Australian Securities & Investment Commission v Piggott Wood & Baker [2003] FCA 288

FEDERAL COURT OF AUSTRALIA

Australian Securities & Investment Commission v Piggott Wood & Baker [2003] FCA 288

CORPORATIONS – managed investment scheme – winding up– priority dispute –distribution of proceeds of mortgagee sale – loan funds allocated to multiple mortgages – mortgaged property comprised in three titles but one mortgage not registered on all titles – substitution of investors Corporations Act 2001(Cth) s 601EE(1) Lands Title Act 1980 (Tas) ss 48(5), 78(7) AUSTRALIAN SECURITIES AND INVESTMENT COMMISSION v PIGGOTT WOOD & BAKER T42 OF 2001 HEEREY J 2 APRIL 2003 MELBOURNE (HEARD IN HOBART)

IN THE FEDERAL COURT OF AUSTRALIA

TASMANIA DISTRICT REGISTRY T42 OF 2001

BETWEEN: AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION

APPLICANT

AND: PIGGOTT WOOD & BAKER (A FIRM)

RESPONDENT

JUDGE: HEEREY J

DATE OF ORDER: 2 APRIL 2003

WHERE MADE: MELBOURNE (HEARD IN HOBART)

THE COURT ORDERS THAT: 1. The net proceeds of the sale of the property "Rutherglen Holiday Village" referred to in the affidavit of Barry Keith Hamilton sworn 12 February 2003 should be distributed as follows. 2. First, in payment of the costs hereby ordered. 3. Secondly, as to 69 per cent of the balance to the investors in mortgage B770900 (in this and the subsequent paragraphs investors means investors as at the time of the said sale). 4. Thirdly, to the investors in mortgage B 818719. 5. Fourthly, to the investors in mortgage B831999. 6. Fifthly, to the investors in mortgage B868139 7. Sixthly, to the mortgagee in mortgage B898759. 8. Seventhly, to the mortgagor. 9. The costs of the liquidator and the parties of the notice of motion dated 12 February 2003, other than the costs of representation of the applicant at the hearing on 19 March 2003, be paid out of the said net proceeds. 10. Liberty to apply is reserved. Note: Settlement and entry of orders is dealt with in Order 36 of the Federal Court Rules.