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GAMBLING HELP ONTARIO: BEATING THE ODDS AND CONQUERING GAMBLING ADDICTION AND DEBT

gambling help ontario
gambling help ontario

gambling help ontario

Gambling help Ontario: What is gambling?

Gambling is the act of betting or wagering on the outcome of an event or a game with the intention of winning money or other material goods. It can take many forms, including playing games of chance like slot machines or cards, betting on sports events or horse races, or participating in games of skill like poker or blackjack.

Gambling can be done in person, such as in a casino or at a horse racing racetrack, or online. It is important to note that gambling can be addictive and can have negative consequences if it is not done responsibly. With the proliferation of online gambling opportunities in Canada, in this Brandon’s Blog, I discuss the issue of gambling, gambling addiction, gambling debt, and gambling help Ontario. I am talking about impulsive behaviour leading to addiction, not about the social gambler.

Gambling help Ontario: What is gambling addiction?

Gambling disorder is a type of impulse control disorder, commonly referred to as pathological or compulsive gambling behaviour, which is characterized by a persistent and recurrent inability to resist the urge to gamble, despite the potential for serious negative consequences. Individuals suffering from gambling addiction may continue to gamble despite the consequences.

Gambling can be a real problem, resulting in financial issues, relationship stress, and lower work performance. It can also lead to mental health concerns like anxiety and depression. If you think you, or someone you know, might be dealing with a gambling addiction, it’s important to get gambling help Ontario.

gambling help ontario
gambling help ontario

Gambling help Ontario: What are some of the usual factors behind a gambling problem?

Pathological gambling, commonly referred to as gambling addiction, is a form of impulse control disorder. Those affected by this disorder experience gambling habits which are an intense compulsion to gamble, even when they are aware of the potential adverse effects it can have on their lives.

Potential contributors to the emergence of a gambling dependency may include, but are not limited to:

  1. Biological factors: Some research suggests that gambling addiction may have a genetic component and that certain brain chemicals may be involved in the development of the disorder.
  2. Psychological factors: People with certain personality traits, such as impulsivity and a need for novelty and excitement, may be more prone to developing a gambling addiction.
  3. Environmental factors: People who are exposed to gambling at an early age or who have access to gambling opportunities may be more likely to develop a gambling addiction.
  4. Social factors: Gambling addiction may be more common in people who have a social network that supports or encourages gambling, or in people who are isolated and may use gambling as a way to cope with stress or negative emotions.
  5. Cultural factors: Gambling is more accepted in some cultures than in others, and people who live in cultures where gambling is more prevalent may be more likely to develop a gambling addiction.

It’s important to note that gambling addiction can affect anyone, regardless of age, gender, or background. If you or someone you know is struggling with gambling addiction, it’s important to seek help as soon as possible.

Gambling help Ontario: What is the prevalence of gambling addiction among individuals?

Accurately estimating the prevalence of gambling addiction in Canada is challenging due to underreporting of the disorder. Nevertheless, studies suggest that gambling addiction is a major public health issue in this country.

The Canadian Centre on Substance Use and Addiction (CCSA) estimates that approximately 2% of Canadian adults are affected by problem gambling, characterized by adverse financial, relational, and mental health outcomes.

With respect to alcohol addiction, the CCSA estimates that approximately 5% of the adult population in Canada meets the criteria for alcohol addiction. This includes approximately 10% of men and 3% of women.

The CCSA also estimates that approximately 5% of the adult population in Canada meets the criteria for drug addiction. This includes approximately 10% of men and 3% of women.

It’s important to note that all addictions, including gambling addiction, can have serious consequences for individuals and their families. If you or someone you know is struggling with addiction, it’s important to seek help as soon as possible. There are many resources available in Canada to help people who are struggling with addiction, including support groups, credit counselling, and rehabilitation programs.

gambling help ontario
gambling help ontario

Gambling help Ontario: How do I stop gambling?

Gambling addiction can be a difficult disorder to overcome, but it is possible for gambling addicts to overcome their gambling concerns and addictive behaviour, stop gambling and regain control of their life. Here are some steps you can take to stop gambling:

  1. Seek help: One of the most important things you can do to stop gambling is to seek help from a healthcare professional or a support group, particularly a gambling help services group. A therapist or counselor who specializes in treating gambling addiction can help you identify the underlying causes of your gambling and develop strategies to overcome it.
  2. Set goals: Identify specific goals that you want to achieve, such as paying off debt or rebuilding relationships with loved ones. Setting goals can help you stay focused and motivated as you work to overcome your gambling addiction.
  3. Avoid triggers: Identify the situations and circumstances that trigger your desire to gamble, and try to avoid these triggers as much as possible. This may include avoiding places where gambling is available, such as casinos, or avoiding activities that you associate with gambling, such as watching sports or playing card games.
  4. Find healthy coping mechanisms: Gambling may have been a way for you to cope with stress or negative emotions, so it’s important to find healthier ways to manage these feelings. This may include exercising, spending time with friends and family, or practicing relaxation techniques such as deep breathing or meditation.
  5. Get support: Surround yourself with a support network of friends, family, and loved ones who can offer encouragement and support as you work to overcome your gambling addiction. Joining a support group, such as Gamblers Anonymous, can also be a helpful way to connect with others who are facing similar challenges.

