The applicant, Bluecore Capital Inc., brought a bankruptcy application against the respondent, Sergio Grillone, a former lawyer, based on his failure to repay a litigation funding loan.
The respondent brought a motion for a mis-trial, alleging evidence tampering and perjury by the applicant's counsel and witness regarding the version of the loan agreement entered into evidence.
The court dismissed the mis-trial motion, finding the evidentiary irregularities were inadvertent and did not cause a miscarriage of justice.
The court granted the bankruptcy application, finding the applicant proved a debt exceeding $1,000 and an act of bankruptcy.
The court held that special circumstances existed to allow a single creditor application due to the respondent's litigious conduct and the multiplicity of claims against him, making a bankruptcy proceeding the most efficient way to manage his estate.
