Gregory Ryan Azeff

This endorsement addresses two motions arising from a cybertheft of approximately $9.7 million from the applicant's bank account at the respondent bank.

The applicant, FACTOR, sought additional productions from the Bank of Nova Scotia (BNS), alleging a parsimonious approach to disclosure.

BNS, supported by other respondents, sought to convert the application into an action, citing material facts in dispute and complex issues.

The court largely granted FACTOR's production requests, ordering BNS to provide more details from its internal investigation, session logs (with confidentiality), and internal alert system details (with a secure mechanism).

The court also ordered the additional respondents, James Campagna and 10426377 Canada Inc., to produce all relevant documents.

The motion to convert the application to an action was dismissed as premature, with the court noting that the necessity of conversion could be revisited once the respondents deliver their full evidence.

The Court-Appointed Receiver brought a motion seeking to uphold the disallowance of a claim by Oscar Furtado against Go-To Stoney Creek Elfrida LP and Inc. for guarantee fees.

The Receiver argued the fees were undisclosed, related-party agreements made in breach of Furtado's fiduciary duties and were not reasonable or competitive.

The court found that Furtado, as a fiduciary, failed to provide full disclosure of the lucrative guarantee fee arrangement to investors, as it was not adequately disclosed in the limited partnership agreement, marketing brochure, or the auditor-withdrawn financial statements.

The Receiver's disallowance of the claim was upheld.

The Trustee in Bankruptcy sought declarations that a property sale by the bankrupt, Ian Ross McSevney, to a corporation controlled by his sister, Elaine McSevney, was a transfer at undervalue under section 96 of the Bankruptcy and Insolvency Act, and that Elaine McSevney was privy to the transfer.

The court found that the relationship between the siblings was not arm's length, that the bankrupt was insolvent or rendered insolvent by the transfer, and that he intended to defraud, defeat, or delay creditors.

The court determined the fair market value of the property and the actual consideration paid, concluding that the transfer was conspicuously less than fair market value.

The motion was granted, and Elaine McSevney and her corporation were ordered to pay the difference to the Trustee.

This is an appeal from a Superior Court order appointing a receiver and manager for Go-To Developments Holdings Inc. and related entities, and continuing freeze directions, following an Ontario Securities Commission investigation into alleged securities law breaches, including misappropriation of investor funds by Oscar Furtado.

The appellants challenged the application judge's denial of an adjournment and the admission of Mr. Furtado's examination transcripts.

The Court of Appeal dismissed the appeal, finding no error in the adjournment denial, especially in light of fresh evidence demonstrating further misconduct by Mr. Furtado.

The court declined to address the admissibility of transcripts as the issue was not raised below.

This endorsement provides reasons for granting an initial order under the Companies’ Creditors Arrangement Act (CCAA) to Trinity Ravine Community Inc., a registered charitable organization developing a senior citizens' life lease community project.

The applicant faced insolvency due to escalating construction costs and demands for deposit refunds from purchasers.

The court found the applicant met the CCAA requirements, including insolvency and good faith, and that a CCAA process was appropriate despite it being a real estate development, given its charitable purpose and the potential for maximizing creditor recoveries through a dual-track sale and investment solicitation process (SISP).

An initial administration charge was also granted to secure professional fees.

The Estate Trustee During Litigation brought a motion to quash an appeal in a matter involving the estate of Elias Gefen.

The appeal involved multiple parties including the estate trustee, family members, and various institutions.

The motion to quash was granted on March 14, 2019.

The court awarded costs of the motion and appeal to the Estate Trustee During Litigation in the amount of $30,000 inclusive of disbursements and applicable taxes, payable jointly by the appellant and respondents to the motion.

The Estate Trustee During Litigation (ETDL) moved to quash an appeal on the grounds that it should have been brought to the Divisional Court under section 28 of the Estates Act.

The respondents argued that the ETDL's appointment was made under Rule 75 of the Rules of Civil Procedure or the court's inherent jurisdiction, not the Estates Act.

The Court of Appeal held that the appointment order was made pursuant to the Estates Act and that the allegation of a constructive trust "touches on" the validity of the will or grant of administration within the meaning of section 28.

The appeal was quashed and the matter was directed to the Divisional Court.

The Estate Trustee During Litigation (ETDL) for the estate of Elias Gefen brought a motion seeking payment of his significant fees and disbursements from disputed estate assets, a priority charge on these assets, and permission for interim payments.

The motion was supported by Harry Gefen and the estate of Yehuda Gefen, and opposed by Henia Gefen, Harvey Gefen, and a non-party co-tenant.

The court found that the ETDL was entitled to payment from the 'Property Interest' (disputed assets) and a charge on it, interpreting the original appointment order broadly to include assets with contingent estate interests.

The court denied the ETDL's request to further mortgage the properties to raise funds, citing potential adverse effects on non-parties.

The ETDL was granted the right to make interim payments from available distributions, subject to a final passing of accounts.

Costs were awarded against the opposing parties personally and the balance from the Estate.

This application sought the appointment of a receiver over the surface rights of the Kerr-Addison Mine, which had been inactive for 20 years.

The applicant, Gold Candle Ltd., had acquired the mining rights and aimed to recommence operations.

The respondents opposed, alleging the applicant was frustrating negotiations.

The court, exercising its discretion under s. 101 of the Courts of Justice Act, balanced the parties' rights and considered the significant public interest factors, including health and safety hazards, severe local economic impact, unpaid municipal taxes, and unaddressed creditor claims.

Finding it just and convenient, the court granted the application, appointing A. Farber & Partners Inc. as receiver to conduct a court-supervised sale of the Mine, anticipating remediation, economic revitalization, and debt repayment.

In Companies’ Creditors Arrangement Act proceedings, the applicant sought an extension of the stay period, an increase to debtor-in-possession financing, authorization to honour pre-filing prepayments made by merchant customers for loyalty program points, and a variation of the initial order to defer statutory notice to certain creditors.

The court granted the stay extension and approved the increased DIP facility, finding the debtor had acted in good faith and required additional financing to continue operations during the sale and investor solicitation process.

The court also authorized the debtor to honour prepayments for loyalty points where doing so would preserve customer relationships and enhance prospects for a going‑concern sale, applying a cost‑benefit approach consistent with earlier CCAA jurisprudence permitting payment of certain pre‑filing obligations.

However, the court refused to vary the statutory notice requirements under s. 23 of the CCAA, emphasizing that transparency and creditor notification are foundational principles of CCAA proceedings.