moved that Bill C-229, an act to amend the Canada Post Corporation Act (letter that cannot be transmitted by post), be read the second time and referred to a committee.
Madam Speaker, I am pleased to rise today to speak to my private member's Bill C-229, an act to amend the Canada Post Corporation Act regarding a letter that cannot be transmitted by post. Bill C-229 was first introduced in the House during the first session of the 36th Parliament by my colleague from Burlington, Ontario. At that time it was known as Bill C-409.
The current bill, Bill C-229, addresses an extremely important issue, the delivery of scratch and win cards. In responding to this issue I have heard from many Canadians and many members of the House who have supported my efforts in the subject matter of the bill. I would also like to note that the bill was reviewed by members of every party in the House and was deemed significant enough to Canadians to be deemed votable.
Bill C-229 ensures that Canada Post Corporation does not deliver contests, lotteries or prizes that require individuals to pay out before they collect a prize. The bill is about Canada Post's obligation to deliver responsible and ethical mail. It is important to stress that Bill C-229 would not prohibit Canada Post from delivering invitations to participate in contests or games, but only those that cost the participants to enter before they collect a prize.
Bill C-229 also requires that Canada Post not deliver mail that displays any logo which mimics the federal government logo. These logos are designed to deceive the recipient into believing that the mail is legitimate, that it is being sent to them by the Government of Canada. My legislation would provide for a company, if found guilty of an offence, to receive an initial fine of $5,000. For subsequent offences it would receive fines up to $20,000.
Telemarketing and mail scams have become so rampant within Canada and our society that an organization such as PhoneBusters now exists to address these scams. The statistics of PhoneBusters suggest that between 1996 and 1999 Canadians over the age of 60 had lost a total of $23 million. This represents 81% of the total moneys lost by Canadians.
PhoneBusters also report that the third most common method used to cheat Canadians out of their money is the use of 1-900 numbers. The cards indicate an all winners hotline at 1-900—whatever, for prize claim instructions. Callers are baited into staying on the line and following through a number of instructions while in the meantime the cost of the call goes up and up. As a matter of fact, in the case I have referenced in my own riding the 1-900 number costs $19.99 per minute. This information is written in very little print on the flip side of the game card. Many do not realize that the 1-900 number is not a toll-free number.
In my opinion it is unacceptable that government corporations deliver these cards. Scam Block, a local education group that visits with seniors, wrote to me in support of the bill. It stated:
Seniors often remark at our presentations that opportunities to win can't be fraudulent if they are delivered by Canada Post.
Seniors truly believe that our government would never allow a crown corporation like Canada Post to put income above the needs and the best interest of its citizens.
I stress to members of the House that the majority of Canadians affected by this issue are senior citizens. For seniors, being able to shop by phone and mail is a necessity. Unethical telemarketing practices affect the confidence of seniors who rely on using mail and phone to do their business.
We have a responsibility to consumers. The government has taken some action on this matter, but it does not go far enough. Merely to advise consumers on how to respond to cards does not prevent the financial loss that many Canadians have incurred. The legislation requires the government to proactively respond to this important consumer issue.
This summer I had the occasion to talk to CBC reporters across Canada as they followed this piece of legislation. One of the announcers talked about having to hire a lawyer to protect his father, a senior citizen, who through telemarketing fraud and mail scams had lost all his income and savings on which he relied to live. It is an important issue for Canadians.
It is this type of situation that the legislation would prevent. Scratch and win game cards are deceptive. As legislators we must take the responsibility and act in the best interest of Canadians. That is why I fully support the amendment that will be put by the hon. member for Kelowna.
I call on all members of the House to support this matter as a non-partisan issue that impacts on all Canadians. The proposed amendments will protect Canadian consumers from losing their money daily to those sophisticated criminals by ensuring that Bill C-229 is proclaimed into law. I am confident that the bill will help reduce the victimization of residents across the country.
I fully support the bill. I hope all members of the House support the legislation which will protect consumers and which is good for Canadians.