Remember, overcoming gambling addiction takes time and effort, and it’s important to be patient with yourself. It may take several attempts before you are able to successfully stop gambling. Don’t get discouraged, and keep seeking help if you need it.

Gambling help Ontario: Strategies for managing debt from gambling

People with gambling problems ultimately will have significant debt, which can be overwhelming and stressful. If you are struggling with gambling addiction and debt, it’s important to take steps to address both issues as soon as possible. Here are some steps you can take to deal with gambling addiction debt:

  1. Acknowledge the problem: The first step in recovering from gambling debt is to admit that you have a problem and take responsibility for it. This can be difficult, but it is an essential step in the recovery process.
  2. Create a budget: To manage your debt payments, you need to have a clear understanding of your financial situation. Create a budget that takes into account your income, expenses, and debts.
  3. Make a plan to pay off your debts: Once you have started to address your gambling addiction, it’s important to make a plan to pay off your debts. This may include negotiating with creditors, consolidating your debts, or seeking assistance from a debt management organization.
  4. Cut expenses: Look for ways to cut your expenses so that you can free up more money to put towards your gambling debt. This might involve cutting back on non-essential expenses, such as dining out or entertainment.
  5. Look for additional income: If you are unable to cover your debts with your current income, consider looking for additional sources of income, such as taking on a part-time job or selling assets.
  6. Negotiate with creditors: If you are unable to make your minimum payments, consider negotiating with your creditors to see if they will accept a lower payment or extend the repayment period.Retain a lawyer: If negotiations with creditors fail or if you are facing legal action, it may be beneficial to consult a legal professional for assistance.
  7. Speak to a licensed insolvency trustee (formerly called a licensed bankruptcy trustee): If you feel that you are in over your head in debt and there is no way out of it, get a no-cost consultation with a licensed insolvency trustee who can review your situation and make recommendations.
  8. Avoid temptation: To avoid falling into gambling debt again, it is important to avoid situations that may trigger your gambling addiction. This might mean avoiding casinos or online gambling sites or finding alternative ways to cope with stress or boredom.
  9. Seek support: Recovery from gambling debt is a long and difficult process. It is important to seek support from friends, family, and professional resources to help you stay on track and achieve your financial goals.
  10. Using a financial professional such as a non-profit credit counselor or a debt coach: They can determine if they can make a plan for you that will see you pay off your debts in a reasonable period of time. If not, they will recommend you seek advice from a licensed insolvency trustee.
  11. Deny access to financial resources and credit: In order to impede any additional gambling activities and debt accumulation, it may be wise to restrict your access to money and credit. This could involve canceling credit cards and lines of credit, closing bank accounts, or entrusting a reliable relative or friend to manage your funds.

    gambling help ontario
    gambling help ontario

Gambling help Ontario: Is it possible to have gambling debts eliminated in bankruptcy proceedings?

In Canada, it is possible to have gambling debts eliminated in bankruptcy proceedings under certain circumstances.

Under the Bankruptcy and Insolvency Act (Canada), gambling debts may be discharged (eliminated) in bankruptcy if they meet certain criteria. For example, you must not have obtained the money to gamble with through fraud, embezzlement, or larceny.

It is advisable to seek the counsel of a licensed insolvency trustee if you are thinking of filing for bankruptcy with regard to financial obligations resulting from gambling. Doing so will allow you to gain an understanding of the available options and specific regulations applicable to your circumstance so that you can make an informed decision on whether bankruptcy is the best course to take.

Bankruptcy should not be the first option for dealing with a gambling addiction; it should be the last resort. Therefore, it is necessary to explore other options first. However, if any insolvency process is pursued, one must also be committed to tackling the addiction head-on in order to achieve a full recovery. Ignoring the root of the problem and simply filing for bankruptcy will not benefit anyone in the long run.

Gambling help Ontario: If bankruptcy is the last resort, what is first?

The answer is a consumer proposal. A licensed insolvency trustee can offer both a consumer proposal and bankruptcy as two options that are available to individuals who are struggling with debt and are unable to pay their bills. Both options can help you manage your debts and get a fresh start financially, but they work in different ways and have different consequences.

A consumer proposal is a formally proposed payment plan to creditors. Administered by an insolvency trustee, the proposal is intended to have the person make an affordable monthly payment for no more than 60 months to settle all of the debt. It must be approved by creditors.

There are some key differences between a consumer proposal and bankruptcy in Canada. To be eligible for a consumer proposal or bankruptcy, an individual must be insolvent. To qualify for a consumer proposal, you cannot owe more than $250,000 (excluding mortgage debt) and need to have a reliable regular income source.

Feel free to reach out to me to find out more about a consumer proposal for debt relief.

gambling help ontario
gambling help ontario

I hope that you found this gambling help Ontario Brandon Blog helpful. Other types of addiction can also result in debts.

If you or your business are facing serious debt issues, and you are unsure if bankruptcy is the best solution, call me for advice on ways to tackle your debt, whether it stems from gambling or other sources.

