Alberta · Receivership (court-appointed)
First Report of the Receiver, dated August 21, 2023
Court officer report · 21 August 2023
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
- financial positionnote: The AC 2022 Financials show a net deficit between assets and liabilities of approximately 22.1 billion COP (approximately $7.6 million CAD as at August 15, 2023); total assets and total liabilities are not separately stated. Significant components include ~19.1 billion COP owed to AuVert for equipment (P200 Equipment), ~15.8 billion COP owed to the Colombian Government ('Acreedores Oficiales'), ~10.1 billion COP owed to Ulloa (OCIM financing pass-through), ~795 million COP owed to M&C, and ~3.4 billion COP in advances/deposits from Quincy Frost. · page: 12 · as at: 2022-12-31 · basis: audited financial statements of AuVert Colombia ("AC 2022 Financials") · scope: AuVert Colombia S.A.S. (subsidiary of the debtor AuVert Mining Group Inc.) - entity-level, not consolidated with parent · currency: CAD
- secured creditorsnote: Approximate figure (~10.1 billion COP) per unaudited draft 2022 financial statements of Ulloa; original financing per OCIM press release (May 11, 2022) was US$2.5 million prepaid gold/platinum financing to fund the Colombian operations. OCIM issued an enforcement notice on its security which is currently disputed by Polaris and on hold in Colombia; Receiver has requested but not yet obtained the underlying loan agreement. · page: 14 · as of: 2022-12-31 · amount: 3000000 · debtor: Ulloa Recursos Naturales S.A.S. and AuVert Colombia S.A.S. (subsidiaries of AuVert Mining Group Inc.) · creditor: OCIM Precious Metals SA · currency: CAD · security: Colombian security registrations against the assets of AuVert Colombia and Ulloa
- secured creditorsnote: Related party: Quincy Frost's nominees (James Slade, Matthew Slade, Nathan Medlock) are directors/shareholders of AuVert. The Summary Judgment Order (Oct 3, 2022) required deregistration of this security as part of unwinding the related Share Sale Transaction, but Slade parties have not complied. M&C obtained a temporary court stay of the deregistration requirement (Jan 2023), later withdrawn without costs May 19, 2023 — status of the security remains disputed/unresolved. A portion (original USD$1,250,000) was purportedly converted to equity via an undisclosed December 2021 share issuance to Quincy Frost, which the Contempt Judgment ordered unwound. · page: 18 · as of: 2021-06-18 · amount: 1750000 · debtor: AuVert Colombia S.A.S. (subsidiary of AuVert Mining Group Inc.) · creditor: Quincy Frost Investments Inc. (rights assigned to Metals and Catalyst Resources L.P. ("M&C") on May 13, 2020) · currency: USD · security: Promissory note and Colombian security registrations against the assets of AuVert Colombia in favor of Quincy Frost (Pre-Pay Gold Purchase Loan dated May 7, 2020, originally USD$1,250,000; amended and restated June 18, 2021 to USD$1,750,000)
- secured creditorsnote: Comprises First Fernhope Loan (USD380,000+interest=446,867.76), Second Fernhope Loan (USD100,000+interest=117,281.93), First Capella Loan (1,750,000+interest=2,497,368.92), Second Capella Loan (140,000+interest=188,180.64), Third Capella Loan (COP54,000,000+interest=72,420,867.28), Fourth Capella Loan (COP340,000,000+interest=454,946,588.55) and Legal Costs 483,690.15. Figure originally stated in the Receivership Application filed July 8, 2021 and restated by the Receiver 'as at the Date of Appointment'; interest continues to accrue thereafter. Capella renamed Polaris on Dec 10, 2019. · page: 23 · as of: 2022-10-03 (Date of Appointment) · amount: 4074605.4 · debtor: AuVert Mining Group Inc. · creditor: Polaris Financial Management Limited (formerly Capella Financial Management Limited; successor to Fernhope Limited U.K. loans assigned May 2019) · currency: CAD · security: General Security Agreements dated October 29, 2018 (Fernhope GSA) and December 7, 2018 as amended (Capella GSA), granting a security interest in all present and after-acquired personal property of AuVert
- secured creditorsnote: Deemed trust claim (unremitted employee source deductions/taxes), part of ~$115,000 total owed to CRA on AuVert's payroll account; deemed trust amounts do not form part of the Property subject to the Receivership and rank ahead of Polaris' secured claim. Appeal period for the underlying assessment has expired. · page: 24 · as of: 2023-01-23 · amount: 76000 · debtor: AuVert Mining Group Inc. · creditor: Canada Revenue Agency (CRA) · currency: CAD