Panjaab Transport says it has a plan to emerge from receivership, with a $13-million mortgage approval in place that will allow it to cover its debt obligations.
Company owner Sandeep ‘Sunny’ Singh tells trucknews.com the company’s Oakville properties were appraised at $17 million and it has been approved for a $13 million mortgage, “leaving significant equity to cover creditors in full.”
RBC says it is owed about $12 million. Singh said the company is legally challenging the receiver’s interim report, and denies accusations of diversion of funds and any other improprieties alleged within the report.
It is also appealing a CRA audit that denied Panjaab Transport $2.7 million in HST claims and resulted in a $602,000 fine. CRA said its audit found the denied claims stemmed from transactions with related businesses not engaged in commerce.
“The company continues cooperating through counsel to resolve outstanding matters and protect the interests of employees, customers and creditors,” Singh said.
