A representative for the Bank of Montreal (BMO) is speaking publicly for the first time since an 12-year-old Indigenous girl and her grandfather were handcuffed while trying to open an account at the institution.
The incident, which touched off allegations of racial profiling, took place on Dec. 20, and saw Bella Bella man Maxwell Johnson, 56, and his granddaughter handcuffed by Vancouver police, after bank staff were “unable to validate” their government-issued ID.
LISTEN: CKNW’s Lynda Steele speaks with BMO executive Erminia Johannson
Erminia Johannson, group head of North American personal banking and U.S. business banking, spoke with Global News and CKNW on Thursday, after the bank announced a new Indigenous Advisory Council.
“We made a mistake here. Let’s be very clear. I want to make sure that is understood,” said Johannson.
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“We are sad. We are broken ourselves in the sense of saying this should not have happened on our shift.”
But Johannson rejected the allegation that racism was in any way involved in the call to police reporting an alleged fraud.
“Our validation process identified a serious issue in the actual identification. This is where we should have stopped. I will keep repeating it and say our mistake was picking up the phone and calling the police,” she said.
“We set off a spark — I’ll use that language — that had unintended consequences that were extreme in this case. And we are heartfelt, sad, disappointed, embarrassed and apologetic on this situation.”
0:59 Attempt to open bank account ends in handcuffs for B.C. girl and grandfather
Attempt to open bank account ends in handcuffs for B.C. girl and grandfather
Johannson added BMO had conversations with “hundreds of Indigenous leaders, customers, employees” and conducted a review of what took place, and determined the incident “cannot be characterized” as racist.
Johnson told Global News that he provided Indian Status Cards, his own BMO bank card and a birth certificate, but that the teller told him “one or two numbers didn’t add up,” prior to the police being called.
Vancouver police have said they received a 911 call about a fraud in progress, identifying a South Asian man and 16-year-old girl as suspects.
Johannson did not answer directly when asked if there would be any repercussions for the employee or employees who phoned police, setting off the “spark.”
“Right now that employee is not in that branch as we speak,” she said.
“We’re all accountable for this. We’re taking action and we’re going to get this right.”
2:09 BMO demonstrators demand justice for B.C. Indigenous man and girl
BMO demonstrators demand justice for B.C. Indigenous man and girl
Johannson said the bank has apologized to Johnson, but added BMO will have to “meet, talk, and do more than an apology.”
She also pointed to the bank’s new Indigenous Advisory Council, which includes eight Indigenous leaders from across Canada, as a commitment to review and improve BMO’s policies and work towards reconciliation.
Johnson, a member of the Heiltsuk Nation, declined an interview with Global News to comment on Johannson’s remarks. Instead he referred to his lawyer, who also declined comment.
In a statement, the Heiltsuk Nation said the appointment of the new council is “marred” by BMO’s continued denial that the incident involved racial profiling.
“Denying racism will not move us forward. This moves us backwards,” the nation said, adding it has yet to hear from BMO or the Indigenous Advisory Council.
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“While today’s announcement would normally be a good first step, it’s hard to put weight on this advisory council because it has been assembled so quickly – it feels very much like a reactive gesture or public relations effort.”
The Heiltsuk Nation added Johnson would be commenting after the weekend.
Chief Patrick Michell of the Kanaka Bar Indian Band, the sole B.C. member of the new council, said he believes the body can have a positive effect.
“People are disappointed and angry about this and I don’t blame them. The Bank of Montreal has accepted responsibility for this and they’ve come up with a strategy moving forward,” he said.
“I’m looking at this incident, what happened — that’s yesterday. I’m more focused on making sure it doesn’t happen again tomorrow.”
1:56 Investigation ordered into handcuffing of grandfather and granddaughter
Investigation ordered into handcuffing of grandfather and granddaughter
Michell said he wasn’t sure when the council would start its work, but that the first priority would be looking at the bank’s policies and practices.
He also said there were no plans as of yet to speak with Johnson or his granddaughter, but that he was open to the idea.
Johnson has previously indicated that he may file a human rights complaint over the incident.
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British Columbia’s Office of the Police Complaints Commissioner has also ordered an investigation into the Vancouver police’s handling of the incident.
MONTREAL – Travel company Transat AT Inc. reported a loss in its latest quarter compared with a profit a year earlier as its revenue edged lower.
The parent company of Air Transat says it lost $39.9 million or $1.03 per diluted share in its quarter ended July 31.
The result compared with a profit of $57.3 million or $1.49 per diluted share a year earlier.
Revenue in what was the company’s third quarter totalled $736.2 million, down from $746.3 million in the same quarter last year.
On an adjusted basis, Transat says it lost $1.10 per share in its latest quarter compared with an adjusted profit of $1.10 per share a year earlier.
