Canada Day..or iszit China Day

Canadian flags made in China?

 Thursday, July 2, 2009

Everywhere you looked on Canada Day, the Maple Leaf was proudly waving in the breeze.

Children hold flags tight as they enjoy festivities, motorists fly them from vehicle windows, and Canadians have them pinned to their shirts.

But MP Charlie Angus (NDP -- Timmins-James Bay) is a little worried about where the federal government is getting the memorabilia from.

Angus is claiming the company awarded the contract in May 2007 to create the items is simply a shell company -- one with a Canadian address, but with an owner based in California, who ships contracts to China.

"On Canada Day every Member of Parliament across Canada, gives out thousands of Maple Leaf flags and memorabilia," Angus told The Daily Press. "People of are proud of the Maple Leaf. I think it's one of the great symbols of the world. It stands for something."

Angus' concern comes from research he said proves the contract was provided to 6768997 Canada Inc., which in May 2007 was registered at an address just outside of Montreal, with the real owner listed in Del Ray, Calif.

"This is a company that has no corporate history and nothing to do with Canada other than an address," Angus said. "How is it that a guy in California can set up an address in Canada and two months later he's walking out with a contract with the federal government that's worth half a million dollars?

"How does a Canadian company compete against that?"

Angus said he has spoken to in the Canadian manufacturing industry who invented the Canadian flag pin. They were ready for the contract and were waiting for it to become available to bid on it.

"They were saying they had people in Canada ready to work, ready for the job," said Angus. "But they're competing against this shell company that has no overhead, no employees."

According to Angus, the company awarded the series of contracts back in 2007 and never even touches the products, but ships the contract to a manufacturer in China.

The issue itself goes far beyond the contract with the Canada Day pins and flags, but Angus said it shows the Conservative government's lack of support for Canadian business.

Currently, he's looking into procurement issues, hoping to give small and medium-sized businesses a shot at government contracts.

"I am talking with some of my colleagues right now to perhaps take this one step further to a parliamentary investigation," Angus said. "This shouldn't be happening, there should be fair competitions.

"And if it's a parliamentary gift we're giving out, I don't want it made in some sweatshop in China.

"I want it made by Canadian workers, and if it costs us a couple extra pennies, so be it."