Administrative Monetary Penalty System
Broker failed to account to a client for funds owed or refunded.
|3rd and subsequent
- Penalty basis
- Per instance
- Retention period
- 12 months
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.
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