Sellers v One Step Plumbing and Concrete Pty Ltd [2002] FCA 478

FEDERAL COURT OF AUSTRALIA

Sellers v One Step Plumbing and Concrete Pty Ltd [2002] FCA 478

BANKRUPTCY – applicant trustee in bankruptcy seeks orders that transfers of properties are void as against him – transfers said to be undervalued transactions pursuant to s 120 of the Bankruptcy Act 1966 (Cth) – alternatively transfers said to be intended to defeat creditors under s 121 – whether sale of particular property a "sham" – whether sales of other properties at "market value" WORDS AND PHRASES – "market value"

Bankruptcy Act 1966 (Cth) ss 5, 58(1)(a), 115(2), 116(1)(a), 120, 121, 123, Pt X Div 2 and s 188

Jones v Dunkel (1959) 101 CLR 298 referred to Victorian Producers' Co-Op Co Ltd v Kenneth [1999] FCA 1488 at [11] and [18] referred to Sutherland v Brien [1999] NSWSC 155 at [40] referred to Ashton v Prentice (unreported, Federal Court, 23 October 1998, per Hill J) referred to James v Swan Hill Sewerage Authority [1978] VR 519 referred to Spencer v Commonwealth (1907) 5 CLR 418 at 432 and 441 referred to Commonwealth v Arklay (1952) 87 CLR 159 at 169-170 referred to

KENNETH STEWART SELLERS (as trustee of William John Hussen, a bankrupt, and as trustee of the property of Kayleen Maree Hussen, a bankrupt) v ONE STEP PLUMBING & CONCRETE PTY LTD (ACN 074 602 396), MANIFOLD NOMINEES PTY LTD (ACN 076 606 221), McKILLOP DEVELOPMENTS PTY LTD (ACN 078 801 368), DRUMCONDRA INVESTMENTS PTY LTD (ACN 074 718 979) and GIUSEPPE'S PROPERTIES PTY LTD (ACN 075 951 852)

V7425 of 1999

WEINBERG J

18 APRIL 2002

MELBOURNE

IN THE FEDERAL COURT OF AUSTRALIA

VICTORIA DISTRICT REGISTRY V7425 OF 1999

BETWEEN: KENNETH STEWART SELLERS (as trustee of William John Hussen, a bankrupt, and as trustee of the property of Kayleen Maree Hussen, a bankrupt)

APPLICANT

AND: ONE STEP PLUMBING & CONCRETE PTY LTD