theft cases increased by 147% in our territory, which is considerable. These thefts have a significant impact on the victims, both financially and in terms of their sense of safety. There is also a possible link between vehicle theft and gun violence. Suspects are often in possession of a firearm when they are arrested while perpetrating a theft or in the course of an investigation. Our intelligence and various investigations lead us to assume that they acquired these firearms with the significant profits generated by vehicle theft.
This situation has led us, as a police service, to review our ways of doing things and to put in place new strategies to curb this scourge. For example, from 2022 to January 2024, we collaborated on the Rechercher project with our partners at the SQ, the Sûreté du Québec. This investigation project allowed us to send a very clear first message to networks that specialize in exporting overseas, since 39 suspects were arrested and 565 stolen vehicles were recovered.
Still, the problem continued to grow. The shortage of new vehicles and the various breakdowns in supply chains that have not been resolved as a result of the pandemic created a situation where vehicle thefts remain very attractive to criminal organizations.
At the SPVM, our priority has always been to work with our partners. In 2022 and 2023, we continued to build on this approach, which has always produced excellent results. After discussing with our partners at the Canada Border Services Agency or CBSA, the SQ, the Ontario Provincial Police or OPP, the Royal Canadian Mounted Police or RCMP, and the Equity Association, we decided to pursue that approach further.
Theft rings move from one city to another and from one province to another. In order to destabilize them, we must be able to respond vigorously everywhere they operate. The National Summit on Combatting Auto Theft, held in February, confirmed to us that this strategy is the right one.
Just a month after the summit, we carried out a major operation as part of Operation Volcano. Together with the OPP, we arrested 34 vehicle theft suspects in Montreal to bring them to justice in Ontario. Operation Volcano gave us the opportunity to send another very clear message to criminals, which is that there is no border between our provinces and that, no matter where they are, we will arrest them. The arrested suspects were all residents of Quebec. They thought they could get away with stealing vehicles from our neighbours in Ontario. We showed them how wrong they were. This also allowed us to take our level of collaboration with the OPP to a new level. For weeks, our investigative teams worked together in the same premises. We had never seen such close collaboration between our two organizations before.
Closer collaboration between the SPVM, the OPP, the CBSA, the RCMP, the SQ and the Équité Association group has also produced very concrete results as part of Project Vector at the Port of Montreal. This joint project on the ground, which is ongoing, demonstrates the significant strength derived from our collaboration. Between December 2023 and April 3, 2024, nearly 600 stolen vehicles were intercepted at the Port of Montreal.
All these operations, which affect both the bottom and the top of the pyramid, weaken the criminal element. They also undermine the sense of impunity that had gradually taken hold in this environment.
At the SPVM, we also take action against these theft rings with our own investigation projects. For example, last February we disbanded an organization that specializes in stealing vehicles for resale abroad. Nine suspects were arrested and 55 stolen vehicles were recovered. Not a day goes by without our patrol officers on the ground arresting suspects. Also, prevention is key, so we have appeared a lot in the media and have been doing outreach activities in the community.
Our most recent statistics show a 30% drop in vehicle thefts in Montreal in the first quarter of 2024. It is obviously too early to call that a durable trend. However, I think it is the result of a combination of efforts by all partners involved, including police operations and public prevention.
However, in spite of good news, we should not forget that criminal groups are able to adapt. Vigilance and a proactive and agile approach with our partners remain essential if we want to continue reducing these criminal organizations' activities. In order for the reduction to be durable, we must keep up our efforts and continue working together from a national perspective.
[Translation]
Good morning. My name is Guillaume Lamy, and I am the senior vice-president, personal lines, at Intact Financial Corporation.
[English]
Intact is Canada's leading and largest provider of property and casualty insurance. One in four Canadians from coast to coast count on us to protect their homes, cars and businesses. We play a critical role in managing difficult situations, including accidents and natural disasters.
I want to thank the committee for the invitation to appear today on this important issue.
Intact was pleased to have participated in the national summit on combatting auto theft. I'm encouraged that the discussions remain ongoing as we await the release of the national action plan.
I do want to acknowledge the additional measures announced in this week's budget 2024 that will provide law enforcement with additional tools to combat theft. Intact was pleased to see this continued momentum, and we look forward to future strategic measures.
As we heard at the summit, this is not an issue that the insurance industry, law enforcement, manufacturers or government can tackle alone. This is a national crisis that requires a whole-of-society approach to solve. We look forward to bridging the gap between discussion and concrete action to protect Canadians and promote the well-being of our communities.
At Intact, we have been at the forefront of the auto theft crisis, taking the initial calls and witnessing first-hand the impact of theft on our customers. For more than a year, we have been acting forcefully on multiple fronts to address this growing issue. This includes working closely with provincial regulators to raise awareness around theft trends; partnering with companies such as Tag to offer Intact customers the opportunity to install aftermarket tracking devices on their vehicles, sometimes entirely paid for by us, or at a preferred rate; and ramping up communication efforts through our broker channels to encourage customers to protect their vehicles.
[Translation]
Our efforts to date have certainly helped to prevent theft, but they do not address the source of the problem. The sad reality is that Canada has become a prime target for vehicle theft. As this committee has heard and as predicted, auto thefts have continued to be very high since the beginning of 2024. While this is a national problem, it is most prevalent in Ontario and Quebec.
[English]
The fact is that criminals, including those in organized crime, see vehicle theft in Canada as a low-risk, high-reward crime. The ability to steal vehicles is increasingly easy, and the penalties for doing so are not strong enough. Whether vehicles are exported or revinned, the profit margins are very high. We need to create the change that moves Canada from a target destination, where organized crime groups easily source vehicles, to a country where cars are too difficult to steal and export to bother trying.
What we've seen in the past couple of years is that theft is what I call a whack-a-mole problem. Targeting specific cars for protection only diverts thieves to another make or model and addressing the issue in one jurisdiction drives bad actors to other opportunities.
Intact recognizes that the cost of living remains top of mind for many Canadians. The unfortunate reality is that vehicle theft is a key reason for increasing premiums for all customers.
We all have a role to play in combatting this trend. This is not an issue that's going to subside without continued action.
From our perspective, continued investments in the CBSA are critical to enhanced investigative and enforcement work. We've seen the positive impacts of a coordinated approach between CBSA and law enforcement, which has led to recoveries and seizures at our rail yards and ports over the past few months, and even in recent weeks. This is very encouraging, but we know that there is more work to be done.
In looking at the U.S., we can see where a harmonization of export rules would provide an enhanced level of protection. For example, in the U.S., a vehicle must be presented 72 hours prior to departure as an export requirement. Introducing the same rule in Canada would allow for more vehicles to be searched prior to export, and ensure the actual VIN matches what is declared on the export declaration form.
[Translation]
We know that auto theft rings are thriving in the current environment because they are so adept at using technology to their advantage. The criminal landscape continues to evolve, and this underscores how important it is for us to always stay ahead of the curve.
The motor vehicle safety regulations have not been updated since 2007. This is an issue that urgently needs to be addressed since we absolutely need anti-theft technology and the latest safety measures to prevent theft.
[English]
Finally, information sharing is critical to combatting the trends we continue to see.
We welcome the recent investment directed to Interpol's joint transnational vehicle crime project. Continued targeted investments such as this will lead to the recovery of more stolen vehicles.
Data-driven partnerships and information disclosure between the public and private sectors has been successful in U.S. jurisdictions. Canada would no doubt see similar success by enhancing the sharing of data.
In closing, I want to thank the committee once again for the invitation and for keeping this critical discussion going.
[Translation]
Rest assured that Intact will always be ready to offer its expertise and resources to ensure the safety and resilience of the community and to protect Canadians from this public safety issue.
:
Thank you for that. Hopefully those officers were okay, and they weren't hurt in that altercation you just mentioned.
My next question is for the gentleman from Intact, Mr. Lamy.
