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IBC applauds Canada’s proposed new legislation to combat auto theft


April 21, 2009   by Canadian Underwriter


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The Government of Canada is proposing to crack down on auto theft, by creating a separate offence of “theft of a motor vehicle” that would carry a mandatory prison sentence of six months for three or more convictions.
The proposed new legislation would also establish a new offence for altering, destroying or removing a vehicle identification number (VIN).
Targeting the sale of stolen cars for parts to so-called “chop shops,” the new legislation would make it an offence to traffic in property obtained by crime. It would also make the possession of such property for the purpose of trafficking an offence.
“The best way to fight gangs and organized crime is to disrupt the criminal enterprises they depend on,” Canadian Justice Minister Rob Nicholson said in a press release. “That is why our Government is cracking down on auto theft.”
The Insurance Bureau of Canada (IBC) estimates auto theft costs of more than Cdn$1 billion each year, taking into account health care, court, policing, legal and out-of-pocket costs such as deductibles.
IBC “applauded” the government’s intention to re-introduce comprehensive legislation to address auto theft.
“Clearly, the federal government recognizes the many costs of auto theft,” said Rick Dubin, IBC’s vice-president of investigations. “Not only does auto theft cost Canadians more than $1 billion every year, it also costs lives. The growing involvement of organized crime in auto theft is a threat to our safety and security.”


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