By Daniel MacEachern
The Atlantic Canada Opportunities Agency is suing a St. John’s technology firm for $4.4 million it says the company owes from several loans.
According to the agency’s statement of claim filed with Newfoundland and Labrador Supreme Court Aug. 14, Cathexis Innovations, a company that specializes in radio frequency identification — called RFID — technology, has defaulted on payments for six loans provided by the agency between August 2004 and February 2012 for separate projects.
“The defendant has defaulted with respect to payment to the plaintiff as per the repayment terms of the contribution agreements … and has failed to comply with other terms and conditions of the said agreements,” reads the statement of claim.
Cathexis, which produces RFID systems under the name IDBlue, was started by four electrical engineering classmates — Mark Gillingham, Steve Taylor, Colin Power and Mark Simms — at Memorial University in 2001.
By 2005, the company had 20 employees in St. John’s, with sales offices in Calgary and Dallas.
The following year, Cathexis signed a $3-million deal with a leading technology investor in the United Arab Emirates to bring its technology to the global market.
In 2011, IDBlue spun off a subsidiary called Radient360 that would focus exclusively on the oil and gas sector.
In September 2012, the agency demanded full repayment of all six loans plus accrued interest, further itemizing the amount owed earlier this month. As of Aug. 9, the agency is demanding $4,391,284, including interest, as well as interest of a little more than $500 per day from the date of the claim’s filing, as well as court costs.
Cathexis officials did not return messages left Thursday by The Telegram seeking comment on the lawsuit.