The Pan-Canadian Investors Committee for Third-Party Structured ABCP announced Thursday evening that the Ontario Superior Court of Justice has sanctioned the committee’s plan to restructure $32 billion of third-party asset-backed commercial paper issued by 20 of the conduits that are the subject of last summer’s Montreal Accord.

Justice Colin Campbell accepted a proposed amendment to the plan that would allow certain noteholders, under specified conditions, to pursue claims of fraud against ABCP dealers. He also noted that he was satisfied with the efforts of the committee and other participants in the plan including certain dealers of ABCP to deal with individual cases of hardship.

“We are gratified that the court has approved the restructuring plan and determined that is was fair,” said Purdy Crawford, chairman of the investors committee, in a release. “After nine months of arduous negotiations with, and compromise among all stakeholders, we are poised to bring this process to a successful conclusion for the benefit of noteholders.”

Implementation of the restructuring plan is expected to be completed by the end of June.

A copy of the court’s written ruling, when available, will be posted on the public website of Ernst & Young Inc., the Court-appointed monitor in the ABCP restructuring.

Federal finance minister Jim Flaherty welcomed the court’s approval of the ABCP restructuring.

“I am pleased the Superior Court of Justice of Ontario has approved the plan for restructuring asset-backed commercial paper developed by the Pan-Canadian Investors Committee. This marks a decisive step in what has been a long and difficult process,” stated Flaherty.

“I congratulate the Pan-Canadian Investors Committee, and in particular chairman Purdy Crawford, for the leadership and diligence necessary to achieve this ambitious goal. I now look forward to the process being completed in a timely and orderly fashion,” Flaherty added.