Commonwealth Bank of Australia v Chapman, Ian David & Anor [1997] FCA 1237

FEDERAL COURT OF AUSTRALIA

BANKRUPTCY - Application for sequestration order - Whether sufficient cause to refrain from making sequestration order - Public interest - Potential claim against former solicitors - Whether claim against former solicitors will mean that the debtors are likely to remain insolvent for only a short period - Whether majority of creditors do not desire that the debtors be made bankrupt - Resistance of the Court to informal arrangements to avoid the bankruptcy laws - Attendance at meeting of Ministers of State to raise grievances Bankruptcy Act 1966 (Cth) s 52

Ling v Enro Book Pty Ltd (1997) 143 ALR 396 applied Maddestra v Penfolds Wines (1993) 44 FCR 303 cited COMMONWEALTH BANK OF AUSTRALIA v CHAPMAN & ANOR NO VG 7221 OF 1997 JUDGE: NORTH J PLACE: MELBOURNE

DATE: 18 AUGUST 1997

IN THE FEDERAL COURT OF AUSTRALIA

VICTORIA DISTRICT REGISTRY VG 7221 of 1997

BETWEEN: COMMONWEALTH BANK OF AUSTRALIA

Applicant

AND: IAN DAVID CHAPMAN

First Respondent

DENISE BERNADETTE CHAPMAN

Second Respondent

JUDGE(S): NORTH J

DATE OF ORDER: 18 AUGUST 1997

WHERE MADE: MELBOURNE

THE COURT ORDERS THAT: (1) That a sequestration order be made against the estates of Ian David Chapman and Denise Bernadette Chapman. (2) That the costs of the applicant creditor, Commonwealth Bank of Australia, of and incidental to the petition, including reserved costs, be taxed and paid in accordance with the Bankruptcy Act 1966 (Cth). Date of Bankruptcy: Ian David Chapman 30 January 1997 Denise Bernadette Chapman 13 February 1997

Note: Settlement and entry of orders is dealt with in Order 36 of the Federal Court Rules.

IN THE FEDERAL COURT OF AUSTRALIA

VICTORIA DISTRICT REGISTRY VG 7221 of 1997