As Canada readies to host the upcoming World Cup soccer tournament, the federal financial intelligence agency is cautioning about the heightened risk of human trafficking exploitation during major sporting events. The Financial Transactions and Reports Analysis Centre of Canada (Fintrac) has issued a new bulletin advising businesses to be vigilant for money transactions that may be associated with trafficking for sexual exploitation or forced labor.
Fintrac, which detects money laundering by analyzing vast amounts of data from financial institutions, disclosed intelligence to law enforcement agencies, including the Canadian Security Intelligence Service and the RCMP. In the 2024-25 period, Fintrac made 316 disclosures of actionable financial intelligence supporting human trafficking investigations, identifying 538 individuals of interest and assisting in 26 project-level probes.
Canada, Mexico, and the United States are set to jointly host the World Cup from June 11 to July 19, with 48 countries participating in 104 matches, including 13 games to be held in Toronto and Vancouver. The bulletin highlights that major international events attract a large number of visitors, potentially increasing the risk of sexual exploitation, especially in areas near event venues and transportation hubs.
Traffickers may exploit the surge in demand for accommodations, entertainment, and commercial services during such events. The bulletin warns that traffickers might use online platforms for advertising sexual services related to the event. Additionally, major events could prompt traffickers to increase their activities or relocate victims to areas with higher demand for their services.
The bulletin emphasizes that traffickers could take advantage of the heightened labor demand in sectors such as hospitality, construction, transportation, and security to exploit vulnerable individuals through deceptive recruitment practices. Financial activities associated with labor trafficking may blend with legitimate business transactions, making them harder to detect.
Businesses under Fintrac’s jurisdiction are required to report suspicious transactions related to money laundering, terrorist financing, or sanctions evasion. The bulletin advises businesses to provide all relevant information in reports related to potential human trafficking to aid in identifying the nature and context of the activity.
Signs of financial dealings linked to commercial sexual exploitation could include excessive expenses on hotels or short-term rentals coinciding with frequent late-night or early-morning ATM withdrawals, especially in event host cities. Another red flag could be payments for online escort ads on behalf of multiple individuals by a single account holder. Indicators of forced labor might include frequent transfers between personal and business accounts without a clear business rationale.