The federal government has proposed tough new measures to deal with white-collar criminals, including two-year minimum sentences in fraud cases involving more than $1 million.

"We are committed to cracking down on white-collar crime and increasing justice for victims by providing tougher sentences for the criminals responsible," Justice Minister Rob Nicholson said Tuesday in Ottawa.

Justice Minister Rob Nicholson proposes new measures against white-collar criminals. (Sean Kilpatrick/Canadian Press)The proposed legislation would introduce "aggravating factors" for judges to consider when handing down sentences.

Those would include the financial and psychological impact of the crime; the age, health and financial situation of the victims; and whether the fraudster concealed or destroyed records.

Other aggravating factors would include the "magnitude, complexity and duration" of the fraud and "the degree of planning that went into it."

Under the bill, judges would be required to consider whether to order restitution to victims.

Judges could also call for a community impact statement that would describe the losses suffered, and they could bar convicted fraud operators from ever handling other people's money again.

'They do everything they can to gut, derail, delay or block our legislation.'—Justice Minister Rob Nicholson

Nicholson criticized the opposition parties for not expediting the Tory government's anti-crime laws.

"They may claim to support our tough-on-crime measures, yet when the cameras are off they do everything they can to gut, derail, delay or block our legislation," he said.

"We can only hope they will now listen to Canadians and stop obstructing our efforts to tackle crime in this country. Canadians want action on crime – all types of crime – and this government is delivering."

High-profile cases

Ottawa has long been concerned about Canada's global reputation for being lax on white-collar crime. And recently, high-profile cases of fraudsters bilking investors out of their retirement savings have prompted a public outcry.

In Alberta last month, two men were charged in a scheme that police say robbed about 4,000 investors of up to $400 million.

In Quebec, Montreal investment dealer Earl Jones is facing fraud charges over an alleged Ponzi scheme that led to the disappearance of millions in investors' savings.

Quebec Premier Jean Charest has been pushing Ottawa to beef up its white-collar laws.

Non-violent criminals convicted of a first offence are often eligible for parole after serving just one-sixth of their sentences.

Nicholson has been talking for weeks about cracking down on white-collar crime, saying his pending legislation would include minimum jail terms, longer sentences and improved restitution for victims.

He has been working with victims' groups to develop the bill.

But some legal experts wonder whether stricter laws will actually deter fraud and corporate crime, because perpetrators assume they will get away with their crimes.

And prominent criminal lawyer Edward Greenspan, whose clients have included entertainment mogul Garth Drabinsky and media magnate Conrad Black, has complained that the fight against white-collar crime is approaching "hysteria," unfairly branding business people as criminals.

Victims' rights groups have urged Ottawa to undertake various measures to protect investors. These could include a centralized process to handle complaints, better communication to investors from securities regulators when companies are under suspicion, and more resources for police to investigate fraud.