I was in the military for a short time and no, not everyone there was part crazy. But there enough in my own platoon. One had joined to get training to train the freemen. Many others were just plain racist by their use of racist terminology. Again, not all, but enough.
One NCO was a collector of Nazi-era paraphernalia. While that alone is not proof of racism, it does raise eyebrows within the context of an environent in which there is considerable racism around him, and maybe he wasn't racist.
Another soldier outside our platoon had Neo-Nazi tatoos, though to be fair I should mention his immediat superior was black.
And yes, there were some blacks in the military too, and no, not all were racist, but the level of racism was still far higher than anything I'd encountered outside the military.
I should point out too that this was well over a decade ago, and so things may have improved sinse. I'm just saying though that this is the same kind of problem and, unless it's been uprooted in the last decade (and it may very well ahve been), then Canada faces the same problem.