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XTM Inc., a payment processor co-owned by Toronto-based XTM and Edmonton’s Everyday People Financial Corp., is facing scrutiny after failing to pay over US$200,000 owed to a staffing agency in Kansas. This comes amidst ongoing investigations by the Bank of Canada and the British Columbia RCMP regarding significant complaints from Canadian restaurants about missing gratuities linked to their digital wallets on the Everyday Payments platform. As the situation unfolds, both employees and restaurant operators are expressing growing concerns over the financial stability of the service.
Investigations into Missing Gratuities
Reports have emerged from the British Columbia Restaurant and Foodservices Association, where president Ian Tostenson revealed that at least 50 restaurants across B.C. and Alberta have reported missing funds from their Everyday Payments wallets. Tostenson estimates that the losses could amount to millions, hinting at a wider issue affecting numerous establishments across Canada. Similarly, the Ontario Restaurant Hotel and Motel Association has indicated that restaurants in Ontario are also experiencing similar problems.
The Restaurant Association of Nova Scotia has alerted its members to an increase in reports concerning “account discrepancies” and “delayed access to funds,” indicating a growing crisis within the sector linked to the Everyday Payments platform.
Legal Troubles and Financial Strain
The staffing agency, Kansys Staffing Group, owned by Ashley Ogren, has been embroiled in a legal battle after XTM allegedly ceased payments following its acquisition of QRails, a payment firm for which Kansys provided development services. A U.S. district court ruled in August 2025 that XTM and QRails must pay Kansys over US$201,000, a debt that, as of January 29, 2026, has risen to US$213,477.
Ogren stated that her company has incurred significant legal costs, amounting to US$60,000, while still needing to compensate its contractors. The financial distress faced by XTM was underscored by communication from CEO Marilyn Schaffer, who admitted that the company is struggling to meet payroll obligations.
Conflicting Statements on Fund Management
As the situation deteriorates, conflicting narratives have emerged regarding who controls the funds held within the Everyday Payments platform. A spokesperson for Everyday People Financial has disputed claims made by XTM, asserting that while they manage the platform, they do not have custody over merchant or cardholder funds. They clarified that the settlement accounts remain under XTM’s control while expressing that adjustments made to wallet balances on January 28 were necessary to reflect actual cash availability.
In a recent communication, a representative handling Schaffer’s correspondence stated that as of December 1, 2025, XTM had no control over bank accounts or funding. This statement has been met with scepticism, raising questions about the management and operational integrity of the payment processor.
Financial Statements and Regulatory Scrutiny
The financial outlook for XTM appears bleak. Recent filings disclosed an accumulated deficit of CAD 71.4 million, indicating substantial uncertainties regarding the company’s future viability. Furthermore, the Ontario Securities Commission has contacted XTM regarding “disclosure deficiencies” in their reporting practices, necessitating a restatement of certain balances and disclosures.
The OSC has refrained from commenting on the specifics of its investigations, adhering to its policy of non-disclosure regarding ongoing reviews.
Why it Matters
The ongoing issues faced by XTM not only threaten the financial health of the company but also cast a shadow over the wider restaurant industry reliant on digital payment systems. As restaurants struggle to access their funds, the trust in payment processors like Everyday Payments may diminish—potentially leading to long-lasting repercussions for the adoption of digital payment solutions in the hospitality sector. The situation underscores the critical need for transparency and reliability in financial services, especially in an era where digital transactions are becoming increasingly prevalent.
