A federal proposal to outlaw cash deposits of $10,000 or more at banks and credit unions is drawing pushback from MPs who say it unfairly targets small businesses and farmers while failing to effectively combat crime.Conservative MP James Bezan said the measure would disrupt normal business practices in rural areas. “A strawberry U-pick will collect over $10,000 cash easily in a day,” said Bezan, who represents Selkirk-Interlake in Manitoba. “Cash is still legal tender. There are ways we can still enforce money laundering and terrorist financing rules in this country without going after people legitimately collecting cash in their day-to-day business activities.”Blacklock's Reporter said under Bill C-2, banks, charities and other federally regulated entities would be barred from accepting any cash payment, donation or deposit of $10,000 or more in a single transaction or in a related series of payments. The threshold for mandatory reporting of such transactions already exists under the Proceeds of Crime and Terrorist Financing Act.Conservative MP Michael Ma said the new rules could drive up costs for small enterprises that rely on cash. “To legislate and force all transactions to go through credit cards and electronic means is just not practical for small and medium enterprises,” said Ma, who represents Markham-Unionville in Ontario.Liberal MP Anju Dhillon defended the legislation, saying it is aimed at cracking down on organized crime. “It is very important that we keep those businesses in mind,” said Dhillon, MP for Dorval-Lachine, Quebec. “However when illicit financing occurs, this limit can crack down on money laundering and terrorist financing. It is essential.”Bill C-2 also includes provisions expanding the government’s authority to search mail, including the repeal of 19th-century laws prohibiting postal inspectors from opening letters. Currently, police can only flag suspicious mail for investigation after delivery, and cannot intercept it in transit.Conservative MP Kerry Diotte warned the bill would give authorities sweeping new powers without improving public safety. “Bill C-2 would give the government the power to search people’s mail on a whim,” said Diotte, who represents Edmonton Griesbach. “This does not help catch criminals.”Bloc Québécois MP Rhéal Fortin predicted the bill would face amendments and questioned whether security should come at the cost of civil liberties. “Mail, something we once saw as almost sacred, was untouchable,” said Fortin. “Now the government wants to open it, inspect it and use it against us.”
