Page last updated: June 30, 2020
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 March 12, 2020, pursuant to an order (the “Receivership Order”) of the Ontario Superior Court of Justice (Commercial List) (the “Court”), PricewaterhouseCoopers Inc., LIT (“PwC”) was appointed as receiver (the “Receiver”), without security, of: (i) the real property known municipally as 100 Mason Street in Chatham-Kent, Ontario (the "Included Real Property"); and (ii) all the other assets, undertakings and properties of DS Commercial Inc. a.k.a. DS Commercial Inc, d/b/a Stealth Metal Recycling and Processing (“Stealth Metal” or the "Company") acquired for, or used in relation to a business carried on by the Company, save and except for the real property known municipally as 1951 Brigden Side Road in St. Clair, Ontario (the "Excluded Real Property") and any personal property subject to a validly-perfected and enforceable security interest ranking in priority to that held by Triple M Metal LP (together with the Excluded Real Property, the "Excluded Property").
The Receivership Order was granted on application of Triple M Metal LP, by its general partner Triple M Metal Corp (“Triple M”) and 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.
In accordance with the provisions of the BIA, a Notice and Statement of the Receiver (the “Notice”) has been sent to all known potential creditors of the Company. A copy of the Notice is posted on the “Notices” page of this website.
On June 11, 2020, DS Commercial Inc. – through the Receivership – effected the successful restructuring of its secured debt that was registered on title to the Real Property in favour of a private lender and Canada Revenue Agency. On June 16, 2020, the Receiver was discharged as receiver of the Real Property, which was returned to the care and control of DS Commercial Inc. The Receiver also received its full discharge, conditional on fulfilling residual matters under its administration. As at June 16, 2020, the Receiver does not have care, control or carriage of the business of DS Commercial Inc. All inquiries related to the ongoing business and activities of DS Commercial Inc. should be directed to DS Commercial Inc.
On June 16, 2020, the Receiver filed its second report (the “Second Report”) with the Court to provide the Court with information concerning:
and to seek an order of the Court (the “Discharge Order”):
The motion will be heard on June 16, 2020.
On June 11, 2020, the Court issued an order (the “Administrative Order”), which among other things,
1. Authorized and directed the Receiver to distribute the funds irrevocably paid by the Company to the Receiver in trust (the “Trust Funds”) as follows:
a. $2,216.72, plus applicable penalties and interest to the date of payment, to Canada Revenue Agency (“CRA”), being the outstanding Source Deductions, if any;
b. $365,000.00 to Triple M, being the amounts secured by the Receiver’s Borrowings Charge;
c. $1,495,804.12 to Triple M, being the amounts secured by the Triple M Charge (as defined herein), as detailed in a payout letter provided by Triple M pursuant to the endorsement of Justice Conway dated May 28, 2020; and
d. $172,878.43, plus applicable penalties and interest to the date of payment, to CRA, being the amounts secured by the CRA Lien (as defined herein).
2. Ordered that following the payments set out in paragraph 1, the Receiver shall make a motion to the Court for its discharge and final approval of fees and disbursements.
On May 19, 2020, as part of a motion filed by the Receiver on the same day, the Receiver filed its First Report (the “First Report”) with the Court to provide the Court with the information with respect to:
and to seek an order of the Court (the “Approval and Vesting Order”):
and to seek an order of the court (the “Discharge and Administrative Order”) ,:
The motion will be heard on May 28, 2020.