It is not your fault that you remain in this way. It has been demonstrated that traditional methods of addressing financial difficulties are inadequate. These old ways do not work anymore.

The Ira Smith Team utilizes new modern-day ways to get you out of your debt difficulties with debt relief options as alternatives to bankruptcy. We can get you the relief you need and so deserve. Our professional advice will create for you a personalized debt-free plan for you or your company during our no-cost initial consultation.

The tension put upon you is big. We know your discomfort factors. We will thoroughly evaluate your circumstances and devise a tailor-made solution to address both your financial and emotional concerns. Let us lighten your load and dispel any lingering concerns. We will design a debt settlement strategy for you. We know that we can help you now.

We recognize that individuals and companies facing monetary difficulties require an optimistic opportunity for hope. The Ira Smith Team offers a wide array of solutions to fit any situation – never settle for a one-size-fits-all approach!. Not everyone has to file for bankruptcy in Canada. Most of our clients never give up and explore the alternatives to bankruptcy, thus taking control of their financial future! Our mission is to empower people and businesses to steer clear of bankruptcy and achieve financial success.

You can create a unique payment plan to conquer debt and achieve financial success! It will be as unique and extraordinary as the challenges and struggles you are facing. If any one of these seems familiar to you and you are serious about getting the solution you need to become debt-free, contact the Ira Smith Trustee & Receiver Inc. group today.

Call us now for a no-cost bankruptcy consultation.

gambling help ontario
gambling help ontario
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Brandon Blog Post

GAMBLING DEBT HELP: OUR PLAN TO CONQUER YOUR DEBT AND YOUR GAMBLING ADDICTION RECOVERY

We hope that you and your family are safe, healthy and secure during this COVID-19 pandemic.

Ira Smith Trustee & Receiver Inc. is absolutely operational and Ira, in addition to Brandon Smith, is readily available for a telephone consultation or video meeting.

gambling debt help

Gambling debt help: What is compulsive gambling?

There are various provincial-run casino games, horse racing and the sale of lottery tickets. Yesterday, the Canadian Senate passed Bill C-218, the Safe and Regulated Sports Betting Act, An Act to amend the Criminal Code (sports betting). Betting will now be allowed on single games in professional sports.

Gambling is certainly not going away. Some people will be able to control their gambling habits and do it in moderation. Others will not be able to and ultimately will need gambling debt help. The compulsive gambler will be the person who will truly be hurt.

The term “compulsive gambling” is often used to describe individuals with gambling disorders. Many compulsive gamblers have a history of severe gambling problems which began in childhood and have continued through adulthood with occasional periods of remission. Like many problems, compulsive gambling results from a combination of biological, genetic and environmental factors.

Today I explain how our program has helped many people in need of gambling debt help, to overcome both their gambling addiction and gambling debt.

Gambling debt help: What are the signs of gambling addiction?

For many people gambling can be just a form of entertainment—as long as they’re winning. But for some people, the thrill of winning can become an addiction. Gambling addiction is a powerful force that can have negative consequences for those who are afflicted.

Gambling behaviour that is symptoms and signs of gambling addiction that gambling addicts engage in include:

  • Pathological gambling. Always thinking about placing bets, including regularly scheming precisely how to get more cash for wagering.
  • Requiring to wager with boosted amounts of money to obtain the same thrill.
  • Attempting to manage, lower or stop wagering, without success.
  • Feeling flustered or cranky when attempting to reduce betting.
  • Betting to forget about difficulties or relieve feelings of vulnerability, regret, anxiety and anxiousness or anxiety.
  • Attempting to make up lost money by wagering even more (chasing losses).
  • Lying to family members or others to conceal the seriousness of the situation.
  • Preoccupation with gambling. Jeopardizing or giving up on crucial relationships, family life or work as a result of betting.
  • Resorting to stealing or other criminal activity to get money for gambling after access to credit has been exhausted.
  • Asking others to bail you out of the debt, including maxed-out credit cards, you have incurred as a result of gambling losses.
  • Unlike a lot of casual gamblers that really only engage in what one might call social gambling, which stops after a certain amount of losses or winnings, people with addiction to gambling are compelled to keep playing to recover their money, a pattern that ends up being significantly hazardous over time.

If you can relate to one or more of these symptoms, then you may have a gambling disorder.

gambling debt help
gambling debt help

Gambling debt help: Gambling and betting debts?

There are two types of wagering financial debts:

  1. Debts for loans obtained, either direct borrowing from personal loans, lines of credit or a cash advance resulting in credit card debt; and also
  2. Credit granted by a casino to higher net worth people through markers for casino gambling.

In the first case, the cash from personal loans or credit card debts can either be used for gambling or, for necessary living expenses because the money earned from work that could buy those things was lost betting. Making use of markers at a casino is clearly a straight betting debt.

In the context of this discussion, it does not matter how the debt from gambling was incurred. Betting debts in bankruptcy (or a debt settlement proposal/consumer proposal) are claims provable under the Bankruptcy and Insolvency Act (Canada) (BIA).

Gambling debt help: Gambling debt bankruptcy

Let’s assume that you are dealing with only personal loans, lines of credit and credit card debt. We won’t touch on the topic of whether or not loan sharks recognize Canadian insolvency law as a reason why you can’t repay and ultimately do not have to repay your debts in full.

