the last management by the contractor said; they were in it to save it from bankruptzy :-) and the contractor/receiver should NOT ROB the shareholders! Canada hasn't become the new bolshevikz ussr'z yet - or has it?
On Oct 14th 2009 Cross Lake Minerals ("the Company") made an application under the Companies' Creditors Arrangement Act ("CCAA") and an Order was granted by the B.C. Superior Court of Justice (the "CCAA Order") providing, among other things, a stay of proceedings against the Companies. PricewaterhouseCoopers Inc was appointed as monitor ("the Monitor") at that time.
On June 1, 2009 – 0373849 B.C. Ltd. completed the restructuring transactions provided for in the amended and restated plan of compromise and arrangement (the “Plan”) filed by the Company on May 21, 2009 pursuant to the Companies’ Creditors Arrangement Act (“CCAA”) and the British Columbia Business Corporations Act. Pursuant to the Plan of Arrangement:
1. All of the claims of the company’s secured and unsecured creditors have been settled and released for payments by the Company totalling $1,238,000 other than claims relating to certain secured debt held by Procon, in the aggregate principal amount of approximately $6,250,000 and the debts and liabilities transferred to the Company’s subsidiaries pursuant to the Plan;
2. Procon Mining and Tunnelling Ltd. (“Procon”) has made a non-interest bearing loan of $1,650,000 to the Company (the “Loan”);
3. The Company’s interest in the Porcher Island joint venture and certain related assets, obligations and liabilities have been transferred to a wholly-owned subsidiary, 0847420 B.C. Ltd., in exchange for shares of that subsidiary and a 2% net profit royalty in respect of the Porcher Island property;
4. The Company’s interest in the QR Mine and Mill and certain related assets, obligations and liabilities have been transferred to a second wholly-owned subsidiary, 0847423 B.C. Ltd., in exchange for shares of that subsidiary and a 2% net profit royalty in respect of the QR Mine and Mill;
5. The Company’s other mineral properties and certain related assets, obligations and liabilities have been transferred to a third wholly-owned subsidiary, 0847427 B.C. Ltd., in exchange for shares of that subsidiary;
6. The Company has been released from any and all responsibility for the liabilities and obligations transferred to its subsidiaries pursuant to the Plan;
7. The authorized share capital of the Company has been increased by creating an unlimited number of non-voting shares and an unlimited number of preferred shares, issuable in series;
8. All outstanding stock options of the Company have been cancelled;
9. The Loan has been converted into 56,885,026 common shares of the Company and 695,135,018.831 non voting shares of the Company, such that Procon now holds 45% of the (voting) common shares of the Company and 100% of the non-voting shares of the Company, providing Procon with the ownership of 99.99% of the total equity of the Company;
10. PricewaterhouseCoopers LLP has been appointed as auditor of the Company;
11. The Company’s name has changed to “0373849 B.C. Ltd.”; and
12. The stay of proceedings imposed on the Company by order of the Court under the CCAA was be lifted on June 3, 2009 and the Company is no longer be Subject to the CCAA.