BC Public Inquiry into Money laundering
May 15th 2019, 8:34 pm
#1
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BC Public Inquiry into Money laundering
Money laundering is an issue in BC (possibly Canada wide?) and its good the government is moving forward with an inquiry.
https://vancouversun.com/news/politi...ney-laundering
It's estimated that $7 billion dollars was laundered in BC in 2018, with $5.3 billion through the real estate market.
Final report due in May 2021 with an interim report within 18 months.
https://www.cbc.ca/news/canada/briti...sion-1.5136952
In April the US named Canada as a major money laundering country.
https://vancouversun.com/news/politi...ney-laundering
It's estimated that $7 billion dollars was laundered in BC in 2018, with $5.3 billion through the real estate market.
Final report due in May 2021 with an interim report within 18 months.
https://www.cbc.ca/news/canada/briti...sion-1.5136952
In April the US named Canada as a major money laundering country.
May 15th 2019, 8:45 pm
#2
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Joined: May 2009
Location: Langley, BC
Posts: 1,956
Re: BC Public Inquiry into Money laundering
Good way to try and help BC and Canada recover from our somewhat tarnished image on this issue. I'm not expecting a lot but it will help for sure.
May 15th 2019, 9:43 pm
#3
Lost in BE Cyberspace
Joined: Nov 2011
Location: Somewhere between Vancouver & St Johns
Posts: 19,849
Re: BC Public Inquiry into Money laundering
Well its not like they weren't warned of this many years ago but elected not to do anything about it.
May 15th 2019, 9:49 pm
#4
Tea Drinker
Joined: Nov 2006
Location: Kamloops, BC
Posts: 5,387
Re: BC Public Inquiry into Money laundering
I imagine as an exotic car salesman, or a high end real estate agent, it is VERY hard to turn away clients that you suspect are using cash from the proceeds of crime. They don't care, all they want is their commission.
That reminds me, has anyone here watched the Netflix show Ozark? It's excellent and although it's completely fictional, it is about laundering Mexican cartel money by a white collar family in a small town.
https://www.imdb.com/title/tt5071412/
That reminds me, has anyone here watched the Netflix show Ozark? It's excellent and although it's completely fictional, it is about laundering Mexican cartel money by a white collar family in a small town.
https://www.imdb.com/title/tt5071412/
May 15th 2019, 9:52 pm
#5
Listen to the Music
Joined: Mar 2013
Location: Fraser Valley BC
Posts: 4,714
Re: BC Public Inquiry into Money laundering
Whenever I see such obvious law breaking as this, and where the quantities involved are large, I always tend to ask why so little has been done in the past to do anything about it.
It appears to me that, like so many aspects of rule keeping in this country, nothing is done to alter the status quo unless complaints demonstrate that not everyone is comfortable in turning a blind eye, at least not unless a little of the largesse lines the ever open pockets of those in charge.
In the case of money laundering, it's apparently only now, when it's dawned on a dozing governmental awareness that an influx of large suitcases filled to bursting with gold bars and destined to inflate the prices of penthouse suites beyond the reach of honest folk, that the cry is made that 'Something Must Be Done'.
Could it be that the rumour is true? That if real estate transactions are to be more closely examined that perhaps other luxury items, eg super yachts, could become likely targets for the gold bar brigade and it's the likelihood that these might become more expensive that's the real reason that's shaken a sleeping establishment into opening it's eyes.
Either way, those who could have done something did nothing because it was not in their best interests so to do.
It appears to me that, like so many aspects of rule keeping in this country, nothing is done to alter the status quo unless complaints demonstrate that not everyone is comfortable in turning a blind eye, at least not unless a little of the largesse lines the ever open pockets of those in charge.
In the case of money laundering, it's apparently only now, when it's dawned on a dozing governmental awareness that an influx of large suitcases filled to bursting with gold bars and destined to inflate the prices of penthouse suites beyond the reach of honest folk, that the cry is made that 'Something Must Be Done'.
Could it be that the rumour is true? That if real estate transactions are to be more closely examined that perhaps other luxury items, eg super yachts, could become likely targets for the gold bar brigade and it's the likelihood that these might become more expensive that's the real reason that's shaken a sleeping establishment into opening it's eyes.
Either way, those who could have done something did nothing because it was not in their best interests so to do.
May 15th 2019, 9:56 pm
#6
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Re: BC Public Inquiry into Money laundering
May 31st 2019, 2:38 am
#8
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Re: BC Public Inquiry into Money laundering
Semi-interesting article.
"“Losing Chinese money and laundered money would be catastrophic. Locals in the city don’t buy a lot of luxury goods, or at least not enough to support what’s there. The average Vancouverite struggles financially.”"
https://biv.com/article/2019/05/how-...ney-laundering
"“Losing Chinese money and laundered money would be catastrophic. Locals in the city don’t buy a lot of luxury goods, or at least not enough to support what’s there. The average Vancouverite struggles financially.”"
https://biv.com/article/2019/05/how-...ney-laundering
May 31st 2019, 4:34 am
#9
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Joined: May 2009
Location: Langley, BC
Posts: 1,956
Re: BC Public Inquiry into Money laundering
Semi-interesting article.
