Waterway Houseboat owed $13 million when it went into receivership - InfoNews

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Waterway Houseboat owed $13 million when it went into receivership

Houseboat for auction sits at anchor in Sutherland Bay.
June 28, 2019 - 6:00 PM

KELOWNA - Waterway Houseboats owed more than $13 million when it was put into receivership.

Around $8 million of that debt was owed to CIBC bank, which pursued the receivership efforts that came to be June 11. The remaining $5,394,517 was owed to unsecured creditors.

The company also had about just as much in assets, though whether they will turn into anything remains to be seen.

The receiver has listed the houseboat company’s creditors on its web page and said that as of June 11, the estimated book values of the company’s assets were $13,331,696.

There was $33,456 in cash at the company, accounts receivable of $459,085, prepaid expenses of $243,024, inventory of $527,105, property and equipment of $3,127,538, property held for development valuing $7,867,993 and money from related parties of $1,073,494.

Waterway, went into receivership June 11 on the heels of a high profile lawsuit.

"As many of you will be aware, Waterway has been a part of the fabric this community for over 50 years. As you may also be aware, Waterway suffered a devastating flood in 2012, and since that time, the Waterway team has done an exceptional job in a very difficult situation, keeping the company operating and even growing," read a statement from Waterways Houseboats Ltd. and Vinco Holdings Ltd.

"We celebrated our 50th anniversary last year with a sense of optimism and pride in what we had accomplished. The devastating flood that occurred in 2012 put us on our heels but with the help of very able legal counsel we pursued an action in damages against the province, the District of Sicamous and the neighbouring landowners whose bridge was instrumental in damaging our property. After a 61 day trial, the BC Supreme Court issued its judgment on April 16." 

The thrust of their case against the province, the District of Sicamous and some area residents, was that a replacement bridge built after a 1997 flood was built too low. During the 2012 flood, a truck was swept into the creek, eventually slamming into the bridge. A bottleneck was created and water and debris flowed over the creek’s banks and massive damage occurred. The court awarded the company a quarter of what they had been asking for.

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