You can file an assignment in bankruptcy on gambling debts. But it is not going to be that straightforward when gambling debts are involved. There are different concerns that people with gambling dependency and also financial obligations as a result of gambling must initially take into consideration with the bankruptcy trustee (now called a licensed insolvency trustee) (Trustee) during your initial no-cost consultation.

The significant issues are:

  1. Your assets.
  2. What is your annual revenue?
  3. Have you ever before been bankrupt?
  4. Full disclosure of all your liabilities, not just direct losses from gambling activities.
  5. Have you not been paying your tax obligations as a result of gambling money so that the Canada Revenue Agency is a creditor, and perhaps a major creditor?
  6. Getting compulsive gambling addiction advice and entering into long-term therapy for the gambling issue. Gamblers Anonymous is the most renowned program.
  7. Getting a discharge from bankruptcy. Rehabilitation is a vital part of the BIA. To obtain a discharge from bankruptcy, a bankrupt will need to reveal that they have constantly gone to therapy sessions as well as have actually stopped their addictive behaviour. They will have to prove that they are not continuing in the same behaviour as an addicted gambler.
  8. Is a consumer proposal available for you to avoid bankruptcy?

    gambling debt help
    gambling debt help

Gambling debt help: There are many issues in addition to just getting gambling addiction debt help

If you are insolvent and pick the bankruptcy route, you will encounter several issues:

  • If you have non-exempt assets or equity in non-exempt possessions, your share of those assets belongs to your Trustee. For instance, if you are a co-owner of your marital residence, that would come to the Trustee and now your partner, or a buddy or loved one would have to buy your interest back.
  • If your regular income is more than the poverty line you will have surplus income to pay to the Trustee. If you have never been bankrupt before, with surplus income, you will have to make a regular monthly payment for 21 months. You cannot look for bankruptcy discharge till after that. If you have been previously bankrupt, the 21 months stretches to 36 months.
  • When it is revealed that your financial obligations are because of your gambling issue, you can anticipate your creditors to oppose your discharge from bankruptcy. At the discharge hearing, you will not only have to show your financial rehabilitation, but also addiction rehab. It is irrelevant what types of gambling activities you engaged in: dice, horses, lotteries, cards, in person or online gambling. I have seen it all and the where, how and when is irrelevant.

Gambling debt help: Gambling debt bankruptcy, your discharge from bankruptcy and your gambling addiction

If you owe a huge amount of unpaid income tax to Canada Revenue Agency, you can expect them to strongly oppose your discharge from bankruptcy. Your Trustee needs to oppose your discharge from bankruptcy when your bankruptcy is an outcome of gambling. The reason is under the BIA, there are different facts, if shown, it is impossible to get an absolute discharge from bankruptcy.

Section 172 of the BIA allows the Court to make an order of discharge which is either absolute, conditional, suspended or even refused. Where a fact under s. 173 of the BIA is proven, an absolute discharge is precluded.

Gambling addiction which brings on or contributes to bankruptcy is an acknowledged s. 173 fact. (BIA, s. 173(e)). That is why your Trustee would certainly need to oppose your discharge from bankruptcy. Within any decision on your discharge, the Court and the Trustee demand to keep the integrity of the Canadian insolvency system. You can think that your discharge will certainly at the very least be conditional upon you paying a certain amount of cash to your Trustee. A bankruptcy discharge suspension for a certain time after you pay the condition is likewise feasible. If your behaviour was especially egregious, your discharge from bankruptcy might be straight-out refused.

At the discharge hearing, you will have to show that you are taking concrete steps to end your addiction and are receiving gambling addiction advice and therapy. You will also need to show that your financial situation is improving.

gambling debt help
gambling debt help

Gambling debt help: Going bankrupt doesn’t seem to be an easy fix

You are right about that. As if the above concerns weren’t enough, depending on certain scenarios, there could be more issues facing you in your quest for gambling debt help.

Therefore, I always recommend to debtors that if there is the possibility to get gambling debt help through a financial restructuring with a debt solution process of either a consumer proposal or Division I Proposal, they must seriously take a look at that with the Trustee to see if it is better to declaring bankruptcy.

Gambling debt help: What must you do if you have gambling debts and are considering a gambling debt bankruptcy?

I hope that you found this gambling debt help Brandon Blog interesting. Among the countless problems that can arise if you have gambling debts, you may also find yourself in a situation where you have gambling debts, need gambling debt help and are considering a gambling debt bankruptcy. The same is true for debts arising from any other type of addiction.

If you are concerned because you or your business are dealing with substantial debt challenges, whether you need gambling debt help or just plain old debt help and you assume bankruptcy is your only option, call me.

It is not your fault that you remain in this way. You have actually been only shown the old ways to try to deal with financial issues. These old ways do not work anymore.

The Ira Smith Team utilizes new modern-day ways to get you out of your debt difficulties with debt relief options as alternatives to bankruptcy. We can get you the relief you need and so deserve. Our professional advice will create for you a personalized debt-free plan for you or your company during our no-cost initial consultation.

