Licence Appeal Tribunal
FILE: 9575/TIA
CASE NAME: 9575 v. Registrar, Travel Industry Act, 2002
An appeal from a Notice of Proposal of the Registrar, Travel Industry Act, 2002, S.O. 2002, c. 30, Sch. D, dated April 27, 2015 - to Revoke Registration
Akkiratourz Ltd. Appellant
-and-
Registrar, Travel Industry Act, 2002 Respondent
CONSENT ORDER
Upon the application to the Tribunal by Akkiratourz Ltd., 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 the 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: August 18, 2015
SCHEDULE "A"
Licence Appeal Tribunal
Akkiratourz Ltd. Appellant
-and-
Registrar, Travel Industry Act, 2002 Respondent
MINUTES OF SETTLEMENT
WHEREAS Akkiratourz Ltd., located at 1961 Kennedy Road, Unit 4, Toronto, Ontario, M1P 5A2, is a travel agent (Registration No. 50021125) registered on March 7, 2014, 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 against Akkiratourz Ltd. on April 27, 2015 (the “NOP”), for the reason Akkiratourz Ltd. is and has been carrying on activities that are in contravention of the Act and the Regulation;
AND WHEREAS Akkiratourz Ltd. appealed the NOP to the Licence Appeal Tribunal;
AND WHEREAS the NOP was issued for a failure of Akkiratourz Ltd. to file financial statements for the period ending September 30, 2014 and failed to maintain a minimum working capital;
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 accepts the allegations stated in the NOP as proven and undertakes the following steps to resolve the issues outlined in the NOP.
The Registrant must maintain its trust account in accordance with the Act and the Regulation and Trust Accounting Guidelines.
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 liability, 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 disclosed as such.
The Registrant shall respond to TICO inquiries and requests within a reasonable time.
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 the deadline provided by the Registrar.
The shareholders of the Registrant shall ensure that loans and/or advances to Akkiratourz Ltd. will not be withdrawn until such time as it can be done without reducing working capital below the minimum amount required by the Act and the Regulation.
In the event Akkiratourz Ltd. decides to discontinue operations, any claims against the Ontario Travel Industry Compensation Fund are to be fully satisfied before shareholder loans can be repaid.
Akkiratourz Ltd. and the undersigned, acknowledge that we have read, understand and will comply with the terms of these Minutes of Settlement.
Akkiratourz Ltd. 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 17^TH^ DAY OF AUGUST, 2015.
Ms. Gukadharsini Packiyanathan President/Manager, Akkiratourz Ltd. I have the authority to bind the corporation
Mr. Richard Smart Registrar, Travel Industry Act, 2002