Devlin Construction Ltd., S7 Ventures Ltd., & KMOJ Holdings Ltd
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- Proceeding
- Receivership (court-appointed)Bankruptcy and Insolvency Act, RSC 1985, c B-3, as amended including section 243
- File
- 1903 02654
Filings held11
Last activity10 Jul 2020
On the record2,723 days
Secured debt$4.2M
OverviewSummary updated
Devlin Construction Ltd., together with S7 Ventures Ltd. and KMOJ Holdings Ltd, has been in court-appointed receivership in Alberta since April 8, 2019 under BIA s. 243 and provincial Judicature Act authority, following notice-of-intention proceedings in which Bowra Group Inc. acted as Proposal Trustee. Alberta Treasury Branches (ATB Financial) is owed approximately $4.2 million, down from roughly $5.8 million at the commencement of the NOI after $1.6 million from Ritchie Bros. auction proceeds was applied; Dentons confirmed ATB's security valid and enforceable on April 25, 2019. Devlin's internal draft unaudited balance sheet as at March 30, 2019 shows assets of $20,055,765 against liabilities of $18,595,464, but the Receiver reports work in progress of $5.25 million is overstated by approximately $5.0 million. Roughly 50 bonds remain active, and claims of Trisura and Western Surety are unquantified.
Proceedings AIAsk this case — answers cite the filings
Case updates11 dated entries
#Filing
Filed Application for May 13, 2019 Hearing - Approval of Asset Sale was filed. Court file 1903 02654.
Source: Filed Application for May 13, 2019 Hearing - Approval of Asset Sale
#Order
The court appointed PricewaterhouseCoopers Inc. as receiver and manager, on the application of ATB Financial. Court file 1903 02654.
Parties
Debtor
Devlin Construction Ltd., S7 Ventures Ltd., & KMOJ Holdings Ltd
Receiver
PwC
Bench and counselPer the orders and service lists on the record
Counsel of record
| Party | Counsel | First seen | Source |
|---|---|---|---|
| DebtorDevlin Construction Ltd., S7 Ventures Ltd., & KMOJ Holdings Ltd | Bennett Jones LLP · Emery Jamieson LLP | 6 May 2019 | Service list · 6 May 2019 |
| CreditorATB Financial | Blake, Cassels & Graydon LLP | 6 May 2019 | Service list · 6 May 2019 |
| CreditorCaterpillar Financial Services Limited and Komatsu International (Canada Inc.) | McCarthy Tétrault LLP | 6 May 2019 | Service list · 6 May 2019 |
| CreditorLafarge Canada Inc | Reynolds Mirth Richards & Farmer LLP | 6 May 2019 | Service list · 6 May 2019 |
| CreditorMaynards Industry Canada Ltd | Fasken Martineau DuMoulin LLP | 6 May 2019 | Service list · 6 May 2019 |
| CreditorPark Paving Ltd | Bishop & McKenzie LLP | 6 May 2019 | Service list · 6 May 2019 |
| CreditorWestern Surety | Borden Ladner Gervais LLP | 6 May 2019 | Service list · 6 May 2019 |
Capital structureAs asserted in the filings
| # | Priority class | Creditor | Amount | Source |
|---|---|---|---|---|
| 4 | Secured | Alberta Treasury Branches (ATB Financial) · in 14 casesas of date of this report (May 6, 2019) — All present and after acquired personal property, serial numbered equipment — Major secured creditor; approximately $4.2 million owed as at date of report; was approx. $5.8 million at NOI commencement, reduced by $1.6 million applied from Ritchie Bros. auction proceeds; S7 and KMOJ provided unlimited guarantees to ATB re Devlin's indebtedness; security opinion confirmed valid and enforceable by Dentons (April 25, 2019). — debtor: Devlin Construction Ltd. | $4.2M | Receiver's First Report to the Court dated May 6, 2019 |
| 4 | Secured | Truck Zone Inc.Garage keepers' lien — Four garage keeper liens totaling $6,046.47 filed against the 35 leased assets. — debtor: Devlin Construction Ltd. | $6.05K | Receiver's First Report to the Court dated May 6, 2019 |
| 4 | Secured | HSBC Bank Canada · in 54 casesSerial numbered equipment (2010 Vogele Vision Paver) — DISCHARGED - Receiver understands leased asset paid out in full in 2018; HSBC failed to discharge its registration. — debtor: Devlin Construction Ltd. | — | Receiver's First Report to the Court dated May 6, 2019 |
