Two Ontario gurdwaras, Sikh Spiritual Centre Toronto and Nanaksar Thath Ishar Darbar, are being sued for over $13 million in loans secured against their properties by companies alleging improper paperwork handling through Rajvinder Grewal’s law firm RSG Law. The lawsuit is part of a broader set of legal disputes involving Grewal and his company, with combined civil claims exceeding $200 million, some including fraud allegations. Court documents reveal that the interest rate on the loan was initially up to 15%, escalating to 24% thereafter, and that RSG Law made direct payments to the gurdwaras totaling $750,000 from its trust account in separate transactions.
Written locally by qwen2.5:14b on 2026-09-19,
using this article's own text rather than the other coverage of the
same event (that is the story summary below).
Story summary
Raj Grewal, a former Liberal MP and lawyer, and two Sikh temples in Toronto and Brampton, Ontario, are defendants in a lawsuit filed by non-bank lenders SSMT Management Inc. and Oculus Mortgage GP Inc., seeking repayment of a $15 million loan from January 2023. The case alleges that Grewal’s law firm, RSG Law, failed to register the debt against one temple as security for the lenders if there was a default; this standard procedure was not completed despite repeated promises. As of April, the last monthly interest payment of $187,000 was made but the loan wasn't paid off by its January deadline. The lawsuit adds to existing legal disputes involving Grewal and RSG Law, with civil claims totaling over $200 million in value, some alleging fraud. None of these allegations have been proven in court.
Written for “Sikh Temples Loan Lawsuit” on 2026-10-04,
grounded in this article and the 1 other(s) covering the same event.
Two Ontario gurdwaras are facing a lawsuit over more than $13 million in loans that were secured against their properties, adding another legal dispute to the growing list of cases involving lawyer and former Liberal MP Rajvinder Grewal.
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that → face → Grewal
Sikh Spiritual Centre Toronto (SSCT) and Nanaksar Thath Ishar Darbar were sued in September by two companies seeking repayment of the loans.
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Toronto → sue → loans
The case was filed in the Ontario Superior Court of Justice, Canadian media outlet The Globe and Mail reported.
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outlet → file → Justice
The dispute centres on loans arranged through RSG Law Professional Corporation, the law firm founded by Grewal.
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dispute → centre → Grewal
The companies allege that the firm failed to complete paperwork needed to properly secure part of the loans against the gurdwaras’ properties.
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firm → allege → properties
The claims are part of a wider series of lawsuits involving Grewal and RSG Law.
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claims → involve → Grewal
The combined value of the civil claims is more than $200 million, with some cases containing allegations of fraud.
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cases → combine → fraud
None of the allegations have been proven in court.
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None → prove → court
According to court documents, SSMT Management Inc. provided a $10 million loan on April 25 last year secured against the property of Sikh Spiritual Centre Toronto.
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Inc. → accord → Toronto
On May 20, the arrangement was increased to a $15 million commitment, with the additional amount to be secured against the Nanaksar property in Brampton.
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arrangement → increase → Brampton
The loan carried an interest rate of up to 15% for the first six months, which amounted to about $187,500 a month.
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which → carry → 187,500
The rate was then set to increase to 24%, or about $300,000 a month.
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rate → set → %
The lender alleges that Davinder Khattra, who operated RSG Law, was responsible for registering a second charge against the Brampton property but did not complete the process.
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who → allege → process
The lender argues that this created uncertainty over whether the loan was properly secured.
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loan → argue → uncertainty
In a September 11 ruling, Ontario Superior Court Justice Frederick L. Myers ordered that the Brampton property could not be sold or used as security for another loan until a further hearing scheduled for January.
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property → order → January
There is also a dispute over whether the case has been resolved.
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case → be → ?
Grewal’s lawyer, Simon Bieber, said in an emailed statement to The Globe and Mail that his understanding was that the matter had been resolved.
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matter → say → Globe
Maria Naimark, the lawyer representing SSMT, said: “It has not been resolved.”
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It → represent → SSMT
Court records show that the gurdwaras also received money from RSG Law’s trust account in separate transactions.
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gurdwaras → show → transactions
Records filed in proceedings before the Law Society of Ontario show that SSCT received $250,000 from RSG Law on April 7 and another $250,000 on April 10.
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SSCT → file → April
A further $250,000 payment was made to Guru Nanak Darbar, another name for the Brampton gurdwara.
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payment → make → gurdwara
In a separate case involving alleged cheque fraud against the Bank of Nova Scotia, another $250,000 transferred to SSCT was traced through RSG Law’s trust account.
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250,000 → involve → account
According to court filings, the money was part of more than $5.3 million transferred from lawyer Rajkiran Sidhu’s trust account after he received three cheques totalling $6.095 million.
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he → accord → million
The bank later traced part of the money to RSG Law and, ultimately, to several recipients including SSCT.
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bank → trace → SSCT
The bank has said in court documents that the $250,000 paid to SSCT has not been recovered.
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250,000 → say → SSCT
Both gurdwaras are federally registered charities.
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gurdwaras → register → ?
Public records also show that some members of their boards overlap, although it is unclear whether the disputed loans were intended to support charitable activities.
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loans → show → activities
Grewal is separately facing disciplinary proceedings before the Law Society of Ontario and has agreed not to practise law while the proceedings continue.
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proceedings → face → law
Khattra and Sidhu are also facing disciplinary action.
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Khattra → face → action
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