I am the person Leon is taliking about...but their have been some good developments.
1. I was approved for Permanent Residency and will land in 2 days. Since I visited and came back (many times) with no problems since the flag, I had no problems getting approved. The CIC call the flag an "Enforcement action".
2. The "act of God" is actually becoming a Canadian Citizen. My reasearch, and help from immigration officials here on this forum, told two things - A. The flag will still be with me even as a Permanemt Resident, but...yes a but...having a PR card during the 2nd screening process will express me through without any questions. This is because as a permanent Resident, i have the RIGHT to enter Canada as opposed to being just a visitor. It will also help that my Canadian wife will be with me as well.... B. When I pass the test for Canadian Citizenship, the flag, and my "wierdness" will be removed.
In the meantime, it is best to have with you when visiting Canada - Round trip ticket, letter from your supervisor stating you will be coming back to your job, your lease or home mortgage, ect. Just about anything you can think of to satisfy the officers that you will not overstay your welcome. In time, if you visit enough, your passport with Canada stamps in it will also help in your evidence that you go back and do not stay over 60 days.