What We Are and Why We're Here

What We Are -- and Why We're Here

In 1993 the Committee for an Ethical AKC was incorporated as a non-profit organization in the State of Illinois. Its name rather explains its reason for being.

Today's AKC is not the staid, haughty, monopoly minded, but essentially integrity-driven, AKC of 40 and more years ago. Rather control of that three-letter symbol has been progressively seized by generations of ever more greedy exploiters. Today it is a controlling group -- a gang, if you prefer that terminology, -- of people who know, or care, little about dogs. For too long they have been living very fat while, in our opinion, operating much as a law above the laws of this nation.

The AKC now has some recently created special "reserve" funds which are identified by numbers. During quarterly meetings of delegates there are "unofficial" "open forums" on the mornings of meeting days. On Sept. 9 that forum was presided over by Chairman David Merriam and President Alfred L. Cheauré. A delegate pointedly asked what the nature and purpose were of one or more of specific numbered accounts. Cheauré's response, possibly paraphrased here, was: "That will be answered in the annual report."

If the quote is substantially correct, that is an answer which is no answer. The AKC's annual report will not become available before March at the very earliest. The response there may, or may not, be illuminating. Now the big question.

If Cheauré and the directors have nothing to hide regarding the direction and disposition of considerable sums of money, why numbers instead of descriptive labels on those "reserves?" And, why can't the delegates know what is happening on their beat?

As we did in 1993, the CEA advises directors that under the Statutes of the State of New York it is not sufficient to vote against questionable moves by whichever non-profit corporation they serve. They must record their opposition. We refer them to §717 of the General Code through §720.

Consider this: last year the AKC grossed $46 million. Deciding on whom, for what and where to dispose of those millions was entirely in the hands of people who had not one nickel of their own invested in this very profitable, largely tax exempt, enterprise. They couldn't lose -- barring conviction for fraud and possible income tax violations.

There are, also, some seldom prosecuted -- but potent -- New York State laws such as the Corporate Practices Act. The Non-profit Corp. Law 112A's sub-paragraph 7 gives broad powers to the Attorney General who sits as an ex-officio member of every such organization in the state. Section §717 and Section §719 combine to place stringent restraints upon directors and officers -- and puts their personal assets at risk if they ignore or violate their charged responsibilities.

Currently in progress are dual criminal investigations of the AKC. One is by New York State Attorney General Dennis C. Vacco. The other from within the "Major Crimes Section" in the office of the United States Attorney for the Southern District of New York. (Manhattan, Bronx and continuing northward into Westchester, Duchess and Orange counties.)

Investigators are, understandably, close-mouthed. We will, however, try to place before visitors to this page any additional "hard information" as it may become available.

The initial federal focus is on possible multitudinous violations of postal laws over a period of many years. That could lead to indictments for criminal mail fraud for knowingly selling, and mailing, registration certificates and "certified" pedigrees the AKC either knew -- or should have known -- contained false and misleading information. All of that allegedly over the past 25 to 30 years.

Using your, the public's, money to crush little people

The power brokers of 51 Madison Avenue have more and more ruled by what might be called their "small carrot and big stick" technique. The goodies they grant -- titles, licenses, awards and judging assignments -- are mere pieces of paper which cost them nothing. Their mildest "big stick"intimidation is withdrawal of those "recognitions" and "privileges" -- or refusal to "approve." them. Carrots are withdrawn or refused when implied threats fail to insure obsequious compliance.

AKC enforcement can be severe. That body's rulers have repeatedly demonstrated readiness to punish by taking a person's livelihood out from under them. The AKC and its chairman are currently among ten named defendants in a $30 million dollar suit for alleged conspiracy to defame a woman's character and for claimed malicious libel against her.

The AKC's sovereigns have seemingly delighted in utilizing the corporate technique of outlawyering. Never mind that it is grotesquely inappropriate for the outfit which has claimed for itself the title, "the sport of purebred dogs."

People who can't afford to match AKC dollars in the court system are either dissuaded from suing -- or they're drained financially. Thus exclusive access to AKC bucks has enabled the men atop 51 Madison to prevail regardless of the merits of their legal position. Just one example: the black Airedale case. The victim lost her business, her home, her husband -- and her dogs. Multiple recent examples: heavy-handed acquisitions of independent breed registries.

Now comes the press 51 Madison can't control, intimidate or eliminate

As with all despotic regimes, the AKC has not only managed to control the canine press in the U.S., it has used its in-house monthly as a carrot dispenser. A captive weekly serves as its in-print punishment-dispensing medium. Independent publications inclined to carry contrary opinions and facts have found it difficult to stay in business. Their major advertisers might anticipate receiving phone calls from people widely known to have close links to the pinnacle of the hierarchy. The tenor of those calls: "I don't think it is a good idea for you to advertise in XX or ZZ!"

