New convictions announced by TICO

New convictions announced by TICO

TICO has announced that its appeal has been granted by the Ontario Court of Justice, resulting in the conviction of Ron Greenwood.

He has been convicted of two counts of failing to prevent MKI Travel and Conference Management Inc. (MKI) from committing an offence of failing to deposit trust funds into the trust account (section 27(3) of Ontario Regulation 26/05 made under the Travel Industry Act, 2002), in addition to one count of failing to prevent MKI from committing an offence of failing to obtain the Registrar’s consent in advance of opening a second trust account (section 27(4) of the regulation).

The court also upheld acquittal of Ron Greenwood and MKI of one count of failing to keep customer funds in the trust account (section 27(6) of the Regulation).

MKI was a registered travel agent and wholesaler under the Act whose registration was voluntarily terminated. MKI operated in Ottawa and elsewhere in Ontario; Ron Greenwood was a director of MKI. The Ontario Travel Industry Compensation Fund has paid claims in excess of $2 million related to the closure of MKI.

The sentence in this matter is due to be heard at the Ontario Court of Justice on March 31, 2017 at 1:00 p.m.

Meanwhile, Placido Calore and 407488 Ontario Ltd. o/a Business & Vacation Travel Planners and Blue Mountain Travel (BMT) plead guilty and were each convicted of the following offences under the Travel Industry Act, 2002 and Ontario Regulation 26/05 made under the Act:

  1. Five counts of failing to deposit customer funds into the trust account contrary to s. 27(3) of the Regulation
  2. One count of carrying on business with an unregistered travel agent, Carolyn (Michelle) Solomon, contrary to s. 20 of the Regulation
  3. One count of failing to notify the Registrar, 5 days in advance of closing its Trust Account, contrary to s. 17(2) of the Regulation.

The following sentence was imposed:

  1. BMW – fine in the amount of $20,000
  2. Placido Calore – fine in the amount of $10,000
  3. Placido Calore – pay restitution to consumers in the amount of $13,679
  4. Placido Calore – pay restitution to the Travel Industry Council of Ontario in the amount of $31,704, payable as follows:

    a. $7,000 – payable as a lump sum on the day of sentencing;

    b. $24,704 – payable over a period of 24 months

  5. Placido Calore – Probation Order for a period of 24 months Placido Calore was an officer and director of BMT, a travel agent registered under the Act, which operated in Toronto and elsewhere in Ontario. BMT’s registration was voluntarily terminated effective July 31, 2015.

In a related prosecution, TICO has charged Carolyn Solomon, a former employee of BMT, with 18 counts of operating as a travel agent without registration. She is also facing criminal charges of fraud. Both matters are currently before the Court.