Earlier this year, Export Development Canada (EDC) was tasked with running Canada’s new Development Finance Institute. In its new role financing private investment for the purposes of poverty alleviation and sustainable development, EDC will need to adopt robust due diligence practices to ensure the investments it supports respect human rights and the environment.
In this letter, Above Ground joins more than 20 organizations in calling on the Canadian government to establish a public registry of the beneficial owners of companies and trusts. By taking this action, Canada will show national and global leadership in efforts to curtail the use of anonymous companies to hide tax evasion, money laundering, fraud and business activities that undermine basic human rights.
Several corporations financed by Export Development Canada are currently being investigated for corruption by U.S. government authorities. In correspondence with EDC, we seek clarity on how this public agency prevents corrupt practices and what steps it takes when clients are investigated for corruption. This letter responds to correspondence received from EDC.