Canada is preparing new rules to curb fraud by immigration consultants and strengthen enforcement against misconduct. The measures would expand the College of Immigration and Citizenship Consultants’ (CICC) authorities and introduce tougher federal penalties for unlawful advice.
On This Page You Will Find
- What the minister is preparing and why
- The draft powers for the CICC – investigations, discipline and compensation
- How federal penalties for unlawful advice would work
- Recent enforcement examples that prompted action
- Practical steps for applicants and employers
The initiative responds to a series of tribunal findings and investigations into job-selling schemes and falsified documents. On August 8, 2025, The Globe and Mail reported that Immigration Minister Lena Metlege Diab is drafting new regulations to give the regulator stronger tools, including ways to secure compensation for victims.
What Ottawa is proposing
IRCC has outlined draft regulations to improve how the CICC operates – including clearer investigation powers, stronger complaints and discipline processes, and a compensation fund for clients harmed by dishonest consultants. These proposals were posted for consultation and are slated for implementation in 2025.
Separate amendments published in the Canada Gazette describe a framework where the College may impose penalties of up to $50,000 per contravention under the College Act and require the College to issue payments through a compensation fund.
In parallel, Ottawa has proposed administrative monetary penalties for paid representatives – authorized or unauthorized – who break the law under IRPA and the Citizenship Regulations, with fines that can reach up to $1.5 million in the most serious misrepresentation cases, plus public naming of violators.
Recent enforcement illustrates the problem
In May 2025, the CICC revoked the licence of Hossein Amirahmadi after finding he engaged in job selling and created fraudulent payroll records. The tribunal ordered $32,200 in restitution to clients, a $50,000 fine and $49,100 in costs. The case highlights why clearer collection and compensation mechanisms are being advanced.
CBSA has also pursued criminal cases tied to consultant fraud. Recent files include convictions in Winnipeg (October 2024) and Edmonton (May 2024), involving counselling misrepresentation, fake job offers and forged documents.
What newcomers and employers should do now
- Verify your representative is licensed and in good standing on the CICC public register.
- Avoid paying for jobs, LMIA offers or “guaranteed” approvals – these are red flags.
- Keep copies of contracts, receipts and communications in case you need to file a complaint or seek compensation when the new fund rules take effect.
FAQ
What new powers could the CICC get?
Draft regulations would clarify and strengthen the College’s investigation and discipline processes, require a public register, and operationalize a compensation fund for clients harmed by dishonest consultants. These measures are intended to improve oversight and public protection.
How do proposed federal penalties differ from College fines?
College fines apply to breaches of the College Act by licensees and can reach $50,000 per contravention. Separate IRPA/Citizenship regulations would allow administrative monetary penalties against any paid representative who breaks the law, with maximums up to $1.5 million in serious misrepresentation cases.
Why is the government acting now?
A series of investigations and tribunal decisions exposed job-selling schemes and falsified documents. The Amirahmadi decision in May 2025 – with fines, costs and restitution ordered – underscored gaps in compensation and enforcement that the new rules seek to address.
Will victims be compensated under the new framework?
Yes – the College Act requires a compensation fund, and draft regulations detail how it would operate and how payments would be issued to eligible clients. This is designed to deliver faster, more predictable redress for harmed applicants.
What should I do if I suspect consultant fraud?
Report concerns to the CICC and, where crimes may be involved, to CBSA. Preserve contracts, receipts and communications. Check the CICC register before retaining anyone. CBSA has successfully pursued criminal cases for counselling misrepresentation and document fraud.
