Welland Forge Corp.
- Proceeding
- Proposals. 50 of the Bankruptcy and Insolvency Act, R.S.C. 1985, c. B-3, as amended
- File
- 32-2683371
- Industry
- Manufacturing · Metals & fabrication
Welland Forge Corp. commenced Division I proposal proceedings under the BIA on November 19, 2020 in the Ontario Superior Court of Justice (Commercial List) under court file 32-2683371, with BDO Canada Limited acting as Proposal Trustee. The Toronto-Dominion Bank holds a PPSA-registered general security interest over all of the company's assets securing a $65 million credit agreement dated February 19, 2019 and amended June 30, 2020, under which Welland Forge is guarantor and parent G&J Capital Inc. the borrower; a forbearance agreement dated October 27, 2020 is in place and TD is to be unaffected under the Proposal. Unsecured exposure as reported to the Proposal Trustee includes $2,065,000 in estimated termination and severance claims from 65 terminated employees, roughly 45 of them Unifor Local 523 members, $750,000 owed to trade creditors, and $8,500,000 to related parties who intend to postpone their debt. Assets proposed for sale fall outside Xerox Canada Ltd.'s photocopier lease security.
The officer filed report no. Second Report. Welland Forge Corp. ceased its custom metal forging operations in late October 2020 and, aside from limited delivery of remaining finished goods to wind down inventory, has no ongoing contracts or operations.
Source: Second Report of Trustee (Final)
Motion Record of BDO Canada Limited (Returnable February 12, 2021) — Application / notice of application
The court granted an approval and vesting order for the sale to IMT Partnership. Sealed: Confidential Appendix 'I' to the First Report.
Source: Approval of the Sale of Assets
Commenced the Division I proposal proceeding in the Ontario Superior Court of Justice, opening court file 32-2683371.
Undated filings1 — no date appears on the document · show
Debtor
Welland Forge Corp.
Proposal trustee
BDO
Bench
| Judge | Court | On this docket | Cases on record |
|---|---|---|---|
| Justice Hainey | Ontario Superior Court of Justice | 1 order, Feb 2021 | 211 cases on record |
Counsel of record
| Party | Counsel | First seen | Source |
|---|---|---|---|
| Proposal trusteeBDO | Miller Thomson LLP | 12 Feb 2021 | Application · 5 Feb 2021 |
| DebtorWelland Forge Corp. | Madorin, Snyder LLP | 19 Nov 2020 | Application · 19 Nov 2020 |
| # | Priority class | Creditor | Amount | Source |
|---|---|---|---|---|
| 4 | Secured | The Toronto-Dominion Bank · in 121 casesas of NOI filing date — General security interest against all of WFC's assets, registered under the PPSA; secures $65 million credit agreement dated February 19, 2019 (amended June 30, 2020) - facility limit, not a stated outstanding balance — WFC is guarantor, not primary borrower; forbearance agreement dated October 27, 2020 in place; Proposal Trustee's legal opinion on validity/enforceability of TD's security from Miller Thomson pending (not yet confirmed) as of report date; TD is to be an unaffected creditor under the Proposal — debtor: Welland Forge Corp. (guarantor); G&J Capital Inc. (bo | — | First Report of Proposal Trustee |
| 4 | Secured | |||
| 8 | Unsecured | |||
| 8 | Unsecured | |||
| 8 | Unsecured |
4 more claims in 2 classes The stack holds Secured and Unsecured claims.
Every creditor and every amount, drawn to scale.
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See all plans“not stated” means the record names the claim without a figure; “—” means not in the extracted record.
2 transactions · 1 proposed · 1 approved — the Transaction is hereby approvedApproval of the Sale of Assets · 25 Nov 2020
| Purchaser | Price | Status | Source |
|---|---|---|---|
| referred to only as 'the Purchaser'; identified as PC Forge, a sister company located in Port Colbornethree items of WFC's Equipment (the 'Purchased Assets'): Erie 4,000 Metric Ton Press, National 4' Upsetter, and Miller 200 AMP TIG Welder · asset sale | not stated | Proposed | First Report of Proposal Trustee |
| IMT Partnershipcertain assets by Welland to IMT Partnership ... and vesting in the Purchaser all of Welland's right, title and interest in and to the assets described in the bill of sale ("Purchased Assets") · asset sale | Subscribers | Approved25 Nov 2020 | Approval of the Sale of Assets |
Unsecured creditors: a distribution.Under the plan · sanctionedCreditors Package · 1 Dec 2020
| Class | Creditor | Claims | Recovery | Basis | Source |
|---|---|---|---|---|---|
| WEPPA | Former Employees - WEPP claims | — | Under the plansanctionedper the trustee | Creditors Package · 1 Dec 2020 | |
| Unsecured | — | — | Under the plansanctionedper the trustee | Creditors Package · 1 Dec 2020 |
Each row is one filing's statement, copied as it reads and never computed. "Estimated" is the officer's forecast; "Under the plan" is the plan's or proposal's own term; "Final" is a declared or paid distribution; a row with no chip states no footing. A range is the two numbers stated; "of proven claims" is the document's own denominator.
2 blurred figures above
The claims and what each class or creditor recovers — each as the filing states it, with its source.
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See all plansAs at ·
The 2 totals the debtor stated at filing
Each one as the filing states it, with its source.
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See all plans| Date | Document | File |
|---|---|---|
| Endorsement, Hainey, J. (February 12, 2021) | PDF · Subscribers | |
Order of Hainey, J. (February 12, 2021)
| PDF · Subscribers | |
Motion Record of BDO Canada Limited (Returnable February 12, 2021)
| PDF · Subscribers | |
Second Report of Trustee (Final)
| PDF · Subscribers | |
Approval of the Sale of Assets
| PDF · Subscribers | |
First Report of Proposal Trustee
| PDF · Subscribers | |
Motion Record of Welland Forge dated Nov 19 2020
| PDF · Subscribers | |
| Lift Stay Order | PDF · Subscribers | |
| Welland Forge Corp Mailing to Creditors | PDF · Subscribers | |
Creditors Package
| PDF · Subscribers | |
Filing titles and dates are public, and so is each filing's own page. The figures read from them are for subscribers.
CiteProceedings., “Welland Forge Corp.” (Proposal), Ontario Superior Court of Justice. Retrieved 5 November 2026, https://proceedings.ca/case/welland-forge-corp