Ontario · Receivership (court-appointed)
First Report of the Receiver dated June 14, 2024
Court officer report · 14 June 2024
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What we verified from this filing9 verified
- secured creditorsnote: BDC applied for appointment of MNP Ltd. as receiver over 8317's property on May 21, 2024; not a creditor of True North/North Shore directly. · page: 3 · debtor: 1000088317 Ontario Inc. (8317) · creditor: Business Development Bank of Canada (BDC) · currency: CAD · security: First charge against the Real Property
- secured creditorsnote: Described as senior secured creditor of the Debtors; per Schedule A, BMO has a first ranking security interest against the BMO Vehicles. No outstanding balance stated. · page: 7 · as of: January 13, 2022 (credit agreement date) · debtor: True North Freight Solutions Inc. (GSA also granted by North Shore Logistics Inc. and 1000088317 Ontario Inc.) · creditor: Bank of Montreal (BMO) · currency: CAD · security: General security agreements from True North, North Shore and 8317; mortgage against the Real Property; PPSA registrations against certain specific Vehicles ("BMO Vehicles"). Facility limits (not outstanding balances): $13.0M demand revolving line of credit; two non-revolving term facilities totaling $7.5M; $1M treasury risk line; corporate credit cards with limits totaling $300,000.
- secured creditorsnote: Debtors continue to be indebted to RBC for amounts owing under a corporate credit card and for certain leases; no balance stated. Proceeds of BMO's loans were used in part to repay RBC. · page: 7 · debtor: North Shore Logistics Inc. · creditor: Royal Bank of Canada (RBC) · currency: CAD · security: Blanket registered security interest against all property, assets and undertakings of North Shore Logistics Inc.; registration continues to be in effect
- secured creditorsnote: DISCHARGED security - registration discharged by Armour on May 23, 2024 and no longer current. Loan amount not stated; Transferred Vehicles were conveyed under a Bill of Sale dated March 14, 2024 for nominal consideration, allegedly as loan repayment. · page: 8 · debtor: True North Freight Solutions Inc. · creditor: Armour Insurance Brokers Ltd. · currency: CAD · security: PPSA registration against 60 "Transferred Vehicles" allegedly securing a loan advanced to the Debtors; registration discharged May 23, 2024
- secured creditorsnote: No dollar balances stated for any of these PMSI holders, only vehicle counts. BVD Capital Corporation holds a security interest registered prior to Coast Capital Equipment Finance Ltd.'s registration against 28 of the same vehicles and has not yet filed a proof of claim; priority dispute unresolved as of report date. Wells Fargo Equipment Finance Company and BVD Equipment Finance Inc. registered security interests against certain Vehicles but have not filed proofs of claim despite requests. CWB National Leasing Inc.'s security was still under review by the Receiver. Certain of these Vehicles are also subject to Repair, Storage and Liens Act (Ontario) lien registrations held by Popular Tire Sales & Services Inc. and New Millenium Tire Centre (amounts not stated). · page: 15 · debtor: True North Freight Solutions Inc. / North Shore Logistics Inc. (specific Vehicles) · creditor: PPSA equipment financiers (PMSI class) · currency: CAD · security: Purchase money security interests (PMSIs) registered against specific serialized Vehicles (trucks/trailers), per Schedule A to the First Report: Mercedes Benz Financial Service Canada Corporation / Daimler Truck Financial Services Canada Corporation (16 vehicles); De Lage Landen Financial Services Canada (10 vehicles); TFG Financial Corporation (10 vehicles); Bodkin, a division of Bennington Financial Corp. (3 vehicles); Meridian Onecap Credit Corp. (20 vehicles); LBEL Inc. (1 vehicle); LBC Capital Inc. (6 vehicles); Coast Capital Equipment Finance Ltd. (49 vehicles); Blue Shore Transport Finance (2 vehicles); CLE Capital Inc. and Mitsubishi HC Capital Canada Leasing Inc. (10 vehicles); Toyota Credit Canada Inc. (1 vehicle); R&S Trailer Leasing Limited o/a Breadner Trailers (42 vehicles); Concentra Bank/Concentra a division of Bennington Financial Corp. (1 vehicle); CWB National Leasing Inc. (16 vehicles); The Bank of Nova Scotia (4 vehicles); VFS Canada Inc. (15 vehicles); HSBC Bank of Canada (32 vehicles).
- closing confirmedscope: 17 of the Sold Vehicles located at the property of a liquidator, sold in May 2024 · outcome: completed · date basis: unstated
- purchaserprice: sealed: false · scope: the Equipment, as defined in the Auction Agreement · status: proposed · name note: end purchasers at the Ritchie Bros. auction, unnamed · structure: auction · name source: operative · relationship: unstated; 7927959 Canada Corp.
- sale advisorRitchie Bros. Auctioneers (Canada) Ltd.
- sale outcometext: Receiver seeks approval of the Auction Agreement and vesting order for the Auction · scope: liquidation · status: pending_approval