During the court hearing on April 28, 2023, at Keeley Lake Lodge, Timothy Cimmer’s lawyer, Tony Merchant, brought up allegations of fraud against Niessner. However, Hon. Justice N. Bardai was hesitant to accept these claims, as Niessner’s lawyer, Grant Sharfstein, argued that the court had not found any proof of fraud. Several documents have been presented, suggesting that Niessner and their U.S lawyer, Gregory Lomax, were involved in fraudulent activities. If it can be proven that even one document is fraudulent, the case would need to be dismissed, favoring Mr. Cimmer.
In Madelyn Niessner’s Affidavit dated August 18, 2016, she alleges that Wes Bousquet, an Officer and Director of Keeley Lake Lodge, wrongfully caused RBC (Royal Bank of Canada) to freeze the lodge’s bank account and the Niessers’ personal account. The alleged reason for Mr. Bousquet’s action was a suspicious $200,000.00 transfer of money from Keeley Lake Lodge’s account into Madelyn Niessner’s account. As an officer of the lodge, Wes Bousquet had the right to freeze the account in order to protect the interests of the business and investigate the suspected activity further.
During Madelyn Niessner’s Testimony with Bill Hood on August 18, 2021, the issue of the $200,000.00 transfer was raised by Mr. Hood. Madelyn Niessner argued that her husband, Charles Niessner, had loaned Keeley Lake Lodge $200,000.00 to purchase land. She claimed that her husband had instructed Wes Bousquet to transfer those funds from the lodge’s account to his personal account as repayment for the loan.
However, when questioned by Bill Hood, Madelyn Niessner contradicted herself and stated, “I do not know,” indicating that she lacked complete knowledge regarding whether Mr. Bousquet had been informed by Charles to carry out the funds transfer. She then mentioned that her husband Charles had informed her that Mr. Bousquet would handle the transfer of funds. Wes Bousquet froze the account due to the transfer, which suggests that either Charles potentially misled Madelyn or Madelyn herself is providing false information.
It is mentioned that there was no written authorization for such a high amount, and Madelyn Niessner argues that the funds were owed. It is also stated that there was no prior schedule of repayment for the money loaned to the lodge by Charles Niessner. However, it is emphasized that even if there is a debt owed, it does not give a shareholder the freedom to take money from the company’s account whenever they deem fit.
When a shareholder takes money from a company’s account without proper authorization or in violation of their legal rights and obligations, it is commonly referred to as “unauthorized withdrawals” or “improper self-dealing.” This proves Madelyn Niessner has committed fraud in the past. Fraud is fraud, whether it is intentional or not.
Fraud is considered fraud regardless of whether it is committed intentionally or unintentionally. Fraud refers to the act of deceiving or misleading others for personal gain or to cause harm. It involves misrepresentation, false statements, or dishonest actions that lead to financial or legal consequences for the victim.
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