| 4 | Secured | Trisura Guarantee Insurance Company · in 20 casesInventory, equipment, accounts, other, motor vehicle — Bonding company; registration pre-dates ATB's registration at PPR. Quantum of claim not yet provided to Receiver; may take time to establish given bond claim notice periods. Estimated net exposure of $258,298.00 held in trust pending security opinion. — debtor: Devlin Construction Ltd. | — | Receiver's First Report to the Court dated May 6, 2019 |
| 4 | Secured | Paccar Financial Ltd. · in 5 casesSerial numbered equipment (Various Kenworth T370s, T880) — debtor: Devlin Construction Ltd. | — | Receiver's First Report to the Court dated May 6, 2019 |
| 4 | Secured | Kal Tire A Corporate Partnership · in 4 casesSeizure registration under Civil Enforcement Act — debtor: Devlin Construction Ltd. | — | Receiver's First Report to the Court dated May 6, 2019 |
| 4 | Secured | Western Surety Company · in 4 casesAll Present and After Acquired Personal Property — Bonding company; significant majority of approx. 50 active bonds relate to Western Surety; quantum not yet provided. — debtor: Devlin Construction Ltd. | — | Receiver's First Report to the Court dated May 6, 2019 |
| 4 | Secured | Summit Acceptance Corp. · in 6 casesVarious serial numbered vehicles — debtor: Devlin Construction Ltd. | — | Receiver's First Report to the Court dated May 6, 2019 |
| 4 | Secured | GE Canada Equipment FinanceSerial numbered equipment, copiers — DISCHARGED - Receiver understands leased asset paid out in full in 2018; GE failed to discharge its registration. — debtor: Devlin Construction Ltd. | — | Receiver's First Report to the Court dated May 6, 2019 |
| 4 | Secured | Bowra Group Inc.Bankruptcy/Proposal registration — Former Proposal Trustee under the NOIs; registration relates to bankruptcy/proposal filing. — debtor: Devlin Construction Ltd. | — | Receiver's First Report to the Court dated May 6, 2019 |
| 5 | PMSI / lessors | PPSA equipment financiers (PMSI class) · in 183 casesVarious purchase money security interests over serialized equipment/vehicles — Aggregated per rule 5: includes Calmont Leasing Ltd. (various serial numbered vehicles and equipment), Komatsu International (Canada) Inc. (serial numbered equipment), Caterpillar Financial Services Ltd. (serial numbered equipment), TDF Group Inc. (serial numbered equipment), Gregg Distributors (bins), PBR & R Holdings Ltd. (serial numbered equipment), SMS Equipment Inc. (serial numbered equipment). — debtor: Devlin Construction Ltd. | — | Receiver's First Report to the Court dated May 6, 2019 |
| 7 | Preferred (BIA s. 136) | Former employees of Devlin Construction Ltd. (WEPPA claims)as of date of this report (May 6, 2019) — Preferred - approx. $85,000 anticipated payable to former employees under WEPPA, of which approx. $18,500 is subject to BIA Section 81.4 $2,000 limited super priority. — debtor: Devlin Construction Ltd. | $85K | Receiver's First Report to the Court dated May 6, 2019 |
| 8 | Unsecured | Canada Revenue Agency (source deductions) · in 926 casesAmount owing for unremitted source deductions unknown - CRA has not conducted the requested audit; deemed trust / priority claim class. — debtor: Devlin Construction Ltd. | — | Receiver's First Report to the Court dated May 6, 2019 |
| 8 | Unsecured | Heritage Nurseries Ltd.Disputed/unresolved - subject to $242,401.44 interpleaded into Court by Alberta Justice; Receiver reviewing claims of Heritage and Can-West to determine position. — debtor: Devlin Construction Ltd. | — | Receiver's First Report to the Court dated May 6, 2019 |
| 8 | Unsecured | Can-West Electrical Contractors Ltd.Disputed/unresolved - subject to $242,401.44 interpleaded into Court by Alberta Justice; Receiver reviewing claims of Heritage and Can-West to determine position. — debtor: Devlin Construction Ltd. | — | Receiver's First Report to the Court dated May 6, 2019 |
| 8 | Unsecured | Canada Revenue Agency (GST) · in 926 casesAmount owing unknown - CRA has not conducted the requested audit. — debtor: Devlin Construction Ltd. | — | Receiver's First Report to the Court dated May 6, 2019 |
“not stated” means the record names the claim without a figure; “—” means not in the extracted record.
