Commissioner of Taxation v Paditham [2010] FCA 334

FEDERAL COURT OF AUSTRALIA

Commissioner of Taxation v Paditham [2010] FCA 334 Citation: Commissioner of Taxation v Paditham [2010] FCA 334

Parties: WILLIAM JAMES HAMILTON AND PINO FIORENTINO and STRATEGY NEW SOUTH WALES PTY LIMITED (IN LIQUIDATION) (FORMERLY VENSYS AUSTRALIA PTY LIMITED) ACN 098 228 847 v DEPUTY COMMISSIONER OF TAXATION; COMMISSIONER OF TAXATION v VENKATESH PADITHAM

File number: NSD 394 of 2009

Judges: GRAHAM J

Date of judgment: 8 April 2010

Corrigendum: 8 April 2010

Catchwords: CORPORATIONS – voidable transactions – recovery by liquidators from the Commissioner of Taxation of preferential payments – Commissioner's right to indemnity under s 588FGA(2) of the Corporations Act – whether director had reasonable grounds to expect and did expect that the company was solvent at the time of making of each of the payments and would remain solvent even if such payments were made – whether relief under s 1318 available or appropriate

Legislation: Corporations Act 2001 (Cth) ss 95A(1), 436A(1), 439A, 439C(c), 446A, 459A, 459C(2)(a), 459E(5), 459F, 459P, 459Q, 499(2A)(b), 588FE, 588FF, 588FGA, 588FGB and 1318 Taxation Administration Act 1963 (Cth) Subdivision 16-B in Schedule 1 Federal Court of Australia Act 1976 (Cth)s 51A

Cases cited: Tourprint International Pty Ltd (in liq) v Bott (1999) 32 ACSR 201 referred to Palmer v Commissioner of Taxation [2006] NSWSC 1253 cited Hall v Poolman (2008) 65 ACSR 123 referred to Australian Securities and Investments Commission v Vines (2005) 65 NSWLR 281 referred to Lawson v Mitchell (1975) VR 579 referred to Deputy Commissioner of Taxation v Dick (2007) 242 ALR 152 followed Deputy Commissioner of Taxation v Keck (2006) 63 ATR 310 referred to Whitlock v Brew (1968) 118 CLR 445 referred to Bishop v Taylor (1968) 118 CLR 518 referred to