The tension put upon you is big. We know your discomfort factors. We will check out your entire situation and design a new approach that is as unique as you and your problems; financial and emotional. We will take the weight off of your shoulders and blow away the dark cloud hanging over you. We will design a debt settlement strategy for you. We know that we can help you now.

We understand that people and businesses facing financial issues need a realistic lifeline. There is no “one solution fits all” method with the Ira Smith Team. Not everyone has to file bankruptcy in Canada. The majority of our clients never do as we know the alternatives to bankruptcy. We help many people and companies stay clear of filing an assignment in bankruptcy.

That is why we can establish a new restructuring procedure for paying down debt that will be built just for you. It will be as one-of-a-kind as the economic issues and discomfort you are encountering. If any one of these seems familiar to you and you are serious about getting the solution you need to become debt-free, contact the Ira Smith Trustee & Receiver Inc. group today.

Call us now for a no-cost bankruptcy consultation.

We hope that you and your family are safe, healthy and secure during this COVID-19 pandemic.

Ira Smith Trustee & Receiver Inc. is absolutely operational and Ira, in addition to Brandon Smith, is readily available for a telephone consultation or video meeting.

gambling debt help
gambling debt help
Categories
Brandon Blog Post

EVANDER KANE: HOW TO EXPLAIN HIS GAMBLING DEBT AND OTHER PROBLEMS BANKRUPTCY TO HIS BOSS

We hope that you and your family are safe, healthy and secure during this coronavirus pandemic.

Ira Smith Trustee & Receiver Inc. is absolutely operational and Ira, in addition to Brandon Smith, is readily available for a telephone consultation or video meeting.

I wish to thank our friend, US Bankruptcy Attorney Neil Ackerman of Pryor & Mandelup, L.L.P of Westbury NY, for pulling the bankruptcy filing for me so quickly so that this Brandon Blog could be published on a timely basis.

Evander Kane filing for bankruptcy introduction

On January 9, 2021, Evander Kane, an NHL hockey player forward with the San Jose Sharks, filed his voluntary bankruptcy petition for a Chapter 7 bankruptcy case in the United States Federal Bankruptcy Court for the Northern District of California. I understand that earning megabucks as a professional athlete and declaring bankruptcy seems astonishing to a lot of you, yet it’s real. There are many retired pro athletes who are broke. They have actually made a lot of money and then lost it. They have absolutely nothing to show for it. No protected investments, no retirement fund, nothing socked away with for a rainy day.

I discuss the Evander Kane bankruptcy filing and talk about other former pro athletes who also had financial problems.

San Jose Shark Evander Kane bankruptcy filing

Evander Kane‘s bankruptcy documents paint an interesting picture. The documents state that he has US$10,224,743.65 in assets and the 29-year-old’s Chapter 7 filing list liabilities of US$26,837,340.00.

The assets are:

AssetUS$
Real estate – 2301 Richland Ave., San Jose, CA3,000,000.00
Real estate – 3457 W. 35th Ave., Vancouver, BC2,860,000.00
Real estate – 8447 Isabel Place, Vancouver, BC2,400,000.00
Personal and household items80,000.00
Financial assets1,884,743.65
Total10,224,743.65

Amongst the almost US$27.0 million of liabilities, the more interesting ones are:

  1. Loan Shark Holdings, LLC-Secured loan to fund tax shelters-US$2.5M
  2. Centennial Bank-Loan-creditor may assert a claim over wages-US8.36M
  3. Newport Sports Management, Inc.-Agent fees-US$528,730
  4. Rachel Kuechle- Litigation claim-Unknown
  5. Sure Sports LLC- Claim for fees-US$1.28M
  6. Zions Bancorporation-Loan-$4.25M
  7. IRS- Income tax (subject to accepting tax shelter deductions)-US$256,320
  8. Various individuals-Personal loans-US$2.15Mevander kane

Shark Star player seven-year, $49-million contract, banks, gambling and other interesting information

Here is some interesting information coming from his bankruptcy filing:

  • In the year prior to his filing Chapter 7 bankruptcy, he lost and paid off gambling debts, including losses on sports gambling of US$1.5 million.
  • Evander Kane listed that he has a monthly cash shortfall of US$91,131.13 supporting himself, his parents, his 27-year-old sister, 1 daughter, 2 uncles and his grandmother. In making that calculation, he did not include any monthly income amounts from his annual salary that is set at US$3,000,000 for the year 2020/2021 under his personal services contract with San Jose. He did this because his salary will be prorated due to the shortened NHL’s 2020-21 season of 56 games. Also, there is uncertainty over the season due to COVID-19 concerns. It will certainly not be your typical season. His deal was originally a seven-year contract.
  • The filing also stated that he might opt-out of the league regular season games “because of health concerns given the recent birth of his first child.” If he does so, he would certainly not be paid anything. The filing also stated there is a possibility that Evander Kane may not even play in the upcoming regular season, though he has actually gone to spend a period of time on ice in the Sharks training camp. Neither Evander Kane nor his representatives have actually said anything about his intentions for the current season.
  • Arkansas-based Centennial Bank is suing both Evander Kane and the Sharks. They claim that they owe over US$8M, consisting of principal, interest and bank fees after both Kane and the team quit making payments in 2019.

    According to Centennial Bank’s claim, the Sharks were expected to make continual regular monthly payments to the financial institution by deducting funds from Kane’s salary until the full amount owing was totally paid back. In its claim, Centennial asserts that it was Evander Kane who had actually got the Sharks to stop payments on the loan. Centennial Bank certainly does not feel there has been sufficient financial redress.
  • No doubt some of the US$1.5 million of gambling losses paid in the year prior to his bankruptcy went to the Cosmopolitan of Las Vegas. The Cosmopolitan, the two-tower resort and casino on the Strip, revealed in late 2019 it withdrew its $500,000 gambling loss litigation case for unpaid gambling debts against Sharks Star Evander Kane.

    A casino marker is a line of credit issued to a VIP customer to enable high-level gaming customers simple access to large amounts of cash. Markers are available after the casino’s credit department has checked out the financial worthiness of the customer beforehand and then if approved, sets the line of credit. Fundamentally, gambling markers are interest-free temporary financings that have to be quickly paid off, or else the borrower faces high rates of interest and possible criminal charges.

    The Cosmopolitan’s claim stated that Evander Kane, a Canadian, allegedly took out 8 markers of differing amounts ranging from $20,000 to $100,000. This was on or about April 15, 2019, a day between Games 3 and 4 of the Stanley Cup first-round playoff between the Vegas Golden Knights and the San Jose Sharks. In addition to the overdue credits, Cosmopolitan looked for repayment of legal costs connected with the claim.

    Cosmopolitan’s attorney, Lawrence Semenza, confirmed that the case against San Jose Shark’s left-winger has been withdrawn and that Kane cannot be sued for this debt again. No doubt money changed hands but Mr. Semenza would not confirm that.
  • Kuechle v. Kane: On a much more serious note, Evander Kane listed this civil litigation in the Erie County Supreme Court in Buffalo, NY as pending. In her claim, filed on July 1, 2016, this then 21-year-old woman named Rachel Kuechle, declares that on December 26, 2015, she met Kane at the Encore Restaurant in Buffalo. She claims that he provided her with alcoholic beverages and invited her to his hotel room at the Buffalo Marriott Harborcenter on the early morning of December 27, 2015.

Kuechle further claims that upon arriving at the hotel that morning, Kane allegedly battered this woman creating her to experience physical injury consisting of lacerations, considerable hemorrhaging needing several surgical treatments as well as blood transfusions, along with severe emotional trauma. As the case is still pending, these claims have not yet been adjudicated. At the time, Evander Kane was playing for the Buffalo Sabres.

Is Chapter 7 bankruptcy in Canada?

Chapter 7 bankruptcy is not in Canada. It is part of the United States Bankruptcy Code, the bankruptcy law in the USA. However, there are many similarities between Chapter 7 bankruptcy and Canadian bankruptcy.

Chapter 7 is for individuals that have financial problems stopping them from paying their debts. It is also for people who are willing to enable their non-exempt assets to be used to pay their creditors.

The main purpose of declaring under Chapter 7 is to have your financial debts discharged. The bankruptcy discharge clears you after bankruptcy from needing to pay most, if not all of, your pre-bankruptcy financial debts.

Like in Canadian bankruptcy, there are certain debts that cannot be discharged as a result of a person’s discharge from bankruptcy. Also, properly secured debts, like a mortgage on property or a vehicle financing loan, can still be enforced after discharge.

Gambling debt forgiveness is possible both in Chapter 7 and Canadian bankruptcy cases. However, it is not straightforward like many other unsecured debts are.

Also, if the court finds that you have committed particular kinds of improper conduct described in the Bankruptcy Code, the court might reject your discharge. The same is true in Canada.

I have written many blogs about Canadian bankruptcy. My most recent one is from a few days ago: DECLARING BANKRUPTCY IN CANADA: NEVER WORRY WHAT TO DO AGAIN WITH THESE AWESOME TIPS.

evander kane
evander kane

Former pro athletes who are broke: Evander Kane has some company

They awaken one morning and the cash is all gone, the charge cards have been cancelled, the bank has confiscated the estates and the fleet of luxury automobiles. The most awful part is that a lot of them don’t even understand where the cash went.

It has been reported that so far, Evander Kane has earned $52.9 million over his 11-year career. In his bankruptcy filing, Kane stated that in each of the last 3 years he earned:

Year

US$ salary

January 1 to December 31, 20186,000,000
January 1 to December 31, 20197,000,000
January 1 to December 31, 20207,000,000

Another Evander. It’s easy to blow a lot of money. Evander Holyfield invested/spent $230 million in no time. He bought a 235-acre Utah estate with 109 rooms. The monthly electricity bill was $17,000. There was likewise a $550,000 loan he got to pay for landscape design; $200,000 in IRS tax obligations, plus alimony and also child support for three ex-wives as well as 11 children.

It likewise adds up quickly when you’re spending like a drunken seafarer. Boris Becker is a recent bankruptcy filer of the many sports celebrities to declare bankruptcy in spite of huge earnings. The marriages, sweethearts, children and an unsupportable way of life ultimately overtook Boom Boom.

