Ottawa, Ontario, January 10, 2007
PRESENT: The Honourable Mr. Justice O'Keefe
BETWEEN:
and
MINISTER OF NATIONAL REVENUE
REASONS FOR ORDER AND ORDER
[1] This is a motion by the applicants requesting an order lifting the stay order issued in this matter by Mr. Justice Teitelbaum on August 15, 2006.
[2] By way of background, most of the personal and business records of the applicant, Steve Lazaridis, were destroyed in a fire in February 1989. There was a dispute between the parties as to whether returns had been filed for certain taxation years. As a result of the Minister’s belief that these filings had not been made and that certain information had not been provided, the applicant incurred interest and penalties and was subjected to increased amounts of taxes..
[3] The applicants commenced the judicial review in this file with respect to a fairness letter issued by the respondent on July 6, 2005.
[4] The order of Mr. Justice Teitelbaum read as follows:
ORDER
UPON motion, dated the 1st day of August, 2006, on behalf of the Applicants, for:
A request for M.N.R. to produce Assessments for the taxation years 1989 and 1990 which he failed to produce during the examinations of the Minister’s representative;
A request to amend the Direction of the Honourable Justice Hansen to read and review the taxation years for both Applicants from 1989 to 1997.
THIS COURT ORDERS that
1. After taking into account the direction issued by Madam Justice Hansen, the Court orders that the present proceeding in File T-1375-05 be stayed.
2. The Respondent will undertake new fairness reviews concerning the relief from penalties and interest for both Applicants, Steve and Tina Lazaridis, for the taxation years 1989 to 1997.
3. The Respondent will pay costs of $1,803 to the Applicants.
4. The said order has been consent [sic] to by both parties.
5. The Respondent will undertake to give to the Applicants, within a maximum period of 15 weeks from today’s date, copies of the Applicants’ 1989 and 1990 taxation years [sic].
[5] As a result of this order, the Minister issued further fairness reviews by letter dated October 20, 2006. The applicants claim the fairness letter did not address all the issues in question. Consequently, the applicants wish to have the stay imposed by Mr. Justice Teitelbaum on this file lifted.
[6] There is no doubt that a stay can be lifted (see subsection 50(3) of the Federal Courts Act, R.S.C. 1985, c. F-7). However, according to the jurisprudence, a stay can only be lifted when new evidence is put before the Court “showing that the facts upon which the stay was originally granted have so changed as to justify a lifting or partial lifting of the stay.” (see Del Zotto v. Canada (Minister of National Revenue) (1996), 195 N.R. 74 (F.C.A.) at paragraph 12). From my review of the file, I am of the view that the facts have not changed since the original stay was granted. The problem appears to be that the applicants are of the opinion that the October 20, 2006 fairness letter does not address the issues that are the subject matter of this file.
[7] The October 20, 2006 fairness letter is a new decision by the respondent and is subject to judicial review in this Court in a new application for judicial review.
[8] For the above reasons, the applicants’ motion for a lifting of the stay imposed by Mr. Justice Teitelbaum is denied.
ORDER
[9] IT IS ORDERED that the applicants’ motion for an order lifting the stay imposed by Mr. Justice Teitelbaum in this file is dismissed.
FEDERAL COURT
SOLICITORS OF RECORD
DOCKET: T-1375-05
STYLE OF CAUSE: STEVE AND TINA LAZARIDIS
- and -
MINISTER OF NATIONAL REVENUE
PLACE OF HEARING: Toronto, Ontario
DATE OF HEARING: November 27, 2006
APPEARANCES:
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Steve Lazaridis Self-Represented
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Surksha Nayar
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SOLICITORS OF RECORD:
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Steve Lazaridis Toronto, Ontario
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John H. Sims, Q.C. Deputy Attorney General
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