Akkiratourz convicted of failing to hold funds in trust account

Akkiratourz convicted of failing to hold funds in trust account

TORONTO — Toronto-based Akkiratourz Ltd. has been ordered by the Court to pay $75,000 in fines after being convicted of three separate counts.

After being charged by TICO, Akkiratourz was convicted of two counts of failing to hold customer funds in a designated trust account and one count of failing to deposit customer funds in a designated trust account.

Ms. Gukadharsini Packiyanathan, a Director and Officer of Akkiratourz Ltd., pleaded guilty and was convicted of three counts of failing to take reasonable care to prevent Akkiratourz from committing the aforementioned trust accounting offences, contrary to S. 31(2) of the Travel Industry Act.

The Court ordered Akkiratourz to pay fines of $20,000 per count on each of the three counts for a total fine, including 25% surcharges, of $75,000.

The Court also ordered Ms. Packiyanathan be placed on probation for two years, including supervised requirements, such as 200 hours community service and a fine of $6,500 payable to the Ontario Travel Industry Compensation Fund, paid in full on or before June 26, 2020. Ms. Packiyanathan is also prohibited from being a travel agent or travel wholesaler, or an Officer, director, employee of contractor of a travel agent or travel wholesaler for two years.

In June 2017, TICO’s Board of Directors approved a payment of $24,495 to assist 20 consumers who failed to receive travel services following the closure of Akkiratourz.