Second Meeting of Creditors 22 April 2020 2 Agenda Introduction - - PowerPoint PPT Presentation

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Second Meeting of Creditors 22 April 2020 2 Agenda Introduction - - PowerPoint PPT Presentation

Jan 14, 2024 206 likes •671 views

Addcar Mining Solutions Pty Ltd Addcar Engineers Pty Ltd Addcar Holdings Pty Ltd Addcar Management Services Pty Ltd Addcar Contracting Services Pty Ltd Addcar Equipment Hire Pty Ltd Addcar Engineers Civil Services Division Pty Ltd Pipelion

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Addcar Mining Solutions Pty Ltd Addcar Engineers Pty Ltd Addcar Holdings Pty Ltd Addcar Management Services Pty Ltd Addcar Contracting Services Pty Ltd Addcar Equipment Hire Pty Ltd Addcar Engineers Civil Services Division Pty Ltd Pipelion Manufacturing Pty Ltd Addcar Highwall Mining Pty Ltd Addcar USA Interest Pty Ltd (All Administrators Appointed) (Collectively “the Addcar Group”)

Second Meeting of Creditors

22 April 2020

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  • Introduction

– Meeting formalities and overview of voting process – Purpose of meetings – Meetings to be held concurrently – Overview of the Addcar Group and the Voluntary Administration

  • Voluntary Administration of the Addcar Group

– Events leading to the Voluntary Administration – Overview of the Administration – Financial position and performance and reasons for failure – Administrators’ sale process – Investigations – Proposed Deed of Company Arrangement – Return to creditors

  • Administrators’ recommendation for the future of the Addcar Group
  • Resolutions regarding the future of the Addcar Group
  • Remuneration resolutions
  • Questions

Agenda

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  • Open meeting
  • Administrator Chairperson: IPR 75-50
  • Introductions:

– Jonathan Henry (Administrator) – Chris Johnson (McGrathNicol Director) – Louise Mann (McGrathNicol Senior Manager)

  • Attendance register
  • Quorum: IPR 75-105
  • Administrators’ report to creditors pursuant to IPR 75-225 (“the Administrators’ Report”)
  • Proofs of debt and proxies
  • DIRRI
  • Voting

Formalities

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  • DIRRI dated 12 March 2020 - distributed with notice of First meeting
  • On 2 April 2020 an updated DIRRI was lodged with ASIC as on 26 March 2020, the Administrators agreed a funding facility

with Remagen Lend ADR Pty Ltd as trustee of the Remagen Lend ADR Unit Trust (Remagen), which comprised two tranches: – Australian Voluntary Administration Funding line of $2 million (available to the Administrators upon execution in accordance with agreed drawdown procedures); and – Demobilisation and USA operations contingency funding line of $3 million.

  • These sums represent an indemnity for trading and sale costs and the Administrators’ fees and costs which may be drawn

upon if the assets of the companies are insufficient to meet these costs.

  • The indemnity is unconditional, and any funds utilised for payment of our remuneration will not be drawn down until relevant

approval has been obtained under the Corporations Act.

  • A replacement DIRRI was distributed with the Report to Creditors and is available for inspection
  • We remain of the view that we are free of any potential conflict of interest
  • A Replacement DIRRI available on McGrathNicol website and therefore is tabled at the meeting.

Declaration of Independence, Relevant Relationships and Indemnities (DIRRI)

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Due to the extraordinary circumstances regarding the COVID-19 pandemic, ASIC have advised that all votes should now be carried by poll rather than on the voices.

