1901467 Alberta Ltd. owned one thing. It was a building on 10.524 hectares off Range Road 62 in the County of Grande Prairie No. 1, less a 2.04-hectare subdivision carved out of the lot, described in the receiver's filings as an industrial property, per the Application (Final Distribution, Approval of Activities, Approval of Fees and Disbursements, and Discharge of Receiver), Sept. 4, 2026, para. 4. The company's principal line of business, in the receiver's first notice to creditors, was "Property owner - landlord," per the Notice and Statement of Receiver, July 22, 2025, para. 2(b). The business on the site belonged to a related company, 1566117 Alberta Ltd., wholly owned by the same sole director and shareholder, which ran its business from the property, per the Amended Receiver's Second Report, Sept. 8, 2026, paras. 3, 17.
The operating company went first, filing a proposal under Division I of the BIA on March 5, 2025, with Ernst & Young Inc. as proposal trustee. Its creditors refused the proposal at a meeting on June 3, 2025, and it was deemed bankrupt, with EY continuing as trustee, per the Amended Receiver's Second Report, Sept. 8, 2026, para. 16. Six weeks later the landlord followed it into a proceeding of its own, and fourteen months after that the building had been sold, a final distribution approved and the receiver's discharge ordered.
A consent order over one parcel
On July 18, 2025, on the application of Roynat Inc. and with the consent of the defendants and their counsel, Justice M. E. Burns of the Court of King's Bench of Alberta appointed EY receiver and manager of the company's property under s. 243(1) of the BIA, s. 13(2) of the Judicature Act, s. 99(a) of the Business Corporations Act and s. 65(7) of the Personal Property Security Act, in court file 2503 13231 at Edmonton, per the Consent Receivership Order, July 18, 2025, recitals and para. 2. The receiver could borrow up to $150,000 under a receiver's borrowings charge ranking ahead of every security interest, trust and deemed trust, behind only the receiver's own charge and the statutory charges in ss. 14.06(7), 81.4(4) and 81.6(2) of the BIA, per the Consent Receivership Order, July 18, 2025, para. 21. Roynat's action names both the company and its sole director and shareholder as defendants, and the order preserves Roynat's right to continue its proceedings against the individual defendant, per the Consent Receivership Order, July 18, 2025, para. 8.
In its statutory notice four days later, EY reported that it had been appointed over the real property only, that it had already secured the site when it took possession as trustee of 1566117 Alberta Ltd., and that values would be reported in materials the receiver intended to seal; the notice carried the property at a nominal $1.00 and listed one secured creditor, Roynat, at $2,762,000, per the Notice and Statement of Receiver, July 22, 2025, paras. 1, 2(d). The receiver's first report puts Roynat's debt at $2,761,866.66 as of July 5, 2025, plus interest and costs, secured by a registered mortgage on the lands and a general security interest in the company's personal property, per the Receiver's First Report, June 18, 2026, para. 12.
Eleven months on the market
The building was already for sale when the receiver arrived. Management had listed it with a Re/Max agent in Grande Prairie on June 21, 2024, and the receiver, after discussing sale processes with Roynat, argued for keeping the same agent because he "was local and already familiar with the property and numerous interested parties." On July 30, 2025 EY signed a six-month listing agreement and put the lands on the market at $3.35 million. Showings produced offers and counteroffers from two parties, all reviewed with Roynat, which supported every counteroffer the receiver made or accepted, per the Receiver's First Report, June 18, 2026, paras. 14–16, 19(b).
In the meantime the receiver kept the building. It winterized the plumbing, held minimal heat through the winter, confirmed insurance, and, as the insurer required, had management carry out security checks every two days until a purchaser took possession, per the Receiver's First Report, June 18, 2026, paras. 7–8. It also flagged the county: the 2025 tax notice attached to the first report showed $291,502.25 owing if paid after October 31, 2025, including $209,372.99 of arrears; the receiver understood Roynat "may have paid some of this balance" and had asked it to confirm, per the Receiver's First Report, June 18, 2026, para. 13 and Sch. "B".
The winning offer came from Blackstone Drilling Fluids Limited, which the receiver described as arm's length. EY recommended it because the lands had been "adequately exposed to the market," further marketing would not produce a better offer, and the price exceeded what a bankruptcy could achieve, per the Receiver's First Report, June 18, 2026, paras. 18–20. The price and the competing offers went into a confidential supplement. On July 3, 2026, Justice M. J. Lema granted the sale approval and vesting order, approved the receiver's activities, and sealed the supplement until the receiver filed its certificate confirming closing, per the Sealing Order, July 3, 2026, paras. 2–3. The vesting order discharges Roynat's 2019 mortgage and its caveat on rents, a 2022 mortgage in favour of the Bank of Nova Scotia, a county tax notification and the registered receivership order, and leaves in place five pipeline and utility rights of way and caveats dating to 1992, per the Sale Approval and Vesting Order (Sale by Receiver), July 3, 2026, paras. 3–4 and Schs. "C"–"D".
After closing, the receiver unsealed the supplement, per the Application (Final Distribution, Approval of Activities, Approval of Fees and Disbursements, and Discharge of Receiver), Sept. 4, 2026, para. 8. The second report gives the price: $3,000,000, plus a $21,119.63 property tax adjustment, less a $94,500 realtor's commission, for net proceeds of $2,926,619.63, per the Amended Receiver's Second Report, Sept. 8, 2026, para. 9.
