INTRODUCTION AND BRIEF DESCRIPTION
This section prohibits the production and distribution of replicas of current bank-notes or government/bank securities.
SECTION WORDING
457(1) No person shall make, publish, print, execute, issue, distribute or circulate, including by electronic or computer-assisted means, anything in the likeness of (a) a current bank-note; or (b) an obligation or a security of a government or bank.
EXPLANATION
Section 457(1) of the Criminal Code of Canada prohibits the creation, publication, printing, execution, issuance, distribution, or circulation of anything that bears a resemblance to a current banknote or any government or bank security. This section is aimed at preventing the creation and use of counterfeit money or securities, which can cause harm to the economy and individual citizens. The law applies to any person who participates in the production or distribution of such materials, whether they are physical or digital. It is considered a criminal offense and carries severe penalties, including fines and imprisonment. The use of computer and electronic means to create counterfeit materials is also prohibited, emphasizing the importance of staying vigilant in the fight against digital fraud. Section 457(1) serves as a deterrent to those who may consider creating counterfeit money or securities, as it carries a significant risk of punishment. By eliminating the ability of criminals to create fake currency and securities, the economy can remain stable and citizens can have confidence in the financial system. Overall, this section serves as a warning to those who may attempt to create counterfeit money or securities, stating that such actions are illegal and carry serious consequences. The law aims to protect the economy and citizens by deterring fraudulent activity and promoting the integrity of the financial system.
COMMENTARY
Section 457(1) of the Criminal Code of Canada (CCC) prohibits individuals from producing and distributing anything that bears a resemblance to a current bank note, obligation or security of a government or bank. The section aims to protect the integrity and value of financial instruments and prevent counterfeiting, a crime that harms individuals and the economy. Counterfeiting is a serious offence that has the potential to harm the integrity of the financial system, damage the economy, and negatively impact individuals' trust in financial institutions. The CCC 457(1) is significant in ensuring that individuals are prohibited from engaging in this criminal activity by limiting their ability to create tools that facilitate this type of illegal activity. By prohibiting the distribution of anything in the likeness of a current bank note, obligation, or security of a government or bank, individuals are effectively prevented from making and circulating counterfeit financial instruments, which can lead to significant losses for both individuals and the economy. The prohibition under 457(1) of the CCC applies to different types of financial instruments, including banknotes, a currency issued by a bank, and obligations or securities of a government or bank. This includes bonds, treasury bills, and stocks, among other types of financial instruments. The section also extends to creating any likeness of these financial instruments, which can include digital or electronic copies. This provision is crucial since individuals use electronic means to produce and distribute counterfeit financial instruments, and it is vital to have a provision that covers these actions to ensure the law's integrity and relevance. Furthermore, the section applies to a wide range of individuals and entities, including corporations, organizations, and individuals. This broad range of application ensures that anyone who contravenes the law is held accountable, irrespective of their status or financial strength. In addition, the section is significant in improving the reputation and integrity of financial institutions and is crucial in upholding the reputation of Canada's economy as a whole. In light of the recent increase in the use of electronic and computer-assisted means as a tool for counterfeiting, section 457(1) of the CCC is timely. The introduction of this section is significant since it is essential to keep up with the evolving ways that individuals use to engage in illegal activities. Additionally, section 457(1) of the CCC has the potential to prevent criminals from creating and distributing counterfeit financial instruments. In doing this, the section helps to safeguard individuals' investments, financial institutions, and ultimately the economy. In conclusion, the provisions of section 457(1) of the CCC are essential in preventing unlawful actions that impact the integrity of the financial system. The section's broad application, which extends to digital means of creating and circulating financial instruments, highlights the need to protect the economy's reputation and the role of financial institutions. By effectively preventing counterfeiting, individuals and the entire economy can enjoy the benefits of a strong and trustworthy financial system.
STRATEGY
Section 457(1) of the Criminal Code of Canada is an important prohibitory provision that regulates the issuance and circulation of banknotes and securities. As such, anyone who would like to engage in any activity that involves the making, publishing, printing, executing, issuing, distributing, or circulating of anything similar to a current banknote or the security of a government or bank must be aware of the strategic considerations when dealing with this section of the Criminal Code. One of the most critical considerations that anyone who wants to engage in such an activity must take into account is the potential legal consequences of violating this provision. According to the Criminal Code of Canada, anyone who contravenes section 457(1) is guilty of an indictable offense and liable to a period of imprisonment for up to fourteen years. Also, if the violation involves electronic or computer-assisted means, the offender is also liable to a fine of up to $1 million. Consequently, individuals or organizations that want to engage in the production, distribution, or circulation of anything similar to a current banknote or the security of a government or bank must first ensure that they comply with the provisions of the law to avoid the consequences of violating this provision. Another strategic consideration when dealing with section 457(1) of the Criminal Code of Canada is the importance of obtaining permission or approval from the appropriate regulatory authorities. For instance, in Canada, financial institutions or banks that want to issue securities must first obtain approval from the relevant regulatory authority, such as The Office of the Superintendent of Financial Institutions or The Canadian Securities Administrators. Therefore, individuals or organizations that want to engage in the production, distribution, or circulation of anything similar to a government or bank security must first obtain permission or seek approval from the regulatory authority responsible for overseeing such activities. Furthermore, another strategic consideration when dealing with section 457(1) of the Criminal Code of Canada is the importance of ensuring that the activity does not mislead or deceive the public. Therefore, anyone who wants to engage in such an activity must ensure that the material they produce and circulate does not contain false or misleading information. For instance, if an individual produces a flyer or brochure that looks like a current banknote or the security of a government or bank, it should be clear that the material is not a real banknote or security. Finally, strategic considerations when dealing with this section of the Criminal Code of Canada involve employing a range of strategies to ensure compliance with the law. These could include obtaining legal advice, working with regulatory authorities to obtain approval, training employees on the legal implications of violating section 457(1), and ensuring that all materials produced are compliant with the law and do not mislead or deceive the public. In conclusion, section 457(1) of the Criminal Code of Canada regulates the issuance and circulation of banknotes and securities and carries severe legal consequences for individuals or organizations that violate it. Therefore, anyone who wants to engage in any activity that involves the production, distribution, or circulation of anything similar to a current banknote or the security of a government or bank must take into account the strategic considerations discussed above to avoid the potential legal consequences. By doing this, individuals or organizations can ensure compliance with the law while at the same time achieving their objectives.