AL-JFS Consultants Inc., which owns commercial real estate in Edmonton, Alberta, and Alberta Center for Musculoskeletal Ultrasound Ltd., which operates ultrasound and physiotherapy clinics in Edmonton and the surrounding communities, were placed into receivership on August 21 on application by BMO, owed approximately $1.25 million.

BMO provided credit facilities to both companies which were cross-collateralized by way of guarantees. Both companies ceased to meet their obligations as they came due, defaulting on their obligations to BMO and failing to pay property taxes owed to the City of Edmonton, along with outstanding amounts to CRA and various landlords.

MNP is the receiver.

Counsel is Witten for BMO, DLA Piper for the receiver and SB LLP for the companies.