British Columbia · Receivership (court-appointed)
The purpose of this second report of the Receiver (the “Second Receiver’s Report”) is to advise the Supreme Court of British Columbia with respect to, inter alia, the following: a. condensed background information of Western Concord; b. the receipts and disbursements of the Receiver; c. the potential Section 81.3 claims; d. the professional fees of the Receiver and its legal counsel; e. the Final Distribution (defined below) and the proposed discharge of the Receiver following completion of the final matters related to these proceedings; and f. the Receiver’s recommendations
Court officer report · 3 October 2018
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 filing12 verified
- cash on handnote: Statement of receipts and disbursements covers April 9, 2018 to September 14, 2018; the ledger shows a cash balance of $407,814.50. · amount: 407815 · currency: CAD · qualifier: approximately
- closing confirmedscope: substantially all of the assets of the Companies · outcome: completed · effective: 2018-03-01 · purchaser: Mercury · date basis: stated · approval order date: 2018-02-21
- disbursementsnote: Includes Interim Distributions of $14,539,998, legal fees of $38,329, Receiver fees of $36,778, a transfer of $98,618 for the Bankruptcy Trustee's fees, and a $164,917 reimbursement to Mercury. · since: April 9, 2018 (period to September 14, 2018) · amount: 14878640 · currency: CAD
- fee scheduleengagements: form: invoice_listing · rows: Mike Bell; Riyandi Tan; Marcos Souza; Esther Wong; Kevin Brennan; Mike Bell; Riyandi Tan; Esther Wong · money: fees: quote: TOTAL | | | 34,672.50 | 7,432.29 | - | 42,104.79 | 2,105.24 | 44,210.03 | 87.90 | · amount: 34672.5 · total: quote: TOTAL | | | 34,672.50 | 7,432.29 | - | 42,104.79 | 2,105.24 | 44,210.03 | 87.90 | · amount: 44210.03 · includes tax: true · includes disbursements: true · approximate: false · period: end: 2018-06-04 · kind: cumulative · quote: Western Concord Manufacturing Limited Billing Details from March 5, 2018 to April 6, 2018 · start: 2018-03-05 · approval: state: unstated · averages: · currency: quote: TOTAL | CAD | 5,532.89 · invoices: date: 2018-06-07 · fees: 20212.5 · quote: CA12C500002893 | 07-Jun-18 | April 7, 2018 to June 4, 2018 | 20,212.50 | - | - | 20,212.50 | 1,010.63 | 21,223.13 | 46.3 | · total: 21223.13 · period end: 2018-06-04 · period start: 2018-04-07 · firm text: Ernst & Young Inc. · firm quote: SECOND REPORT OF THE RECEIVER ## ERNST & YOUNG INC. · hours total: quote: TOTAL | | | 34,672.50 | 7,432.29 | - | 42,104.79 | 2,105.24 | 44,210.03 | 87.90 | · value: 87.9 · context quote: Ernst & Young Inc. ('EYI') consented to act as the trustee under the NOIs and as proposal trustee in this matter · context unverified: true; form: invoice_listing · rows: · money: approximate: false · period: end: 2018-09-30 · kind: cumulative · quote: EYI is seeking to have the fees and disbursements of Cassels for the period December, 2017 to September, 2018, passed and approved by this Honourable Court. · start: 2017-12-01 · approval: quote: EYI is seeking to have the fees and disbursements of Cassels for the period December, 2017 to September, 2018, passed and approved by this Honourable Court. · state: sought · averages: · currency: · invoices: date: 2017-12-31 · fees: 6708 · quote: 2035087 | December 31, 2017 | 17.5 | 6,708.00 $ | 98.25 $ | · disbursements: 98.25; date: 2018-02-07 · fees: 4432 · quote: 2036398 | February 7, 2018 | 11.2 | 4,432.00 $ | 510.01 $ | · disbursements: 510.01; date: 2018-02-26 · fees: 10846.5 · quote: 2037811 | February 26, 2018 | 25.7 | 10,846.50 $ | 105.75 $ | · disbursements: 105.75; date: 2018-03-12 · fees: 3845 · quote: 2038885 | March 12, 2018 | 8.0 | 3,845.00 $ | - $ |; date: 2018-04-10 · fees: 4235.5 · quote: 2041117 | April 10, 2018 | 10.1 | 4,235.50 $ | 104.07 $ | · disbursements: 104.07; date: 2018-05-07 · fees: 1447 · quote: 2043373 | May 7, 2018 | 3.2 | 1,447.00 $ | 1.74 $ | · disbursements: 1.74; date: 2018-06-07 · fees: 7291.5 · quote: 2045810 | June 7, 2018 | 17.9 | 7,291.50 $ | 8.75 $ | · disbursements: 8.75; date: 2018-07-12 · fees: 3316.5 · quote: 2049098 | July 12, 2018 | 9.3 | 3,316.50 $ | 238.00 $ | · disbursements: 238; date: 2018-09-12 · fees: 925.5 · quote: 2054050 | September 12, 2018 | 2.3 | 925.50 $ | 113.29 $ | · disbursements: 113.29 · firm text: Cassels Brock · firm quote: Cassels Brock Invoice Summary - Proposal · context quote: EYI is seeking to have the fees and disbursements of Cassels for the period December, 2017 to September, 2018, passed and approved by this Honourable Court.
- operational summaryWestern Concord's business was sold to Mercury Plastics in March 2018, and the entities are now in bankruptcy. The Receiver has made interim distributions, holds the remaining cash, and proposes a final distribution to Hanover and its own discharge.
- professional feesnote: Approx. 87.9 hours; fees exclusive of applicable taxes, plus disbursements and other charges of approx. $7,432.29. Counsel Cassels Brock billed fees of $13,990.50 and disbursements of $386.59 (34.7 hours, exclusive of taxes) for the receivership. In the receipts and disbursements, fees of the Receiver including taxes were $36,778 and legal fees including taxes $38,329. · party: Ernst & Young Inc. (Receiver) · amount: 34672.5 · period: March 5, 2018 to June 4, 2018 · currency: CAD
- purchaserMercury Plastics of Canada, Inc.
- receipts cumulativenote: Primarily cash in Western Concord's bank account of $91,356, sale proceeds from Mercury of $15,058,000, interest revenue of $59,710 and other receipts of $77,388. · since: April 9, 2018 (commencement of the receivership) · amount: 15286454 · currency: CAD
- recovery outcomeentries: basis: actual · quote: Accordingly, the Receiver sought approval of this Honourable Court to distribute the net amount owing to the Buyer of $1,453,536 (the ' Net Amount Owing to Buyer ') and this amount was distributed to Mercury in accordance with the Interim Distribution Order. · pct of: unstated · outcome: distribution · stated by: receiver · amount low: 1453536 · cumulative: false · amount high: 1453536 · class label: Mercury · creditor name: Mercury · interim final: interim · claims qualifier: unstated; basis: actual · quote: Pursuant to the terms of the Interim Distribution Order, which authorized the Receiver to distribute from the Net Proceeds up to $13,054,464 to Hanover, the Receiver has distributed the sum of $13,040,915 to Hanover. · pct of: unstated · outcome: distribution · class key: secured · stated by: receiver · amount low: 13040915 · cumulative: false · amount high: 13040915 · class label: Hanover Investments Corporation Ltd. · creditor name: Hanover Investments Corporation Ltd. · interim final: interim · claims qualifier: unstated; basis: estimated · quote: As noted above, Hanover will realize a shortfall on its security value in excess of $30 million, and will exclusively bear the costs of the remaining steps and administrative procedures respecting these Receivership proceedings. · pct of: unstated · outcome: shortfall · class key: secured · stated by: receiver · class label: Hanover Investments Corporation Ltd. · creditor name: Hanover Investments Corporation Ltd. · interim final: unstated · claims qualifier: unstated · shortfall amount: 30000000 · stated on: 2018-10-03 · table missing:
- report date3 October 2018
- report noSecond Report of the Receiver
- sale outcometext: The sale contemplated under and pursuant to the APA completed on March 1, 2018 · scope: whole_business · status: closed