Wrong.
Canada hasn't made $2 bills in over a decade (they've been replaced by coins).
The "American flag" was reported to be on the $5 and $10 bills, but the flag is actually the pre-maple leaf "Red Ensign" design that was used until 1965. The reason why the Red Ensign design was chosen and not the Maple Leaf was that the illustrations depict the original parliament buildings, and when they were around, the Red Ensign was the flag at the time.
Urban Legends Reference Pages: Business (Red Ensign Scare)



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