Directions for Conservatory Measures to Alterna Savings, 400 Albert Street, Ottawa, ON, K1R 5B2—

Conservatory Measures

What is a conservatory measure?

The Superintendent of Bankruptcy puts in place conservatory measures when a bankruptcy or insolvency estate needs protection. It might be in cases of Licensed Insolvency Trustee (LIT) malfeasance or if serious wrongdoing on the part of a LIT puts estate files at risk. Conservatory measures may also be put in place if a LIT becomes ill or dies without a valid succession agreement. Finally, conservatory measures may be put in place if a LIT, for whatever reason, has allowed the administration of his or her practice to become substandard.

Canada

In the matter of:
Subhash C. Dhingra and
Dhingra and Associates Inc.


Directions for Conservatory Measures
(Section 14.03 of the Bankruptcy and Insolvency Act)


Whereas the Bankruptcy and Insolvency Act (the Act) provides the Superintendent of Bankruptcy (the Superintendent) with the general power to supervise the administration of all estates and matters to which the Act applies;

Whereas Subash Dhingra (the trustee) was the holder of an individual license as trustee in bankruptcy;

Whereas Dhingra and Associates was the holder of a corporate licence as trustee in bankruptcy;

Whereas the trustee was the sole practitioner of Dhingra and Associates;

Whereas Ms. Kim Desjardins from the Office of the Superintendent of Bankruptcy was informed by Mr. Muneesh Dhingra that the trustee has been hospitalized since the week May 30, 2011 and that to this date, he has not returned to his office;

Whereas on June 8, 2011, Ms. Desjardins was informed by Mr. Muneesh Dhingra that the trustee's health had further deteriorated;

Whereas on June 10, 2011, Ms. Desjardins was informed by Mr. Muneesh Dhingra that the trustee passed away on June 9, 2011;

Whereas the trustee's current file inventory totals 80 estates;

Whereas according to the 2010 Annual Banking Report, the current estate inventory is comprised of an aggregate amount of approximately $125 000 in the trust bank accounts;

Whereas the Superintendent initially appointed Tammy Turner, and subsequently appointed Avi Koren and Abubakar Khan, all employees of the Superintendent, as Guardian Trustee;

Whereas the Superintendent has deemed it advisable to transfer the estate files in question to a private-sector Trustee;

Whereas I believe on reasonable grounds that the estates require protection;

Whereas the Superintendent may, for the protection of an estate, exercise the powers set out in subsection 14.03(1) of the Act, in the circumstances referred to in section 14.03(2) of the Act;

Whereas the Superintendent has delegated to me, in accordance with section 14.01(2) of the Act, the powers of the Superintendent as specified at section 14.03(1) of the Act, in the circumstance referred to in section 14.03(2), a copy of which delegation is attached, along with copies of sections 14.01, 14.02 and 14.03 of the Act;

Whereas paragraphs 14.03(1)(b) and (c) and 14.03(2)(a) of the Act apply;

I, Kirti Gauthier, in my capacity as delegate for the Superintendent, direct Alterna Savings, 400 Albert Street, Ottawa, ON, K1R 5B2, that, pursuant to sections 14.03(1)(b) and (c) of the Act:

  1. it consider upon receipt of the present directions, BDO Canada Limited or its duly appointed representative, as the only authorized signatory as relates to any operations on the funds credited to the estates of bankruptcies and proposals administered by Subash Dhingra and Dhingra and Associates;
  2. it make no debit, payment or transfer of funds credited to, or which ought to have been credited to, the estates of bankruptcies and proposals administered by Subash Dhingra and Dhingra and Associates without the signature of BDO Canada Limited or its duly appointed representative;
  3. it not pay out of these accounts: cheques, bills of exchange, bank drafts or other instruments, issued before the receipt of these directions which are presented for payment after the receipt of these directions without these cheques, bills of exchange, bank drafts or other instruments being signed by BDO Canada Limited or its duly appointed representative;
  4. it submit all statement of accounts, accepted cheques and other documents or information having to do with the above-mentioned estate trust bank accounts, to BDO Canada Limited, 200 Elgin Street, Suite 903, Ottawa, Ontario, K2P 1L5, Attention: André-Paul Bolduc.

That these directions take effect immediately and will remain in effect until such time as the undersigned is satisfied that they are no longer required;

That in accordance with section 14.03(3) of the Act, these directions bind Alterna Savings, who must comply with them;

That, pursuant to section 14.03(4) of the Act, a person who complies with this direction is not liable for any act done by that person only to comply with this direction.

Signed at the City of Ottawa, Ontario, this 2nd day of May, 2012


Space to insert signature

Kirti Gauthier
National Manager, Trustee Detection and Compliance


This document has been reproduced as submitted by the delegate of the Superintendent of Bankruptcy.

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