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Cassels Successfully Obtains Order Requiring Disclosure and Restricting Transactions in Investigative Receivership

09/16/2021

On September 16, 2021, Cassels successfully advocated on behalf of KSV Restructuring Inc., the court-appointed receiver (the “Receiver”) of a trucking business known as ASR Transportation (the “Debtor”), for an order restricting one of the Debtor’s owners from making certain transactions and requiring the owner and his wife to make disclosures regarding the proceeds of a mortgage loan over their matrimonial home.

With Cassels’ assistance, the Receiver has been engaged in an investigation into, among other things, findings of an independent arbitrator that the owner had been transferring the business’s valuable assets to a third-party business under the owner’s control. The Receiver sought the order to ensure that the owner could not dissipate his personal assets or company assets that may have been in his possession to render himself judgement-proof while the investigation was ongoing, and to obtain information about the use of mortgage proceeds so such proceeds could be followed and accounted for.

Cassels successfully argued that the order requested would assist the Receiver with completing its investigation and reporting on the investigation to the Court. The Court granted the relief sought and awarded the Receiver its costs in obtaining the order. The decision can be found here.

Cassels acted for KSV Restructuring.

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RELATED EXPERTISE: Litigation | Restructuring & Insolvency