The plaintiff condominium corporation sought the appointment of an interim receiver over one of the defendant corporations (2502511 Ontario Corp.) and the continuation of a Mareva injunction, alleging fraudulent depletion of its reserve account.
The defendants opposed the receiver appointment and sought the lifting of the Mareva injunction.
The court found a strong prima facie case of fraud and noted the defendants' non-compliance with disclosure obligations and previous court orders.
Given the significant risk of asset dissipation and the defendants' failure to operate transparently, the court granted the plaintiff's motion for a limited interim receiver over 2502511 Ontario Corp. and extended the Mareva injunction, while authorizing a reduced monthly living expense for one defendant.
