Charges laid under the Bankruptcy and Insolvency Act increased in 2007.
The Office of the Superintendent of Bankruptcy (OSB) reported in its newsletter released on January 20, 2009 that its Criminal Investigation Unit (CIU) had increased its activity in 2007.

More than 60 debtors were indicted in 2007 on a total of 799 charges under the Criminal Code and/or the Bankruptcy and Insolvency Act. These debtors joined the group of 42 others who have undergone legal proceedings since the CIU was set up.

To date, 49 debtors have been found guilty and have received a prison term ranging from 6 to 18 months, a conditional sentence from 15 to 24 months, or a repayment order for up to $25,000. In most of these cases, the sentences also included probation orders of up to three years, starting from the end of the sentencing period, and up to 240 hours of community service.

The charges were filed under various sections of the Bankruptcy and Insolvency Act covering offences such as fraudulent disposition of property before filing for bankruptcy, fraudulent transfer of property, obtaining credit by means of false representation, and failure to disclose and assign all the bankrupt’s property to the trustee. Charges were also filed under sections of the Criminal Code covering such crimes as fraud, scams, criminal conspiracy and obtaining credit under false pretences.

At this time, the CIU has about 50 cases under way or pending. Its operations have recently been bolstered by the addition of a new investigator who joined the CIU in October 2007. Also, early in January 2008, in partnership with the RCMP, one of their investigators was assigned to the CIU in order to assist the OSB and to acquire experience in bankruptcy investigation.