"“Losing Chinese money and laundered money would be catastrophic. Locals in the city don’t buy a lot of luxury goods, or at least not enough to support what’s there. The average Vancouverite struggles financially.”"
https://biv.com/article/2019/05/how-...ney-laundering
"“Losing Chinese money and laundered money would be catastrophic. Locals in the city don’t buy a lot of luxury goods, or at least not enough to support what’s there. The average Vancouverite struggles financially.”"
https://biv.com/article/2019/05/how-...ney-laundering
May 31st 2019, 11:30 am
#10
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Joined: Mar 2005
Location: Ontario
Posts: 40,018
Re: BC Public Inquiry into Money laundering
Surely it's not in the interest of BC residents to stop money laundering now as a house price collapse would be a problem for everyone who has a house; you'd get Alberta style walk aways with people posting the house keys to the mortgage companies.
May 31st 2019, 3:17 pm
#11
Listen to the Music
Joined: Mar 2013
Location: Fraser Valley BC
Posts: 4,714
Re: BC Public Inquiry into Money laundering
A house price collapse, if it happened, would mean that some buyers might view a diminishing asset as not worth the investment in terms of continuing the mortgage, but this would be a personal choice. Having to relinquish the asset becomes a necessity when you lose income to service the mortgage and this is more acute in Alberta than BC.
Neither of these reasons is affected by stopping money laundering. You might argue that one effect of stopping money laundering might reduce new high end housing starts but making houses more affordable to more people could act to stimulate housing starts.
In addition, it's unlikely that rents would fall in line with house price reductions and this would increase the rate of return for new landlords and could stimulate rental availability and generate a need for new starts.
House price 'collapse' really only affects those who already own houses when they want to sell and given the meteoric rates of rise in the recent past they should be grateful and not whinge at a correction.
No doubt my daughter views the reduction in value of my house with some dismay as I get older but it doesn't bother me at all.
May 31st 2019, 3:27 pm
#12
Stand-up Philosopher
Joined: Apr 2009
Location: Regina Saskatchewan
Posts: 16,344
Re: BC Public Inquiry into Money laundering
I suppose the VPD has a money-laundering squad... the East Van Hell's Angels have been buying and selling downtown hotels for decades (at least the Marble Arch and the Drake), and it's unlikely they're flying under anyone's radar.
May 31st 2019, 3:48 pm
#13
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Joined: Mar 2005
Location: Ontario
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Re: BC Public Inquiry into Money laundering
Not so.
A house price collapse, if it happened, would mean that some buyers might view a diminishing asset as not worth the investment in terms of continuing the mortgage, but this would be a personal choice. Having to relinquish the asset becomes a necessity when you lose income to service the mortgage and this is more acute in Alberta than BC.
Neither of these reasons is affected by stopping money laundering. You might argue that one effect of stopping money laundering might reduce new high end housing starts but making houses more affordable to more people could act to stimulate housing starts.
In addition, it's unlikely that rents would fall in line with house price reductions and this would increase the rate of return for new landlords and could stimulate rental availability and generate a need for new starts.
House price 'collapse' really only affects those who already own houses when they want to sell and given the meteoric rates of rise in the recent past they should be grateful and not whinge at a correction.
No doubt my daughter views the reduction in value of my house with some dismay as I get older but it doesn't bother me at all.
A house price collapse, if it happened, would mean that some buyers might view a diminishing asset as not worth the investment in terms of continuing the mortgage, but this would be a personal choice. Having to relinquish the asset becomes a necessity when you lose income to service the mortgage and this is more acute in Alberta than BC.
Neither of these reasons is affected by stopping money laundering. You might argue that one effect of stopping money laundering might reduce new high end housing starts but making houses more affordable to more people could act to stimulate housing starts.
In addition, it's unlikely that rents would fall in line with house price reductions and this would increase the rate of return for new landlords and could stimulate rental availability and generate a need for new starts.
House price 'collapse' really only affects those who already own houses when they want to sell and given the meteoric rates of rise in the recent past they should be grateful and not whinge at a correction.
No doubt my daughter views the reduction in value of my house with some dismay as I get older but it doesn't bother me at all.
May 31st 2019, 5:14 pm
#14
Joined: Dec 2001
Location: Dixie, ex UK
Posts: 52,446
Re: BC Public Inquiry into Money laundering
). If you are staying put the value you of your homes means little, and if you are yong and/or want to trade up, then lower prices will actually help you as though you "lose" money on the home you're selling, the price of more expensive houses will (likely) fall more, leaving you in a net better-off situation. Only empty-nesters, downsizers and investors make true losses. So I guess those who would feel the pain of a fall in the price of property would be, broadly, those in the age range 50-65ish.
Last edited by Pulaski; May 31st 2019 at 5:27 pm.
May 31st 2019, 5:20 pm
#15
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Location: Ontario
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Re: BC Public Inquiry into Money laundering
You might think that, but high house prices only benefit people who can cash-out and leave (says he who sold a house in London left the UK, banking a fat profit ). If you are staying put the value you of your homes means little, and if you are yong and/or want to trade up, then lower prices will actually help you as though you "lose" money on the home you're selling, the price of more expensive houses will (likely) fall more, leaving you in a net better-off situation. Only empty-nesters, downsizers and investors make true losses. So I guess those who would feel the pain of a fall in the price of property would be, broadly, those in the age range 50-65ish.
). If you are staying put the value you of your homes means little, and if you are yong and/or want to trade up, then lower prices will actually help you as though you "lose" money on the home you're selling, the price of more expensive houses will (likely) fall more, leaving you in a net better-off situation. Only empty-nesters, downsizers and investors make true losses. So I guess those who would feel the pain of a fall in the price of property would be, broadly, those in the age range 50-65ish.