Canada Disability Benefit Regulations

Marginal note:Violations

• 35 (1) A person commits a violation if they

  • (a) knowingly make, in relation to an application for a benefit under the Act, a representation that is false or misleading; or

  • (b) make an application for, and receive, a benefit under the Act knowing that they are not eligible to receive it.

• Marginal note:Penalty

  (2) Subject to subsection (7), the Minister may impose a penalty on a person if the Minister is of the opinion, based on documents or information collected or obtained by the Minister, that the person has committed a violation.

• Marginal note:Amount of penalty

  (3) The penalty that the Minister may issue is

  • (a) for a first violation, 15% of the amount calculated by multiplying by 12 the basic amount payable to a beneficiary during the payment period in which the violation was committed, calculated in accordance with section 6 without any reduction based on income; and

  • (b) for each subsequent violation, 50% of the amount calculated by multiplying by 12 the basic amount payable to a beneficiary during the payment period in which the violation was committed, calculated in accordance with section 6 without any reduction based on income.

• Marginal note:Presumption — first violation

  (4) For the purposes of subsection (3), if no penalty was imposed on a person under this section in the 10 years preceding the day on which a violation occurred, the violation is deemed to be a first violation.

• Marginal note:For greater certainty

  (5) For greater certainty, no penalty may be imposed on a person if they mistakenly believe that a representation is true or that they, or the person on whose behalf they made an application for a benefit, were eligible to receive the benefit, as the case may be.

• Marginal note:Limitation

  (6) A penalty must not be imposed on a person in respect of an act referred to in subsection (1) if

  • (a) a prosecution for the act has been initiated against the person; or

  • (b) five years have passed since the day on which the Minister became aware of the act.

• Marginal note:Rescission of penalty

  (7) The Minister may rescind a penalty imposed under subsection (2)

  • (a) on the presentation of new facts; or

  • (b) on being satisfied that the penalty was imposed without knowledge of, or on the basis of a mistake as to, some material fact.