Dealing with MSE insolvency – UNCCA Australia

Earlier in December 2019, LLM candidate and graduate lawyer Samantha Pacchiarotta and final year law student Cassandra Heaslip attended Insolvency Working Group V’s 56th session in Vienna on behalf of LAWASIA and Australia’s UNCCA, the UNCITRAL Co-ordination Committee for Australia. The topic was how to deal with micros to small insolvencies.  Together, they had the […]

New Zealand insolvency – accrediting the professional bodies

Public consultation in New Zealand is now open on a discussion paper on the minimum standards and standard conditions for the accreditation of professional bodies[1] to conduct what will be a co-regulatory regime over corporate insolvency practitioners.[2] It is expected that RITANZ will apply to be a recognised body, ARITA’s NZ equivalent. ‘Carrying out the […]

Equitable fraud on creditors – bankruptcy composition set aside

Among several grounds for setting aside a composition between a bankrupt and his creditors under the Bankruptcy Act was ‘equitable fraud’. It had emerged in evidence that the bankrupt, Mr Zappia, ‘had made representations to a number of creditors that if and when he rehabilitated himself he would be aiming to repay the money he […]

Small businesses and their financial difficulties – the Ombudsman’s inquiry

A discussion paper[1] issued on 20 December from the Insolvency Practices Inquiry of the Australian Small Business and Family Enterprise Ombudsman examines the financial difficulties of small business and the impact of an insolvency administration on them. Feedback is sought on what would be a ‘best practice framework’ for both small businesses moving towards insolvency […]

Boensch v Pascoe – High Court’s decision

The seven member bench of the High Court which heard Boensch v Pascoe on 11 October 2019 has unanimously dismissed Boensch’s appeal [Boensch v Pascoe [2019] HCA 49] finding that on the making of the sequestration order, the debtor’s right of indemnity in the Rydalmere property held on trust by him for his family vested […]

Halifax – no reason why the NZ High Court should not physically sit in Australia …

The on-going matter of the Halifax liquidation came before Justice Jacqueline Gleeson in the Federal Court of Australia (FCA) on 18 December 2019, and jointly, before Justice Geoffrey Venning of the High Court of New Zealand (NZHC), by video-link. The intermingled nature of the assets and liabilities of Halifax AU and Halifax NZ has prompted […]

Major corporate collapses and the public interest – British Steel and more

The collapses in the UK of socially and economically important enterprises – British Steel, Carillion Constructions and Thomas Cook are current examples – raise many public interest issues that are managed by the joint conduct of the liquidations by the government Official Receiver and private insolvency firms. The insolvency of a business raises broader issues […]

MYEFO 2019-20 – ASIC, phoenixing and ‘journalists’

The government’s mid-year economic and fiscal outlook 2019-20 has these interesting items about access to ASIC’s registers, unlawful phoenixing and director identity numbers. Phoenixing The government says it will provide $58.9 million over four years to the ATO and $4.7 million over four years to ASIC to continue the government’s efforts to counter illegal phoenixing. […]

Insolvency – some root and branch ideas

Does the government shirk its responsibilities in ensuring the proper operation of our insolvency regime by unloading the costs of investigation, reporting and prosecuting as a tax on the private market, including the creditors? thereby distancing itself from the constant criticism of the conduct of the insolvency system?    If we want to do a […]

Halifax – a cross-border insolvency

A joint hearing of Australian and New Zealand courts is one way to deal with an intermingled cross-Tasman insolvency, through a letter of request process, but other options might have been available through the Model Law. “Classic candidate for cross-border cooperation” On 22 August 2019, the Federal Court decided in principle that it could send […]