Voting

Creditors have been provided with links to poll “surveys” in advance of the meeting. Please copy and paste the links provided in your invite in order to vote. In the poll link, tick “In favour of”, “Against” or “Abstain” for each resolution as the chairperson reads them out. There will be an adjournment for the proposed DOCA companies whilst votes are counted. General proxies: fill in the online poll for each general proxy you hold – using each individual identification number you have been provided with. Special proxies: we already have your creditor’s vote (provided in advance) When more creditors (either in the online meeting or via proxy) vote for it than vote against it AND When those who vote for it are owed a greater amount of money than those who vote against it How to vote Voting via proxy How the resolution is passed

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Proposed DOCA Companies

  • Addcar Highwall Mining
  • Addcar Equipment Hire
  • Addcar Contracting Services

Purpose of meetings

Non-DOCA Companies

  • Addcar Engineers;
  • Addcar ECSD;
  • Addcar Management Services;
  • Addcar Mining Solutions;
  • Addcar Holdings;
  • Pipelion Manufacturing; and
  • Addcar USA interest.

enter into a Deed of Company Arrangement enter into Liquidation be returned to the Current Directors enter into Liquidation be returned to the Current Directors

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“that the meetings of creditors of each of the Addcar Group companies, being:

  • Addcar Mining Solutions Pty Ltd
  • Addcar Engineers Pty Ltd
  • Addcar Holdings Pty Ltd
  • Addcar Management Services Pty Ltd
  • Addcar Contracting Services Pty Ltd
  • Addcar Equipment Hire Pty Ltd
  • Addcar Engineers Civil Services Division Pty Ltd
  • Pipelion Manufacturing Pty Ltd
  • Addcar Highwall Mining Pty Ltd
  • Addcar USA Interest Pty Ltd

(All Administrators Appointed) be held concurrently”

Resolution: meetings to be held concurrently

Please indicate your response on screen when prompted

This is an informal poll to ascertain the wishes of

  • creditors. You will be asked to vote later in the meeting
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Overview of the Addcar Group

Not in Administration Key: Business Units Highwall Mining Related entity Corporate Employing entity Pipelion Manufacturing Subject to Administration ACN 603 120 716 ACN 603 121 615 ACN 118 214 172 ACN 139 846 745 ACN 139 849 246 Addcar Systems LLC Addcar Engineers Civil Services Division Pty Ltd Pipelion Manufacturing Pty Ltd Addcar Mining Solutions Pty Ltd Addcar USA Interest Pty Ltd ACN 127 633 694 ACN 633 757 712 Addcar Engineers Pty Ltd Addcar Holdings Pty Ltd Addcar Management Services Py Ltd ACN 077 167 113 ACN 110 563 758 ACN 137 939 416 Addcar Contracting Services Pty Ltd Addcar Equipment Hire Pty Ltd Addcar Highwall Mining Pty Ltd
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Events leading to Administration

FY15 Rev: $79.8m EBITDA: $17.3m 2017 Sale of Engenicom Pty Ltd to Associate 9 March 2020 Voluntary Administrators appointed to Addcar Group Dec 19 Incident in pit 3 – Dawson mine. Hog miner and 2 cars trapped underground – results in reduced rate. FY16 Rev: $70.1m EBITDA: $5.2m FY17 Rev: $67.75m EBITDA: $5.4m FY18 Rev: $84.6m EBITDA: $3.3m 1997 UGM Founded in 1997 in the Hunter Valley, NSW 2011 UGM entered the highwall mining market, and secured the licence to
  • perate the
Addcar mining system from BHP 2014 UGM acquired Addcar from its US owners Nov 2018 Addcar secures Facility A: Secured Loan Note facility $13.5m Nov 2019 Addcar secures Facility B: Secured Loan Note – CapEx facility $2.0m 30 Jan 2020 Addcar secures Facility C: Secured Loan Note facility $2.0m Oct 2019 – Mar 2020 US sale to Mega (delayed completion) FY19* Rev: $82.9m EBITDA: $14.3 Oct 18 Sale of UGM Diesel Services Pty Limited, UGM Electrical Services Pty Ltd and Underground Coal $31.5m FY19 Dividend paid $14.0m Debt repaid $18.0m 2 Mar 2020 Addcar seeks further secured funding $4.0m *Continuing operations Labour/plant hire HWM $63.6m Manufacturing $3.3m Machine Sales $16.0m Total $82.9m Mar 2019 $13.5m transferred to support US business & commence Cline JV Feb 2020 25.6 million owed by US Operations
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Overview of the Administration

