Phoenix Sun in Sorel is for sale; info to file claims

[The Dieselduck]

FEDERAL COURT ACTION IN REM
BETWEEN:

BALLANTRAE HOLDINGS INC.
Plaintiff
AND:

THE OWNERS AND ALL THOSE INTERESTED IN
THE SHIP “PHOENIX SUN”

AND

THE SHIP “PHOENIX SUN”
Defendants

NOTICE OF SALE OF THE SHIP “PHOENIX SUN”
AND NOTICE TO CREDITORS

NOTICE IS HEREBY GIVEN TO ALL PERSONS THAT:

THE DEFENDANT SHIP “PHOENIX SUN” (the “Ship”) is to be sold by judicial sale. The Ship is a 17,599 GRT/ 7,135 NRT steel bulk carrying cargo vessel single screw diesel of 6360 kW built by Fincantieri Cantieri Nay, at Ancona, Italy in 1987. The Ship is currently located at the Port of Sorel-Tracy, Quebec, Canada.

The basis of the sale of the Ship, and of the bunker fuel and diesel aboard, shall be free and clear of all liens and encumbrances as provided in paragraph 490(3) of the Federal Court Rules (the “Rules”), but otherwise “as is / where is” in the Ship’s present state as she now lies at the Port of Sorel-Tracy, Quebec, with all existing faults, deficiencies or errors of description whatsoever, if any, and without any legal or contractual representations or warranties whatsoever, and at the risk and expense of the purchaser. The bunker fuel and diesel aboard shall also be sold to the purchaser of the Ship as a separate item on the basis of the amount aboard to be determined by the condition survey and at the market prices at the Port of Sorel-Tracy as may be determined by a surveyor, acting on behalf of the Marshall, on the day before the sale plus applicable taxes, if any.

The sale shall be by a sealed bid auction to be held at the Federal Court, at 30 McGill Street, Montreal, Quebec, commencing at 03:30 p.m. (Montreal local time) on November 10, 2014.

In order to bid, a potential purchaser must file in the Registry of the Federal Court of Canada, at Montreal, as aforesaid, no later than November 10, 2014, at 11:00 a.m. (Montreal local time), a sealed envelope marked “Bid for the purchase of the Defendant Ship “Phoenix Sun” in Federal Court Action T-1683-14” containing:
• The amount of the bid for the Ship, excluding bunkers, in Canadian dollars;
• The full name, address, telephone and fax numbers of the bidder;
• The full name, address, telephone and fax numbers of an agent resident in Canada, appointed by the bidder, to whom the Marshall may deliver the bill of sale in due course, if the bid is accepted;
• A deposit of 10% of the bid by a bank draft drawn on or issued by a Canadian Chartered Bank and made payable to the “Receiver General of Canada”;
• An undertaking to the bidder to purchase the bunker fuel and diesel aboard the “PHOENIX SUN” at the market prices and in the quantity determined by the Marshall aforesaid.

The sealed envelopes with the bids shall be opened by the Prothonotary or Judge of the Federal Court presiding the sealed bid auction to be held at the Montreal Registry Office. Any interested parties may attend at the sale. Canadian solicitors from outside Montreal may attend the sale by telephone conference provided that the Registry of the Federal Court is informed of such a request in writing with a minimum two (2) clear days prior notice in writing with a copy to Counsel for the Plaintiff in the present instance. If on the sealed bid auction, the amount of at least one of the two (2) highest valid bids is equal to or greater than the appraised value of the Ship, the two (2) highest bidders only may immediately continue the auction by oral public auction. If, following the sealed bid auction, or its continuation as an oral public auction in accordance with the aforesaid, if any, the amount of the highest valid bid is equal to or greater than the appraised value of the Ship, the Court shall declare the Ship sold to the highest bidder unless there is a valid objection brought to the presiding Judge or Prothonotary by any one of the solicitors in attendance.

Upon the Court’s approval of the sale as aforesaid, the highest bidder shall pay the balance of the purchase price and the payment for the bunker fuel and diesel aboard, as established on behalf of the Marshall as aforesaid, to the Marshall by bank draft issued by a Canadian chartered bank payable to the “Receiver General of Canada” within five (5) calendar days following such approval or declaration, as the case may be, immediately upon which payment the Sheriff shall execute and deliver to the purchaser a Bill of Sale transferring possession, risk, and ownership of the Ship and the bunker fuel and diesel aboard to that purchaser, free and clear of all encumbrances.

The Marshall is hereby authorized to execute and deliver to the successful purchaser a Bill of Sale of the Ship, which shall transfer to the purchaser possession, risk, and ownership of the Ship and the bunker fuel and diesel aboard, free and clear of any and all liens and encumbrances.
Any deposit made by bidders whose bids are not accepted shall be promptly returned by the Marshall to such bidders at the address provided for in their bids upon finalization of the sale. Both the deposit and final payment of the purchaser shall be deposited and tendered into Court until further Order from this Court.

All claims against the Ship shall be filed in any Registry Office of this Court no later than November 10, 2014, at 11:00 am (Montreal local time) failing which such claims shall be forever barred and extinguished. These claims shall be verified by affidavit, setting out the amount and nature of the claim, and asserting sufficient particulars of any lien or priority right relied upon without prejudice to the procedure to be fixed by the Court for the determination and priority of any such claims, which procedure shall be the subject of further directions from the Court.

The terms of the Order for Appraisal and Sale of this Court dated October 14, 2014 are incorporated, by reference, herein.

Parties interested to view the Ship shall contact Mr. AYLMER GRIBBLE of GIBSON MARINE SERVICES INC. of 1 Westmount Square, Suite 1620, Westmount, Quebec H3Z 2P9, by telephone at (514) 933-7371, by fax at (514) 937-3031 or by email at [email protected]

[The Dieselduck]

Vessel sold for $683k...