The deemed trust with nothing to attach to
The Canada Revenue Agency filed claims for $1,976.64 in corporate income tax, for the year ended September 30, 2020, and $82,985.04 in GST running across five periods from 2020 to the date of receivership. Of the GST, $34,815.28 was claimed as a deemed trust under s. 222(3) of the Excise Tax Act, with the remaining $48,169.76 unsecured; the company had no employees, so there was no source deduction claim, per the Amended Receiver's Second Report, Sept. 8, 2026, paras. 10–11 and Sch. "A".
The receiver's independent counsel confirmed that Roynat's mortgage was valid and enforceable. Because the CRA had not registered a security interest in the lands before Roynat, the receiver reported, its deemed trust claim "would be subordinate to Roynat's mortgage." The trust would still rank ahead of Roynat against the company's personal property, but the company had none, and every dollar of the proceeds came from the land: "As such, there are no assets for the CRA Deemed Trust Claim to attach to," per the Amended Receiver's Second Report, Sept. 8, 2026, para. 14. The receiver anticipated that Roynat would suffer a shortfall and that no creditor other than Roynat would receive a distribution, save one, per the Amended Receiver's Second Report, Sept. 8, 2026, para. 15.
The sister estate's bill
The exception was the bankrupt operating company. Because some of the building's service accounts were in 1566117 Alberta Ltd.'s name, its trustee had paid the landlord's costs until the sale: $15,035.73 in utilities, $914.24 for winterization, $3,151.11 for the yard, $9,732.00 in insurance, $708.63 to change the locks, $9,275.00 for security and $997.83 in GST, a total of $39,814.54, per the Amended Receiver's Second Report, Sept. 8, 2026, paras. 17–19. The statement of receipts and disbursements shows how the costs were divided. Utilities were split evenly until January 2026, while the bankrupt company still had assets on site to be sold, and charged wholly to the landlord after; winterization went entirely to the landlord, because none of the tenant's assets needed heat; the yard and the locks were split in half. Rent ran the other way: $6,000 received by the bankrupt estate was moved to 1901467 Alberta Ltd., since "Rents should be paid to 190 AB as owner of the property," per the Amended Receiver's Second Report, Sept. 8, 2026, Sch. "C", notes 1–7.
The trustee had also made an administrative agreement with the CRA that lets it take its fees and costs from the bankruptcy's realizations before the CRA's deemed trust claim there is paid. In the receiver's view, "it would not be reasonable for the stakeholders of the bankruptcy to have to bear the Lands Expenses pertaining to this receivership proceeding," per the Amended Receiver's Second Report, Sept. 8, 2026, paras. 20–21. The repayment runs from EY as receiver to EY as trustee under a direction to pay dated September 3, 2026, per the Amended Receiver's Second Report, Sept. 8, 2026, Sch. "D".
Where the $2.85 million went
To August 20, 2026, the receivership took in $3,047,828.73: the sale, $7,800 in rent, $28.73 in interest, and $40,000 advanced by Roynat on a receiver's certificate requested April 16, 2026 and funded August 11. It paid out $195,771.65, including $29,795.36 in property taxes and $94,500 in commission and GST, leaving $2,852,057.08 in trust, per the Amended Receiver's Second Report, Sept. 8, 2026, paras. 24–25 and Sch. "C". The amended report, dated September 8, corrected one point in the September 3 version, which had said the certificate went to the Bank of Nova Scotia on Roynat's behalf; the amended text names Roynat, per the Receiver's Second Report, Sept. 3, 2026, para. 24 and the Amended Receiver's Second Report, Sept. 8, 2026, para. 24.
The proposed distribution: $39,814.54 to 1566117 Alberta Ltd., $40,000 to Roynat to retire the certificate, and $2,751,242.54 to Roynat after a $21,000 holdback for the receiver's unbilled work and the cost of finishing, with anything left over going to Roynat "to help cover its anticipated shortfall," per the Amended Receiver's Second Report, Sept. 8, 2026, paras. 31–32.
EY billed $50,250.00, including GST, for work to August 11, 2026 and estimated $10,500 more; its fee affidavit records 75.7 hours, 63.7 of them by the vice president in charge at $650 an hour. MLT Aikins billed $21,142.33 to July 31 and estimated another $10,500, per the Amended Receiver's Second Report, Sept. 8, 2026, paras. 27–28 and Sch. "F", Ex. "A".
The order of September 15
Justice J. T. Neilson heard the application on the Commercial List and pronounced the order on September 15, 2026. It directs the receiver to pay the distribution set out in paragraph 31 of the amended report to Roynat and to EY as trustee of 1566117 Alberta Ltd., authorizes the holdback and the remittance of any unused part to Roynat without further approval, approves the receiver's activities, and approves the fees of the receiver and its counsel "without the necessity of a formal passing or assessment of their accounts," per the Order (Final Distribution, Approval of Activities, Approval of Fees and Disbursements, and Discharge of Receiver), Sept. 15, 2026, paras. 2–5. The receiver may destroy the company's books and records 30 days after giving notice to a director, per the Order (Final Distribution, Approval of Activities, Approval of Fees and Disbursements, and Discharge of Receiver), Sept. 15, 2026, para. 6.
The court found that the receiver had satisfied its obligations under the orders in the proceeding and released it from liability "save and except for any liability arising out of any in fraud, gross negligence or willful misconduct on the part of the Receiver, or with leave of the Court"; no action may be brought against it without leave. The discharge is conditional and takes effect when a licensed trustee employed by EY files an affidavit confirming that the distribution and holdback have been paid, a final GST return filed, the professional accounts paid and the reports under ss. 246(2) and 246(3) of the BIA filed, per the Order (Final Distribution, Approval of Activities, Approval of Fees and Disbursements, and Discharge of Receiver), Sept. 15, 2026, paras. 7–9.
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