Complaint letter to the Canadian Franchise Association, Oudovikine

Please accept this letter as a complaint against your member, the Canadian Imperial Bank of Commerce, CIBC. It has breached the following provisions of the Canadian Franchise Association's (CFA) Code of Ethics…

Letter to the Canadian Franchise Association
Code of Ethics violation

December 22, 2004
Andrei Oudovikine

850 Steeles Avenue, Unit 708
Thornhill, ON L4J 8E7
416.219.6576 Tel
905.760.7927 Tel/Fax

December 22, 2004

Mr. Richard Cunningham
Canadian Franchise Association
2585 Skymark Avenue, Suite 300
Mississauga, ON L4W 4L5

REGARDING: Code of Ethics Violations
Canadian Imperial Bank of Commerce

Dear Mr. Cunningham:

Please accept this letter as a complaint against your member, the Canadian Imperial Bank of Commerce, CIBC. It has breached the following provisions of the Canadian Franchise Association's (CFA) Code of Ethics:

• Section One - not violate provincial and federal law (lending duty and due diligence: Bank Act and Canada Small Business Financing Act and Regulations; privacy and confidentiality: Bank Act; fair dealings and right to associate: Arthur Wishart Act (Franchise Disclosure);

• Section Six - be fair with franchisees (obstructing complaint, privacy violation, intimidation, attempt to coerce complaint abandonment through third parties, refusal to meet, misrepresentations, refusal to accept complaint, retaliation); and

• Section Ten - do not prohibit a franchisee from forming, joining or participating in any franchisee association, or penalize a franchisee that does so (refusal to deal with advocate, retaliation for CAFO membership).

None of these matters involve civil litigation. CIBC's Ombudsman has accepted a similar complaint from me on December 1, 2004.

CIBC's actions will result in my family's personal and corporate bankruptcy.

My franchisor, Country Style donuts, and Choice Corporation are also members of your association. I understand that these three franchise organizations have significant business relationships.

I am willing to participate in your Franchise Ombudsman Program as long as I do not have to sign pre-meeting waiver of legal rights and confidentiality agreements.

Please provide written confirmation of having received this complaint and your organization's subsequent findings. I understand the CFA has never disciplined any member by revoking its membership.


Mr. Andrei Oudivikine

Mr. John Hunkin
Canadian Imperial Bank of Commerce

Hon. James Watson
Minister of Consumer and Business Services

Mr. Mario Racco, MPP

Hon. David Emerson
Ministry of Industry and Minister responsible for the Economic Development Agency of Canada for the Regions of Quebec

Ms. Susan Kadis, MP

Ms. Suzanne Hurtubise
Deputy Minister, Industry Canada

Mr. Les Stewart
Canadian Alliance of Franchise Operators, CAFO

Risks: Fraudulently inflated franchisee revenue figures, Liar Loans, Able to finance and sell negative cash flow franchise on crooked appraisals, Andrei Oudovikine, Appearance of government oversight, Arthur Wishart Act (Franchise Disclosure), 2000, Canada, Asset-based lending, Auditor General of Canada, Bad faith and unfair dealings, Bank Act, Canada, Bank violates federal privacy laws, Bank complaint process protects those who pay their salaries, Bank pays franchisor with franchisee's funds, Bank refuses to provide mandatory documents, Bank violates federal privacy laws, Bank won't finance deal because they know something you don't, Bankruptcy, Bankruptcy, first the company and then you personally, Banks, Banks allegedly mastermind fraud, Banks are industry cheerleaders, Banks collude, Blocking for the industry, Canada Revenue Agency, Canada Small Business Financing Act, Canada Small Business Financing program, Canadian Alliance of Franchise Operators, CAFO, Canadian Franchise Association, CFA, Canadian Imperial Bank of Commerce, CIBC, Code of ethics, a joke, Code of ethics, almost never enforced, Coerced waiver of legal rights, self, Collaborators, Complaint letter to franchisors trade association, Conspiracy to commit fraud, Conspiracy to hide the true nature of events in order to avoid detection, Controlling, trapping or defeating the franchisee, Credence good fraudulent expert, Credence goods: taking advantage of the innocents, Credibility, Criminal charges, Debt traps, Deceptive business practices, Earnings claim made, Externalities: cheap business decision when someone else pays, Financial Consumer Agency of Canada, Franchise banker, Franchise business model perfectly suited to enable massive fraud, Franchisee leader, Franchising is the most lucrative form of commercial lending, Franchising Opportunism paper, Franchisor financing: faster in, out & resold (serial bankrupts), Franchisor knew they were selling money losing concepts, FranWhack: a system that is not investment-worthy, Fraud, Fraud financed by rigged appraisals used equipment & leaseholds, Fraudster banker, Fraudster broker, Fraudster franchisor, Futility of taking legal action, Government guaranteed loan approved extremely quickly, Government guaranteed loan filled out by sales agent, Government guaranteed loan made without proper security, Government guaranteed loan misapplied, Government guaranteed loan program very attractive to fraud, Government guaranteed loans, Government guaranteed loans used a great deal in franchising, Government guaranteed loans: program loses $1, franchisee families lose $10, Government inquiries into franchise abuse allegations, Government investigation, Government inquiries into franchise abuse allegations, Ideas once outrageous are now considered normal, Illusion of government oversight, Imbalance of information and power, Immigrants as prey, Incompetent or predatory: for the small business investor, the outcome is the same, Industry Canada, Liar loans, Industry in disrepute, Industry elites like this regulator, Lender's due diligence not done properly, Lending duty, Lending duty never enforced via regulation or litigation, Lending is subject to expert fraud because it is a credence good service, Lending risk much lower, Les Stewart, Loan pushing, Loan servicers and brokers attracts fraud, Minister of Finance, Canada, Ministry of Government and Consumer Services, Ontario, Misrepresentations, Most lucrative form of commercial lending, franchising, Multi-tradename franchisors are often the most ruthless, Office of the Superintendent of Financial Institutions, Canada, Ombudsman for Banking Services and Investments, Canada, Ombudsman, franchisee must sign gag order 1st, Ombudsman, funded by franchisors & suppliers, Ombudsman, risk of information going to franchisor, Only saw bank official once before loan granted, Opportunism (self-interest with deceit), Police intervention, Predatory actions, Predatory franchise lending, Predatory lending, Privacy breaches a prerequisite for fraud, Privacy Commissioner of Canada, Refuses to accept complaint, Refuses to investigate complaints, Regulator already has enough power but they don't use it, Reputation management, Retaliation, Right to associate, Right to associate and right to harass, Royal Canadian Mounted Police, RCMP, Sales agent shenanigans, Shame - humiliation emotion, Some of the nastiest predators run several tradename systems, Sunshine is the best disinfectant, Symbiotic relationships (industry, banks, lawyers), Taxpayers end up paying for private gain, Termination threats, The game is rigged, Threats of physical violence, Theft, Tony Martin, Towers of gold, feet of clay, Trap for the trusting, U.S. subprime mortgage scandal, Unauthorized funds transfer by bank, Undue influence, War of attrition, Watchdog fails to bark, Willful blindness, Write a letter of complaint, Canada, 20041222 CFA Complaint

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