Appointment 9 March 2020 Administrators take control
  • f Addcar Group and its
assets Moratorium period Outcome of VA 14 April 2020 Second COI Meeting 21 April 2020 Third COI Meeting 22 April 2020 2nd meeting of creditors held Options: (i) DOCA (ii) Liquidation (iii) Return to director April 2020 Employee entitlements review 15 April 2020 Issue Administration Report and form opinion as to future of the Addcar Group 13 March 2020 – 15 April 2020 Sale process and negotiation of DOCA 12 March 2020 1st meeting of creditors held March 2020 De-mobilisation of Millennium mine site 31 March 2020 First COI Meeting Decision to trade Remagen NBIO Negotiations regarding offer and terms 26 March 2020 Court approved funding agreement Transaction Execution Payment non- continuing employees
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Administrators’ actions to date

Sale of business process Demobilisation of Millennium mine Employees Creditors Statutory obligations/ investigations Trade-on management

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Financial performance, position and reasons for failure

Addcar Group - Statement of financial performance for FY18, FY19 and FY20 YTD ($'000) FY18 FY19 FY20 YTD Sales 109,679 108,381 46,843 COGS (90,047) (81,019) (31,887) Gross profit 19,632 27,362 14,957 Gross margin 17.90% 25.25% 31.93% Other expenses (334) (7,305) (4,538) Overheads (5,788) (4,420) (1,732) EBITDA 13,510 15,637 8,686 Amortisation & depreciation (11,586) (9,652) (10,620) EBIT 1,924 5,985 (1,935) Interest (3,800) (2,762) (1,426) FX movement 506 410 1,475 Net profit (1,370) 3,633 (1,885)

The Addcar Group was profitable in the FY19 but made regular monthly losses throughout FY20 YTD. The losses incurred in FY20 YTD were a large part the result of the failing US Operations.

104 177 142 133 118 72 73 71
  • 50
100 150 200 Jul-19 Aug-19 Sep-19 Oct-19 Nov-19 Dec-19 Jan-20 Feb-20 Tonnes '000 Production Tonnage - FY20 YTD Total tonnes mined FY19 - Average tonnes 2.8 0.3 (2.2) (5.7) (8.0) (6.0) (4.0) (2.0)
  • 2.0
4.0 Addcar Highwall Mining Pipelion Manufacturing Addcar Corporate Addcar USA $''m EBIT contribution - FY20 YTD EBIT loss in the US of $6m, if non- cash items excluded Australian business continued to breakeven but could no longer fund the US Operations Production volumes declined following a mining incident at Dawson

Notwithstanding lower levels of production, the HWM operations in Australia continue to breakeven but there was insufficient earnings to continue to support the US Operations.

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Financial performance, position and reasons for failure

Addcar Group - Statement of financial position as at June 18, June 19 and February 20 ($'000) Jun-18 Jun-19 Feb-20 Current Assets Cash and cash equivalents 1,308 3,476 764 Receivables 10,826 7,849 13,606 Inventories 19,015 16,854 14,691 Other current assets 3,879 2,710 669 Total current assets 35,028 30,889 29,730 Non-current assets Fixed assets and investments 54,069 46,154 40,532 Goodwill 10,429
  • Net deferred tax asset / (liability)
6,762 2,337 (2,503) Total non-current assets 71,260 48,492 38,029 Total assets 106,288 79,381 67,759 Current liabilities Trade creditors and other payables (16,069) (11,257) (9,269) Employee entitilements (4,314) (3,195) (2,342) Other current liabilities (1,257) (1,185) (776) Total current liabilities (21,640) (15,638) (12,387) Non-current liabilities Remagen loan - non current (31,619) (11,971) (14,632) Other non-current liabilities
  • (742)
(1,340) Total non-current liabilities (31,619) (12,714) (15,972) Total liabilities (53,258) (28,351) (28,359) Net Assets 53,030 51,030 39,401

Sale of business and dividend to shareholders: the sale of the UGM Diesel Services Pty Limited, UGM Electrical Services and Underground Coal for $31.5m in 2018, resulted in a debt repayment of $18 million and a total dividend of $14.0m paid to shareholders. Failed US investment:

  • In March 2018, the Addcar Group transferred $13.5m to support its

US Business and commence its Cline and Sons joint venture.

