Bayside owner accuses former partner of ‘diverting funds’

Laschinger says initial review shows $245k of mortgage proceeds went to projects unrelated to Bayside

Gordon Laschinger who continues to assert that he is the “sole owner” of Bayside Centre, is now accusing his former partner of diverting at least $245,000 of funds derived from a $3.5 million mortgage, intended to fund the $1.7 million purchase price as well as improvements to Bayside, to unrelated properties in Windsor.

Laschinger said the initial results of a forensic review of invoices and cheques revealed the alleged diversion of funds by Wilsondale Assets Management. As a result of the latest revelations, receivership proceedings, scheduled to begin on August 26, 2016, “will go ahead as scheduled,” he added.

He said officials from Zikpr Finance and Investments, which is owned by Malvinder Singh, a Toronto-based investor, are continuing with their inspection of the accounts.

Laschinger added that he and Zirkpr have retained the Sarnia firm of Hazlitt Steeves Harris Dunn to confirm actual amounts alleged to have been diverted by Wilsondale.

“As a consequence of the diversion of funds, together with other issues, a resolution is now deemed not possible,” said Laschinger.

The dispute hit the news after reports of discussions involving Sarnia Mayor Mike Bradley, Singh, who through Zirkpr, funded Bayside Centre, and Italo Ferrari, Laschinger’s former partner and owner of Wilsondale. As a result of those discussions, Bradley indicated publicly that Laschinger was no longer involved in the project.

That assertion was immediately disputed by Laschinger.

Laschinger has since said Bradley was mislead, saying that a written statement from Wilsondale on Tuesday morning “was not authorized by Zirkpr [the mortgagee], was incorrect and issued notwithstanding inconclusive discussions from Monday.”

Laschinger said the Mayor’s conclusions “are quite understandable given the discussions on Monday coupled with Wilsondale’s unauthorized communication on Tuesday.”

Ferrari has not yet responded to a request for comment.

When asked to comment for publication, Bradley limited his response to a one line: “There are two sides to every story (and sometimes more). The universe will unfold.”

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