Ontario · NOI
First Report of the Proposal Trustee dated October 8, 2025
Court officer report · 8 October 2025
What we verified from this filing6 verified
- financial positionnote: Current assets of ~$8,424 and current liabilities of ~$743,030 result in current liabilities exceeding current assets by ~$631,273. Total shareholders' deficit of ~$14,119,919, driven largely by Class A/B/C Special Shares reclassified as long-term liabilities (~$13,488,646 total) under revised accounting standards. · page: 7 · as at: 2025-08-31 · basis: Unaudited financial statements/book value; Proposal Trustee has not audited or otherwise verified the information to GAAS standard · scope: Scarsin Corporation, entity-level (unconsolidated) · currency: CAD · total assets: 111757 · total liabilities: 14231676
- secured creditorsnote: Senior secured creditor. Prose approximation of ~$192,859 also cited as at September 12, 2025 (page 8); exact balance of $192,859.25 stated pursuant to Notice of Intention to Enforce Security (NITES) dated September 16, 2025. Default notice issued September 2, 2025. · page: 9 · as of: 2025-09-16 · amount: 192859.25 · debtor: Scarsin Corporation · creditor: Royal Bank of Canada (RBC) · currency: CAD · security: General security agreement and credit agreements first entered into around December 2013 (the "Credit Facilities")
- secured creditorsnote: Related party: key shareholder and, as of July 2025, sole director of the Company. Amount is approximate advance made prior to the Filing Date. An additional ~$31,000 was advanced post-Filing Date under the same GSA (post-filing advance, excluded here as not part of pre-filing structure). A separate 2024 loan of ~$75,000 by Minshull was made on an unsecured basis. Minshull subsequently acted as DIP Lender under a separate DIP Term Sheet dated October 3, 2025. · page: 9 · as of: 2025-09-25 · amount: 108000 · debtor: Scarsin Corporation · creditor: Paul Minshull (P. Minshull) · currency: CAD · security: General security agreement executed September 15, 2025
- secured creditorspage: 9 · as of: 2025-09-25 · amount: 48964.43 · debtor: Scarsin Corporation · creditor: Dell Financial Services Canada Limited · currency: CAD · security: Equipment finance agreement over computer equipment and peripherals located at the Company's premises (PPSA registration)
- secured creditorsnote: Unremitted source deductions subject to a deemed trust in favour of CRA (deemed trust class); not a conventional secured claim but ranks ahead of ordinary security. · page: 9 · as of: 2025-09-25 · amount: 287000 · debtor: Scarsin Corporation · creditor: Canada Revenue Agency (CRA) · currency: CAD
- secured creditorsnote: As at the date of the First Report, no accounts receivable outstanding from Johnson & Johnson (collateral value nil); no stated indebtedness amount owed to Citi. · page: 10 · debtor: Scarsin Corporation · creditor: Citibank Europe PLC (Citi) · currency: CAD · security: General security agreement over all accounts receivable and related payment obligations owing to the Debtor by Johnson & Johnson and its subsidiaries/affiliates, pursuant to a supplier agreement between the Debtor and Citi