  • The Addcar Group’s receivables increased significantly from $7.8m

to $13.6m during FY20, primarily caused by a US debtor (Cline) failing to make any repayments to Addcar Systems LLC.

  • The Addcar Group continue to fund the loss making US Operations

until February 2020 in order to preserve a sale contract.

  • The US Operations owed Addcar Management Services in excess

$25.6m as at February 2020 month end.

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  • The purpose of the immediate and accelerated sale process was to:

ￚ maximise the chances of achieving a recapitalisation or sale of whole or part of business of the Addcar Group as a going concern; ￚ minimise the impact on employees of the Addcar Group and preserve as much as possible the ongoing employment and entitlements of those employees either through a recapitalisation or sale of the Addcar Group in whole or in part; and ￚ provide a better return to creditors of the Addcar Group than an immediate winding up the Addcar Group.

Administrators sale process

Sale process timeline 9 March 2020 Appointment of Administrators 13 March 2020 EOI opens (Flyers available) 16 March 2020 Preliminary data room access available 20 March 2020 EOI closed, interest reconfirmed 25 March 2020 Non-Binding indicative offers due 6 April 2020 Final bids due (second party unable to provide evidence of financing) Current position Remgen offer:
  • Covers three
companies within Addcar Group
  • Credit bid offer of
$14m
  • DOCA Proposals +
cash commitment to employees and unsecured creditors 30 potential interested parties contacted 5 parties enter the data room 2 parties submit NBIO 31 March 2020 Initial DOCA proposal submitted by Remagen
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Investigations

Claims that may be available in a liquidation – Proposed DOCA Companies

Discharge of Directors’ duties Voidable transactions Insolvent trading Director Defences Significant litigation and delay risk Considerations and defences Business judgement rule

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  • Remagen, the current Secured Creditor has proposed a

Deed of Company Arrangement in respect of the following entities within the Addcar Group: – Addcar Highwall Mining; – Addcar Equipment Hire; and – Addcar Contracting Services. (“Proposed DOCA Companies”)

Proposed Deed of Company Arrangement

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Proposed Deed of Company Arrangement

Non-continuing employees claims paid in full Continuing employees continue employment Secured Creditors and related parties do not claim Unsecured creditors of the Proposed DOCA Companies pooled into Addcar Contracting Services Unsecured creditors estimated to receive 3 to 7 cents in the dollar

DOCA Proposal from Remagen

$14m credit bid (reduction in debt due) Cash contributions paid based on contracts awarded ($0.2m-$0.4m)
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Outcome by class of creditor – Proposed DOCA Companies

Employees Unsecured creditors Secured creditors Non-continuing: Paid in full, including super Continuing: continue employment Return of 3 to 7 cents with level of certainty Excluded from DOCA All employees: Paid in full, no continuing employment Less than 10 cents, with significant risk and delay Partial return

DOCA Liquidation

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A pooled DOCA has been proposed for the following companies:

  • Addcar Highwall Mining;
  • Addcar Equipment Hire; and
  • Addcar Contracting Services.

