Administrative Monetary Penalty System
C267
Contravention
Broker failed to account to a client for funds owed or refunded.
Penalty
Occurrence | Penalty |
---|---|
1st | $150 |
2nd | $225 |
3rd and subsequent | $450 |
- Penalty basis
- Per instance
- Retention period
- 12 months
Guidelines
Non-compliance occurs when a broker fails to promptly account for funds received for the client from the Receiver General for Canada, or received from the client in excess of the duties and / or other charges payable in respect of the client's business with the Canada Border Services Agency.
The broker must account to the client for all funds received from the CBSA. A refund cheque (from a B2) should always be made out in the name of the importer and should not be cashed by the broker, unless specifically authorized by a "power of attorney".
A contravention will become apparent following either an audit or a complaint from a client and subsequent investigation by regional officials.
Each failure to account to a client shall be deemed to be a separate contravention.
This contravention will normally be applied at the local or regional level.
The Brokers Licensing unit, in Headquarters, should be advised of any penalties issued.
References
Regulation
Customs Brokers Licensing Regulations, paragraph 14(d)(i)(ii)
D-Memo
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