BC Supreme Court Petition Seeking to Place Skeena Sawmills Under a Receivership to Sell off Assets Proves Successful

Skeena Sawmills has been placed under the receivership of a firm which will look to sell off all the company’s assets to recover massive debt.

A petition filed in the BC Supreme Court by the company’s primary lender earlier this month alleged an accumulated debt of over $143 million.

It called for a receiver and manager to be appointed to sell off the assets of the mill, the Skeena Bioenergy pellet plant, and owner ROC Holdings.

In addition, the petition, filed by numbered company 1392752 BC Limited, noted over $22 million in debt owed to other groups.

As if that wasn’t enough, they have also been unable to pay their gas bill, over $1.8 million in property taxes owed to the City, or $1.1 million in stumpage fees owed to the province.

But, in another twist, both the Skeena operations and the lender are controlled by the same pair, Xiao Peng Cui, and Shenwei Wu.

Now, the Courts have appointed Alvarez and Marsal Canada Inc to oversee the sale of their assets, as suggested by the lender in the petition.