Carrière Sablière Principale Lachute Inc. and 9403-2216 Québec Inc., which own and operate stone and sand quarries in Lachute, Québec, were placed into interim receivership on June 23, 2026, on application by Royal Bank of Canada, owed approximately $13.4 million.
9403 owns the five lots comprising the Lachute property, while Carrière Sablière Principale Lachute operates stone and sand quarries from the site and serves construction and excavation customers. The business ordinarily employs at least five people, and its value depends heavily on maintaining the quarry as an operating enterprise.
RBC extended 9403 two term facilities totalling $6.15 million under a September 4, 2024 credit agreement. As of November 28, 2025, 9403 owed RBC at least $5.76 million, excluding continuing interest, fees and other adjustments. The debtors also guaranteed obligations of affiliated Excavation National Inc., which owed RBC at least $7.67 million as of May 8, 2026 and was placed into receivership on June 8 before making an assignment in bankruptcy on June 22.
The debtors have reported assets of approximately $7.96 million as of May 31, consisting of a $6.3 million book value for the quarry and approximately $1.66 million in receivables. Reported liabilities were approximately $15.5 million, including the $5.76 million term debt, the $7.67 million guaranteed Excavation obligation and approximately $2.07 million owed to ordinary creditors.
The companies’ difficulties predated the civil seizure order. RBC said 9403 had not completed environmental remediation recommended in April 2024 assessments, had become involved in proceedings concerning alleged non-compliance with agricultural land protection requirements and remained exposed to defaults associated with Excavation’s insolvency. RBC first advised the companies on June 23, 2025 that it was ending the banking relationship and required repayment by September 22, 2025. The deadline was later extended to November 14, 2025.
RBC delivered a BIA section 244 notice to 9403 on October 23, 2025, with 9403 waiving the statutory 10-day period the following day. A corresponding notice was sent to Carrière Sablière Principale Lachute on December 3, 2025. The parties later entered into a support and forbearance arrangement which expired.
The immediate trigger was the June 16, 2026 Mareva, Norwich and seizure order obtained by Valosphère Environnement Inc. in litigation seeking more than $15 million jointly from Excavation, the debtors and related parties. RBC said it learned of the order late on June 18 and received the underlying claim on June 19. The order seized the operating company’s sand and stone inventories and froze the debtors’ operating bank accounts. The allegations underlying that proceeding included fraud, diversion of funds and assets, and misconduct.
The interim receivership is intended to stabilize operations, preserve the quarry’s going-concern value, secure the debtors’ assets and records and assess possible realization options.
KPMG is the interim receiver. Counsel includes McCarthy Tétrault for RBC.