Transat chief executive Annick Guérard says demand for leisure travel remains healthy, as evidenced by higher traffic, but consumers are increasingly price conscious given the current economic uncertainty.
This report by The Canadian Press was first published Sept. 12, 2024.
Dollarama Inc.’s food aisles may have expanded far beyond sweet treats or piles of gum by the checkout counter in recent years, but its chief executive maintains his company is “not in the grocery business,” even if it’s keeping an eye on the sector.
“It’s just one small part of our store,” Neil Rossy told analysts on a Wednesday call, where he was questioned about the company’s food merchandise and rivals playing in the same space.
“We will keep an eye on all retailers — like all retailers keep an eye on us — to make sure that we’re competitive and we understand what’s out there.”
Over the last decade and as consumers have more recently sought deals, Dollarama’s food merchandise has expanded to include bread and pantry staples like cereal, rice and pasta sold at prices on par or below supermarkets.
However, the competition in the discount segment of the market Dollarama operates in intensified recently when the country’s biggest grocery chain began piloting a new ultra-discount store.
The No Name stores being tested by Loblaw Cos. Ltd. in Windsor, St. Catharines and Brockville, Ont., are billed as 20 per cent cheaper than discount retail competitors including No Frills. The grocery giant is able to offer such cost savings by relying on a smaller store footprint, fewer chilled products and a hearty range of No Name merchandise.
Though Rossy brushed off notions that his company is a supermarket challenger, grocers aren’t off his radar.
“All retailers in Canada are realistic about the fact that everyone is everyone’s competition on any given item or category,” he said.
Rossy declined to reveal how much of the chain’s sales would overlap with Loblaw or the food category, arguing the vast variety of items Dollarama sells is its strength rather than its grocery products alone.
“What makes Dollarama Dollarama is a very wide assortment of different departments that somewhat represent the old five-and-dime local convenience store,” he said.
The breadth of Dollarama’s offerings helped carry the company to a second-quarter profit of $285.9 million, up from $245.8 million in the same quarter last year as its sales rose 7.4 per cent.
The retailer said Wednesday the profit amounted to $1.02 per diluted share for the 13-week period ended July 28, up from 86 cents per diluted share a year earlier.
The period the quarter covers includes the start of summer, when Rossy said the weather was “terrible.”
“The weather got slightly better towards the end of the summer and our sales certainly increased, but not enough to make up for the season’s horrible start,” he said.
Sales totalled $1.56 billion for the quarter, up from $1.46 billion in the same quarter last year.
Comparable store sales, a key metric for retailers, increased 4.7 per cent, while the average transaction was down2.2 per cent and traffic was up seven per cent, RBC analyst Irene Nattel pointed out.
She told investors in a note that the numbers reflect “solid demand as cautious consumers focus on core consumables and everyday essentials.”
Analysts have attributed such behaviour to interest rates that have been slow to drop and high prices of key consumer goods, which are weighing on household budgets.
To cope, many Canadians have spent more time seeking deals, trading down to more affordable brands and forgoing small luxuries they would treat themselves to in better economic times.
“When people feel squeezed, they tend to shy away from discretionary, focus on the basics,” Rossy said. “When people are feeling good about their wallet, they tend to be more lax about the basics and more willing to spend on discretionary.”
The current economic situation has drawn in not just the average Canadian looking to save a buck or two, but also wealthier consumers.
“When the entire economy is feeling slightly squeezed, we get more consumers who might not have to or want to shop at a Dollarama generally or who enjoy shopping at a Dollarama but have the luxury of not having to worry about the price in some other store that they happen to be standing in that has those goods,” Rossy said.
“Well, when times are tougher, they’ll consider the extra five minutes to go to the store next door.”
This report by The Canadian Press was first published Sept. 11, 2024.
TORONTO – The U.S. Consumer Financial Protection Bureau has ordered TD Bank Group to pay US$28 million for repeatedly sharing inaccurate, negative information about its customers to consumer reporting companies.
The agency says TD has to pay US$7.76 million in total to tens of thousands of victims of its illegal actions, along with a US$20 million civil penalty.
It says TD shared information that contained systemic errors about credit card and bank deposit accounts to consumer reporting companies, which can include credit reports as well as screening reports for tenants and employees and other background checks.
CFPB director Rohit Chopra says in a statement that TD threatened the consumer reports of customers with fraudulent information then “barely lifted a finger to fix it,” and that regulators will need to “focus major attention” on TD Bank to change its course.
TD says in a statement it self-identified these issues and proactively worked to improve its practices, and that it is committed to delivering on its responsibilities to its customers.
The bank also faces scrutiny in the U.S. over its anti-money laundering program where it expects to pay more than US$3 billion in monetary penalties to resolve.
This report by The Canadian Press was first published Sept. 11, 2024.
