Directive No. 4

Delegation of Tasks

Issued: November 17, 1994

(Supersedes Directive No. 26R previously issued on January 4, 1991)

Interpretation

1. In this Directive,

   "Act"

   means the Bankruptcy and Insolvency Act;

   "administrator"

   means an administrator of consumer proposals as defined in section 66.11 of the Act;

   "trustee"

   means a trustee as defined in section 2 of the Act.

   Purpose

2. This Directive, issued pursuant to the authority of paragraph 5(4)(b) of the Act, sets out the circumstances in which trustees and administrators may delegate certain tasks in the administration of an estate to other individuals. It also lists those tasks which shall be performed by an individual trustee or an administrator.

   Context

3. In delegating tasks, trustees or administrators remain responsible for ensuring the administration is conducted in a professional and timely manner.
4. Trustees and administrators are required to establish adequate controls in the carrying out of their statutory duties.

   Delegation

5. The following criteria shall be considered in determining which tasks may be delegated, and to which individual:
   1. the internal control system in the office of trustees or administrators;
   2. the length of training and the accreditation of the individual; and
   3. the personal knowledge that trustees or administrators have of the individual's experience, capabilities and aptitudes relevant to the tasks in question.
6. The following tasks shall be performed by individual trustees, or administrators where applicable, and cannot be delegated:
   1. the acceptance of an appointment;
   2. attendance at, or chairmanship, of meetings of creditors, for
      1. Division I proposal;
      2. ordinary administration bankruptcy; or
      3. summary administration bankruptcy and Division II proposal where a proven creditor, or the Official Receiver, requests the presence of trustees;
   3. attendance at a meeting of inspectors upon the request of an inspector;
   4. the review and signing of all cheques drawn on estate accounts;
   5. ensuring that the internal control system is adequate and operational;
   6. the review and signing of the forms and documents listed in Schedule "A";
   7. other tasks specified by the Act, Rules or Directives.
7. Special arrangements may be made with the District Assistant Superintendent regarding the application of this directive to accommodate unusual circumstances.

The Superintendent of Bankruptcy
George F. Redling

Schedule "A"
Form	Provision	Title
8	36(1)	Notice of Former Trustee's Application to Pass Accounts
9	36(1)	Application of Former Trustee to Pass Accounts
13	34(2)	Report to Court by Trustee
15	41	Application of Trustee for Discharge
15.1	66.39 155(i) and (j)	Certificate of Compliance
35.2	66.14(a)	Report of Administrator on Consumer Proposal
41	57(b)	Report of Trustee on Refusal by Creditors to Approve Proposal
42	58(d)	Report of Trustee on Proposal
42.2	50(6)(b) 50.4(2)(b)	Trustee's Report on Cash-flow Statement
42.4	50.4(8)(b)	Report of Trustee on Non-filing of Cash-flow Statement or Proposal
42.6	66.23(c)	Report of Administrator on Consumer Proposal and Conduct of Consumer Debtor
49.2	65.3	Certificate of Full Performance of Proposal
49.3	66.38	Certificate of Full Performance of Consumer Proposal
64	135(3)	Notice of Disallowance of Claim, Right to Priority or Security
66	152	Final Statement of Receipts and Disbursements
96	170(1)	Report of Trustee on Bankrupt's Application for Discharge
97	171(1) and (2)	Report of Trustee under Subsections 171(1) and (2)
97.1	168.1(1)(f)(ii)	Certificate of Discharge
	50(5)	Report on the Financial Situation of the Debtor and the Cause of the Debtor's Financial Difficulties
	50(10)(a)(i)	Report on the State of the Insolvent Person's Business and Financial Affairs when any Material Adverse Change
	50(10)(b)	Report on the State of the Insolvent Person's Business and Financial Affairs
	50.4(1)(b)	Consent by the Trustee to act as Trustee under the Proposal
	50.4(7)(b)(i) and (ii)	Report to the Superintendent and to the Court on the Stateof the Insolvent Person's Business and Financial Affairs when any Material Adverse Change Trustee's Preliminary Report to Creditors (Bankruptcy), and Report on Cash-flow

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