Xu v Wan Ze Property Development (Aust) Pty Ltd (in Liquidation) [2014] FCA 461

FEDERAL COURT OF AUSTRALIA

Xu v Wan Ze Property Development (Aust) Pty Ltd (in Liquidation) [2014] FCA 461 Citation: Xu v Wan Ze Property Development (Aust) Pty Ltd (in Liquidation) [2014] FCA 461

Parties: PEI XU v WAN ZE PROPERTY DEVELOPMENT (AUST) PTY LTD (IN LIQUIDATION) ACN 131 642 147, HONG JIANG and YONGAN XIE KE QIN REN V WAN ZE PROPERTY DEVELOPMENT (AUST) PTY LTD (IN LIQUIDATION) ACN 131 642 147, HONG JIANG and YONGAN XIE

File numbers: NSD 1339 of 2012 NSD 1341 of 2012

Judge: ROBERTSON J

Date of judgment: 12 May 2014

Catchwords: BANKRUPTCY AND INSOLVENCY – bankruptcy notices each stating the total debt amount as $2,374,995.70 as per judgment of the Supreme Court of New South Wales – applications to set aside bankruptcy notices – whether power to go behind judgment should be exercised – whether judgment of the Supreme Court of New South Wales obtained by fraud, bad faith or whether miscarriage of justice – whether substantial reasons for questioning whether a debt due to the judgment creditor – unsuccessful application to the Supreme Court of New South Wales for leave under s 471B of the Corporations Act 2001 (Cth) to bring proceedings seeking to set aside the earlier judgment of that Court on the basis that it was procured by fraud or by conduct in bad faith by the plaintiffs in the earlier proceedings – proceedings now pending in the New South Wales Court of Appeal – whether abuse of process to seek to set aside bankruptcy notices – whether applicants in the Court exercising jurisdiction under the Bankruptcy Act 1966 (Cth) estopped by reason of earlier findings of the Supreme Court of New South Wales – whether applicants in contempt of court such that they should not be permitted to pursue the proceedings under the Bankruptcy Act – whether bankruptcy notices invalid and a nullity by reason of any overstatement in the judgment sum of $14,000