2533550 Ontario Inc.

2533550 Ontario Inc. has been under the receivership of MNP Ltd. since January 10, 2024, on the application of Canadian Western Bank under section 243(1) of the Bankruptcy and Insolvency Act and section 101 of the Courts of Justice Act (Ontario Superior Court of Justice, court file CV-23-00000396-0000). CWB ranks first as secured creditor on a general security agreement and a Land Titles charge against the Property, with $3,016,160.40 plus interest and legal fees owing as of October 31, 2024; independent legal opinion confirms the security is valid, enforceable and registered first-in-time, and CWB will suffer a shortfall on recovery. The Receiver has proposed a $400,000 reserve, comprising $300,000 for its fees, disbursements and HST and $100,000 for potential pre-receivership source deductions and HST pending a CRA trust examination, and has identified a potential priority claim of the Town of Cambridge for municipal taxes. The proceeding remains active.