The federal government has proposed fining people and organizations up to $1 million for failing to comply with the requirements of its planned foreign influence transparency registry.

Newly published draft regulations are another step toward establishing the registry, which was set out in legislation passed in 2024 as part of a package of measures to counter foreign interference.

The proposed regulations define key terms and describe the information individuals and entities would have to provide when entering into arrangements with foreign principals, which are entities owned or directed by foreign governments, to influence Canadian political or government activities.

Ottawa says the registry is needed because countries engaging in foreign interference to advance political goals might employ people to act on their behalf without disclosing those ties.