Ontario · Receivership (court-appointed)
First Report of the Receiver dated July 27, 2021
Court officer report · 27 July 2021
AI summary
A plain-English summary drawn only from this filing: what it is, why it matters, and the parties, amounts and dates it turns on.
What we verified from this filing5 verified
- secured creditorsnote: Senior secured creditor; loans guaranteed personally by directors/officers Sajjad Hussain and Muzammil Kodwavi (personal guarantors) · page: 5 · as of: 2021-05-10 · amount: 1950807.35 · debtor: Sunrise Acquisitions (Hwy 7) Inc. · creditor: KingSett Mortgage Corporation · currency: CAD · security: Mortgages against the Real Property; general assignment of rents; general security agreement; registered charges including $31,981,940 (2015/06/02), $1,648,879 (2016/11/03), notices of $4,000,000 (2017/08/21) and $5,500,000 (2018/09/12) against the increasing mortgage principal
- unsecured creditorsnote: Approximate figure ('approximately $1.5 million') owed by the Company to another group of related companies; document names no individual creditors; related-party unsecured claim · page: 5 · as of: 2021-07-27 · basis: Receiver's investigation of general ledger/intercompany advances as reported in First Report · amount: 1500000 · debtor: Sunrise Acquisitions (Hwy 7) Inc. · creditor: Other Sunrise Homes group companies (unnamed) · currency: CAD
- secured creditorsnote: Receiver states it does not have further details regarding this charge; registered principal amount, not a stated outstanding balance · page: 6 · as of: 2020-09-09 · amount: 575750 · debtor: Sunrise Acquisitions (Hwy 7) Inc. · creditor: Rehanna Ameerullah and Mansi Kumari · currency: CAD · security: Charge registered September 9, 2020 (September 2020 Charge) against PIN 02985-0591 (registered amount shown as $573,750 in one parcel register excerpt)
- secured creditorsnote: Second/syndicated mortgage in default since 2017; subordinated in priority to KingSett despite earlier registration; administered by FAAN as court-appointed trustee over Sorrenti/Sorrenti Law; it is certain FAAN/syndicate will not be repaid in full · page: 38 · as of: 2021-05-31 · amount: 10700000 · debtor: Sunrise Acquisitions (Hwy 7) Inc. · creditor: Sorrenti Law Professional Corporation / Olympia Trust Company (as trustee for syndicated mortgage lenders, administered by FAAN Mortgage Administrators Inc.) · currency: CAD · security: Charge registered 2015/08/18 in amount of $8,000,000, later amended by notice registered 2016/09/15 increasing registered principal to $9,873,262; subordinated and postponed to KingSett per two Subordination and Standstill Agreements
- recovery outcomeentries: basis: unstated · quote: The general ledger reflects millions of dollars in payments to the Company's principals and/or investors, despite the anticipated significant shortfall owing to the secured creditors. · pct of: unstated · outcome: shortfall · class key: secured · stated by: receiver · class label: secured creditors · interim final: unstated · claims qualifier: unstated · table missing: