GREY:TBTEF - Post by User
Comment by
kasparovismeon Apr 24, 2017 9:32pm
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Post# 26160392
RE:Receiver's Seventh Report
RE:Receiver's Seventh Reportmhastings wrote: The Receiver's seventh report breaks down the Ad Hoc's fee request in greater detail.
They agree the legal fees should be spread and argue the Macquarie fees should not be spread on the following basis:
- Peters, not Macquirie reached out to HOC. Indeed, HOC was involved in the first round of bids that ultimately had Reignwood succeeding
- HOC is a well known player in the distressed oil fields ... in other words, they'd be here anyway
- Debentureholders have already effectively paid a $2 million "success fee" to Peters and CIBC. Therefore paying a fee to Macquarie too would be double-counting
- Macquarie's fee seems to have gone up recently. Specfically the $500,000 to $1,000,000 referred to in paragraph 45 of the Maguire Affidavit. This is inappropriate
Separately they Receiver summarizes the opinion of non Ad Hoc debentureholders that they've heard from to-date. Approximately $9,000,000 in total. Approximately $8,600,000 oppose the spreading of any fees. Approximately $400,000 are fine with the spreading of fees (myself included).
My position to spread fees was always predicated on my understanding that Macquarie brought the buyer to the table (per paragraph 30 of the Maguire Affidavit). The Receiver's 7th report casts serious doubt on that ... most notably given that HOC was involved in the first round of Peter's sales attempts back in February 2016. I will re-read the materials posted today but there is a good chance I will change my position to only supporting legal fees.
At last a convert
MHastings Glad your back from the mindless following zombies. It's never too late to change your mind. I suspect this is why Adhoc did not send out your approval affidavit after Bennett hijacked receivers email list. Now Bennett is nervous about their fees, not as slam dunk as they thought.
I enjoyed your Jan letter to receiver. Seldom do few stand on behalf of many without self interest.