The CEA is not vulnerable to such tactics. We neither carry nor need advertising. We're here to offer a much needed medium for the expression of opposing opinions and facts.

Word of the AKC's serious legal problems is more and more getting out in media the AKC cannot control, intimidate or outlawyer.

Time Magazine's December 12, 1994 cover story delineated numerous problems with AKC dogs -- but it did not quite assign blame. That coverage was soon condensed, and corrected, in Readers Digest.

Karl Stark, a widely respected investigative journalist on the staff of the prestigious Philadelphia Inquirer, wrote a carefully researched, two part exposé. It was published in many other newspapers within the Knight-Ridder chain and by uncounted subscriber-media along K-N's news wire. That was in late December of 1995.

Cheauré: "We are convinced these investigations are without merit."

The American Broadcasting Company launched 1997's open season on the AKC. The Peter Jennings program, "World News Tonight" on March 11. offered documentation of possible criminal mail fraud but stopped just short of using that phrase.

Stark was first to break the news nationally that the AKC was the target of simultaneous criminal investigations by the federal and New York State authorities. That was on April 25. On the same date Bill Moores, editor of the venerable British tabloid weekly, Our Dogs, broke the story internationally with a front page piece.

On March 14 and again on April 10 the 51 Madison gang had to send out calming notices to its most faithful. They conceded that some questions had been asked by state and federal authorities. They remarked that, as in the past, such would be answered, presumably, to the satisfaction of all authorities. President Alfred Cheauré wrote: "The AKC is proud of the integrity of its Stud Book and we are convinced these investigations are without merit." Also, "...the AKC cancels thousands of registrations each year."

Not true. Last year the correct total figure for cancellations and postings was 873.

It is true that some of the AKC's bigger customers sell thousands of pups each year.

Capt. Frazer put them on notice -- in 1990. But they liked their lifestyle

In one of the AKC's more notorious outlawyering escapades the defendant was Steven D. Gladstone, Esq. Under discovery rights he demanded the names and addresses of all those who, over a five year period, had registered dogs from kennels subsequently suspended from AKC privileges because their breeding records were either not up to the AKC's published requirements -- or non-existent. The defendant also wanted names, numbers and breeds of those highly questionable canine registerees. That was in the Federal Court of the Second District of Central Pennsylvania in late 1995.

Proud of the integrity of it's Stud Book? The AKC begged the court to excuse it from complying -- because that would be too burdensome upon its facilities and too expensive -- because that would be over 600,000 dogs!

And too expensive? The lush, plush, high living AKC cries poor-mouth whenever it feels that tactic might serve its needs.

The San José Mercury News highlighted the AKC's plight on May 31. The Kansas City Star of May 23 front-paged a lengthy exposé.

The AKC's chieftains have only themselves and their greed to blame for their present plight. In a May 1990 meeting my west coast colleague, then Lt., now Capt., Michael Frazer, put then-Chairman Louis Auslander and Directors Holt and Higgins on notice in regard to the AKC's, and their personal, legal exposures, particularly that of criminal mail fraud.

If the AKC had adopted clean-skirt solutions -- it couldn't have paid its excessive rent

Frazer prescribed two steps which would have enabled the AKC to avoid fraud exposure into the future.

The first: discontinue the investigations department. It only accumulates evidence of guilty knowledge.

The second: print disclaimers on all registration documents, including "certified" pedigrees. Such disclaimers would simply state that the AKC neither guarantees nor warrants the accuracy of its registration records nor the quality or health of dogs so recorded. The disclaimer could then explain in legal language that the information presented consists of largely unsubstantiated statements from breeders, brokers and dealers.

The AKC realized that would kill the ten-times markups its big volume customers were realizing based on the public's long-outdated perception of AKC integrity.

And, consequently, it would suddenly and surely minimize the AKC's increasingly lush registration incomes.

About a year later I published in Dog World [U.S.] another work-around that would give puppy buyers a better break and get the AKC off the fraud snide. Just declare that henceforth all incoming registration documents would have to be in affidavit form. Then, if cheaters wanted to continue doing business with the AKC it would have to be at the risk of felony perjury.

That change would have cost the AKC nothing out of pocket to implement

The AKC deigned not to respond.

It should be interesting to note how effective the AKC's standard intimidation ploys will be once its supplicants learn the grim seriousness of its legal troubles. One criminal investigation has, reportedly, already progressed to presentation of information to the federal grand jury system.