(“Proposed DOCA Companies”)

Recommendation – Proposed DOCA Companies

The Administrators recommend creditors resolve that each of the Proposed DOCA Companies be placed into DOCA

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DOCA – Indicative Timeline

22 April 2020 Within 15 business days (but expected to be by 27 April 2020) Expected that employee dividend will be paid soon after DOCA Execution

Second Creditors Meeting DOCA Execution Dividend process

Four possible outcomes 1. End the Administrations 2. Deed of Company Arrangement 3. Winding up 4. Adjourn meeting Addcar Highwall Mining, Addcar Equipment Hire, Addcar Contracting Services and relevant parties execute Deed of Company Arrangement:
  • Addcar Highwall Mining
continues to trade.
  • Transfer of shareholding to
Remagen
  • $14m purchase of assets and
shares Deed Administrators have already:
  • calculated employee entitlements;
and
  • adjudicated on amounts
confirmed by employees. Deed Administrators will:
  • pay dividend to non-continuing
employees.
  • cease to control Addcar Highwall
Mining Contributions
  • Non-continuing employee entitlements
  • $200k up to $400k if contract (or two)
won by 31 Dec 2020
  • If no contracts won: $200k by June 2021
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As there are no DOCA’s proposed for the following companies, their only option, as they are insolvent is to be placed into liquidation:

  • Addcar Engineers;
  • Addcar ECSD;
  • Addcar Management Services;
  • Addcar Mining Solutions;
  • Addcar Holdings;
  • Pipelion Manufacturing; and
  • Addcar USA interest.

(“Non-DOCA Companies”)

Recommendation – Non-DOCA Companies

The Administrators recommend creditors resolve that each of the Non-DOCA Companies be placed into liquidation

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Liquidation work to be undertaken

Statutory

  • bligations

/investigatio ns Creditors Cessation of

  • perations

Employees Creditors Statutory obligations Residual trade on matters Complete remaining business sales Investigations / claims

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Q & A

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Due to the extraordinary circumstances regarding the COVID-19 pandemic, ASIC have advised that all votes should now be carried by poll rather than on the voices.

Voting

Creditors have been provided with links to poll “surveys” in advance of the meeting. Please copy and paste the links provided in your invite in order to vote. In the poll link, tick “In favour of”, “Against” or “Abstain” for each resolution as the chairperson reads them out. There will be an adjournment for the proposed DOCA companies whilst votes are counted. General proxies: fill in the online poll for each general proxy you hold – using each individual identification number you have been provided with. Special proxies: we already have your creditor’s vote (provided in advance) When more creditors (either in the online meeting or via proxy) vote for it than vote against it AND When those who vote for it are owed a greater amount of money than those who vote against it How to vote Voting via proxy How the resolution is passed

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Resolutions

In favour of Against Abstain

Please submit your vote

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Paste the link from the chat box into your web browser Or Type the address: ‘addcarvoting.mcgrathnicol.com’ into your web browser Or Scan this QR code

Voting is currently open for “1-Remuneration”

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“That the remuneration of the Voluntary Administrators of _____________________________________ (Administrators Appointed) for the period 9 March 2020 to 9 April 2020, calculated at hourly rates as detailed in the Initial Remuneration Notice dated 12 March 2020, is determined in the sum of $______________, exclusive of GST”.

Resolution: Administrators remuneration from 9 March 2020 to 9 April 2020

Summary of resolutions Company ($) 9 March 2020 to 3 April 2020 Addcar Engineers Pty Ltd 6,835.50 Addcar Holdings Pty Ltd 12,614.00 Addcar Engineers Civil Services Division Pty Ltd 6,811.00 Pipelion Manufacturing Pty Ltd 42,877.00 Addcar USA Interest Pty Ltd 7,043.50 Addcar Contracting Services Pty Ltd 7,459.50 Resolutions being sought total (ex-GST) 83,640.50 Addcar Highwall Mining Pty Ltd 366,771.50 Addcar Mining Solutions Pty Ltd 56,799.00 Addcar Management Services Pty Ltd 50,536.50 Addcar Equipment Hire Pty Ltd 208,670.00 Approved by COI 14 April 2020 682,770.00 Voting is currently open for 1-Remuneration

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“That the future remuneration of the Voluntary Administrators of __________________________________(Administrators Appointed) from 10 April 2020 to the later of the Second Meeting of Creditors or the execution of a DOCA, is determined at a sum equal to the cost of time spent by the Voluntary Administrators and their partners and staff, calculated at the hourly rates as detailed in the Initial Remuneration Notice dated 12 March 2020, up to a capped amount of $_______________, exclusive of GST”.

