Court File and Parties

Citation: R. v. Shehrazad Non Profit Housing Inc., 2007 ONCA 626 Date: 2007-09-13 Docket: C46620

Court of Appeal for Ontario Sharpe, Gillese and Juriansz JJ.A.

Between:

Her Majesty the Queen in Right of Ontario Respondent

and

Shehrazad Non Profit Housing Inc. Appellant

Counsel: Michael A. Jaeger for the appellant Troy M. Harrison for the respondent C. Mills and J. Carhart for the receiver

Heard: September 13, 2007

On appeal from the order of Justice James M. Spence of the Superior Court of Justice dated January 20, 2007.

Appeal Book Endorsement

[1] The order appointing a receiver is discretionary and the application judge’s jurisdiction to make an order is conceded. We are not persuaded that the application judge erred in the exercise of his discretion. The respondent is the only entity with a direct financial interest in the projects and its interest is clearly at risk. The appellant is insolvent and would be unable to meet all its obligations even if the disputed subsidies were paid.

[2] The application judge found that the respondent had a proper interest in ensuring that the projects remain part of the social housing stocks of the province. We agree with the application judge that in all the circumstances it would not be appropriate to refuse a receiver pending determination of the appellant’s motion against the respondent in relation to subsidies. As he found, even if that action were successful, it would not solve the financial problems of the appellant.

[3] Accordingly, the appeal is dismissed. In light of this disposition, the motion for leave to appeal costs is moot and is accordingly dismissed.

[4] We order no costs in favour of the receiver on one fresh evidence motion. Costs to the respondent if demanded fixed at $10,000.