CANADA: 2005 COUNTRY REPORT ON TERRORISM

UNCLAS SECTION 01 OF 06 OTTAWA 003698

SIPDIS

FOR S/CT RHONDA SHORE AND ED SALAZAR

E.O. 12958: N/A
TAGS: ASEC CA KCRM KHLS PGOV PHUM PINR PTER KPAO
SUBJECT: CANADA: 2005 COUNTRY REPORT ON TERRORISM

REF: STATE 193439


1. Unclassified entire text.

GENERAL ASSESSMENT
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2. The Government of Canada remained steadfast in 2005 in
partnering with the United States and other like-minded
states to support the international fight against terror.
With a 5,200 mile undefended border, Canada is one of the
most important partners the U.S. has in the war on terror and
the level of integration and cooperation has a very direct
impact on U.S. security. Overall, antiterrorism cooperation
with Canada remains excellent and may be unique in the world
for the depth and breadth of contact between our two
countries.


3. Canada has contributed steadily to military activities in
the global war on terror, through participation in coalition
maritime interdictions in the Arabian Sea and Operation
Enduring Freedom and NATO's International Security Assistance
Force (ISAF) in Afghanistan. As of December 2004,
approximately 700 CF troops were stationed in Kabul in
support of the NATO-led ISAF VI. In August 2005, Canada
augmented its contribution under OEF with a Canadian
Provincial Reconstruction Team comprised of military,
civilian and police personnel, in Kandahar. Approximately
200 Canadian personnel are located in the United Arab
Emirates, where they provide airlift and logistics support to
deployed troops in the Southwest Asia theater. Although
Canada chose not to join Operation Iraqi Freedom, it has
pledged USD 280 million to the reconstruction of Iraq and has
also given USD 18 million to help with the January 2005 Iraq
transitional elections. In addition Elections Canada led the
international monitoring effort for all three rounds of the
Iraqi elections.


4. Canada has been proactive in all international fora which
deal with terrorism. It has signed and ratified all 12 UN
conventions and protocols and has listed all terrorist
entities designated by the UN. Canada was instrumental in
drafting and negotiating the Inter-American Convention
Against Terrorism in December 2002, and was the first country
to ratify the treaty. Canada has been an active participant
in the Inter-American Committee Against Terrorism (CICTE),
most recently promoting the international UN conventions and
protocols on terrorism and working closely with other
hemispheric partners to develop and provide capacity-building
assistance and training at the last CICTE meeting in Trinidad
& Tobago in February 2005.


5. Canada implements terrorist finance listings in compliance
with UN requirements and coordinates closely with the United
States on plans to freeze assets. Efforts to counter
terrorist financing include implementing UNSCR 1373,
promoting the Special Recommendations on Terrorist Financing
of the Financial Action Task Force, and actively
participating in the G-7, G-8, G-20, and Egmont Group. In
July 2006 Canada will assume the presidency of the Financial
Action Task Force. Canada has its own financial intelligence
unit, FINTRAC, which was created in 2000 to collect, analyze,
and disclose financial information on money laundering and
terrorist activities. FINTRAC has reported some two dozen
cases but no criminal prosecutions have been undertaken.


6. U.S.-Canadian cooperation on counter-terrorism is
excellent, with extremely close contact from the ministerial
level all the way down to provincial and state law
enforcement officials. There are a number of established
bilateral fora for coordination, including the Cross Border
Crime Forum's Terrorist sub-group and the Security and
Prosperity Partnership of North America, and large-scale
counter-terrorism exercises such as Topoff 3. There is also
extensive cross-border cooperation at the local level between
state and provincial authorities and between border towns.


7. Amidst this close cooperation there is one area that
requires attention. Since the removal of Canadian terrorist
suspect Maher Arar to Syria after his interception by U.S.
authorities in New York in 2002, Canadian sharing of
information with the United States has been restricted. Some
Canadian authorities were blamed for facilitating Arar's
deportation and subsequent torture in Syria and officials at
all levels have since been reluctant to proactively share
information, especially on Canadian citizens, that was
previously part of a routine background exchange. The U.S.
and Canada need to develop a mechanism to ensure Canadian
concerns are satisfied in such a way that information can
continue to be freely shared and disseminated.

