In August 2023, Réal Bouclin, former president of Groupe Sélection, faced personal bankruptcy amid the collapse of his senior living empire. He reportedly sold his private jet and took out multiple loans to secure favors from close associates like Valérie Taillefer. Financement Projets Québec is attempting to overturn his acceptance of a repayment plan that would only repay 5% of his over $212 million in debts. Legal proceedings continue as questions arise about the legitimacy of creditor votes supporting his proposal.
Between the onset of his company’s downfall and his personal filing for bankruptcy protection in August 2023, former president of Groupe Sélection reportedly leveraged the sale of his private jet and multiple loans to gain the favor of a close-knit group, which included host Valérie Taillefer.
This information emerged yesterday during a Superior Court session, revealing the latest developments in the financial unraveling of businessman Réal Bouclin and his now-defunct empire of senior living residences.
Claiming to have been wronged, Financement Projets Québec (FPQ), owned by entrepreneurs Luc and Franck Resslen, is seeking to overturn Bouclin’s proposal that was accepted in spring by a majority of creditors.
If the arguments presented succeed in persuading the court, Réal Bouclin, who faces personal debts exceeding $200 million, risks personal bankruptcy—an embarrassment he has managed to evade until now.
A Challenger
In his request, the Resslen’s lawyer, Mr. Bernard Boucher, stated that Bouclin also utilized a personal loan of $6 million from his clients in December 2022 to cover the storage fees for his Bombardier Challenger 300 business jet, ultimately selling it for a residual amount of $14 million USD.
After settling payments to lenders and suppliers (including Lbel, Echo Aviation, Jet Linx, and West Star), it is claimed that Bouclin distributed the remaining $8.64 million CAD, starting with his own trusts (Financement Réal Bouclin I, II, and III).
He is also accused of providing a series of guarantees to Valérie Taillefer and the trusts of his former associates, Yves Mongeau and Robert Laplante, while transferring significant sums to his father-in-law Jean-François Taillefer, brother-in-law Philippe Morin (2964-2097 Québec inc), and his neighbor Normand Godcharles in Laval.
The “Little Friends”
It has been suggested by FPQ’s attorney that Bouclin strategically cultivated a personal network over the years, working alongside his “little friends” to “silence the votes of legitimate creditors” and impose a “nonsensical” arrangement proposal.
For context, this proposal involved a total repayment of $10.65 million, which amounts to only 5% of his total liabilities exceeding $212 million. This repayment would follow the sale of his Miami Beach penthouse, which has remained unsold for over a year.
In addition to demanding $55 million from Bouclin, the plaintiff requests that the court declare that at least eight creditors who participated in the vote on May 28 lacked voting rights and that the effects of the vote be suspended until a judgment is passed or a new result is determined. The hearing in this matter will continue this Friday.
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CREADITORS CHALLENGED BY FPQ’S CLAIM TO VOTE
CREADITORS CHALLENGED BY FPQ’S CLAIM TO VOTE
-8770620 Canada inc (Gestion Miled and the Leduc family)
-Yves Mongeau Family Trust
-Robert Laplante Family Trust
-National Bank of Canada
-Fisherco Management Inc.
-Valérie Taillefer (spouse of Réal Bouclin)
-Jean-François Taillefer (father of Valérie Taillefer)
-9371-2511 Québec inc (Jean-François, Valérie, and Marie-Sophie Taillefer)
Source: Modified Appeal Request from Financement Projets Québec (FPQ)
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TIMELINE OF EVENTS SO FAR
TIMELINE OF EVENTS SO FAR
November 2022:
Groupe Sélection files for protection under the Companies’ Creditors Arrangement Act (CCAA).
August 2023:
Réal Bouclin files a notice of intention to propose a proposal to creditors under the Bankruptcy and Insolvency Act (BIA). MNP is appointed as the trustee for this notice.
January 2024:
Réal Bouclin submits a proposal to MNP, leading to numerous discussions and meetings with creditors, the first of which occurs on February 13, 2024.