Canadian olympian Donovan Bailey was another athlete that had income tax troubles. To lessen the amount of personal income tax to be paid, he made a “philanthropic” contribution. The money made its way back to Mr. Bailey, through an overseas account. It was intended to come back tax-free.

The trouble was that Canada Revenue Agency (CRA) reassessed Donovan Bailey. They claimed the charitable donation was no more than a sham to prevent paying taxes. Instead of tax-free cash Donovan Bailey found himself in debt to the CRA to the tune of $2.3 million in overdue tax obligations and ended up in bankruptcy court.

Former pro athletes who are broke: According to Charles Barkley

​Charles Barkley believes that 60% to 70% of former pro athletes go broke and have no retirement savings. There are many reasons:

  • Buying expensive presents and giving money to family and friends.
  • Unsupportable lifestyles
  • Mansions around the world
  • Yachts
  • Exotic and luxury vehicles
  • Unprofitable business ventures
  • Bad money management
  • Not understanding financial matters

The result is lots of debt, zero savings.

Evander Kane summary

Not many of us will ever make the kind of money Evander Kane has, and still can. It is important to know the basics of money management and have some elementary level of financial literacy.

I hope you enjoyed this Evander Kane Brandon Blog post. If you are concerned because you or your business are dealing with substantial debt challenges and you assume bankruptcy is your only option, call me. It is not your fault that you remain in this way. You have actually been only shown the old ways to try to deal with financial issues. These old ways do not work anymore.

The Ira Smith Team utilizes new modern-day ways to get you out of your debt difficulties while avoiding bankruptcy. We can get you the relief you need and so deserve.

The tension put upon you is big. We know your discomfort factors. We will check out your entire situation and design a new approach that is as unique as you and your problems; financial and emotional. We will take the weight off of your shoulders and blow away the dark cloud hanging over you. We will design a debt settlement strategy for you. We know that we can help you now.

We understand that people and businesses facing financial issues need a realistic lifeline. There is no “one solution fits all” method with the Ira Smith Team. Not everyone has to file bankruptcy in Canada. The majority of our clients never do. We help many people and companies stay clear of bankruptcy.

That is why we can establish a new restructuring procedure for paying down debt that will be built just for you. It will be as one-of-a-kind as the economic issues and discomfort you are encountering. If any one of this seems familiar to you and you are serious about getting the solution you need, contact the Ira Smith Trustee & Receiver Inc. group today.

Call us now for a no-cost consultation.

We will get you or your business back up driving to healthy and balanced trouble-free operations and get rid of the discomfort factors in your life, Starting Over, Starting Now.

We hope that you and your family are safe, healthy and secure during this coronavirus pandemic.

Ira Smith Trustee & Receiver Inc. is absolutely operational and Ira, in addition to Brandon Smith, is readily available for a telephone consultation or video meeting.

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GAMBLING DEBTS HELP

Gambling debts: Introduction

The Canadian insolvency process is geared to deal with gambling debts or any debt resulting from addiction. It does not only deal with the debts caused by borrowing money to feed an addiction. The insolvency process is uniquely positioned to deal with the person’s total rehabilitation. When the person hits rock bottom with debts they cannot repay and no more credit to keep borrowing to feed the addiction, a licensed insolvency trustee (LIT or Trustee) (formerly called a bankruptcy trustee) is positioned to help not only with the debt issues but also the rehabilitation issues. Let me explain.

My firm has been involved in helping people out of their debt problems arising from addiction issues. The most common are gambling, alcohol and drug addictions. Professionals have referred us their family members suffering because of an addiction. In my January 31, 2018 blog, GAMBLING DEBT BANKRUPTCY: CAN GAMBLING DEBT BE DISCHARGED IN BANKRUPTCY?, I discussed from a procedural view the issue of gambling debts and bankruptcy. In this blog, I want to focus on how the insolvency process, especially bankruptcy, can deal with overall rehabilitation.

I will draw on my own personal case studies and specifically refer to a recent decision of the Supreme Court of Nova Scotia in Bankruptcy and Insolvency in Donaldson (Re), 2019 NSSC 33.

Gambling debts: What the LIT is expected to do

The free consultation provided by a LIT to an insolvent person pre-filing is where a LIT would find the addiction issues. It will also be noted on the person’s initial filing documents in filing either a consumer proposal or for bankruptcy. The Canadian insolvency system is geared towards giving the honest but unfortunate consumer a fresh start.

In cases of addiction, the LIT must also point the person to community resources to aid in healing the person with the addiction to lead a sober life. This must be a pre-condition for any LIT to support the addicted person’s consumer proposal or discharge from bankruptcy. This is how my practice works. It is also the view of the Court in the Donaldson case.

Gambling debts: The Donaldson facts

Gloria Donaldson and Wayne Donaldson are fourth-time bankrupts. This is their 5th experience with the Canadian insolvency process as one of their filings was a consumer proposal. They made separate filings. The Court found that it really should have been a joint filing.

Gloria and Wayne were 65 and 73, respectively. The Court holding their discharge hearing found both Gloria and Wayne to be forthright, honest and trustworthy. Yet, this is the 4th bankruptcy and the 5th use the Bankruptcy and Insolvency Act, RSC 1985, c. B-3, as modified (BIA).

