Washington, D.C. January 21, 2015. The National Whistleblower Center issued a statement today highly critical of the Canadian Offshore Tax Informant Program.
“Unfortunately it is likely to fail,” stated Stephen M. Kohn, the executive director of the National Whistleblower Center.
National Whistleblower Center’s Statement on Canada’s Offshore Tax Informant Program:
Due to Canada’s extremely weak and often non-existent whistleblower protection laws, the Offshore Tax Informant Program lacks some of the most important features found in the U.S. whistleblower rewards programs. Most importantly, in the Canadian program the rewards are neither mandatory nor enforceable in court. They are discretionary.
Although the establishment of a limited whistleblower reward program was a breakthrough for Canada, whistleblowers need to know that when they risk their career to benefit the public, their ability to obtain a reward is required under law.” Therefore, Canada should enact whistleblower laws based on the highly successful U.S. models.
Canadians are using U.S. whistleblower reward laws in growing numbers. Between 2011-2014, 167 Canadians filed whistleblower rewards under mandatory SEC whistleblower programs out of a total of 1136 claims. Canada had the largest number of nationals file claims, followed the United Kingdom and China.
While Canada’s program has problems the information necessary for a Canadian to file under the program, including confidentiality, informant award process and payment criteria are linked here: Canada’s Whistleblower Reward Program: Destined To Fail?