June 24, 2021

Filing Type:

Trustee: FTI

Applicant: Preferred Shareholders

Applicant Counsel: Fasken

Industry:

Province:

Roxdale Gardens Ltd., a Calgary, Alberta-based real estate company, was placed in receivership on June 24 on application by a group of applicants (collectively, the "Preferred Shareholders"), including Cantech Oilfield Equipment Ltd. and King Chi Hung. The Preferred Shareholders invested approximately $3.4 million in the company. These investment funds were collateralized by way of a $10 million mortgage registered against two parcels of land in Leduc County, Alberta (the "Lands"). The Lands were to be the site of a luxury residential real estate development scheme called the "Roxdale Gardens Project". The Preferred Shareholders allege that they have been oppressed through the actions of the company and claim, among other things, that the company's former directors withheld dividend payments owing to the Preferred Shareholders and failed to use the investment funds to develop the Lands. FTI was appointed receiver. Fasken is counsel to the Preferred Shareholders.