Mr. Lamy, I recently had a call from a resident in my riding who has a 19-year-old son who has been driving for three years. They indicated that their son had no tickets and no issues, but that their renewal for their insurance came up this year and it was going to cost an additional $70 a month going forward. When this resident phoned their insurance provider—and I'm not sure who their provider was—they indicated that the increase was strictly, and this was the answer they received, due to auto theft.
Are you seeing those types of increases, and is that the way this is affecting people who are already struggling with affordability issues across Canada?
It would be like a home alarm system. A lot of people just put the stickers in their windows whether they have an alarm or not. I see what you mean by that. Thank you.
I think I'm getting short on time.
I'll go back to the two officers.
Mr. Desmarais, recently Yves Francoeur, the president of the Montreal police officers union, told La Presse that sentences for auto theft are minimal and that everyday police officers in Montreal are catching individuals, who are punished with sentences of just a few months.
Do you agree with Mr. Francoeur that we need stricter sentences for these crimes?
:
Thank you very much, Chair.
Before I begin asking questions of our witnesses, whom I'm very grateful have joined us today, I just wanted to put onto the record these three paragraphs.
In 2005, a Department of Justice report found evidence that “minimum sentences are not an effective sentencing tool” and don't offer “any increased crime prevention benefits”. In 2007, the parliamentary information and research service found that, “existing research generally does not support the use of a mandatory minimum sentences for the purpose of deterrence”.
Most recently, in 2017, a Statistics Canada report concluded that, “Research in Canada and the United States has found no evidence that [mandatory minimum penalties] have deterred crime; rather, some studies suggest that [mandatory minimum penalties] can result in overly harsh penalties and disparities” that “actually increase recidivism”.
I'm going to be forwarding those three reports to our analysts in the hopes that we can reference those during the report that we will be compiling.
[Translation]
Having said that, I will now ask my questions. I would like to thank our two witnesses for being here in person, as well as Mr. Lamy, who is participating in the meeting by video conference.
Mr. Patenaude, congratulations on the symposium you will be organizing on May 30. I may be there if I receive an invitation.
I am proud to be part of a government that is trying to tackle the problem of vehicle theft by investing in the Canada Border Services Agency, the people who work on the front lines at our borders, and in the Royal Canadian Mounted Police to reverse the cuts that were unfortunately made under Prime Minister Harper.
In fact, we know very well that you are the ones doing the work on the ground and serving Canadians. In your case, Mr. Patenaude, you serve Quebeckers, while Mr. Desmarais serves Montrealers.
[English]
I'm trying to find an underlying challenge here that brings it all together. There's been this frame that this is a Canadian problem, but we know, looking around the world, that thefts have doubled in the United States. They have gone up significantly in Italy and in Europe as a whole. New Zealand actually has the record for the most thefts per capita. It's skyrocketed around the world.
I'm trying to find out what the problem is that we need to be attacking, aside from finding solutions like investing in the CBSA and in our police forces to catch the criminals and get those cars back.
Something I brought up in previous committees when we had testimony from auto manufacturers was this: Are cars just easier to steal right now? We had testimony from some police officers who said they're catching 18-year-olds and 17-year-olds. My honourable colleague from the Conservatives mentioned that a 15-year-old was caught stealing a vehicle by purchasing something on Amazon for $100.
This is a question I have for both of you, as well as for Mr. Lamy. Is part of the problem that it is just easier right now to steal vehicles?
I'll start with you, Mr. Patenaude.
:
Thank you, Monsieur Lamy. I appreciate that very much.
My honourable colleague Mr. MacGregor, in a previous meeting, spoke about technology and the fact that we have, on our phones, verification. I have to do three things for my phone to be able to recognize me, particularly my parliamentary phone.
Would it be helpful to you and your members, who have to deal with these car thefts, for the cars themselves to have multifactor identification? Instead of just having a key, which you can offset by buying something on Amazon for $100, perhaps they should have the screen used as a keypad or other technology.
Would that be helpful and free up resources that you could better put somewhere else in tackling crime? What are your thoughts?