INFORMATION ON TERRORIST GROUPS/SAFE HAVEN
--------------

8. An August 2002 report by the Canadian Security
Intelligence Service states that "with the possible exception
of the United States, there are more international terrorist
organizations active in Canada than anywhere in the world."
It divides terrorist threats in Canada into four categories:
1) religious extremists, "with various Sunni Islamic groups
being the most serious threat at present"; 2) state-sponsored
terrorism; 3) secessionist violence, "which encompasses Sikh
extremism, and separatist movements in Sri Lanka, Turkey,
Ireland and the Middle East; and 4) domestic extremism,
including some anti-abortion, animal rights,
anti-globalization, and environmental groups, "a small but
receptive audience for militia messages from the U.S., and
white supremacists."


9. The report suggests that the reasons for the plethora of
terrorist groups in Canada are "Canada's proximity to the
United States which currently is the principal target of
terrorist groups operating internationally; and the fact that
Canada, a country built upon immigration, represents a
microcosm of the world." It goes on to say that "terrorist
groups are present here whose origins lie in regional,
ethnic, and nationalist conflicts, including the
Israeli-Palestinian dispute, as well as those in Egypt,
Algeria, Sudan, Afghanistan, Lebanon, Northern Ireland, the
Punjab, Sri Lanka, Turkey, and the former Yugoslavia."


10. According to CSIS, among the specific groups that have
front organizations acting on their behalf or have active
supporters in Canada, are: "Hizbollah and other Shite Islamic
terrorist organizations; Hamas; the Egyptian Al Jihad and
various other Sunni Islamic extremist groups from across the
Middle East and Maghreb; the Provisional Irish Republican
Army (PIRA); the Tamil Tigers (LTTE); the Kurdistan Workers
Party (PKK); and all the world's major Sikh terrorist
groups." Finally, the CSIS report states that "some
supporters of the international Islamic Jihad cause are also
present in Canada, with a few of them possibly linked to Al
Qaida."


11. CSIS points out that most terrorist activities in Canada
are "in support of actions elsewhere linked to homeland
conflicts," and that Canada is primarily a base for terrorist
supporters, many of whom "use the refugee stream to enter
Canada, or immigrant smuggling." Their activities include
"fund-raising, lobbying through front organizations,
procuring weapons and material, coercing and manipulating
immigrant communities, and facilitating transit to and from
the United States and other countries."


12. Some 38 terrorist groups are officially banned in Canada
(full list at www.PSEPC.gc.ca),including prominent Middle
Eastern organizations, Latin American groups, and Sikh
movements, among others. Prominently missing from the list
is the Tamil Tigers (LTTE). This has been a matter of
considerable debate in the government of Canada, and appears
to some analysts to be based on political considerations, as
the 200,000 person Tamil community in Canada is one of the
largest in the world, and is centered around Toronto in
ridings currently held by the Liberal Party. While the GOC
does not allow known LTTE members to enter Canada, and the
LTTE has been officially listed in Canada in support of UN
Security Council Resolution 1373 since 2001, the Government
of Canada has not banned the group under Canada's
Anti-Terrorism Act.

FOREIGN GOVERNMENT COOPERATION
--------------


13. The Government of Canada actively seeks to improve its
own counter-terrorism capabilities and its cooperation with
the United States through a series of policy, legislative,
judicial, and operational measures.

