Former North Bay butcher ordered to repay $250K small business loan

Former meat shop ordered to repay $250k A North Bay meat shop that left products to rot after it closed in fall 2021 has been ordered to repay its small business loan of $250k.

A former North Bay butcher shop that left meat to rot after it closed in the fall of 2021 -- resulting in flies and horrible odours -- has been ordered to repay its small business loan of $250,000 in full.

Avoiding a trial, Ontario Superior Court Justice Julie Richard granted a summary judgment in a Zoom hearing Friday morning against Bavarian Link Meat Products and its president, William James Heaton, who signed a personal guarantee.

Court heard in September 2018, Bavarian Meat took out a $250,000 loan from NECO Community Futures Development Corporation and defaulted after being granted three payment deferrals at zero per cent interest during the pandemic -- between April 2020 and March 2021.

NECO said not only did the butcher not make loan payments, but it also did not disclose the required financial information or provide proof of insurance.

"Neither of the defendants provided evidence to contradict the claims," Richard said.

As a result, Heaton and Bavarian Meat are on the hook for the full amount owing on the loan, $250,759.50, plus interest incurred from Jan. 1, 2022, to March 10, 2023, as well as NECO's court costs which are more than $15,000.

CTV News reached out to NECO executive director Patti Carr for comment after the hearing, but she said the company's lawyer has advised her not to comment.

Multiple attempts to contact Bavarian Meat and Heaton for comment have gone unanswered.