Compliance inspections for controlled goods
Once registered in the Controlled Goods Program, your work site will undergo an inspection.
Why inspections are required
Inspections are conducted by the Controlled Goods Program to ensure that registrants are compliant with the Defence Production Act and Controlled Goods Regulations.
Note
Non-compliance could lead to suspension or revocation of registration in the Controlled Goods Program. Any person who fails to comply with the Defence Production Act may:
- have their registration with the Controlled Goods Program suspended or revoked
- face prosecution for failing to comply and be subject to a fine not exceeding $2,000,000 and/or imprisonment not exceeding 10 years
What to expect during an inspection
An inspector from the Controlled Goods Program will contact the organization’s authorized individual or designated official to schedule a compliance inspection.
There are 4 types of compliance inspections:
- on-site: conducted if you are examining, possessing or transferring controlled goods at your place of business
- by telephone: conducted if you are not examining, possessing or transferring controlled goods at your place of business
- follow-up: conducted if outstanding compliance issues have to be addressed following an on-site or telephone inspection
- close-out: conducted if registration is no longer required
The inspector will notify the organization’s authorized individual or designated official of any deficiencies. Registrants must correct these deficiencies as soon as possible to be compliant.
Preparing for the inspection
Inspectors will require access to certain documentation that you can prepare before the inspection. You or your organization must:
- supply the inspector with a copy of your security plan (learn about developing a security plan)
- make available your transfer/disposal records for controlled goods
- make available your employee’s security assessments
Read the controlled goods pre-inspection checklist to prepare for the inspection.