TORONTO - The president of the Travel Industry Council of Ontario says efforts to help consumers affected by the demise of Conquest Vacations Inc., are being hampered because banks are closed.

President and chief executive Michael Pepper says his staff has been trying to work with the Caribbean resorts where many departing Canadians are being told they must pay for their hotel rooms, even though they should've been paid by Conquest.

Pepper says the hotels are being assured they will be wired money to pay for the rooms, but it can't be done until Monday, which is complicating matters in some cases.

For Ontario travellers that are compelled to pay their hotel at checkout, Pepper says they can apply for reimbursement once they return home.

He says the travel industry in Ontario has a $30 million fund that will pay for the costs of eligible travellers under the provincial Travel Industry Act.

Other travellers will have to consult their provincial travel regulator or travel agent for compensation.

The problems stem from Conquest suddenly shutting down its operations on Wednesday, due to a decline in travel bookings because of the economy.

Afterwards, Canadian travellers said management at some resorts were demanding they pay for their room and board, even though the tourists had already given Conquest the money.

Disputes between customers and management have been reported in Cuba and Mexico.

On Friday, a Canadian foreign affairs spokesman emphasized that most hotels affected by Conquest's closure haven't been asking for more money.

"We have apprised local authorities of this situation and of complaints that Canadians are being threatened," said Andre Lemay in a statement emailed to The Canadian Press.

"They are taking our concerns seriously. Already today we have witnessed a marked change in the number of Canadian" problems being reported.

Conquest's president Errol Francis has remained silent since the company announced it was going under.

Pepper said most of the travellers' headaches could have been avoided if Conquest gave industry leaders a few days of advance notice.

"To abruptly close without any notification, to us that's the biggest problem," Pepper said, adding that officials could have notified the hotels about the problem and paid for travellers' rooms if notice was given.

"It would've been seamless to the consumer, we wouldn't have had any of this mess."