Policy
--------------


14. In December 2003, the Government of Canada established
the Department of Public Safety and Emergency Preparedness
(PSEPC),Canada's closest equivalent to the US Department of
Homeland Security, and gave it the mandate of protecting
Canadians from criminals and terrorists. This was followed
in April 2004 with the release of the federal government's
national security statement -- "Securing an Open Society:
Canada's National Security Policy." This policy statement
identified three key goals and the means to support them: 1)
Protecting Canada and Canadians at home and abroad; 2)
Ensuring Canada is not a base for threats to allies; and 3)
Contributing to international security. The security policy
statement also allowed for consultative mechanisms to be
established to allow for a permanent, high-level
provincial-federal forum on emergencies with a regular
strategic discussion on emergency management issues among key
players; a National Security Advisory Council; and a
Cross-Cultural Roundtable on Security, to better engage
Canada's ethnic minorities and religious communities on
security-related issues. The latter was strengthened and
utilized in the wake of the London bombings. In general,
Canada's program for integrating minorities and new
immigrants socially and economically is one of the best in
the world, which is why the country does not appear to have
the large numbers of potentially disaffected youth and
radicalized communities that are common elsewhere.
Legislative
--------------


15. In the wake of the September 11 attacks, Canada passed on
December 18, 2001, an Anti-Terrorism Act, which strengthened
its ability to identify, deter, disable, prosecute, convict,
and punish terrorist groups. It also provided investigative
tools for Canadian law enforcement agencies while building in
substantial safeguards to privacy and due process. Because
of the rapid passage of the bill in the wake of the 9/11
attacks, certain sunset clauses were built in (e.g. a
five-year limit on the clause regarding preventative arrest
and investigative hearing powers in section 83.32). A
requirement for review after three years was also part of the
legislation. The House of Commons adopted a motion on
December 9, 2004 authorizing the subcommittee on Public
Safety and Public Security (SNSN) to undertake a review of
the legislation, and the Senate on December 13, 2004 set up a
Special Committee to review the law. These committees have
started their work, which will take over a year to complete.
Additionally, the Minister of Public Safety and Emergency
Preparedness (PSEPC) is required under subsection 83.31 (3)
of the Criminal Code to prepare and submit to Parliament an
annual report on its power under the Anti-Terrorism
legislation to engage in preventative arrest. This power has
not yet been used.


16. Only one person has been arrested under the
Anti-Terrorism legislation to date -- Mohammed Momin Khawaja
-- who was charged on March 30, 2004 of terrorist activity in
Canada and England. The investigative hearing provisions of
the Act have been used once -- in the Air India case -- but
the witness in that case challenged the requirement to
provide compelled testimony. Because of the sparse
application of the bill its supporters contend that it is not
being used as effectively as it might and believe it should
be made retroactive in order to cover offenses committed
before the Act was passed. Critics, especially in the Arab
and Muslim communities, believe it could be used to target
certain groups based on ethnicity or background and seek its
repeal. At the heart of the debate are questions about the
definition of terrorism, and how to define "intent," in a way
which does not clash with Canada's Charter of Rights and
Freedom, which aggressively defends political and religious
expression.


17. An additional piece of legislation that deals with
aspects of terrorism is the Public Safety Act of 2002, which
received Royal Assent on May 6, 2004. This act has raised
some privacy concerns and Canada's federal Privacy
Commissioner has charged that the government has used the
issue of terrorism to intrude on the lives of Canadian
citizens by gathering information such as flight passenger
data and electronic surveillance. The government introduced
new legislation in the fall of 2005 that would require
advanced communications companies to build into their
commercial systems the means to tap and record conversations
and transmissions. The measure also raised privacy concerns
and was not passed before the Parliament dissolved in
November 2005 for national elections.


18. The government was successful, however, in passing
Trafficking in Persons legislation, which received Royal
Assent on November 25, 2005. The amendment makes trafficking
in persons a specific criminal offense and prohibits global
trafficking in persons, benefiting economically from
trafficking, and withholding or destroying documents to
facilitate trafficking in persons.

