Requisition

The owners, organized as the Social Committee, responded in October with a requisition submitted to the board on 18 October 2009 to remove all three directors.

The requisitioners distributed to the owners several flyers including one that contained the following statements:

We, the people who pay all the money to make these guys rich, we are too nice to even ask them ourselves. We just ignore and pretend everything is fantastic and wonderful.

Our board members have sold their soul and body to Manzoor Khan, it will be foolish to wait for them to do anything. Manzoor Khan has no character but the mind to creating scamming, so no hope for him as well to stop getting our money by various means....

It is one of three:

1.	We should all declare bankruptcy, leave this headache and start everything from scratch including building your credit which is crucial.
2.	We stick to our units, pay more and more while the value of our units get less and less, and our board members get richer and richer. Soon, there is the time that we can't afford; we get a kick in the butt and leave.
3.	We stand for our right; we defend our interest, kick the thieves in the mouth before they kick us in the butt, take the control over our money and step forward accordingly.

What is the Big Picture?
If we don't do anything about it, sooner or later Morrison, the financial company who has lent us the 1st and 2nd loan will take over the corporation.

How?

That is the plan already made, why would Morrison lend us money both times with no hesitation while banks around us did not (We were refused by banks). The increase in the cost of living in this building is not an accident think about it, it is all planned carefully to pick us out one by one...”

Well now, this conspiracy theory went too far (I am sure that Morrison had no interest in taking over the condo corporation) but although the author did not have any proof, he or she knew that something was serious wrong with Channel and the loans.)—editor

The board passed a resolution to have their previous law firm apply for a court appointed administrator. However that application was not acted on when the owners abandoned the requisition after the board obtained a legal opinion stating that the requisition was invalid because it did not state the reasons why the requisitionists wanted the directors removed.

2nd Attempt
However, the Social Committee had not given up so on 29 December 2009 at a special board meeting, the directors passed a second resolution resolving to seek the appointment of an administrator.

The Social Committee hired a law firm who on 15 January 2010 sent a letter to the board requesting the record of owners and mortgagees, including the addresses of service, which the corporation is required to keep pursuant to the Condominium Act; and the record of owners who would be entitled to vote if a meeting of the corporation were to be held in the next 30 days.

In January 2010 another letter was hand distributed to owners that stated, among other things:

WE ARE AT THE EDGE OF BANCRUPTCY BECAUSE OUR BOARD OF DIRECTORS AND PROPERTY MANAGEMENT MISMANAGED OUR MONEY
THIS IS A FACT!

If you are sleeping, then it's a time to finally wake up and do something about it, because you may find your self sleeping on the street and not in your own bed...

[the Board] robed us from our money, our sanity and our souls—those money hungry scams! They have not consciousness and are strictly directed by their personal gain...

We have to stand up for ourselves and protect our life's investment or prepare for the worst.  Bobbi and his friends from the board borrowed $5.5 million on our names which we have to pay for the next 10 years!  Our maintenance fees went up from 400 something to 800 something dollars ...

There is no other solution like to hire a good lawyer, get rid of all those dirty scams from the office, appoint new board members who would work together with us, check the finances and sue those bastards who took advantage of our trust we putted in their hands. There is no other way to go! It must be done us soon as possible!!" [Emphasis Added]

A different letter stated:

PLEASE WAKE UP AND SMELL THE COFFEE!  DON'T YOU SEE WHAT IS HAPPENING TO OUR BUILDING?  WHEN THE VALUE PRICES ON THE REAL ESTATE MARKET WENT DOWN 4% TO 7% BECAUSE OF THE RECESSION, AT 236 ALBION ROAD THEY WENT DOWN 30%!!! AND IF YOU ASK WHY, THEN HERE IS THE ANSWER:

WHAT WE DON'T HAVE:

–	NO GENERAL MEETING (According to Condominium Law it should be held no later then in February)
–	NO FINANCIAL STATEMENTS (We wonder if there is any money left in our Reserve Funds)
–	NO MONEY ON OUR OPERATING ACCOUNT (We are operating on very large deficit)...

WHAT WE DO HAVE:

–	MILLIONS OF DOLLARS IN DEBTS
–	LOTS OF UNPAID UP-TO-DATE BILLS (Beside loans)
–	UNFINISHED  RENOVATIONS...
–	FECALS AND URINE AT THE STAIRS, GARBAGE ON THE FLOORS INSTEAD IN COMPACTORS
–	VANDALISM, CRIME AND DRUG DEALINGS ON THE PROPERTY

WHAT'S  NEXT? GUNS OR BANKRUPTCY?
HAS WAS NEVER (EVER) AS BAD AS IT IS NOW!!!...”

On 17 February 2010, the board received a second requisition. As the board did not call an election meeting pursuant to the requisition, the requisitioners called their own owners' meeting for an election to remove the current three directors and elect three new directors. That meeting was scheduled to be held on 30 March 2010.

Social committee
Members of the Social Committee after several meetings and discussions among themselves, and with other homeowners, concluded:

•	There is a lack of transparency of present Board of Directors and Channel, huge loans—at the same time failed major renovations, an empty Reserve Fund, several unpaid accounts and unprecedented lack of interest to properly maintain corporation funds.
•	In the opinion of members of the Committee the present situation demonstrates strong signs of mismanagement which requires immediate investigative action by a person with authority to bring to justice those people and contractors responsible.

The committee wanted a new board who would represent the interests of the owners so they asked the candidates running for election to sign an agreement that stated in part:

•	I declare that after being elected to the board of directors of MTCC 710 to take immediate steps to increase the new board of directors from three members to five.
•	I declare full openness and cooperation with all homeowners and all members of social committee in ALL matters regarding the corporation.
•	I declare that, if elected, meetings of the Board of Directors will include to the full extend participation of members of the Social Committee.
•	I declare that while being a member of the Board of Directors a person will actively and legally pursue on behalf of the corporation legal actions against anyone of the past board members or Management Company if there will be a sufficient proof of defrauded corporation funds.

That surely made it clear that if the Social Committee had their way, Channel would not remain and there would be an investigation of where the corporation’s money went.

The board’s position
The board went to court, first to stop the owners meeting and then to apply for a court appointed administrator.

They stated that although the requisitioners think they can do something about the loan, all the corporation could do at this time is to continue to make loan payments on time and in accordance with the loan documents, or pay the loans off with a lump sum payment, which is not possible given the financial situation at MTCC #710 and in light of the value of the units.

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