Ahlul-Bayt Centre – Federal Court of Appeal refuses to grant an injunction deferring revocation of charitable registration

CRA indicated to an Ottawa Islamic school (the “Centre”) that it would revoke the Centre’s charitable registration after 30 days by publishing a notice of intention to revoke (based on serious non-compliance). The Centre applied to the Court of Appeal for an order prohibiting publication of the revocation notice until a later date based on the timing of when the Minister disposed of its objection under s. 168(4) to the notice.

In dismissing the application for this order, Laskin JA found that the Centre had failed to establish one of the tests for issuing an injunction, namely, of irreparable harm from the revocation. He stated:

The evidence that significant numbers of parents would withdraw their children from the school within one or two months is … neither clear nor compelling.

… While the Centre asserts that “[t]he loss of tuition revenue and the reduction of the donor base for School related fundraising will make [the Centre] financially incapable of operating the School, leading to its closure,” it has not …provided its current budget or other supporting financial information. … Its financial statements for 2016 also show an excess of revenues over expenditures of $307,242. …

Neal Armstrong. Summary of Ahlul-Bayt Centre, Ottawa v. Canada (National Revenue), 2018 FCA 61 under s. 168(2)(b).