ERON MORTGAGE INFORMATION WEBSITE
THE ERON LENDER COMMITTEE

MINUTES OF MEETING - SEPTEMBER 7, 1999
ELC-PROJECTS & LENDERS Monthly Meeting

 1. At 7: 10 PM Steve Ripley welcomed the lenders and briefly previewed the evening's agenda. He noted that James Tindle was away until later in the month, and also that David Craig sent his regrets to the lenders, because of illness being unable to attend the meeting to give his review of Revenue Canada refiling matters.

2. David Church spoke at length regarding the class-action lawsuit. He noted continuing updates are also available on the Camp Church website: www.campchurch.com . Church was pleased to announce that in BC as well as outside BC lender participation opting-in to the lawsuit was excellent, i.e. in BC only two individuals of some 3200 on record as BC residents have opted-out. Of all residents outside of BC nearly everyone of record has opted to join the lawsuit. Church noted that he and Andrew Pearson will be cross-examining Ms. Adrienne Murray, Deputy Registrar of Mortgage Brokers, on September 30 & October 1-- lenders are not permitted to attend this examination. Church noted that he would be seeking a court date for the eventual trial while at a case management meeting with Justice Tyson on September 13, notwithstanding that the government lawyers have begun an appeal process. On December1 / 99 the appeal by the Defendants will be heard at the courthouse at 10:00AM.The court of Appeal will rule on the question as to whether or not Justice Tyoe's certification ruling contained errors in law.

3. Ripley briefly reported on the Revenue Canada refiling process. PWC was to begin sending the first round of project letters the week f September 6.These will all be zero-recovery projects.

4. Jack Rockandel and S. Ripley reviewed for the lenders the two and a half days of court hearings before Justice Tyson concerning the remaining distribution questions. See the Sept.7/ 99 Newsletter for details. Justice Tyson indicated he might have his decisions available by the end of September or early October. A mandatory 30-day appeal period will follow the date of his decisions.

5. J. Rockandel outlined the anticipated Application from PWC to Justice Tyson regarding a request for clarification of the ELC's role in assisting the Trustee. The ELC has not yet received the Application, but the expectation is that it will be heard in October. Rockandel briefly reviewed the recent ELC-PWC history, which has left both parties dissatisfied with their communication problems and with conflicts over certain policy matters for which decisions are pending. Whether or not the ELC will engage a lawyer to defend it before Tyson was also discussed…the problem also being noted as to how to pay for such legal assistance. Ripley noted that through the generosity of lenders the ELC now has about $10,000. in its bank account.

6. Ripley reviewed the status of PWC's litigation against the Slobogians, the Billers, and D. Jackie. See the September 7 / 99 Newsletter for details. At present no new trials have been set in these matters, nor have any settlements been reached on subsidiary matters with these parties. B. Slobogian remains in the USA, and at no time did he appear for the BCSC hearings.

7. J. Rockandel and S. Ripley spoke to the lenders about the ELC's plans to review the Trustee's indirect and direct costs as the Trusteeship proceeded through the distribution phase. PWC has not recently provided the ELC with an update on the costs, despite their having been asked several times for the information. The question as to how the Trustee will be paid while the projects are being paid-out and the total Eron estate is diminishing is one that will be addressed by Justice Tyson in his distribution rulings.

8. Ripley announced the beginning of the nomination period for selecting members for the 1999-2000 ELC, and briefly reviewed the election process .See the September 7 /99 Newsletter for details. At the next Projects and Lenders meeting, October 5, confirmation will be given regarding the location of the annual general meeting. which likely will be the Kitsilano Secondary School-where last year's meeting was held.

Adjournment: 9:10PM

Secretary: S. Ripley (222-1646)





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