In the matter of Ansett Australia Limited and Korda [2002] FCA 90

FEDERAL COURT OF AUSTRALIA

In the matter of Ansett Australia Limited and Korda [2002] FCA 90

CORPORATIONS LAW – external administration – application by administrators under s 447D of the Corporations Act 2001 (Cth) – direction sought that administrators may properly and justifiably continue operating business – whether issue or matter attracting Court's jurisdiction to give directions – circumstances in which Court may give directions to administrators – whether appropriate for Court to give directions in respect of a purely commercial or business decision – object of Pt 5.3A of Corporations Act 2001 (Cth) – where administrators made commercial and business decision to continue airline operations and incur trading losses – where no challenge to administrators' decision or legal issue raised – where no issue as to propriety or reasonableness of decision or whether administrators acting within power. Corporations Act 2001 (Cth): Pt 5.3A, ss 435A, 437A, 447D, 479(3) In Re Windsor Steam Coal Company (1901) Limited [1929] 1 Ch 151 considered Patrick Stevedores Operations No 2 Pty Ltd v Maritime Union of Australia (1998)195 CLR 1 considered Re Mineral Securities Australia Ltd (in liq) [1973] 2 NSWLR 207 referred to Re Statewide Investments Ltd (in liq) (1981) 6 ACLR 265 considered Re Codisco Pty Ltd [1974] CLC ¶40‑126 considered Sanderson v Classic Car Insurances Pty Ltd (1985) 10 ACLR 115 considered Newmont Pty Ltd v Laverton Nickel NL (1978) 3 ACLR 830 referred to Commissioner for Corporate Affairs v Harvey [1980] VR 669 considered Shiraz Nominees (in liq) v Collinson (1985) 10 ACLR 7 considered Re Lemon Tree Passage & Districts RSL and Citizens Club Co‑Operative Limited (1987) 11 ACLR 796 considered Re Spedley Securities Ltd (in liq) (1992) 9 ACSR 83 considered Re Addstone Pty Ltd (in liq) (1997) 25 ACSR 357 considered Re Tietyens Investment Pty Ltd (1999) 31 ACSR 1 considered Re Ansett Australia Limited and Mentha [2001] FCA 1439 considered Mentha v G E Capital Ltd (1997) 27 ACSR 696 considered Re G B Nathan & Co Pty Ltd (1991) 24 NSWLR 674 referred to Deputy Commissioner of Taxation v Best & Less (Wollongong) Pty Ltd (1993) 7 ACSR 245 referred to Dallinger v Halcha Holdings Pty Ltd (administrator appointed) (1995) 18 ACSR 835 applied Editions Tom Thompson Pty Ltd v Pilley (1997) 77 FCR 141 referred to Palmer's Company Precedents, 16th ed. 1952 referred to 1988 Australian Law Reform Commission Report No 45 referred to