Toronto Cosmetic Clinic Inc.

Toronto Cosmetic Clinic Inc. was the subject of a court-appointed receivership in the Ontario Superior Court of Justice under section 243 of the BIA and provincial Judicature Act authority; the proceeding is closed. The application was brought on the strength of a General Security Agreement dated October 19, 2015 held by The Toronto-Dominion Bank, which was owed $1,937,293.52 as at April 21, 2023, comprising $776,776.18 on an operating loan with a $1,000,000.00 limit, $1,154,868.25 on a committed reducing term facility of $1,800,000.00, $5,659.09 under a February 8, 2019 master equipment lease, and a $40,000.00 CEBA loan. Five PPSA registrants were served: Equirex, a division of Bennington Financial Corp., RCAP Leasing Inc., Somerville National Leasing & Rentals Ltd., Sprucewood Leasing Limited and Vault Capital Corporation, none with a stated amount. A Spergel trustee's report found the 2017 financial statements given to the Bank overstated receivables, inventory and capital assets and understated payables, taxes and shareholder debt against the T2 return, overreporting retained earnings by approximately $8,587,000. The T2 return for the year ended October 31, 2017 showed total assets of $3,356,678 against total liabilities of $7,233,485.