Resolution: Administrators remuneration from 10 April 2020 to to later of second creditors meeting and execution of a DOCA

Summary of resolutions Company ($) 4 April 2020 to Creditors meeting or DOCA Addcar Engineers Pty Ltd 1,592.00 Addcar Holdings Pty Ltd 1,592.00 Addcar Engineers Civil Services Division Pty Ltd 1,592.00 Pipelion Manufacturing Pty Ltd 6,588.50 Addcar USA Interest Pty Ltd 4,500.50 Addcar Contracting Services Pty Ltd 17,036.50 Resolutions being sought total (ex-GST) 32,901.50 Addcar Highwall Mining Pty Ltd 111,324.00 Addcar Mining Solutions Pty Ltd 34,081.00 Addcar Management Services Pty Ltd 20,820.50 Addcar Equipment Hire Pty Ltd 76,039.00 Approved by COI 14 April 2020 242,264.50 Voting is currently open for 1-Remuneration

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“That the Company Execute a Deed of Company Arrangement and Jonathan Henry, Jason Preston and Jamie Harris be appointed Joint and Several Deed Administrators”. For each of the Proposed DOCA Companies:

  • Addcar Highwall Mining Pty Ltd (Administrators Appointed);
  • Addcar Equipment Hire Pty Ltd (Administrators Appointed); and
  • Addcar Contracting Services Pty Ltd (Administrators Appointed).

Resolution: Enter into Deed of Company Arrangement

Voting is currently open for 1-Remuneration

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Meeting suspended while votes are tallied

Meeting will resume shortly, this webinar will remain active

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Paste the link from the chat box into your web browser Or Type the address: ‘addcarvoting.mcgrathnicol.com’ into your web browser Or Scan this QR code

Voting is currently open for “2-DOCA” and “3-Liquidation”

3-Liquidation 2-DOCA

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“That the initial remuneration of the Deed Administrators of _____________________(to be Subject to Deed of Company Arrangement), for the period of the DOCA, calculated at the hourly rates as detailed in the Initial Remuneration Notice dated 12 March 2020, is approved up to a capped amount of $_______________ exclusive of GST, and the Deed Administrators may pay the remuneration as incurred on a monthly basis or as otherwise determined by the Deed Administrators”.

Resolution: Prospective Deed Administrators remuneration

Summary of resolutions Company ($) Prospective DOCA fees Addcar Highwall Mining Pty Ltd 75,016.00 Addcar Equipment Hire Pty Ltd 75,070.70 Addcar Contracting Services Pty Ltd 75,051.25 Resolutions being sought total (ex-GST) 225,137.95 Voting is currently open for “2-DOCA” and “3-Liquidation”

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“That the Company be wound up and Jonathan Henry, Jason Preston and Jamie Harris be appointed Joint and Several Liquidators”. Proposed for each of the following companies:

  • Addcar Engineers Pty Ltd (Administrators Appointed)
  • Addcar Holdings Pty Ltd (Administrators Appointed)
  • Addcar Engineers Civil Services Division Pty Ltd (Administrators Appointed)
  • Addcar Management Services Pty Ltd (Administrators Appointed)
  • Addcar Mining Solutions Pty Ltd (Administrators Appointed)
  • Pipelion Manufacturing Pty Ltd (Administrators Appointed)
  • Addcar USA Interest Pty Ltd (Administrators Appointed)

Resolution: Appointment of Liquidators

Voting is currently open for “2-DOCA” and “3-Liquidation”

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“That the future remuneration of the Liquidators of _____________________________(In Liquidation) for the period of the liquidation calculated at the hourly rates as detailed in the Initial Remuneration Notice dated 12 March 2020, up to a capped amount of $________________, exclusive of GST”. Addcar Mining Solutions Pty Ltd (In Liquidation) “That the future internal disbursements (that may have an element of profit or advantage to a related party) of the Liquidators from the Second creditors meeting to the finalisation of the Liquidation, calculated at the rates as detailed in the Initial Remuneration Notice dated 12 March 2020, are approved up to a capped amount of $6,000.00, exclusive of GST.”

