10/08/2012 03:08 EDT | Updated 12/08/2012 05:12 EST

Toronto bus company wasn't allowed to operate in U.S.

A tour bus that left Toronto and crashed in New Jersey on the weekend was not authorized to be operating in the United States, CBC News has learned.

The vehicle was operated by the Toronto-based AVM Max 2000 Charter Services Inc., a company that had its permit to carry passengers in the U.S. revoked this past summer.

It is not immediately clear why the bus was allowed to cross the border.

The U.S. Department of Transportation’s Federal Motor Carrier Safety Administration told CBC News that the company "does not have the authority to operate in the U.S. due to an unresolved lapse in its insurance coverage."

That violation is one aspect of the ongoing investigation into the Saturday crash that left 23 people injured.

The Toronto-based bus company has also been cited three times in the past year and a half for breaking U.S. Department of Transportation rules on driver fatigue.

While some of the violations appear to be related to paperwork, New York state authorities cited the company in May for "requiring or permitting the driver to drive more than 11 hours" at a stretch.

U.S. authorities also still examining what caused the accident on an exit ramp along eastbound Interstate 80 in Wayne, N.J., on Saturday. The accident occurred on a loop that involves a network of interconnecting highways nicknamed "the Spaghetti Bowl."

The driver, 51-year-old Neville Larmond of Toronto, told authorities that another driver cut him off. The bus slid down an embankment before coming to rest on its side. Larmond suffered a gash to his arm.

According to Sgt. Adam Grossman with New Jersey state police, all of the 57 passengers on board were Canadians bound for a Seventh Day Adventist event in Brooklyn.

The bus was chartered by members of a Seventh Day Adventist group in Toronto.

Three people remain hospitalized in fair condition.