Criminal Code
Motion in Amendment--Debate
June 17, 2021
Therefore, honourable senators, in amendment, I move:
That Bill C-218 be not now read a third time, but that it be amended in clause 2, on page 1, by replacing line 5 with the following:
“2 (1) Subsection 207(1) of the Criminal Code is amended by adding the following after paragraph (a):
(a.1) for an Indigenous council, government or other entity that is authorized to act on behalf of an Indigenous group, community or people that holds rights recognized and affirmed by section 35 of the Constitution Act, 1982 to conduct and manage a lottery scheme under an agreement or arrangement with the Government of Canada;
(2) Paragraph 207(4)(b) of the Act is re-”.
Thank you, senators.
Ordinarily we would move to debate on that amendment now. The table has noted that Senator McCallum has time, and Senator McPhedran has a question.
Senator McCallum, would you accept a question?
I think the time has expired, Your Honour.
Honourable senators, leave was granted for Senator McCallum to finish her speech. That can easily be interpreted as her speaking time. She has three minutes left, so I will allow the question.
I clearly understand the objection, but if we give a little latitude here in terms of speaking time versus the actual speech, I think we can allow one question.
In your speech, Senator McCallum, you referenced the fact that the province has been interfering with the Kahnawà:ke Gaming Commission. Can you give examples of that interference?
Yes, I can. Thank you for the question.
With Mohawks of Kahnawà:ke Online and Evolution Gaming, in 2015 an online casino software supplier Evolution Gaming launched its products on Mohawk Online, a socio-economic online gaming website across Canada. Evolution described the launch as a groundbreaking deal. Evolution’s games proved popular with Canadian customers and quickly became a significant source of income for Kahnawà:ke.
In April 2017, Evolution entered an agreement to provide its products to the British Columbia Lottery Corporation, BCLC. Evolution then informed Mohawk Online that BCLC had instructed them to withdraw their products from Mohawk Online’s website based on a general rule that under the Canadian Criminal Code only provincial governments may operate online gambling.
Mohawk Online’s previously accepted legal opinions and arguments were dismissed and Evolution’s games were withdrawn, causing significant financial losses to Kahnawà:ke.
Mohawk Online later discovered that BCLC was allowing Evolution to continue to supply games to offshore operators targeting Canada, excluding only Mohawk Online. Mohawk Online has been singled out by BCLC. The lottery had applied commercial pressure on Evolution to dismiss Kahnawà:ke’s legal arguments and focus solely on the absence of any mention of First Nations under the Criminal Code.
Once BCLC’s exclusion order ensured that Mohawk Online had lost the games, customers and revenues, Evolution was free to continue supplying games both to BCLC and the offshore industry targeting Canada, regardless of the status of offshore operators under the Criminal Code.
In 2016, Mohawk Online approached casino games supplier NetEnt about carrying their games on its website. NetEnt told Mohawk Online that the provinces would not appreciate NetEnt having any connection to companies with a tie to Kahnawà:ke. NetEnt supplies products to both the provincial lotteries and offshore operators targeting Canada. Although the absence of any mention of First Nations under the Criminal Code is used to force lottery commercial partners into not supplying Mohawk Online, neither the lotteries nor their commercial partners are interested in respecting or enforcing the Criminal Code. It is simply being used as an anti-competition mechanism.
Over the past 20-plus years, at least four testing agencies discontinued their relationship with Kahnawà:ke Gaming or declined to provide service, citing pressures being exerted by provincial authorities.
Senator McCallum, your time has expired.
