Bankruptcy and Insolvency Act

Marginal note:Trustee powers

259 The trustee may, in respect of a bankruptcy under this Part, without the permission of inspectors until inspectors are appointed and thereafter with the permission of inspectors,

• (a) exercise a power of attorney in respect of and transfer any security vested in the trustee;

• (b) sell securities, other than customer name securities;

• (c) purchase securities;

• (d) discharge any security on securities vested in the trustee;

• (e) complete open contractual commitments;

• (f) maintain customers’ securities accounts and meet margin calls;

• (g) distribute cash and securities to customers;

• (h) transfer securities accounts to another securities firm, to the extent practicable, comply with customer requests regarding the disposal of open contractual commitments and the transfer of open contractual commitments to another securities firm, and enter into agreements to indemnify the other securities firm against shortages of cash or securities in transferred accounts;

• (i) liquidate any securities account without notice; and

• (j) sell, without tender, assets of the securities firm essential to the carrying on of its business.