The court approved an interim distribution to unitholders in a securities receivership but required a full reserve for a disputed creditor claim.
This decision addresses three motions in the receivership of the Bridging Funds: (1) the Receiver’s motion for an interim distribution to unitholders, (2) approval of a settlement with the BlackRock Parties, and (3) the unitholders’ motion for a constructive trust.
The court approved the interim distribution but required a sufficient reserve for the disputed Cerieco claim until its final determination.
The BlackRock settlement was approved.
The constructive trust motion was deferred pending resolution of the Cerieco claim.
The decision provides detailed guidance on the treatment of creditor and unitholder claims in a complex receivership under the Securities Act.
SCJSuperior Court of JusticeFeb 24, 2025