Judicial
--------------


19. The most significant terrorist act in Canadian history
was the June 23, 1985 bombing of Toronto origin Air India
Flight 182 off the Irish coast. The attack resulted in 329
deaths and was blamed on Sikh terrorists fighting for an
independent homeland. The Air India case dragged on for
years, a victim of bureaucratic squabbles and investigative
missteps. On March 16, 2005, a British Columbia Supreme
Court Justice found Sikh separatists Ripudaman Singh Malik,
and Ajaib Singh Bagri not guilty of planting the bomb,
largely because of credibility problems with witnesses. The
outrage from families of the victims led to calls for a
commission of inquiry into the bombing, which will be led by
former Ontario Premier Bob Rae. He will have until March 31,
2007 to submit his final report. Rae has been directed not
to look into the misconduct of individual officials, but
rather the systemic issues that need to be addressed, among
them: was the pre-1985 assessment of Sikh terrorism adequate;
was the response of Canadian agencies to the bombing well
coordinated; are terrorist financing laws adequate; are there
problems in RCMP and CSIS coordination; and how should the
government manage the issue of security intelligence that is
also criminal evidence? The issue of coordination and
information-sharing between the RCMP and CSIS had largely to
do with how to utilize information gathered in an
intelligence case as evidence in a criminal prosecution.
This remains an unresolved issue for Canadian law enforcement
and counter-terrorism officials.


20. Another high-profile judicial terrorism case in 2005 was
that of Ahmed Ressam, the "millennium bomber," who was caught
by an astute American border guard in December 1999
attempting to bring bomb-making materials into the U.S. from
Canada. The Algerian-born immigrant had been denied asylum
in Canada but had been living in Montreal for seven years and
used false identification to obtain a Canadian passport under
an assumed name. Ressam was identified as a member of the
Algerian Armed Islamic Group (GIA),and convicted in 2001 on
nine counts associated with the bomb plot. Sentencing was
repeatedly delayed because he provided information against
other suspects, notably Samir Ait Mohamed. On July 27, 2005,
he was sentenced to 22 years in jail.


21. Many suspected terrorists who do not possess full
Canadian citizenship, have been dealt with by the issuance of
security certificates issued under the Immigration and
Refugee Protection Act (IRPA),which has been a part of
immigration policy since 1978. Since 1991, 27 certificates
have been issued, of which five were issued since September
11, 2001. These five are:

-- Mohammed Mahjoub, member of Vanguards of Conquest
(VOC),a radical wing of the Egyptian Islamic Jihad.
-- Mahmud Jaballah, senior member of the Egyptian Islamic
terrorist organization al-Jihad and Al Qaeda.
-- Hassan Al Merei, suspected Al Qaeda member.
-- Mohammed Harkat, suspected Al Qaeda member.
-- Adil Charkaoui, suspected Al Qaeda member. Charkaoui
was released in February 2005 on C$50,000 bail, and is
fighting deportation to his native Morocco. Charkaoui denies
ties to terrorists, but al-Qaeda members Abu Zubaida and
Ahmed Ressam claim they met him at an Afghan training camp in

1998. Charkaoui's claim that the security certificate
violates the Charter of Rights and international law was
dismissed by a Federal Court judge but the Canadian Supreme
Court agreed in August to hear the case.


22. Canada's most prominent terrorist family is the Khadrs,
whose father Ahmed Said indoctrinated his children to be
jihadis, taking them to Afghanistan to train with and
ultimately fight with, the Taliban. Ahmed Said was killed by
Pakistani security forces in South Waziristan in 2003. His
youngest son Omar was detained after a shoot-out with U.S.
forces in Afghanistan in July 2002 in which a U.S. soldier
was killed and another soldier seriously wounded. He is
currently being held in Guantanamo. Khadr's second son
Abdurahman, 22, was detained by U.S. security forces in 2001
in Afghanistan and was held in Guantanamo before being
returned to Canada in 2003. He is currently living in
Scarsborough, and was denied the issuance of a Canadian
passport on national security grounds, which he is in the
process of appealing. The eldest son, Abdullah, 24, recently
returned from Pakistan where he was being held by Pakistani
security forces. He is suspected of once running a training
camp in Afghanistan.

