Quebec · Proposal
Report of the Trustee on the financial situation do the Debtor and on the Proposal
Court officer report · 12 January 2018
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What we verified from this filing6 verified
- financial positionnote: Estimated Net Realizable Value of assets is 'Undetermined' for most asset categories except Cash ($46K); Liabilities breakdown: Secured (Hegemon Capital, Inc.) $438K, Director & officer loans $146K, Unsecured $3,397K, Total $3,981K. Separate audited/internal balance sheets also presented as at July 31, 2017 (Assets $1,675K / Liabilities $5,046K), October 31, 2016 (Assets $3,348K / Liabilities $5,991K), and October 31, 2015 (Assets $3,633K / Liabilities $3,935K) - see page 3. · page: 5 · as at: 2018-01-03 · basis: Unaudited, Value per Statement of Affairs (SOA) · scope: Quest Rare Minerals Ltd. (entity level) · currency: CAD · total assets: 3208000 · total liabilities: 3981000
- secured creditorsnote: Value per SOA as at January 3, 2018 was $438K; exact estimated amount owing in capital and interest at loan maturity January 18, 2018 is $462,751. Legal opinion from Borden Ladner Gervais confirms validity of security but did not cover mining properties. · page: 8 · as of: 2018-01-18 · amount: 462751 · debtor: Quest Rare Minerals Ltd. · creditor: Hegemon Capital, Inc. · currency: CAD · security: Conventional hypothec over all of the Company's assets (excluding mining properties per legal opinion)
- secured creditorsnote: Related party (directors and officers loans); amount per Company's books and records is $152K (also stated as $151,862 per Note 3 on page 13); security only covers GST/QST receivables for which no realization is estimated in a bankruptcy scenario, so treated as unsecured in bankruptcy scenario per Trustee. · page: 8 · as of: 2017-12-31 · amount: 152000 · debtor: Quest Rare Minerals Ltd. · creditor: Eight (8) directors and officers · currency: CAD · security: Conventional hypothecs over sales tax credits receivables
- unsecured creditorsnote: Document names no individual creditors. Separately, claims of unsecured creditors as at December 31, 2017 are estimated to total approximately $3.4M (page 8, para 39). Estimated unsecured creditors used in proposal/bankruptcy dividend scenarios: $3,393,505 (Proposal scenarios) and $3,545,367 (Bankruptcy scenario, which includes reclassified director/officer secured loans as unsecured). · page: 8 · as of: 2018-01-03 · basis: Value per Statement of Affairs as at January 3, 2018 · amount: 3397000 · debtor: Quest Rare Minerals Ltd. · creditor: Unsecured creditors (aggregate as reported) · currency: CAD
- unsecured creditorsnote: Preferred/super-priority claim under BIA s.81(3), ranking ahead of secured creditors, capped at $2,000; also referenced as 'Employee claims S.60(1.3)' in Proposal summary. · page: 8 · as of: not stated · basis: Statement per Trustee's report re: BIA s.81(3) super priority · amount: 2000 · debtor: Quest Rare Minerals Ltd. · creditor: One (1) employee (unpaid wages and vacation pay) · currency: CAD
- recovery outcomeentries: basis: plan · quote: In full · pct of: unstated · outcome: paid_in_full · class key: unsecured · stated by: trustee · class label: Creditors with proven claims equal or inferior to $1,000 · interim final: unstated · conditional on: When all the conditions (the 'Conditions') set forth of the proposal are met, by February 15, 2018 · claims qualifier: unstated; basis: plan · quote: An amount equal to $1,000 plus a portion equal to fourteen percent (14%) of the amount of the proven claim that exceeds $1,000; · pct of: proven_claims · outcome: distribution · pct low: 14 · pct high: 14 · class key: unsecured · stated by: trustee · amount low: 1000 · amount high: 1000 · class label: Creditors with proven claims that exceed $1,000 · interim final: unstated · conditional on: $1,000 plus 14% of the portion of the proven claim that exceeds $1,000; when all the conditions set forth of the proposal are met, by February 15, 2018 · claims qualifier: unstated; basis: unstated · quote: Receipt of a confirmation from Hegemon that its claim has been paid in full on or prior to February 15, 2018 and that all hypothecs and securities in relation to its claim have been stricken or are in the process of being stricken. · pct of: unstated · outcome: paid_in_full · class key: secured · stated by: trustee · class label: Hegemon Capital, Inc. · creditor name: Hegemon Capital, Inc. · interim final: unstated · claims qualifier: unstated; basis: plan · quote: | Estimated distribution percentage | 16.06% | 1.47% | 16.06% | · pct of: unstated · outcome: distribution · pct low: 16.06 · pct high: 16.06 · class key: unsecured · stated by: trustee · class label: unsecured creditors · claims amount: 3393505 · interim final: unstated · claims qualifier: estimated · table missing: