Licence Appeal Tribunal File Number: 17859/TSSEA

An appeal of a refusal to renew a tow operator certificate issued under the Towing and Storage Safety and Enforcement Act, 2021, S.O. 2021, c. 26, Sched. 3 (the “Act”).

Between:

2523319 Ontario Inc. o/a Pit Stop Auto

Appellant

and

Director of Towing and Vehicle Storage Standards

Respondent

DECISION

VICE-CHAIR:

Jan Dymond

Representatives:

For the Appellant:

Suhaib Khalid, Respondent

For the Respondent:

Patrick Moore, Counsel

Heard by videoconference:

December 15, 2025 and January 5, 2026

OVERVIEW

12523319 Ontario Inc. o/a Pit Stop Auto (the “appellant”) appeals the Refusal to Renew a Tow Operator Certificate issued by the Director of Towing and Vehicle Storage Standards (“respondent”) with regard to its tow operator certificate under the Towing and Vehicle Storage Safety and Enforcement Act, 2021, S.O. 2021, c. 26, Sched. 3, and Regulations (the “Act”).

2The respondent issued a Refusal to Renew a Tow Operator Certificate on October 7, 2025 on the basis that the appellant had provided false information on his application in the form of an altered Criminal Record and Judicial Matters Record Check (“CRJMRC”) contrary to the Act and Regulations

3The appellant submitted a Notice of Appeal on Thursday, October 9, 2025.

4A hearing was convened on December 15, 2025. During the hearing, the appellant requested that a new CRJMRC dated October 7, 2025 be admitted into evidence. The respondent objected on the basis that it had not been provided with a copy of the document in question in advance of the hearing and that they would be unable to verify it. The appellant was unable to provide the respondent with a copy at the hearing. I upheld the respondent’s objection and the document was not entered.

5Immediately following the hearing, the respondent advised that they had been in error and that they had, in fact, received a copy of the new CRJMRC on October 17, 2025 as part of the appellant’s case conference disclosures. The matter was scheduled for a resumption on January 5, 2026 to consider the new background check document and further closing submissions.

ISSUE

6The issues in dispute are:

i. Has the respondent established that 2523319 Ontario Inc. o/a Pit Stop Auto has failed to meet the requirements of paragraphs 5, 6, 10, or 12 of s. 8 of O. Reg. 167/23, and, if so,

ii. If so, is the respondent’s refusal to renew the tow operator licence appropriate?

RESULT

7The respondent has established that that appellant breached sections 5, 6, and 12 of the Regulations; however, the respondent has not established that refusal to renew the tow operator licence is appropriate. The refusal to renew the tow operator licence is set aside.

ANALYSIS

8The qualifications and requirements for renewals of a Vehicle Storage Certificate are set out in Section 23 of Ontario Regulation 167/23, (“Regulation”). The respondent alleges that the appellant fails to meet the requirements of s.23 of the Regulation, paragraphs 5, 6, 10, and 12 as well as sections 33(1) and 46(7) of the Act:

Qualifications and requirements for certificate

Section 23. The qualifications and requirements for the issuance or renewal of a vehicle storage certificate are as follows:

5. The applicant has not contravened,

i. the Act or this Regulation, or

i. any provisions of the Consumer Protection Act, 2002 or regulations made under that Act applicable to consumer agreements.

6. The applicant has not made a false or inaccurate statement on the application for the issuance or renewal of the certificate.

7. If the applicant is an individual, the applicant is a fit and proper person to be a vehicle storage operator, having regard to the applicant’s character, integrity and past conduct, including any breaches of the code of conduct.

8. If the applicant is a corporation, the officers and directors of the corporation meet the qualifications and requirements set out in paragraphs 6, 7 and 10.

9The Registrar submits that the appellant altered a CRJMRC and, in doing so contravened the above sections of the Regulation as well as sections 33(1) 46(7) of the Act thereby disentitling the appellant to a certificate.

10Subsection 33(1) of the Act states that no person shall falsify any information or

document that the person is required to provide under this Act or any other prescribed Act

11Subsection 46(7) of the Act states that every person who submits a false or inaccurate document, makes a false statement or includes inaccurate information in or with an application, declaration, affidavit or other document required by the respondent or under this Act is guilty of an offence.

