Ontario · Receivership (court-appointed)
Application Record; returnable on August 9 2024 dated
Application / notice of application · 19 July 2024
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 filing6 verified
- applicantBANK OF MONTREAL
- courtSUPERIOR COURT OF JUSTICE
- court file noCV-24-00002281-0000
- commencement date19 July 2024
- statutory basisSECTION 243(1) of the BANKRUPTCY AND INSOLVENCY ACT R.S.C. 1985, c. B-3, AS AMENDED AND SECTION 101 OF THE COURTS OF JUSTICE ACT, R.S.O. 1990, c. c-43, AS AMENDED
- secured creditorsnote: Notice of Application (para 2(c)) states the Indebtedness at approximately $1,120,000 plus accruing interest and costs as at July 18, 2024 (prose approximation). The affidavit of Ashraf Delwar (para 16) gives the exact dated balance of $1,120,453.22 outstanding as of July 18, 2024, comprised of: Real Estate Loan $989,223.39 (principal $975,766.95 + interest $13,456.44); Operating Loan $119,359.10 (principal $129,272.90 + interest $1,956.44 — source document's own arithmetic is inconsistent but reported as stated); MasterCard Account N/A (no advances outstanding). A PPSA search as of May 30, 2024 disclosed only two registrations against the Debtor, both in favour of the Bank, indicating no other secured creditors of record. Personal guarantees of the Credit Facilities were given by the Debtor's principals Dharmeshkumar Shah and Bela Dhatva and their respective spouses (Hinaben Shah and Vijay Dhatva) — guarantors, not separate creditors (related parties). The deponent notes the Bank's priority is 'subject to any government priority claims (including unpaid realty taxes for the Property)' but no such claim is quantified in the document. · page: 17 · as of: 2024-07-18 · amount: 1120453.22 · debtor: 2533652 Ontario Inc. · creditor: Bank of Montreal · currency: CAD · security: General Security Agreement dated August 2018 (all present and future personal property, assets, and undertaking of the Debtor); Charge/mortgage registered Sept 18, 2018, LRO 13, instrument FC267978, on the Real Property at 24601 Hwy 7, Sharbot Lake, ON (registered/stated Charge principal $1,610,000.00 CDN — a registration/principal amount, not the outstanding balance); Notice of Assignment of Rents registered Sept 18, 2018, instrument FC267979 (General Assignment of Rents, collateral security). The General Assignment of Rents' own recitals describe the 'Charge' it secures as one for a principal sum of $824,250.00 plus interest — a different original-advance figure than the $1,610,000.00 shown on the registered Charge instrument itself; both are principal/registration figures, not balances.