Operational
--------------


23. Day-to-day cooperation between the US and Canadian law
enforcement and intelligence agencies on counterterrorism is
close and continuous, and plays out in joint planning,
exercises, and operations. Canada cooperates closely with
the United States on investigations, and there is a heavy
volume of extradition requests between the two countries.
Canadian privacy laws, limited resources, and criminal
procedures are more favorable to the defendant than in the
United States, however, which could occasionally inhibit a
more full and timely exchange of information and may benefit
supporters of terrorism.


24. Canada and the United States engage in a wide range of
ongoing planning discussions on counterterrorism. The US
Attorney General and Canada's Minister for Public Safety and
Emergency Preparedness and Minister of Justice coordinate key
policy initiatives through the Cross Border Crime Forum,
whose Terrorist sub-group met in June 2005 in Ottawa and
December 2005 in Washington. There are also ongoing efforts
to improve implementation of provisions of the Smart Border
Accord. Finally, there are discussions at multiple levels
through the Security and Prosperity Partnership of North
America, which provided an extensive report to leaders in
June 2005 that outlined a detailed work plan for all aspects
of hemispheric security and has led to the establishment of a
series of working groups to manage individual issues.


25. As part of the Ridge-Manley 30 point "Action Plan for
Creating a Secure and Smart Border," the U.S. and Canada
agreed to expand pre-existing Integrated Border Enforcement
Teams (IBETs) to more fully cover the length of the border.
By 2005 there were 15 IBETs in operation on both sides of the
border, which included participants on the Canadian side from
the RCMP and Customs and Border Security Agency, and on the
U.S. side from Customs and Border Patrol, Immigration and
Customs Enforcement, and the U.S. Coast Guard. The
capabilities of the IBETs are progressing, but are hampered
by lack of adequate funding, integrated communications, and a
legal framework that solves the problem of cross-border
weapons carriage by enforcement officers. Resolution of
these issues would allow these units to move beyond a
platform for information exchange to fully functional joint
operations.


26. There were a number of exercises in 2005 to test our
joint response to terrorist attack. In April 2005, Canada,
the U.S. and the U.K. held a large-scale exercise -- Topoff 3
-- which brought together 10,000 participants from more than
200 federal, state, local, and private sector agencies and
organizations to review policies and procedures for managing
a large-scale, multipoint bio-terrorist attack. Other small
exercises, such as a cross-border drill between Quebec and
Vermont in October 2005, revealed communications problems and
provided local and state/provincial officials the opportunity
to improve their ability to respond jointly to an emergency.
There is also extensive cross-border cooperation at the local
level between state and provincial authorities and between
border communities.


27. Canada has also been active in international efforts to
improve the capacity of key countries to respond to
terrorism. In the fall of 2005 it began the
Counter-Terrorism Capacity Building (CTCB) program under
Foreign Affairs Canada. This program will bring together 19
federal departments and agencies to share Canadian expertise
in areas such as border security, transportation security,
anti-terrorism financing, legislative drafting, legal policy
and human rights, and counter-terrorism and intelligence
training.


28. To better coordinate its own efforts to monitor and
control terrorist activity, the GOC in October 2004
inaugurated the Integrated Threat Assessment Centre (ITAC).
ITAC's primary objective is to produce comprehensive threat
assessments which are distributed within the intelligence and
law enforcement communities and to first responders. These
assessments are based on intelligence and trend analysis, and
evaluate both the probability and the potential consequences
of threats. ITAC is housed within CSIS headquarters in
Ottawa and includes representatives from PSEPC, CSIS, CBSA,
Foreign Affairs, DND, and the RCMP. ITAC has liaison
arrangements with the U.S., UK, Australia, and New Zealand.


29. Embassy POC is Keith Mines, Political Officer,
telephone: 613-688-5242,
e-mail: Mineskw@state.sgov.gov.



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