Newstart Financial Inc., and Newstart Acceptance Inc., (collectively, “Newstart”) are in the business of leasing vehicles to individuals throughout Canada. On May 2, 2016, Newstart filed a Notice of Intention to Make a Proposal to its creditors (“NOI”) pursuant to subsection 50.4 (1) of the Bankruptcy and Insolvency Act, R.S.C. 1985, c. B-3, as amended (the “BIA”) and Dodick Landau Inc. was named Proposal Trustee. Pursuant to the provisions of subsection 69 (1) of the BIA a stay of proceedings has been initiated and all proceedings against Newstart are stayed as of the date of filing of the NOI. Newstart attended Court on May 27, 2016 and, among other things, obtained the Court’s approval to extend its stay of proceedings to July 16, 2016 and for a Sale and Investment Solicitation Process to be carried-out by the Proposal Trustee beginning in June 2016. Newstart attended Court on July 14, 2016 and received approval of a further extension of its stay of proceedings to August 30, 2016. Newstart attended Court again on August 30, 2016 and received approval of a further extension of its stay of proceedings to October 14, 2016. On October 14, 2016 Newstart filed a Proposal to its creditors. Meetings of Newstart’s creditors took place on November 2, 2016 starting at 11:00am at the office of the Proposal Trustee at 4646 Dufferin St., Suite 6, Toronto, Ontario, M3H 5S4. A creditor’s package was mailed to all known creditors of Newstart 10-days prior to the creditors’ meetings. At this meeting the creditors voted in favour of Newstart’s proposals. On November 29, 2016, Newstart obtained approval of its proposals from the Superior Court of Justice and immediately following approval completed the sale of its assets to the purchaser in accordance with the terms in its proposals.
Newstart Financial Inc.
Newstart Acceptance Inc.