ABL Nominees Pty Ltd v Trinick (Trustee) [2016] FCA 996

FEDERAL COURT OF AUSTRALIA

ABL Nominees Pty Ltd v Trinick (Trustee) [2016] FCA 996 File number: SAD 379 of 2015

Judge: BESANKO J

Date of judgment: 22 August 2016

Catchwords: BANKRUPTCY AND INSOLVENCY – application by creditor to set aside or terminate a personal insolvency agreement – whether applicants are creditors with standing to bring application – where applicants have not lodged proof of debts – where applicants are assignees of debts – Bankruptcy Act 1966 (Cth), ss 222, 222C BANKRUPTCY AND INSOLVENCY –whether certain creditors should have been admitted to vote on personal insolvency agreement special resolution – where applicants were only admitted to vote collectively for value of $1 – where applicants voted against personal insolvency agreement – whether applicants should have been admitted to vote for the full face value of their debts – consideration of entitlement to vote on assigned debts – whether assignee must prove the value of consideration given for assigned debt – Bankruptcy Act 1966 (Cth), ss 64D, 64ZA, 64ZB BANKRUPTCY AND INSOLVENCY – whether there is a reason personal insolvency agreement should be set aside – whether trustee adequately investigated debtor's affairs and provided proper advice to creditors – whether trustee acted impartially – where potential undervalued transactions and transfers to defeat creditors – Bankruptcy Act 1966 (Cth), ss 222, 222C BANKRUPTCY AND INSOLVENCY – whether personal insolvency agreement complied with requirements of Part X – whether special resolution specified provisions to be included in personal insolvency agreement – whether there are material differences between proposed personal insolvency agreement and executed personal insolvency agreement – Bankruptcy Act 1966 (Cth), s 188A