Resolution: Remuneration of Liquidators

Summary of resolutions Company ($) Prospective Liquidators fees Addcar Engineers Pty Ltd 12,000.00 Addcar Holdings Pty Ltd 12,000.00 Addcar Engineering Civil Services Division Pty Ltd 12,000.00 Addcar Management Services Pty Ltd 50,031.50 Addcar Mining Solutions Pty Ltd 50,047.50 Pipelion Manufacturing Pty Ltd 50,030.50 Addcar USA Interest Pty Ltd 50,066.50 Resolutions being sought total (ex-GST) 236,176.00 Voting is currently open for “2-DOCA” and “3-Liquidation”

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Proposed for each of the following companies:

  • Addcar Engineers Pty Ltd
  • Addcar Holdings Pty Ltd
  • Addcar Engineering Civil Services Division Pty Ltd
  • Addcar Management Services Pty Ltd
  • Addcar Mining Solutions Pty Ltd
  • Pipelion Manufacturing Pty Ltd
  • Addcar USA Interest Pty Ltd

Resolution: Liquidation specific resolutions

  • “That so far as necessary for the beneficial winding up of

the Company, the Liquidators are hereby authorised pursuant to subsections 506(1A) and 477(2A) of the Corporations Act 2001 to comprise any debts greater than the prescribed amount (currently $100,000)”.

  • “That so far as necessary for the beneficial winding up of

the Company, the Liquidators are hereby authorised to enter any agreements on behalf of the Company involving a term or obligations extending for more than three months”.

  • “That the books and records of the Company may be

destroyed following the deregistration of the Company, subject to the consent of the Australian Securities & Investments Commission being obtained”.

Voting is currently open for “2-DOCA” and “3-Liquidation”

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Meeting suspended while votes are tallied

Meeting will resume shortly, this webinar will remain active

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  • It is not proposed that the DOCAs have Committees of Inspection.
  • Role of a Committee of Inspection:

– consult with the Liquidators about matters relating to the liquidation; – receive and consider reports by the Liquidators; – approve the Liquidator’s remuneration; and – in limited circumstances approve the use of some of the Liquidator’s powers.

  • A Committee of Inspection cannot instruct the Liquidators, but acts as a sounding board
  • I am not recommending that the liquidation companies appoint Committees of Inspection at this time as the liquidation

reporting requirements will ensure that creditors are informed of the actions of the liquidators.

  • If anyone has any objections to this, please comment in the Q&A box.

Committee of Inspection (Non-DOCA Companies only)

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Q & A

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“That a Committee of Inspection be formed for ____________________________and:

  • 1. _____________________ representing _____________________
  • 2. _____________________ representing _____________________
  • 3. _____________________ representing _____________________
  • 4. _____________________ representing _____________________
  • 5. _____________________ representing _____________________

be appointed to the Committees of Inspection”

Resolution: Committee of Inspection

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This relates to creditors from the following companies only:

  • Addcar Management Services
  • Addcar Mining Solutions
  • Addcar Holdings
  • Addcar USA Interest

Paste the link from the chat box into your web browser Or Type the address: ‘addcarvoting.mcgrathnicol.com’ into your web browser Or Scan this QR code

Voting is currently open for Survey C

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Resolution: Committee of Inspection

Please wait while results are determined

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“That the creditors of the Company support the adjournment of the second meeting of creditors for a period of up to 45 business days”.

Resolution: Adjournment

In favour of Against Abstain

Please submit your vote

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Adjournment

Please wait while results are determined

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