Auto theft funds organized crime, and insurers are footing the bill

Bryan Gast of Équité Association says every stolen vehicle claim insurers pay is helping fund organized crime beyond the car itself

Auto theft funds organized crime, and insurers are footing the bill

Motor & Fleet

By Branislav Urosevic

Auto theft in Canada is not simply a property crime carried out by individual opportunists, according to Bryan Gast (pictured), national vice president of intelligence and investigations at Équité Association, who said the proceeds routinely fund organized criminal activity that reaches well beyond the vehicle itself.

Gast said stolen vehicles function as a commodity for organized groups, whether they are broken down for parts or shipped overseas for resale, and the scale of that trade gives criminal organizations resources that are difficult for law enforcement and manufacturers to match.

"This is a financially motivated crime," Gast said. "So the vehicle itself becomes the commodity, and they're profiting from it."

That financial motivation, he said, is precisely why auto theft cannot be treated as a contained problem affecting only vehicle owners and insurers. Money generated through stolen vehicles often flows into other forms of crime that affect entire communities, which is part of why Gast frames auto theft as a public safety issue rather than a narrower question of property loss.

"It's not a victimless crime, it's not just a property crime," Gast said. "It affects public safety."

Criminal organizations also operate with structural advantages that legitimate institutions do not share, Gast said. They face none of the jurisdictional boundaries, information-sharing constraints, or legal obligations that shape how police forces and regulators must operate, and they have the financial resources to acquire whatever tools or expertise they need.

"Criminals have an advantage," Gast said. "They have no jurisdictional boundaries. They have no information sharing. They have no charter to worry about. Money is no object."

Despite that imbalance, Gast pointed to Ontario's response as a meaningful shift in strategy, one that goes beyond recovering stolen vehicles after the fact and instead targets the criminal networks profiting from the trade. The province provided early funding to stand up a provincial auto theft team led by the OPP, working alongside municipal and regional police services, and Gast said a second component of that effort may prove just as significant: special prosecutors focused specifically on the organized crime elements behind the thefts.

"I think this is a key component of it," Gast said, referring to the special prosecutors. "They're going after the organized crime elements of this, as if they can dismantle the organized crime groups behind it."

Dismantling those networks, rather than recovering individual vehicles, is what Gast said will ultimately determine whether Canada's international standing on the issue improves. He said Interpol currently classifies Canada as a source nation for stolen vehicles, a designation that reflects how deeply organized crime groups have embedded auto theft into their operations.

"Right now, Interpol still sees us, Canadians, or Canada, as being a source nation for stolen vehicles, and we're being targeted," Gast said.

Breaking that cycle, Gast said, would carry consequences beyond auto theft statistics alone, since the same organizations funding their operations through stolen vehicles are often connected to trafficking in drugs and firearms within Canadian communities.

"If we can dismantle these organized crime groups that are using auto theft to fund their criminal operations, and whether they're buying drugs or firearms, and those are staying in the communities in which we all live, that's where it becomes a public safety issue and concern," Gast said.

Enforcement efforts like Ontario's task force and special prosecutors represent important progress, Gast said, but he was careful to note that arrests alone will not resolve the problem on a lasting basis. Long-term change, in his view, depends on pairing that enforcement work with progress on making vehicles themselves harder to steal in the first place.

"The more we can do to dismantle these groups, I think, helps with the long-term decline of auto theft in Canada," Gast said.

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