12Andrew Gill, Senior Regulatory Compliance Administrator with the Ministry of Transportation testifying on behalf of the respondent, stated that introduction of the Act was intended to tackle a few concerns in the towing industry such as predatory practices, unsafe driving behaviours, taking advantage of consumers, and to eliminate criminal elements that had become pervasive in the towing industry. One of the requirement for certification is that certificate holders do not have any record of disqualifying convictions as defined in Regulations. He testified that in order to demonstrate that they meet those criteria tow operators are required to file a Criminal Records and Judicial Matters Record Check upon initial application and every year as part of their renewal application. He further stated that the CRJMRC must be no older 90 days from the date of the renewal application.

13The respondent submits that Suhaib Khalid is the sole respondent of 25233319 Ontario Inc. As such, he is required to file a personal CRJMRC annually in support of the company’s renewal applications. The respondent further submits that by correcting the spelling of his first name, the appellant has falsified the document and committed a serious offence under the Act.

14Mr. Gill testifies that the respondent rejected the appellant’s renewal application on September 15, 2025 because of an inconsistency in the spelling of Mr. Khalid’s first name on the CRJMRC dated September 3 which appeared as “Suhiab” instead of “Suhaib” as indicated on Mr. Khalid’s other identification (Exhibit 1, Page 13). Mr. Gill testifies that the appellant resubmitted the CRJMRC (Exhibit 1, Page 18) also dated September 3, 2025 with correct spelling of his first name; however, Peel Police were unable to verify the document (Exhibit 1, Page 20)). He testifies that, as a result, the respondent concluded that the document had been falsified. The respondent notified the appellant that the application for renewal for the tow operator certificate was refused because the respondent had determined that the most recent CRJMRC document had been altered.

15The appellant acknowledges that he submitted an altered CRJMD but testifies that he did so only to correct a typographical error in the spelling of his first name.

16The appellant testifies that he was unaware of the typographical error when he submitted the initial CRJMRC. He testifies that following the respondent’s rejection of the initial CRJMRC, he contacted Peel Police in order to have the spelling of his name corrected. He testifies that he was advised that he made the error when he created his profile and that Peel Police did not provide him with assistance in correcting the error. He testifies that, at the time and because he was under a 90 day limit to submit a correct document, he believed he had no available options and proceeded to correct the spelling on the document himself. When that document was rejected on September 15, 2025, he states that he again contacted Peel Police and, after speaking with two or three individuals, was advised to create a new profile. On their advice, he created a new profile and secured a CRJMRC with the correct spelling of his name.

17The updated CRJMRC dated October 7, 2025 was entered into evidence (Exhibit 2). It confirms that the appellant does not have a record. The Registrar confirmed that they had been able to validate the authenticity of the updated CRJMRC with Peel Police.

18I find that the respondent has not established grounds that the appellant is not a fit and proper person to be a vehicle storage operator, having regard to the applicant’s character, integrity and past conduct, including any breaches of the code of conduct pursuant to s. 23 paragraph 10. I find that the respondent has met their onus to establish that the appellant falsified a document in contravention of s.23 paragraphs 5, 6 and 12 of the Regulation and sections 33(1) and 46(7) of the Act.

19I find, however, that the respondent has not met their onus to justify refusal of the appellant’s tow operator certificate for reasons that follow.

Conclusion

20Under s.37(4) of the Act, the Licence Appeal Tribunal may confirm, modify or set aside the decision of the respondent.

21I find that the respondent’s refusal to renew the appellant’s tow operator certificate is disproportionate to the offence and inconsistent with the purpose of requiring a CRJMRC, which is to prevent those with a criminal record from participating in the towing industry. The appellant acknowledges that he corrected the spelling of his first name and there is no evidence that he attempted to conceal the fact that he altered the document. Nor is there evidence that the alteration was made in with an intention to mislead with respect to material information contained in the document, for example to conceal a criminal record . Indeed, the most recent CRJMRC confirms that the appellant has no criminal history. I accept his testimony that he only made the decision to correct the spelling of his name on the document after making genuine efforts to contact Peel Police for assistance in correcting his profile and that he was unaware that such alterations are an offence. The alteration itself, the reversal of two letters in the appellant’s first name, while a falsification, is minor.

22Accordingly, I order the decision of the Director to be set aside and order the Director to grant the appellant’s application for renewal of its tow operator certificate.

ORDER

23The Director’s Refusal to Renew a Tow Operator Certificate to 2523319 Ontario Inc. o/a Pit Stop Auto is set aside.