Lamco Investments Ltd.

In Receivership

Page last updated: April 5, 2011

This page is for information purposes only and you should consult your professional adviser if you have any questions or are uncertain as to your rights or obligations.

On November 15, 2010, on a motion by General Electric Canada Real Estate Finance Inc. and GE Canada Equipment Financing G.P., an order was granted by the Ontario Superior Court of Justice in Bankruptcy and Insolvency (the "Court"), pursuant to section 243(1) of the Bankruptcy and Insolvency Act, R.S.C. 1985, c. B-3, as amended (the "BIA") and section 101 of the Courts of Justice Act, R.S.O. 1990 c. C.43, as amended (the "CJA"), that, among other things:

  • appointed PricewaterhouseCoopers Inc. as receiver (the "Receiver") of all of the assets, undertakings and properties of Lamco Investments Ltd.
  • authorized borrowing by the Receiver of up to $100,000 (or such greater amount as the Court may by further Order authorize).

Status of file as of April 5, 2011

On April 4, 2011, the Court approved a Distribution and Discharge order.

Status of file as of March 29, 2011

On March 28, 2011, the Receiver prepared its Second Report to provide the Court with information in respect of (i) the Receiver’s activities from the date of the First Report; (ii) the Receiver’s statement of receipts and disbursements from the Date of Appointment to March 17, 2011; (iii) the completion of the Sale Transaction and the sale of the Property to 3637182 Canada Inc., as a related assignee of 1277648 Ontario Ltd.; (iv) the Receiver’s review of the validity and enforceability of the GE’s security in respect of the Property; and to seek an order:

  • approving the Supplement to the First Report and the Second Report and the Receiver’s activities;
  • approving the accounts of the Receiver for the period from November 15, 2010 to February 28, 2011;
  • approving the accounts of the Receiver’s legal counsel, Miller Thomson, for the period from November 15, 2010 to February 16, 2011;
  • approving the Receiver’s Statement of Receipts and Disbursements from November 15, 2010 to March 17, 2011;
  • approving an interim distribution to GE in an amount of $3,000,000;
  • authorizing the Receiver to make subsequent distributions to GE as the Receiver determines are appropriate;
  • declaring that all steps taken by and activities of the Receiver and all amounts distributed, or to be distributed, by the Receiver are approved;
  • discharging the Receiver, subject to the Receiver completing its administration of the estate herein and distributing the Net Proceeds, and subject to the Receiver filing a Certificate evidencing same with the Court; and
  • declaring that PwC is released and discharged from any and all liability that PwC now has or may have by reason of, or in any way arising out of, the acts or omissions of PwC while acting in its capacity as Receiver.

Status of file as of March 1, 2011

On February 14, 2011, the Receiver prepared its First Report to provide the Court with information in respect of: (i) the Company’s background and operations; (ii) the Receiver’s activities from the Date of Appointment to the date of the First Report; (iii) the Receiver’s receipts and disbursements from the Date of Appointment to February 2, 2011; (iv) the Sale Process completed by the Receiver; (v) an agreement entered into by the Receiver, subject the approval of the Court, with respect to the sale of substantially all of the Property to 1277648 Ontario Ltd. and to seek an order from the Court:

  • Approving the Sale Transaction and vesting the Company’s right, title and interest in and to the Purchased Assets;
  • Sealing the un-redacted versions of the 1277648 asset purchase agreement and the Bid Summary, pending the closing of the Sale Transaction; and
  • Approving the First Report and the Receiver’s activities.

On February 22, 2011, the Receiver prepared a Supplement to the First Report to provide the Court with information in respect of the Receiver’s dealings with Ambiance Capital Corp. and the concerns raised by the Trustee.

A motion was heard on February 22, 2011 and the Court granted an order approving the activities of the Receiver as outlined in the First Report and approving the Sale Transaction.

This Web site will be updated as information becomes available.

For more information, please contact: Donna Smith, Telephone: +1 416 941 8383, Ext 14288, Fax: +1 416 814 3219.