No surprises with itravel2000’s notice of intention for bankruptcy protection, says TICO

No surprises with itravel2000’s notice of intention for bankruptcy protection, says TICO

TORONTO — It’s business as usual for itravel2000, says TICO, despite the notice of intention for bankruptcy protection filed earlier this month.

8325919 Canada Inc., which had been operating as itravel2000, filed a Notice of Intention to make a Proposal under the Bankruptcy and Insolvency Act (Canada) on Aug. 10. “The Red Label organization acquired the itravel2000 name through its recent acquisition from the prior owner,” said Richard Smart, President and CEO, TICO. “The prior entity that operated itravel2000 terminated its registration with TICO and its shareholders can therefore proceed with any corporate filing deemed necessary.”

Any risk to consumers has been addressed through the purchase/sale transaction between the parties, he added. “In essence, its business-as-usual for the consumer as this is intended to be a seamless transition. TICO has been advised accordingly throughout.”

TICO does not get involved with non-registrants undergoing corporate restructurings, he added.

A Notice to Creditors was apparently sent to creditors on Aug. 17, advising that Richtor Advisory Group Inc. had consented to act as Trustee and that all proceedings against The Company had been stayed.

It further stated that upon the filing of the contemplated Proposal a further notice would be mailed to creditors providing them with a copy of the Proposal, the date and time of a Meeting of Creditors is to be held to Consider the Proposal, a condensed statement of affairs of the Company and other required documents.

The Notice also includes a list of creditors with claims of $250 or more, including Adelhanham Canada Acquisition Corp. which is owed approximately $10.8 million, Elleway Properties Limited owed approximately $10.3 million, and employees owed approximately $222,000.

Red Label Holdings Inc., parent company of TravelBrands and, announced last month that it had reached an agreement (subject to regulatory approvals) to acquire itravel2000.

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