2495065 Ontario Inc. and other members of the Vandyk Group, Receivership

2495065 Ontario Inc., a real estate holding company which is part of the larger Vandyk Group and owns development property located in the Mimico neighbourhood of Toronto, was placed into receivership on January 8 on application by Otéra Capital Inc., owed approximately $73 million.

On the same day, various other members of the Vandyk Group, which own lands in Mississauga, Brampton and Etobicoke intended for residential development projects, were placed in receivership on application by KingSett Mortgage Corporation and Dorr Capital Corporation, owed approximately $183 million.

The companies have defaulted on numerous mortgages for the properties they are developing, including by allegedly diverting millions in funds, failing to pay property taxes and failing to pay principal and interest when due. 

KSV is the receiver on both matters.

Counsel is TGF/Osler for the receiver, Gowling WLG for Otéra, Bennett Jones for KingSett and Dorr Capital, and Paliare Roland for the companies.

By: Dina Milivojevic