Ontario · Receivership (court-appointed)
Application Record of the Applicant dated August 29, 2025
Application / notice of application · 29 August 2025
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 filing14 verified
- applicantROYAL BANK OF CANADA
- courtSUPERIOR COURT OF JUSTICE
- court file noCV-25-00004090-0000
- proceeding typereceivership_court
- provinceONTARIO
- statutory basiss. 101 of the Courts of Justice Act, R.S.O. 1990, c.C-43 and s. 243(1) of the Bankruptcy and Insolvency Act, R.S.C. 1985, c.B-3, ss. 67(1)(a) and (e) of the Personal Property Security Act, R.S.O. 1990, c. P.10 and Rules 3 and 14.05(2), (3)(g) and (h) of the Rules of Civil Procedure
- statutory basiss. 101 of the Courts of Justice Act, R.S.O. 1990, c.C-43 and s. 243 (1) of the Bankruptcy and Insolvency Act, R.S.C. 1985, c.B-3, ss. 67(1)(a) and (e) of the Personal Property Security Act, R.S.O. 1990, c. P.10
- commencement date28 July 2025
- secured creditorsnote: Identified as the only other secured creditor of the Debtor per PPSA search results dated April 29, 2025; amount not stated in the document. · page: 8 · as of: 2025-04-29 · debtor: ZSD Electric Inc. · creditor: TD Auto Finance (Canada) Inc. · currency: CAD · security: PPSA registration (blanket all-property registrant per PPSA search results)
- secured creditorsnote: Senior secured creditor. Amount outstanding as of May 6, 2025 comprised of: Credit Card $1,019.67; Converted Credit Card Term Loan $149,985.47; Auto Loan $12,356.20; HASCAP Loan $27,872.29; Royal Credit Line $706,187.31; plus fees, disbursements and costs; document's own stated total $908,412.79 (exclusive of further accrued interest, fees, disbursements and costs). Personal guarantee exists from Dennis Zammit (director/officer) and corporate guarantee from related company 2262525 Ontario Inc. · page: 11 · as of: 2025-05-06 · amount: 908412.79 · debtor: ZSD Electric Inc. · creditor: Royal Bank of Canada · currency: CAD · security: General Security Agreement (GSA) dated June 23, 2015, perfected under PPSA on December 18, 2014; also secured by guarantee and GSA of 2262525 Ontario Inc. (Corporate Guarantor, related party) limited to $455,000.00, and guarantee of Dennis Zammit (director/officer, related party, personal guarantee) limited to $1,200,000.00, plus postponements and assignments of claim of both. Credit Facilities comprised an operating line of credit ($700,000.00 facility limit), a HASCAP term loan ($250,000.00 facility limit) and a credit card facility ($150,000.00 facility limit) - these are facility limits, not balances.
- financial positionnote: Document states liabilities exceeding assets by $2,483,887.91 as at July 31, 2024; individual total asset and total liability figures are not stated. A net loss of $849,588.97 for the 2024 fiscal year and interim losses (e.g., $770,000.00 for Nov 2023-July 2024, and $100,526.67 profit for Nov 2024-Mar 2025) are also referenced but are income-statement figures, not balance sheet totals. · page: 13 · as at: 2024-07-31 · basis: Debtor's internally prepared/reported balance sheet (unaudited), as confirmed by the Bank in correspondence to the Debtor's counsel dated April 8, 2025 · scope: ZSD Electric Inc. (entity-level; not consolidated) · currency: CAD
- unsecured creditorsnote: Of this amount, $1,041,073.56 was over 90 days past due. The document names no individual trade creditors. · page: 13 · as of: 2025-04-08 · basis: Accounts payable figure reported by the Debtor and confirmed in the Bank's correspondence dated April 8, 2025; not an itemized list of individual creditors · amount: 1311562.02 · debtor: ZSD Electric Inc. · creditor: Unsecured creditors (aggregate as reported - accounts payable) · currency: CAD
- unsecured creditorsnote: Priority payable / deemed trust class (HST remittance arrears). A prior, less precise approximation of arrears ("approximately $33,000.00") as of September 5, 2024 is also noted in the record. · page: 13 · as of: 2025-04-08 · basis: Reported by the Bank in correspondence to the Debtor dated April 8, 2025, based on financial reporting provided by the Debtor · amount: 132453.49 · debtor: ZSD Electric Inc. · creditor: Canada Revenue Agency (HST arrears) · currency: CAD
- unsecured creditorsnote: Priority payable / deemed trust class (payroll source deduction arrears). A prior, less precise approximation ("$4,000.00") as of September 5, 2024 is also noted in the record. · page: 13 · as of: 2025-04-08 · basis: Reported by the Bank in correspondence to the Debtor dated April 8, 2025, based on financial reporting provided by the Debtor · amount: 4538.8 · debtor: ZSD Electric Inc. · creditor: Payroll source deduction arrears (CRA) · currency: CAD