Omega ARM 10T55-E

Court documents show that the Toronto-Dominion Bank is chasing close to CAD11 million from Omega Lift and its related companies.

KSV has been appointed receiver to the company, which is closed pending the outcome of the insolvency process.

According to the bank's claim, it was owed CAD10,844,542.25 (USD8,378,207.48) as of July 29, 2016.

Omega Lift "had been struggling financially and, since December 2015 ... failed to operate within the permitted availability under the Credit Agreement," according to the filing.

On July 7, 2016, the bank demanded payment of its loans and issued a Notice of Intention to Enforce Security under section 244 of the BIA.

The bank also called in loans from related company Pan-Bro and from owners Gregorio Pannia and Antonio Pannia.

Court documents show Omega Lift had not deposited any meaningful receivables into its accounts since May 2016.

On July 27, 2016, the bank appointed KSV as "its consultant to attend at the borrowers' premises, but the business was closed on both July 27th and on July 28, 2016".

The bank was advised that Omega Lift had temporarily shut its business operations for an unknown period of time as a result of liquidity issues and summer holidays, without the bank's knowledge, and had exhausted its credit facilities.

Forkliftaction News has not received any response from KSV to a number of enquiries about the receivership and emails to Greg Pannia at Omega Lift have gone unanswered.