Cheque Issue Regulations, 1997 (SOR/97-240)

12 (1) Subject to subsection (2), where the payee of a cheque drawn on a departmental bank account reports that the cheque has not been received by the payee, or the payee or holder for value of such a cheque reports that the cheque has been lost, destroyed or stolen, one or more signing officers, as the case may be, shall issue a replacement cheque to the payee or holder for value, in the name of the payee or holder for value, for the same amount as the original cheque, if the payee or holder for value provides

• (a) a form of undertaking that meets the requirements of subsection 5(2); and

• (b) where the original cheque was for an amount greater than $5,000, an affidavit or statutory declaration sworn or declared before a commissioner for oaths, justice of the peace or other person before whom affidavits or declarations may be lawfully sworn or declared in Canada or abroad, respecting the non-receipt, loss, destruction or theft of the original cheque.

(2) No replacement cheque shall be issued in accordance with subsection (1) unless

• (a) the original cheque has not been cashed; and

• (b) a stop payment direction has been given to the financial institution in respect of the original cheque.