Witnesses, thank you very much for being with us.
We have already heard from quite a few people as part of our study. Yet we find that people are pretty quick to blame others. You have heard from representatives of the Montreal Port Authority, who testified before you. They said that these crimes did not occur at the Port of Montreal and that they were perpetrated before and after the vehicle being there. That statement may be defensible, but I think a certain amount of responsibility has to be assumed here. The manufacturers say that the problem is not the car, but the thief. That said, everyone is trying to work together, and the partnerships sought in this project are a very good idea. Also, we are seeing results, which is encouraging.
Mr. Desmarais, you mentioned that criminal organizations were involved in this. You can see that since you fight the same type of organizations in other domains. We know that car theft is used to fund other criminal activities. It is not necessarily easier for you, but since you are already involved in this kind work, you could help arrest the thieves, put them behind bars and return the vehicles to the owners. After all, you may be the most important partners. I am glad you are here.
I liked my colleague's question earlier about how, once you arrest someone, you can trace them back to the source. The people from the Montreal Port Authority and the Canada Border Services Agency seemed to be saying that they did not have that information.
Suppose you are able to recover a vehicle from a container. How is it possible to trace it back to the source, even though I know you cannot divulge investigative secrets? Earlier, I tried to get the Montreal Port Authority representatives to tell me the process that is followed from the moment someone with a business decides to put goods for export into a container, which is already sealed when you arrive. When you go back through all these steps, do you come across any bigger networks? How does it all work?
We can see that these actions are producing results, at least I think so, but can both of you provide us with more details on this?
:
Thank you very much, Chair.
Thank you to all of our witnesses for offering your expertise.
I am interested in deterrence, in wanting to make thieves afraid of being caught. In my home province of British Columbia, in the early 2000s we had remarkable success with the bait car program. It drove down auto thefts significantly. In fact, some of the most wanted car thieves were apprehended in such a way. In fact, I can remember the Province of B.C., in partnership with the various police forces, directly warning criminal organizations. They spent money on television advertisements. There were posters. There were even videos, from inside the car, showing the moment when the car thief realized they had been caught. I remember that they would show images of different cars at different locations, and say, “One of these cars is a police bait car, but you don't know which one.”
I would just like to hear about your respective jurisdiction's experience with the use of bait cars. What level of success have you seen? Do you see value in putting more resources into it? Can you expand on that, please?
There was some discussion about sentencing being minimal. We talk about it in the Criminal Code. I believe auto theft has a maximum of 10 years, but I understand, hearing from multiple police services, that we're not seeing those sentences issued, even in the most severe cases.
My question, though, is with respect to other sections of the Criminal Code on continuing criminal enterprises.
To both of you, are your police services charging people under those sections and capturing the organized crime element of it, in order to get those sentences higher due to the severity and the inclusion of organized crime?
I'll just limit myself to one question and I'll invite both of you to weigh in.
In our first hour of today's meeting, we heard from representatives of the Montreal Port Authority. They were discussing some of the legislative limitations they have. Of course, our ports are creatures of the federal government. They operate under a federal government mandate. Transport Canada is a federal agency that's also heavily involved.
From your perspective, when you look at the important role that port authorities play in Canada, do you think it would be helpful for this committee to recommend some legislative changes? Do you think it would be helpful in your investigations to have port authorities have a more active role in this? Do you see any limitation in what their current role is and what you wish they could have in terms of more inspections of containers, etc.?
I just want to get your perspective on that.
One of the recommendations of our president of the ADPQ, Monsieur Brochet, was to address the declaration on the manifest, so having some kind of legislation concerning that, because we know that the manifest can be changed once the.... That's one of the aspects, and we agree with that as well. That's another aspect that could be helpful, as you said.
I think we have to continue working at Project Rechercher. In our investigations, and for the SPVM as well, we all work closely with the CBSA, but also with the port authority in Montreal. It's important to keep that line of communication going up and helping. Addressing, as Mr. Brochet said, the manifest problem would be definitely helpful.