Retail Payment Activities Act (S.C. 2021, c. 23, s. 177)

Marginal note:Notice of change in information

30 An applicant that becomes aware that information provided as part of the application has changed or is about to change must notify the Bank of the change or anticipated change as soon as possible after becoming aware of it and the Bank must then, as soon as possible, notify the Minister and any person or government authority designated under section 32.

Marginal note:Duty to notify and provide information

31 The Bank must, as soon as feasible after it is of the opinion that an application for registration is complete, notify the applicant that the application is complete and provide the Centre with the information referred to in paragraphs 29(1)(a) to (f) and any information respecting the applicant that is under the Bank’s control and is prescribed for the purposes of this section.

Marginal note:Designation

32 The Minister may designate a person or government authority for the purposes of sections 33, 39 and 60.

Marginal note:Copy of application

33 The Bank must, as soon as feasible after it is of the opinion that an application for registration is complete, provide the Minister and any designated person or government authority with a copy of the application.

Marginal note:Review of application

• The following provision is not in force.

  34 (1) The Minister may, within the prescribed period, decide to review an application for registration if the Minister is of the opinion that it is necessary to do so for reasons related to national security. In that case, the Minister must notify the Bank of the decision and the Bank must then notify the applicant.

• The following provision is not in force.

  Marginal note:Extension of decision period

  (2) The Minister may extend the prescribed period for one or more prescribed periods if the Minister considers it necessary to do so and notifies the Bank. In that case, the Bank must notify the applicant of the extension.

Marginal note:Prohibition on registration

35 The Bank must not register an applicant during a period referred to in subsection 34(1) or (2) unless the Minister informs the Bank that the Minister has decided not to review the application for registration.

Marginal note:Timeline for review of application

36 If the Minister decides to review an application for registration, the Minister must conduct the review within the prescribed period but the Minister may extend the period for conducting the review for one or more periods equal to the prescribed period if the Minister considers it necessary to do so and notifies the Bank. In that case, the Bank must notify the applicant of the extension.

Marginal note:Prohibition on registration

37 If the Minister notifies the Bank of a decision to review an application for registration, the Bank must not register the applicant unless the Minister notifies the Bank under section 38 of a decision not to issue a directive.

Marginal note:Notice to Bank

38 The Minister must notify the Bank if, after completing a review of an application, the Minister decides not to issue a directive under section 40.

Marginal note:Additional information

39 An applicant or registered payment service provider must provide the Minister and any designated person or government authority with any additional information that the Minister, person or government authority requests in relation to the applicant or registered payment service provider or the retail payment activities the applicant performs or plans to perform.

Marginal note:Directive to refuse registration

40 The Minister may, for any of the following reasons, issue a directive to the Bank to refuse to register an applicant:

• The following provision is not in force.

  (a) there are reasons related to national security;

• The following provision is not in force.

  (b) the applicant has failed to provide additional information in accordance with section 39;

• The following provision is not in force.

  (c) an order made under section 42 or an undertaking provided in accordance with that section that is in relation to the application in question has not been complied with;

• The following provision is not in force.

  (d) a condition imposed under section 43 in relation to the application in question has not been complied with; and

• The following provision is not in force.

  (e) the applicant has provided false or misleading information.

Marginal note:Review of directive

• The following provision is not in force.

  41 (1) An applicant that has been notified under section 49 may, within the prescribed period, make a request to the Minister for a review of the directive to refuse registration.

• The following provision is not in force.

  Marginal note:Decision

  (2) On completion of the review, the Minister must, after giving the applicant an opportunity to make representations, confirm or revoke the directive. The Minister must notify the Bank of the decision and the Bank must then, as soon as feasible, notify the applicant.

Marginal note:Undertakings

42 The Minister may, by order, require any individual or entity to provide an undertaking in relation to an application for registration or in relation to any registered payment service provider if the Minister is of the opinion that it is necessary to do so for reasons related to national security.

Marginal note:Conditions

43 The Minister may, by order, impose conditions on any individual or entity in relation to an application for registration or in relation to any registered payment service provider if the Minister is of the opinion that it is necessary to do so for reasons related to national security.

Marginal note:Copy to Bank

44 The Minister must provide the Bank with a copy of each order the Minister makes under section 42 or 43 and the Bank must, as soon as feasible, provide a copy to the individual or entity in question.

Marginal note:Notice of intent to issue directive to revoke registration

• The following provision is not in force.

  45 (1) The Minister may, for any of the following reasons, issue to the Bank a notice of intent to issue a directive to the Bank to revoke a payment service provider’s registration:

  • The following provision is not in force.

    (a) there are reasons related to national security

  • The following provision is not in force.

    (b) the payment service provider has failed to provide additional information in accordance with section 39;

  • The following provision is not in force.

    (c) an order made under section 42 or an undertaking provided in accordance with that section that is in relation to the payment service provider has not been complied with;

  • The following provision is not in force.

    (d) a condition imposed under section 43 in relation to the payment service provider has not been complied with;

  • The following provision is not in force.

    (e) the payment service provider has provided false or misleading information; and

  • The following provision is not in force.

