Share on LinkedInShare on LinkedIn

ARTICLE · 07 NOVEMBER 2019

Clawback Proceedings In Bankrupt Ponzi Schemes

The scheme collapsed in July 2013 as Golden Oaks went into receivership.

CanadaInsolvency/Bankruptcy/Re-Structuring

Golden Oaks Enterprises Inc. was advertised as a "Rent2Own" business and promoted to investors as a means to turn a quick profit through short-term loans. In reality, the business was a Ponzi scheme and from 2009 to 2013, 85% of the money collected by Golden Oaks came from investors. The scheme collapsed in July 2013 as Golden Oaks went into receivership.

In 2013, Doyle Salewski Inc. was appointed as receiver, manager, and trustee in bankruptcy of Golden Oaks. During its investigation, Doyle Salewski found that Golden Oaks had made payments to certain individuals in its final year. In 2015, Doyle Salewski brought several lawsuits against creditors, including individuals and companies who received payments from Golden Oaks in 2012 and 2013. These 17 actions were consolidated and heard together.

We operate a free-to-view policy, asking only that you register in order to read all of our content. Please login or register to view the rest of this article.

About Norton Rose Fulbright Canada LLP

Norton Rose Fulbright is a global law firm. We provide the world's preeminent corporations and financial institutions with a full business law service. We have 3800 lawyers and other legal staff based in more than 50 cities across Europe, the United States, Canada, Latin America, Asia, Australia, Africa, the Middle East and Central Asia.

Recognized for our industry focus, we are strong across all the key industry sectors: financial institutions; energy; infrastructure, mining and commodities; transport; technology and innovation; and life sciences and healthcare.

Wherever we are, we operate in accordance with our global business principles of quality, unity and integrity. We aim to provide the highest possible standard of legal service in each of our offices and to maintain that level of quality at every point of contact.

For more information about Norton Rose Fulbright, see nortonrosefulbright.com/legal-notices.

Law around the world
nortonrosefulbright.com

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

See more popular content from