The Government of Canada paid a Chinese contractor that had been blacklisted by allies for collaborating with Russia during its war with Ukraine, according to records. .According to Blacklock’s Reporter, the payment was made even after Canada's allies had blacklisted the contractor..“Canada is actively exploring options on next steps,” said a June 13 briefing note. The department failed to explain why the payment was made in the first place..Records showed that on Jan. 16, 2022, the department of Natural Resources hired a Chinese company called China Head Aerospace Technology Company of Beijing to provide satellite images of Canadian forests..On Feb. 24, the US Commerce Department added China Head Aerospace technology Company to a blacklist. .This list included companies that had collaborated with Russia during the war..“These additions are based on information these companies significantly contribute to Russia’s military or defence industrial base and are involved in activities contrary to US national security and foreign policy interests,” said a Commerce Department notice Addition of Entities to the Entity List..Documents indicate that despite the blacklisting, Canada proceeded with a $41,637 payment to China Head Aerospace for delivery of satellite photos by March 31. .US authorities seized the funds. No new contract has been awarded to the company, said the briefing note Contracts in Relation to China Head Aerospace..“The Government of Canada has a standing offer for commercially available and pre-existing satellite imagery with China Head Aerospace Technology Co. which has been added to the US Department of Commerce Entity List,” said the note..“The department of Natural Resource’s national forest inventory uses this standing offer for pre-existing high-resolution satellite imagery to support forest policies.”.“Prior to this company being added to the US Department of Commerce Entity List, there had been one call-up against the standing offer to this supplier in the amount of $41,637,” said the briefing note. .“The payment has not been received by the supplier as the funds are with the US Office of Foreign Assets.”.Records show the department of Natural Resources hired the Chinese satellite company since it had the “lowest price.” .Documents did not explain what, if any, due diligence was done in conducting a background check on China Head Aerospace..The cabinet has repeatedly said they have the “toughest sanctions” for any person or organization that collaborates with Russia..“We have used both sanctions and punitive economic measures to continue to deplete the Kremlin’s war chest,” Prime Minister Justin Trudeau told the Commons on March 23..“Our response has been swift and strong,” Finance Minister Chrystia Freeland told the Commons in 2022. .“Canada and our allies have imposed the toughest sanctions ever imposed on a major economy.”
