Access by victims of crime to the perpetrator’s superannuation

Just as moneys in a bankrupt’s superannuation fund can in certain cases be used to pay their creditors, under the Bankruptcy Act, so too would a criminal’s super fund be available to pay compensation to their victim, under changes proposed by the government to superannuation laws. Treasury is canvassing views on whether a convicted criminal’s […]

Ponzi investigations and their cost

Free liquidator investigations into failed Ponzi schemes are raised as an idea in a New Zealand government discussion paper on proposals to deal with the inevitable insolvency of a Ponzi scheme.[1] In recommending the liquidation process under the skilled hand of a liquidator, the paper says that if “there are insufficient assets to pay a […]

Bankrupt parliamentarians – ok or not?

At a time when the government has a Bill before Parliament to reduce the period of bankruptcy from three years to one, partly in order to reduce the stigma associated with bankruptcy, a Parliamentary Joint Committee has issued its report on s 44 of the Australian Constitution, one aspect of which is the prohibition in […]

A case of ‘just in case’ – Network Ten

The concept of “potential” or “putative” insolvency administrators who have had “recent, long-term, substantial and remunerative involvement” with the company before they are appointed to administer it has been raised in Korda, re Network Ten: [2017] FCA 914. There, the Federal Court accepted the continuation of Korda Mentha as administrators, but ordered the appointment of […]

APES 110 – accountants, whistleblowers and safe harbour advisers to note

Increased professional obligations of accountants, and insolvency practitioners, to refer breaches of the law to the authorities, are being considered at a meeting of the Accounting Professional and Ethical Standards Board (APESB) on 19 May. These have a potential impact by way of leaving whistleblowers with liabilities for which corporate law is yet to consider protection, and in respect […]

Too much independence?

Have our perceptions of the need for the independence of liquidators and bankruptcy trustees become too strict? Recent views from the UK, and NZ, and the courts themselves, suggest so. ==== The independence of insolvency practitioners is important, given the role that they play in dividing up the assets of an insolvent business between competing […]

Singapore’s new debt restructuring regime – the steak knives are out

Competition between courts and the legal regimes in which they operate is perhaps an odd concept, contrary to the image of the strict independence and objectivity expected of our judicial system and its officers. It does exist, at various levels, and is perhaps reinforced by individuals’ inherent competitiveness for territory and status.   The apocryphal […]