Ontario · Receivership (court-appointed)
Motion Record
Application / notice of application · 14 February 2025
What we verified from this filing14 verified
- applicantBANK OF MONTREAL
- appointeeMNP Ltd.
- appointee roleReceiver
- courtSUPERIOR COURT OF JUSTICE
- court file noCV-24-00000695-0000
- proceeding typereceivership_court
- provinceONTARIO
- statutory basissubsection 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
- statutory basisSUBSECTION 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: Report states indebtedness in the 'approximate amount of $2.7 million, plus accruing interest and costs of enforcement'; no exact dated balance stated in these pages. $2,948,750 is the registered mortgage principal, not the outstanding balance. Miller Thomson security opinion dated Feb 11, 2025 confirms the charge is valid and enforceable and that there are no prior in-time registrations. Transaction will result in a shortfall to BMO on its secured claim; no funds anticipated for other creditors. · page: 72 · amount: 2700000 · debtor: 2632363 Ontario Inc. · creditor: Bank of Montreal (BMO) · currency: CAD · security: First ranking charge/mortgage over the Real Property in the registered principal sum of $2,948,750; Assignment of Rents for the Real Property; General Security Agreement dated March 21, 2019; PPSA registrations (Inventory, Equipment, Accounts, Other, Motor Vehicle Included; and Accounts, Other)
- secured creditorsnote: Second-ranking PPSA registrant behind BMO; Receiver states the transaction will result in a shortfall on BMO's charge and no distribution is anticipated to Accord on its secured claim. · page: 79 · debtor: 2632363 Ontario Inc. · creditor: Accord Small Business Finance Corp. · currency: CAD · security: PPSA registration no. 20230420 1353 9237 8472 (Inventory, Equipment, Accounts, Other), securing a Loan Agreement dated April 20, 2023 in the (original advance/registered) principal amount of $250,000
- secured creditorsnote: Deemed trust claim for unpaid source deductions; ranks in priority to BMO against the equipment and chattels; this is the deemed-trust portion of total pre-receivership source deduction arrears of $26,635.50 (remainder not identified as deemed trust). Receiver's proposed and Court-ordered distribution: this amount to be paid to CRA in satisfaction of the deemed trust claim, remainder of proceeds to BMO. · page: 80 · as of: pre-receivership debts · amount: 5725.06 · debtor: 2632363 Ontario Inc. · creditor: Canada Revenue Agency (CRA) · currency: CAD
- unsecured creditorsnote: Priority claim - property tax arrears rank in priority to the BMO charge; to be paid from sale proceeds of the Real Property transaction; approximate figure, not an exact stated balance. · page: 80 · basis: Receiver's Report estimate: 'Property tax arrears for the Real Property are approximately $15,000' · amount: 15000 · debtor: 2632363 Ontario Inc. · creditor: Township of Centre Wellington · currency: CAD
- secured creditorsnote: HST deemed trust claim asserted by CRA, being the deemed-trust portion of total pre-receivership HST arrears of $136,444.93. Per Callidus Capital Corp. v. Canada, 2018 SCC 47, upon the Company's deemed bankruptcy (Feb 3, 2025) the HST deemed trust ceased to be effective against secured creditors; accordingly BMO's charge has priority over this amount and no distribution is anticipated on account of it. · page: 81 · as of: pre-receivership debts · amount: 130291.04 · debtor: 2632363 Ontario Inc. · creditor: Canada Revenue Agency (CRA) · currency: CAD