Motion to stay Canwest CCAA proceeding until an independent inspector can conduct an investigation of the Respondent Canwest Global Communications ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Applicable to Canwest (from Cataylst vs Hollinger)
[1] The Applicant seeks the appointment of an inspector to conduct an investigation of the Respondent [Canwest Global Communications Inc.] (“Inc.”) pursuant to s.229 of the Canada Business Corporations Act, R.S.C. 1985 c.C-44, as amended (the “CBCA.”)
[2] The basis of the request is that the management of Inc., through audited financial statements or otherwise, has failed to explain the purpose, extent or details of a number of related-party transactions that personally benefited a number of individuals who were officers and directors of Inc. and of its lenders Cataylst and other transactions, swaps etc.
[3] The essence of the Applicant’s request is that since the resignation of the members of the audit committee of Inc. (who were all of the independent directors) and of its auditors shortly thereafter, there have been no meaningful steps taken to address the issues or answer the questions raised by the independent directors and the auditors.
