Express Gold Refining Ltd. (“EGR”), a Toronto, Ontario-based company in the gold refining business, obtained protection under the CCAA on October 15, 2020. The CCAA proceeding was initiated, in part, because of certain GST/HST commodity tax disputes, including the Canada Revenue Agency (the “CRA”) reassessments issued to EGR which are in excess of $189 million as well as CRA's refusal to pay EGR’s input tax credits (“ITCs”) since August 2018. CRA's diligence in approving and paying EGR’s claims for large amounts of ITCs is integral to EGR’s business and cash flows. Concurrent with the CCAA proceeding, EGR continues its tax litigation with the CRA in the Tax Court of Canada.
This matter resulted in the development and implementation of a novel CCAA Court approved monitoring and control protocol to normalize EGR’s tax matters and to facilitate the flow of tax refunds to support EGR’s cash flows during the CCAA proceeding, which remains under Court seal.
Goldman Sloan Nash & Haber LLP acted as counsel to EGR.
Dentons partners Robert Kennedy and Mike (Michael) D. Schafler acted as counsel to Deloitte Restructuring Inc., in its capacity as monitor.