    (f) the payment service provider has not complied with an order under section 96.

• The following provision is not in force.

  Marginal note:Notice to payment service provider

  (2) The Bank must, as soon as feasible, notify the payment service provider in writing of the issuance of the Minister’s notice of intent.

Marginal note:Review of notice of intent

• The following provision is not in force.

  46 (1) A registered payment service provider that has been notified under subsection 45(2) may, within the prescribed period, make a request to the Minister for a review of the notice of intent.

• The following provision is not in force.

  Marginal note:Decision

  (2) On completion of the review, the Minister must, after giving the payment service provider an opportunity to make representations, either withdraw the notice of intent or issue a directive to the Bank to revoke the registration.

• The following provision is not in force.

  Marginal note:Notices to Bank and payment service provider

  (3) The Minister must notify the Bank of a decision to withdraw the notice of intent and the Bank must, as soon as feasible, notify the payment service provider of the withdrawal.

Marginal note:Review not requested

47 If a registered payment service provider that has been notified under subsection 45(2) does not make a request to the Minister for a review of the notice of intent within the prescribed period, the Minister may issue a directive to the Bank to revoke the payment service provider’s registration.

Marginal note:Refusal to register

• The following provision is not in force.

  48 (1) The Bank may, within the prescribed period, refuse to register an applicant for a prescribed reason or for any of the following reasons:

  • The following provision is not in force.

    (a) the applicant has failed to provide additional information in accordance with subsection 29(3);

  • The following provision is not in force.

    (b) the applicant has provided false or misleading information;

  • The following provision is not in force.

    (c) the applicant has been found guilty of contravening a provision referred to in section 74, 75 or 76, subsection 77(1) or section 77.1 of the Proceeds of Crime (Money Laundering) and Terrorist Financing Act;

  • The following provision is not in force.

    (d) during the five-year period before the day on which the application was submitted, the Director of the Centre, under subsection 73.15(4) of that Act, caused a notice of a decision or of an imposed penalty to be issued and served on the applicant in respect of a violation that was classified as a serious violation or very serious violation under that Act;

  • The following provision is not in force.

    (e) the applicant is not registered in accordance with section 11.1 of that Act;

  • The following provision is not in force.

    (f) the applicant has ceased to perform or no longer plans to perform retail payment activities; and

  • The following provision is not in force.

    (g) the applicant has committed or has been deemed to have committed a violation under this Act.

• The following provision is not in force.

  Marginal note:Unpaid penalties

  (2) If an applicant that does not have a place of business in Canada has committed a violation under this Act and is liable to pay a penalty for it, and if 30 days have elapsed after the day on which all proceedings in respect of the violation are ended and the penalty has not been paid, the Bank must refuse to register the applicant until the penalty is paid.

• The following provision is not in force.

  Marginal note:Notice to applicant

  (3) If the Bank refuses to register an applicant under subsection (1), the Bank must, as soon as feasible, notify the applicant of the refusal in writing. The notice must include the reason for the refusal.

Marginal note:Directive to refuse to register

49 The Bank must refuse to register an applicant if the Minister issues a directive to that effect under section 40. In that case, the Bank must, as soon as feasible, notify the applicant in writing of the refusal.

Marginal note:Review by Governor

• The following provision is not in force.

  50 (1) An applicant that has been notified under subsection 48(3) may, within the prescribed period, make a request to the Governor for a review of the refusal to register.

• The following provision is not in force.

  Marginal note:Decision

  (2) On completion of the review, the Governor must confirm the refusal or direct the Bank to register the applicant.

• The following provision is not in force.

  Marginal note:Form and manner of decision

  (3) The Governor must, within the prescribed period, make a decision and must, as soon as feasible, notify the applicant in writing of the decision.

Marginal note:Notice to Centre

51 The Bank must, as soon as feasible, notify the Centre in writing of any refusal to register an applicant.

Marginal note:Notice of intent to revoke registration

52 The Bank may, for a prescribed reason or for any of the following reasons, issue to a registered payment service provider a notice of intent to revoke the payment service provider’s registration that sets out the reason for the intention to revoke:

• The following provision is not in force.

  (a) the payment service provider has provided false or misleading information;

• The following provision is not in force.

  (b) the payment service provider has been found guilty of contravening a provision referred to in section 74, 75 or 76, subsection 77(1) or section 77.1 of the Proceeds of Crime (Money Laundering) and Terrorist Financing Act;

• The following provision is not in force.

  (c) the Director of the Centre, under subsection 73.15(4) of that Act, has caused a notice of a decision or of an imposed penalty to be issued and served on the payment service provider in respect of a violation that was classified as a serious or very serious violation under that Act;

• The following provision is not in force.

  (d) the payment service provider is not registered in accordance with section 11.1 of that Act;

• The following provision is not in force.

  (e) the payment service provider has ceased to perform retail payment activities;

• The following provision is not in force.

  (f) an individual or entity that applied for registration under section 24 has acquired control of the payment service provider; and

• The following provision is not in force.

  (g) the payment service provider has committed or has been deemed to have committed a violation under this Act.