CLASS ACTION | Global Learning Group Inc.This certified class action is brought on behalf of the approximately 60,000 Canadian taxpayers who suffered damages as a result of their participation in the GLGI charitable donation program between 2004-2014.
GLOBAL LEARNING GROUP INC.
This certified class action is brought on behalf of the approximately 60,000 Canadian taxpayers who participated in the Global Learning Group Inc. (GLGI) charitable donation program (the Gift Program) between 2004-2014. The Class excludes GLGI owners, employees and agents including the individuals who sold the Gift Program, and also excludes the individuals involved in the lead Tax Court case Mariano v. The Queen.
The Class Action was certified as a class proceeding by the Ontario Superior Court of Justice on June 26, 2019. The main certification order can be viewed here.
From 2004-2014, GLGI operated a charitable tax program called the Global Learning Giving Initiative. Canadian taxpayers made donations through the Gift Program – including cash and courseware donations – on the understanding that the donations would support underserved communities and entitle the taxpayers to valuable charitable tax credits.
By 2007, the Canada Revenue Agency was reassessing the participants’ tax returns, disallowing the tax credits claimed and charging interest and, in some cases, penalties.
In 2015, the Tax Court of Canada found that the Program was a “sham” perpetrated by GLGI. The courseware licence valuations that were used to support the charitable receipts were wrong, and that GLGI and its accomplices received approximately 90% of the cash donations intended for charities. The trust structure of the Program was also invalid.
This class action is brought against GLGI and other entities, together with the administrative, legal and accounting professionals who supported the Gift Program. The plaintiffs have commenced a class action to seek return of the cash paid into the Gift Program and to recover damages for the interest and penalties assessed.
For more information on this class action please complete our confidential online form and a member of our team at Klein & Schonblum, Associates will respond to you, typically within 1-2 business days.