Licence Appeal Tribunal
FILE: 9016/TIA
CASE NAME: 9016 v. Registrar, Travel Industry Act 2002
An Appeal from a Notice of Proposal by the Registrar, Travel Industry Act, 2002, S.O. 2002, c. 30, Sch. D – dated April 14, 2014 to Revoke Registration
Lily Vacation Inc. Appellant
-and-
Registrar, Travel Industry Act, 2002 Respondent
CONSENT ORDER
Upon the application to the Tribunal by Lily Vacation Inc., the Appellant, and the Registrar, under the Travel Industry Act, 2002 for issuance of a Consent Order of the Tribunal without a hearing pursuant to section 4.1 of the Statutory Powers Procedure Act, R.S.O. 1990, c. S.22; and
Having reviewed the written settlement signed by the Appellant and the Registrar, Travel Industry Act, 2002 as to the disposition of these proceedings which is filed and attached hereto as Schedule “A”;
NOW THEREFORE, upon consent of the parties, this Tribunal orders that the proceedings in this matter are concluded and disposed of without a hearing on the basis of the terms set out in the said Schedule “A”, which are incorporated into and made part of this Order.
LICENCE APPEAL TRIBUNAL
Patricia McQuaid, Vice-Chair
RELEASED: September 17, 2014
SCHEDULE "A"
Licence Appeal Tribunal
LILY VACATION INC. Applicant
AND
REGISTRAR, TRAVEL INDUSTRY ACT, 2002 Respondent
MINUTES OF SETTLEMENT
WHEREAS Lily Vacation Inc. located at B108-3272 Midland Avenue, Scarborough, M1V 0C7, is a travel agent (Registration No. 50018103) registered on February 3, 2010, under the Travel Industry Act, 2002 ("the Act") and Ontario Regulation 26/05 made under the Act (the “Regulation”);
AND WHEREAS the Registrar issued the Notice of Proposal to Revoke Registration of Lily Vacation Inc. on April 14, 2014 (“NOP”), for the reason Lily Vacation Inc. is and has been carrying on activities that are in contravention of the Act and the Regulation;
AND WHEREAS Lily Vacation Inc. appealed the NOP to the Licence Appeal Tribunal;
AND WHEREAS the NOP was issued for a failure of the Lily Vacation Inc. to file financial statements for the year ending October 31, 2013 and failure to respond to TICO correspondence in timely manner.
AND WHEREAS the parties agreed to settle all of the issues outstanding in the appeal on the following terms and conditions:
The parties consent to an Order of the Licence Appeal Tribunal incorporating the terms of these Minutes of Settlement and disposing of these proceedings without a hearing.
The Registrant must maintain its trust account in accordance with the Act and the Regulation and Trust Accounting Guidelines.
The Registrant shall submit to TICO its monthly trust reconciliation (a reconciliation showing total outstanding receipts from customers for the related travel services compared to trust funds held in the Trust Account) for the months of August through to and including October 2014, or until such other time as the Registrar indicates. The Trust Reconciliations shall comply with the following requirements:
a. Each Trust Reconciliation is to be submitted within 30 days from the end of the each month. For example, the Trust Reconciliation for August 2014 is due September 30, 2014;
b. Each Trust Reconciliation shall include a list of consumer deposits on hand and a listing by customer name/Invoice #, date paid and amount related to any partial supplier payment related to the moneys received form consumers, if applicable
c. The Trust Reconciliation shall include a copy of the Travel Industry Act Trust bank account statement for the particular month.
The Registrant shall file any and all annual financial statements for each fiscal year prepared by a public accountant licensed under the Public Accountancy Act, 2004 and accompanied by a Review Engagement Report or an Audit Opinion as required by the Regulation within 3 months after the end of the fiscal year.
Each and every annual financial statement filed with TICO shall disclose the trust position at the end of the year. The statement with respect to the trust position shall include the balance in the Travel Industry Act Trust Account at the year end, customer deposits, plus any other balances that are included in the trust position. If the customer deposits are nil at the year end, then it must be stated as such.
The Registrant shall respond to TICO inquiries and requests within a reasonable time.
The Registrant shall appoint a supervisor/manager who is available to respond to TICO correspondence and inquiries during the business hours of the Registrant.
The Registrant shall advise TICO of changes outlined in sections 16 and 17 of the Regulation within the time prescribed in those sections.
The Registrant shall, at all times, maintain the minimum working capital as required by section 24 of the Regulation. If based on the financial statements submitted by the Registrant, the Registrar concludes that the working capital of the Registrant is not in compliance with s. 24 of the Regulation, the Registrant shall take the necessary steps to correct its working capital position and submit proof thereof within 30 days from the request by the Registrar.
Ms. Li Yang will sign up and attend at the TICO Accounting Seminar as soon as possible.
Lily Vacation Inc. and the undersigned, acknowledge that we have read, understand and will comply with the terms of these Minutes of Settlement.
Lily Vacation Inc. further acknowledges that it has obtained or has had full opportunity to obtain independent legal advice with respect to the terms of these Minutes of Settlement and their legal effect and impact and further undertakes to comply with them.
SIGNED THIS DAY OF , 2014
Ms. Li Yang, Manager/President
Mr. Michael Pepper
Lily Vacation Inc. I have the authority to bind the corporation
Registrar, Travel Industry Act, 2002