Cole, in the matter of Total Management (Melbourne) Pty Ltd (in liq) v Golden Arch Waste Systems Pty Ltd [2002] FCA 153

FEDERAL COURT OF AUSTRALIA

Cole, in the matter of Total Management (Melbourne) Pty Ltd (in liq) v Golden Arch Waste Systems Pty Ltd [2002] FCA 153 CORPORATIONS – winding up – disposal of assets after winding up – fraudulent intent Corporations Act 2001 (Cth) ss 9, 588FA, 588FE IN THE MATTER OF TOTAL MANAGEMENT (MELBOURNE) PTY LTD (IN LIQUIDATION) ROBERT COLE, AS LIQUIDATOR OF TOTAL MANAGEMENT (MELBOURNE) PTY LTD (IN LIQUIDATION) v GOLDEN ARCH WASTE SYSTEMS PTY LTD, TARERAN PTY LTD, CHRISTOPHER LESLIE STANLEY, PETER JOHN LAW and PATRICK AUTOCARE PTY LTD V 3072 of 2001 FINKELSTEIN J 19 FEBRUARY 2002 MELBOURNE

GENERAL DISTRIBUTION IN THE FEDERAL COURT OF AUSTRALIA

VICTORIA DISTRICT REGISTRY V 3072 of 2001

IN THE MATTER OF TOTAL MANAGEMENT (MELBOURNE) PTY LTD

(IN LIQUIDATION)

BETWEEN: ROBERT COLE, AS LIQUIDATOR OF TOTAL MANAGEMENT (MELBOURNE) PTY LTD (IN LIQUIDATION) and

TOTAL MANAGEMENT (MELBOURNE) PTY LTD (IN LIQUIDATION)

Plaintiffs

AND: GOLDEN ARCH WASTE SYSTEMS PTY LTD,

TARERAN PTY LTD,

CHRISTOPHER LESLIE STANLEY,

PETER JOHN LAW and

PATRICK AUTOCARE PTY LTD

Defendants

JUDGE: FINKELSTEIN J

DATE OF ORDER: 19 FEBRUARY 2002

WHERE MADE: MELBOURNE

THE COURT DECLARES THAT: 1. No agreement exists for the sale by the Second Plaintiff to either or both of the First or Second Defendant of the water treatment plant that is presently located on land owned by the Fifth Defendant ("the Plant"). 2. No agreement exists for the assignment by the Second Plaintiff to either or both of the First or Second Defendant of the reversionary interest under a lease dated 15 February 2000 pursuant to which the plant was leased by the Second Plaintiff to the Fifth Defendant ("the Lease"). 3. No agreement exists between the Second Plaintiff and the Second Defendant pursuant to which the Second Defendant agreed to provide "case management" services to the Second Plaintiff in return for 40% of the payments to be made under the Lease by the Fifth Defendant. 4. The First and Second Defendants received as constructive trustees for the Second Plaintiff the following payments by the Fifth Defendant to the Second Defendant: (a) the amount of $16,830.00 which was received on about 24 August 2001; (b) the amount of $5,610.00 which was received on about 20 September 2001; (c) the amount of $5,610.00 which was received on about 10 October 2001. 5. The following payments to the Second Defendant by the Second Plaintiff constituted voidable transactions under s 588FE of the Corporations Act 2001: (a) the amount of $924.00 paid on about 15 March 2001; (b) the amount of $2,274.80 paid on about 25 May 2001. THE COURT ORDERS THAT: 6. Leave be granted to join Total Management (Melbourne) Pty Ltd (In Liquidation) as Second Plaintiff. 7. The first and Second Defendants pay to the Second Plaintiff the amount of $28,050.00 in performance of the trust declared in paragraph 4 hereof. 8. The Second Defendant pay to the First Plaintiff an amount equal to the payments referred to in paragraph 5 hereof, namely $3,198.80. 9. The First and Second Defendants pay the Plaintiffs' costs on an indemnity basis. Note: Settlement and entry of orders is dealt with in Order 36 of the Federal Court Rules.