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The monitor overseeing the liquidation of Maritime Demolition Ltd.of Dartmouth will be in court June 22 seeking approval of aproposal to pay creditors. Don Leet of WBLI Inc. said Friday the proposed plan was approved bysecured and unsecured creditors at a meeting on May 15. "The court has to bless the proposal," he said."Once we get that, then we proceed to start distributions ofcash to the various creditors." Under the proposal, secured creditors will be paid in full. Theamount unsecured creditors receive will depend on how much thecompany"s equipment sells for, Leet said. In the meantime, one secured creditor, the Business DevelopmentBank of Canada, has launched legal action against MaritimeDemolition president Ross Rhyno. The bank filed a claim for debt in Nova Scotia Supreme Court onThursday. In a statement of claim, the bank alleges that Rhyno and thecompany owe $22,128 on two loans dating from 2004 and 2005. The bank is seeking a judgment for the amount allegedly owed, plusinterest. Leet said he wasn"t aware of the claim. "I assume all it is is that the Business Development Bank isfirming up their (loan) guarantees." The monitor said the bank, which filed a claim for $593,525, isamong the creditors who voted in favour of the proposal. The demolition company owes slightly more than $3 million to 96creditors, according to a February filing. The company sought creditor protection on Jan. 18. Besides the bank, other major creditors are the Canada RevenueAgency, which is owed $769,644, and the Bank of Nova Scotia , at $650,000. Leet said the revenue agency was the only secured creditor to voteagainst the plan. "The Canada Revenue Agency has served notice that they intendto oppose the approval of the proposal in court. That will be abattle between the lawyers." The agency seized the company"s accounts receivable and hasbeen collecting "considerable sums of money" as aresult, the monitor said. Leet said Maritime Demolition continues to operate "in alimited fashion." "They"re cleaning up some jobs and they"re nottaking on any new jobs, to the best of my knowledge." The company, which has been in business since 1990, recently sold aWindmill Road property for $550,000. It also has a deal to unloadits Orion Court location for $1.2 million, with the transactionslated to close at the end of the month. The monitor said Maritime Demolition could continue to operate ifit pays off secured creditors and comes to an arrangement withunsecured ones. "There"s a couple of alteratives available, once we getthrough the court approval of this proposal." ( jalberstat@herald.ca ). The e-commerce company in China offers quality products such as Wedge Clamps Manufacturer , China Drywall Cart, and more. For more , please visit Ratchet Wrench today!
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