They declared the source of this bankruptcy as an overextension of credit on real house improvements. They did not list gambling. However, Registrar Balmanoukian found that there is no doubt on the evidence before him that gambling was a significant factor to at least speed up driving the Donaldson’s to this 5th insolvency filing.

The Donaldson’s filings spanned a duration of nearly 40 years. They are seniors. Their future income is restricted, by age and health.

Gambling debts: The bankruptcy discharge will not be easy

A 4th bankruptcy is a really major issue. Without a doubt, also for applications including third-time bankrupts the Courts have revealed an unwillingness in providing the bankrupt’s discharge. At the very least not without an extensive suspension or similar burdensome terms.

Coming to Court for a discharge as a 3rd-time bankrupt is a serious matter. The Court must be satisfied that the insolvent understands and has made enough adjustments in his/her life. The Court wants to know it won’t be possible that an additional bankruptcy will take place.

By the time a person has actually gotten in a 3rd bankruptcy, the objective, as well as the intent of the Act, changes from its restorative function of helping sympathetic yet unfortunate debtors to a shielding culture, and protecting innocent possible creditors. The most effective intents and hopes of such bankrupts is no longer the main issue. The main issue is that creditors be shielded from the insolvent’s shown economic inexperience, carelessness and negligence.

In a 4th bankruptcy, the Court has to pay cautious interest in creating a suitable yet custom treatment when determining what is right in the bankrupt’s application for discharge. The Bankruptcy Court is not just there to be a financial car wash. The truth is that these bankrupts are not rogues. That, however, is not enough of a reason to approve a discharge.

A 4th bankruptcy is a clarion call to the Court and its officers that these people should never come before the Bankruptcy Court again. The issues need to be fixed.

Gambling debts: The bankruptcy discharge must serve a purpose

The proof is clear that Mr. and Mrs. Donaldson did not have the possibility of having sources with which to pay any kind of meaningful amount on their much debt. The passage of time and their health and wellness have actually prevented this. Nevertheless, that does not imply that the Court can only enforce a token wag of the finger and a reprimand “do not do it ever again”.

What the Registrar decided is frankly, something that the LIT should have already done. When I am faced with potential bankrupts whose debt has arisen as a result of spending money they did not have on their addiction, this is what I tell them. I say that if they wish to have any chance of having a discharge from bankruptcy, then they need to get themselves into a rehab program immediately. Gamblers Anonymous and AA are two that we regularly refer clients to. We also tell them that for discharge purposes, they will need to have their sponsor verify to us, in writing, that they have regularly attended and continue to attend meetings to help themselves.

This way, by the time we come to Court, we can prove rehabilitation has already begun. Real rehabilitation helps the person get back on to a clean, healthy life. We have many examples of people we have helped overcome drug, alcohol and gambling addictions, as part of cleaning up their financial debts. In some cases, these people have even become leaders and sponsors themselves in the rehabilitation program that helped them so much. I have great pride in hearing years later from such former addicts I have helped when they tell me that they have saved up enough to buy a home, now have a better job and their family is in a better place because of my help.

The Donaldsons need to get themselves resolved to live within their earnings. They also must learn to stop gambling if they wish to have a chance of surviving this bankruptcy.

Gambling debts: The Registrar’s decision

So the Registrar ordered that the Donaldsons:

  • Shall attend such counselling for gambling abuse and/or addiction for such period as is necessary to get an opinion from a qualified counsellor or medical professional that both of the Donaldson’s are able to conduct themselves without going back to gambling in any way.
  • Refrain from gambling in any form, and further that they enrol and stay enrolled in the voluntary exclusion program with Casino Nova Scotia;
  • Absolutely stop obtaining credit from any lender in any form, except as approved in advance and in writing by the Trustee.
  • Disclose and subject to any provincial exemptions, turn over to the Trustee any property of either or both that comprises “property of the bankrupt” within the meaning of the BIA between the date of the Donaldson’s’ bankruptcies and their discharge.
  • Upon compliance with the foregoing for a period of at least five years from the date of the decision, the Donaldson’s may make a further application for discharge.

The Registrar’s decision is right. The Donaldsons will finally get the help they need to fight their gambling addiction. They will come clean with their LIT about handing over any non-exempt assets. They will not be able to borrow money for gambling again. Once they have been “clean” for 5 years, they may reapply to their discharge from bankruptcy. Hopefully, by then, they will be able to live a healthier life without the stress of gambling debts.

Gambling debts: Do you have too much debt?

Do you have too much debt because of an addiction or otherwise? Are you worried that the future interest rate hikes will make presently affordable commitments entirely unmanageable? Is the discomfort, tension and anxiousness presently detrimentally affecting your health and wellness as well as health?

If so, speak to the Ira Smith Team today. We have decades and generations of helping people and companies looking for financial restructuring. As a licensed insolvency trustee (formerly called a bankruptcy trustee), we are the only experts licensed and supervised by the Federal government to provide insolvency services.

Call the Ira Smith Team today for your free consultation and to make sure that we can begin assisting you to return right into a healthy, balanced, hassle-free life.

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