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Canadian Government Wants the Power to Issue Tough New Security Orders to Telcos

Telcos could be ordered to strip equipment or halt the supply of services. Such orders could be issued in secret and telcos would not be entitled to any compensation.

The Canadian Parliament is considering additions to the existing Telecommunications Act that would give the government of recently-elected Prime Minister Mark Carney (pictured) sweeping new powers to interfere in communications businesses for the sake of defending national security. Put simply, the changes would give Carney’s government the right to instruct telcos about who they may purchase from and who they may sell to, without needing to reimburse telcos for their losses, and while requiring the government’s order be kept secret. Key elements of the first draft are quoted below.

Banning Suppliers and Stripping Equipment

If the government believes it necessary to secure Canada’s telecoms systems, it can issue an order to…

(a) prohibit a telecommunications service provider from using all products and services provided by a specified person in, or in relation to, its telecommunications network or telecommunications facilities, or any part of those networks or facilities; or

(b) direct a telecommunications service provider to remove all products provided by a specified person from its telecommunications networks or telecommunications facilities, or any part of those networks or facilities.

In Secret

The order may also include a provision prohibiting the disclosure of its existence, or some or all of its contents, by any person.

Without Compensation

No one is entitled to any compensation from His Majesty in right of Canada for any financial losses resulting from the making of an order under [the rule quoted above].

Restricting the Supply of Communications Services

The government can also issue orders to…

(a) prohibit a telecommunications service provider from providing any service to any specified person, including a telecommunications service provider; and

(b) direct a telecommunications service provider to suspend providing for a specified period any service to any specified person, including a telecommunications service provider.

Also In Secret

An order made under [the rule quoted immediately above] may also include a provision prohibiting the disclosure of its existence, or some or all of its contents, by any person.

Also Without Compensation

No one is entitled to any compensation from His Majesty in right of Canada for any financial losses resulting from the making of an order under [the rule about restricting services quoted above].

Hefty Daily Fines for Not Complying with Orders

The penalties for not obeying an order are cumulatively applied for each day of non-compliance. Both individuals and companies can be fined. The maximum daily penalties are the same for both kinds of government order.

(a) in the case of an individual, not exceeding $25,000 and, for a subsequent contravention, not exceeding $50,000; or

(b) in any other case, not exceeding $10,000,000 and, for a subsequent contravention, not exceeding $15,000,000.

A violation that is continued on more than one day constitutes a separate violation in respect of each day during which it is continued.

Reference

Look here for the full text of Bill C-8, “An Act respecting cyber security, amending the Telecommunications Act and making consequential amendments to other Acts”, and a record of its progress through Parliament.

Eric Priezkalns
Eric Priezkalnshttp://revenueprotect.com

During his career, Eric has been a Director of Risk Management for a national telco, the Chief Executive of the Risk & Assurance Group, a Chief Marketing Officer for a software business, a consultant, a public speaker and the publisher of Commsrisk since its launch in 2006. Look here for more about the history of Commsrisk and the role played by Eric.

The comms providers that Eric has worked for include Qatar Telecom, Cable & Wireless, T‑Mobile, Sky and Worldcom. In addition to his proficiency at speaking about the current scamdemic, Eric is also a qualified chartered accountant and a subject matter expert in consumer protection, enterprise risk management, fraud prevention, data integrity and billing accuracy. Eric was the lead author of Revenue Assurance: Expert Opinions for Communications Providers, published by CRC Press. He can be reached through the contact form on this website.

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