Machine Works Industrial Inc.

Machine Works Industrial Inc. has been under court-appointed receivership in Alberta since August 13, 2019, when Royal Bank of Canada obtained the appointment of Deloitte Restructuring Inc. as Receiver under section 243(1) of the Bankruptcy and Insolvency Act, section 13(2) of the Judicature Act, section 99(a) of the Business Corporations Act and section 65(7) of the Personal Property Security Act, in Court file 1901-07789. RBC claims $1,955,290 plus interest and costs under a general security agreement over all present and after-acquired personal property, which counsel opined is valid, binding, enforceable and validly perfected. Canada Revenue Agency asserted deemed trust claims ranking ahead of all secured creditors by correspondence dated December 20, 2019, comprising $71,781 in GST/HST and $32,852.48 in source deductions. The Receiver confirmed payment of $19,794.92 to Employment and Social Development Canada on its subrogated Wage Earner Protection Program claim arising from 14 employee proofs of claim. Jim Peplinski Leasing Inc. claims $214,589 plus G.S.T. under a February 12, 2019 master lease on vehicles, with security counsel considered properly perfected. CWB National Leasing's $28,159 computer equipment lease ranks behind RBC's GSA, its financing statement having been registered August 15, 2019, 17 days after delivery on July 29, 2019 and outside the 15-day PPSA window. The proceeding remains active.