Directions for Conservatory Measures to Co-Signatories (March 3, 2009)
In the matter of: Melvin Charles Zwaig and Zwaig Associates Inc.
Direction 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 Melvin Charles Zwaig (the trustee) is the holder of an individual license as trustee in bankruptcy;
Whereas Zwaig Associates Inc. is the holder of a corporate licence as trustee in bankruptcy;
Whereas the trustee is the sole practitioner of Zwaig Associates Inc.;
Whereas Mr. Brian Haley from the Office of the Superintendent of Bankruptcy was informed by Ms. Elizabeth Rawson that the trustee was hospitalized since the weekend of January 31/February 1, 2009 and that to this date, he had not returned to his office;
Whereas Mr. Avi Koren from the Office of the Superintendent of Bankruptcy went to St. Michael's Hospital and that he was told that Mr. Zwaig is in the Palliative Care unit and that Mr. Koren was also informed by Mr. Bill Wade, Director of the Palliative Care Unit, that the trustee was not allowed visitors other than family members due to his health condition;
Whereas on February 26, 2009 Ms. Dana Jurksaitis from the trustee's office informed Mr. Brian Haley from the Office of the Superintendent of Bankruptcy that Mr. Melvin Charles Zwaig had passed away that day;
Whereas a notice corroborating the death of Mr. Zwaig was published by the funeral director, Paperman and Sons Inc.;
Whereas the trustee's file inventory totals 130 estates with an aggregate amount of approximately $730 000 in the trust bank accounts;
Whereas the Office of the Superintendent of Bankruptcy has been unable to identify any succession arrangement for the continued administration of the estates;
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 subsections 14.03(1)(b) and (c) and 2(a) of the Act apply;
I, Ann Speers, in my capacity as delegate for the Superintendent;
Direct Mr. Brian Haley or Mr. Michael Cacciavillani to ensure the validity and justification of all payments for expenses, fees, remuneration, etc. from the estate accounts administered by Melvin Charles Zwaig or Zwaig Associates Inc., that are presented for payment subsequent to the issuance of this direction, and if said payments are justified, to co-sign all cheques, bills of exchange, bank drafts, certificates of deposit and fund transfers payable out of the estate trust bank accounts administered by Melvin Charles Zwaig or Zwaig Associates Inc.;
This direction takes 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 the Official Receiver, 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 Toronto, Ontario, this 3rd day of March, 2009
Assistant Superintendent of Bankruptcy
This document has been reproduced as submitted by the delegate of the Superintendent of Bankruptcy.