October 31, 2022

Filing Type:

Company Counsel: Henein Hutchinson

Trustee: Richter

Trustee Counsel: Osler

Applicant: PwC

Applicant Counsel: TGF



Northern Citadel Capital Inc., One8One Davenport Inc. and 181 Davenport Retail Inc., companies involved in the development of a condominium project at 181 Davenport Road in Toronto, Ontario, were placed in receivership on October 31, on application by PwC as the receiver of Bridging Finance Inc. and certain related entities (collectively, “Bridging”). In December 2014, Bridging provided a loan to the companies, which has been amended and restated on various occasions. As at June 2022, approximately $55 million is owing under the loan. PwC as the receiver of Bridging made a demand on the loan, but it has not been repaid. In addition, PwC has significant concerns regarding various transactions involving the companies and the former principals of Bridging, including various alleged conflicts of interest and potentially improper uses of the loan. Richter was appointed receiver. Counsel is Osler for the receiver, TGF for PwC as the receiver of Bridging, Henein Hutchinson for the companies and Lax O'Sullivan for Mizrahi Inc. and 2495159 Ontario Inc.

By Dina Milivojevic