Background:
John Todd Bonner, a co-founder and former director of Axion Ventures Inc., was accused of conspiring with Nithinan Boonyawattanapisut and others to secretly gain control of Axion's assets, including intellectual property and digital marketing software. The alleged misconduct included using company funds for personal gain and unlawfully transferring assets to entities under their control. Bonner and Boonyawattanapisut, who were both terminated from their positions in 2021, were also accused of breaching their fiduciary duties.

Legal Issues:
The plaintiffs claimed civil conspiracy, breach of fiduciary duties, and the unlawful transfer of corporate assets. Contempt proceedings arose when Bonner and other defendants failed to comply with a court order to post a bond or letter of credit totaling $3,437,521 as security for disputed shares.

Contempt of Court:
The defendants, referred to as "Contemnors," were found in contempt for their continued non-compliance with court orders. Their response pleadings were struck as a sanction due to their deliberate delays and refusal to comply with previous rulings.

Sanctions and Costs:
The court struck the Contemnors' pleadings but allowed them to participate in a spoliation application regarding alleged destruction of evidence. The court ordered them to seek leave before filing any further applications in a related debt action. Special costs were awarded to the plaintiffs, emphasizing the court's disapproval of the Contemnors' conduct.