Sale processAs stated in the filings
2 transactions · 2 closed — Auction of Devlin's capital assets and equipment via Maynards has closed with total realizations of $6,889,037.44Receiver's Second Report to the Court dated August 30, 2019 · 30 Aug 2019
| Purchaser | Price | Status | Source |
|---|---|---|---|
| Maynards Industries Canada LtdDevlin's capital assets/equipment (tandem trucks, trailers, loaders, skidsteers, excavators, graders, dozers, drum rollers, plate tampers, snow throwers) sold by auction · auction | $7.68Mnet minimum guarantee provided by Maynards for the auction; total realizations by Maynards were $6,889,037.44 | Closed19 Jun 2019 | Receiver's Second Report to the Court dated… |
| Ritchie Bros. Auctioneers (Canada) Ltd.certain equipment (20 Kenworth T370s) owned by Devlin · auction · agreement 29 Jan 2019 | $1.86Mapproximate net realizations from the Ritchie Bros auction | Closed26 Feb 2019 | Receiver's Second Report to the Court dated… |
AdvisorsMaynards Industries Canada Ltd (auctioneer); Ritchie Bros. Auctioneers (auctioneer)Receiver's Second Report to the Court dated August 30, 2019
Estate financialsReported figures — never derived
Total assets at filing$20.1M
Total liabilities at filing$18.6M
As at 30 Mar 2019 · per Devlin's most recent internal draft (unaudited) balance sheet · Devlin Construction Ltd. (entity level, not consolidated) — Receiver notes work in progress totaling $5.25 million is significantly overstated by approximately $5.0 million due to uncorrected accounting errors from late 2017/early 2018; Proposal Trustee's First Report reflected WIP of $95,000 as at December 31, 2018 which Receiver submits more closely approximates actual work in progress. Receiver also has concerns re net accounts receivable and AR holdback balances.
Documents
11 filings
| Date | Document | File |
|---|---|---|
| Receiver's Third Report to the Court dated July 10, 2020 | ||
Filed Application for September 11, 2019 Hearing
| ||
| Interim Distribution Order filed September 11, 2019 | ||
Receiver's Second Report to the Court dated August 30, 2019
| ||
| Approval and Vesting Order filed May 13, 2019 | ||
Filed Application for May 13, 2019 Hearing - Approval of Asset Sale
| ||
| Temporary Sealing Order filed May 13, 2019 | ||
Devlin - Service List Letter
| ||
| Filed Brief of Law | ||
Receiver's First Report to the Court dated May 6, 2019
| ||
Receivership Order (dated April 8, 2019)
| ||
Filing titles, dates, and extracted key facts are public.
CiteProceedings., “Devlin Construction Ltd., S7 Ventures Ltd., & KMOJ Holdings Ltd” (Receivership (court-appointed)), Court of King's Bench of Alberta. Retrieved 20 September 2026, https://proceedings.ca/case/devlin-construction-ltd-s7-ventures-ltd-kmoj-holdings-ltd