Telemus Systems Inc., a Kanata, Ontario-based company that specializes in the design, development, and manufacturing of Intelligence, Surveillance and Reconnaissance (ISR) and counter measure systems and suites for operational support in the international market, filed for bankruptcy on August 24, listing approximately $638.6 thousand in liabilities, including $120.9 thousand to CM Computer and $330.1 thousand to various employees. KPMG is the bankruptcy trustee.
Studio Elastique Inc./Elastic Games Inc., a Montreal, Quebec-based game development company, filed for bankruptcy on August 2, listing approximately $1.6 million in liabilities, including $664.8 thousand to RBC and $236 thousand to BDC. Raymond Chabot is the bankruptcy trustee.
Olds Institute for Community & Regional Development and Olds Fibre Ltd. (o/a O-NET), two related Olds, Alberta-based telecommunication companies, were placed in receivership on June 25 on application by the Town of Olds (the "Town"), owed approximately $14 million pursuant to two loans extended by the Town so that the companies could install a high-speed fibre optic cable through the Town. BDO was appointed receiver. Brownlee is counsel to the Town.
Datawind Inc. (aka Jeotex Corporation and aka Jeotex Inc. ("Jeotex")), a Mississauga, Ontario-based developer and manufacturer of low-cost tablet computers and smartphones, was adjudged bankrupt on June 10 on application by Greenwoods GRM LLP ("Greenwood"), a UK-based judgment creditor of the company. In 2017, Greenwood commenced a claim against Jeotex for unpaid legal fees and the UK High Court granted judgment in favour of Greenwood (the "Judgment"). In 2018, Greenwood enforced the Judgment in Ontario, which Jeotex unsuccessfully attempted to appeal. In 2019, Greenwood then filed a bankruptcy application against Jeotex in the Ontario Superior Court of Justice. At the time the application was filed, Jeotex had ceased making rent payments to its landlord in Quebec and was ordered by the Court to remedy its default or face eviction. Jeotex failed to abide by the Court order and was subsequently evicted from the property. Despite obtaining several Court orders within the UK and Ontario, Greenwood has been unable to collect on the Judgment for the past four years. Greenwood has also continued to incur costs unnecessarily due to Jeotex's attempts to litigate matters that, in Greenwood's view, had no merit or chance of success. In order to protect the interest of creditors, Greenwood sought a bankruptcy order to allow for the equitable distribution of Jeotex's assets and its subsidiaries in the UK, India, and the United States. Albert Gelman Inc. is the bankruptcy trustee. Counsel is Macdonald Sager Manis for Greenwood and Page Martin for the company.
SafetyTek Software Ltd., a Saskatoon, Saskatchewan-based company that provides digital workplace safety management software to manage subcontractors, filed an NOI on May 13, listing approximately $2.2 million in liabilities, including $1 million to Conexus Venture Capital Fund. EY is the proposal trustee. DLA Piper is counsel for the company.
Brant Telephone Inc., a Burlington, Ontario-based telecommunications interconnect company, filed an NOI on December 11, 2020 and a proposal to its creditors on January 6, 2021. The company was founded in the 1980s and grew into an integrator of Unified Communications and Contact Centre solutions concentrating in Avaya premise-based systems. The company lists approximately $2.1 million in liabilities. Albert Gelman is the proposal trustee. Counsel is WeirFoulds for the proposal trustee and Keyser Mason Ball for the company.
Juch-Tech, a Hamilton, Ontario-based company that provides satellite broadcast and internet transmission and uplink services, was placed in receivership on December 9 on application by New Skies Satellites B.V. ("New Skies"), owed approximately $10.4 million (USD) under a Master Services Agreement. A portion of the company's indebtedness is secured by a General Security Agreement. The company has defaulted on various obligations to New Skies, including failing to pay outstanding service fees and engaging in a pattern of improper conduct, such as unauthorized use of New Skies' satellites. Over the past few months, the company has completely ignored numerous demand notices and requests for information made by New Skies. In addition, New Skies has discovered that the company appears to have moved assets that are subject to the General Security Agreement to a property owned by a related company, possibly to frustrate efforts by New Skies to enforce its security interest. KSV was appointed Receiver. Counsel is Osler for the applicant and Norton Rose Fulbright for the Receiver
reDock Inc., an Ottawa, Ontario-based startup that created an AI-powered proposal search engine, filed for bankruptcy on October 23, listing approximately $2.8 million in liabilities. Raymond Chabot is the bankruptcy trustee.
Greenfire Oil and Gas Ltd. and Greenfire Hangingstone Operating Corporation, Calgary, Alberta-based energy technology companies focused on the development of in-situ oil sands projects, filed NOIs on October 8, respectively listing $8.3 million and $17.8 million in liabilities. Starting in the first quarter of 2020, the sole marketer of the bitumen produced at the companies' facility failed to make payment on over 300,000 barrels of bitumen that the companies had produced. This resulted in a severe working capital and liquidity shortage, leading to the termination of all employees in May 2020. In addition, the companies' strategic process has been complicated by the public health emergency caused by COVID-19. Alvarez & Marsal is the proposal trustee. Counsel is Burnet, Duckworth & Palmer for the companies, McMillan for the proposal trustee and Blakes for secured lender, Summit Partners.
Urthecast Corp. (TSX:UR), a Vancouver, British Columbia-based Big Data services company specializing in satellite imaging, data services, and geo-analytics, obtained protection under the CCAA on September 4, listing approximately $151.3 million in liabilities and $126.6 million in assets. The company is well-known for operating two cameras on the Russian segment of the International Space Station. Historically, the company has been able to manage its required ongoing financing by obtaining secured bridge financing from its current group of secured creditors. Lately, however, the company has needed extensive funding to execute on projects still in development. In addition, the company's regular financing requirements have been negatively impacted by the COVID-19 pandemic, which has affected sales, the collection of receivables, and delayed the company in achieving payment milestones in connection with engineering and services contracts. EY was appointed monitor. Bennett Jones is counsel to the company.