More than $13 million owed to creditors by Waterway Houseboats

More than $13 million owed to creditors by Waterway Houseboats

List of creditors includes banks, local contractors and the District of Sicamous

According to a list of creditors, Waterway Houseboats Ltd. and Vinco Holdings Ltd. owed more $13 million when receivership came into effect.

Much of that debt was owed to CIBC, the bank which pursued the receivership in BC Supreme Court.

The creditors list was published by Alvarez and Marsal Canada, the receiver appointed in the Waterway case.

The document is described as a preliminary list of creditors as of June 11, submitted by Waterway, the debtors. The list contains more than 700 creditors ranging from national banks and large utility companies like BC Hydro, to individual people.

The total due to all creditors listed is $13,392,543. Of this total, $7,969,327 is listed as due to CIBC, care of Blake Cassels and Graydon LLP, a Vancouver law firm.

Read More: Update: Relocation of Sicamous recycling depot on hold

Read More: First United Church in Salmon Arm gives gift of space to community

A notice and statement of the receiver, published alongside the creditors, states the book value of Waterway’s assets is estimated at $13,331,696. The statement notes the realizable value of the assets may be different than that estimate.

According to the list, the District of Sicamous is owed $83,991. Kelly Bennett, the district’s chief financial officer, said the outstanding funds are due to unpaid taxes, but noted the company’s utility bills are up to date. Bennett said the receiver has not been in touch about paying the taxes yet.

Local contractors who worked on the Waterway boats and property have also been left wondering if and when they will be paid. One such contractor, Albatros Plumbing Heating and Gas Fitting Ltd., is due $24,603 according to the creditor list.

“People are owed a lot of money and nobody is getting paid is basically what it boils down to,” said Marco Warger, Albatros owner.

Warger said he has been speaking with the receiver about his prospects for getting paid. He noted the receiver has been helpful and open to answering questions from creditors. Warger said he and the rest of the contractors are unsecured creditors and will not be paid until the secured creditors, CIBC and the Bank of Nova Scotia, have received their due.

The lack of payment has hit Warger’s small business hard and he said other local contractors are in the same boat. Warger said he was working at Waterway the week before the receivership was finalized and other contractors were there the day of. Warger had worked for Waterway over the last seven years and said the houseboat company had been honest and good to work for.

Read More: Fatal overdose of daughter in Vernon prompts mom to help others

Read More: 51 out of work as Sicamous’ Waterway Houseboats shuts down

Also awaiting money are those who had booked vacations with Waterway and paid up front as their sailing date drew closer.

Consumer Protection BC provided a list of procedures which it says can help those whose trips with Waterway were abruptly cancelled.

The consumer protection agency recommends those seeking a refund start by getting their paperwork in order. It is recommended they get copies of the contract for travel services if they received one. Copies of all receipts, booking information, itineraries and proof of payment such as a bank statement are important, as are copies of any correspondence related to the situation.

The second step recommended to customers by Consumer Protection BC is requesting a chargeback through their credit card provider. A post on Consumer Protection BC’s website states it believes all customers impacted by Waterway’s closure received a letter dated June 6 from the company’s president. The post recommends that those seeking a chargeback include a copy of the letter and the receivership order.

The receivership order and other documents related to the Waterway shutdown can be found on the receiver’s website at www.alvarezandmarsal.com/waterway.

Similar steps can be used for obtaining reimbursement through travel insurance.

Consumer Protection BC states those customers who are denied the chargeback from their credit card or travel insurance provider and booked directly through Waterway should confirm the receiver is aware of their claim. It is recommended they consult the creditor list to make sure they appear on it.

Alvarez and Marsal did not respond to a request for comment.


@SalmonArm
jim.elliot@saobserver.net

Like us on Facebook and follow us on Twitter

Just Posted

(Facebook/Kelowna Cabs)
Kelowna Cabs reaches tentative agreement with dispatchers union

The tentative agreement could help end the dispute between the taxi company and the dispatchers

sdaf
Lake Country home destroyed in large blaze, 11 dogs rescued

Fire crews are responding to 10839 Hallam Drive

Festivals Kelowna president Richard Groves and executive director Renata Mills wrap themselves in the flag during the announcement of preparations for the 2018 Canada Day festival. (Alistair Waters/Capital News)
Festivals Kelowna cancels Canada Day celebrations for second year in a row

The group cited logistic issues in their announcement

Central Okanagan Public Schools is assisting with the distribution of a donation of $500 to every Grade 12 graduating student in the school district. (File photo)
Central Okanagan Grade 12 grads get $500 surprise

Anonymous donor gifts $500 to every Grade 12 student

A vehicle was fully engulfed in flames before around 11:10 p.m. Wednesday, June 16, 2021. (Kerry Hutter - contributed)
UPDATE: Kelowna man cuffed after carjacking in Vernon

Crime spree: Man robs couple at Coldstream lookout at gunpoint, sets a vehicle ablaze

Bear wanders Kelowna on June 15. (Michelle Wallace/Facebook)
Bear climbs fence, uses crosswalk in Kelowna

The bear was spotted on Baron Road Wednesday evening

Jeanette Megens
KCR: Volunteering is sharing your story

Kelowna Community Resources shares stories of its volunteers in a weekly column

This photo of the small wildfire burning above Naramata was taken at 8 p.m. on Thursday, June 17, 2021 (Monique Tamminga Western News)
BC Wildfire on scene of small wildfire above Naramata

Smoke has been showing since earlier in the day

Students in the Grade 10 entrepreneurship program at Summerland Unisus School have completed a cookbook with international recipes. (Contributed)
Summerland students create virtual international cookbook

Entrepreneurship program at Summerland Unisus School uses virtual cookbook as fundraiser

Cannabis bought in British Columbia (Ashley Wadhwani/Black Press Media)
Is it time to start thinking about greener ways to package cannabis?

Packaging suppliers are still figuring eco-friendly and affordable packaging options that fit the mandates of Cannabis Regulations

Hundreds of people, young and old, joined the three-day Walking Our Spirits Home procession, honouring residential school survivors, those who never made it home and all those affected by the institutions. Here people walk the third portion on June 13. (Martha Wickett - Salmon Arm Observer)
Walking Our Spirits Home from Kamloops provides path to healing

First Nations in and beyond Secwépemc territory join in to honour residential school survivors

FILE – A science class at L.A. Matheson Secondary in Surrey, B.C. on March 12, 2021. (Lauren Collins/Surrey Now Leader)
Teachers’ union wants more COVID transmission data as B.C. prepares for back-to-school

BCTF says that details will be important as province works on plan for September

201 First Street West 1980s. Prior revitalization. (Photo from Revelstoke Museum and Archives)
Man who redesigned downtown Revelstoke honoured with lifetime achievement award

Robert Inwood has worked on historical projects across the province

Provincial health officer Dr. Bonnie Henry outlines B.C.’s COVID-19 restart plan, May 25, 2021, including larger gatherings and a possible easing of mandatory masks on July 1. (B.C. government photo)
B.C. records 120 new COVID-19 cases, second vaccines accelerating

Lower Pfizer deliveries for early July, Moderna shipments up

Most Read