TSX:SGR.UN - Post by User
Comment by
halcroon May 26, 2015 11:21am
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Post# 23764899
RE:Fraud and theft alleged under current CEO's watch
RE:Fraud and theft alleged under current CEO's watchHCI_STEEL wrote: And you guys are worried about holding the CEO to claims he made that the debt would be repaid....I don't think l'll see a dime for my debentures.
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Should the lender in possession take control of the assets, leaving virtually nothing for secured/unsecured debtors then, IMO, debenture holders who are holding their debentures outside of RRSPs or TFSAs might want to apply to the trustee to see if debenture losses could be claimed as Allowable Business Investment Losses, which can be deducted from other income and carried forward and backward under the provisions of the Income Tax Act.
This was done for investors by PriceWaterhouseCoopersLLC in the Eron Mortgage Corporation bankruptcy in 2000 or so. This gave considerable relief to debtors who didn't hold their Eron investments in RRSPs.