Federal Court of Australia
FEDERAL COURT OF AUSTRALIA
Kessly v Beadle as Trustee of the Bankrupt Estate of Evangelina Francisca Kessly [2020] FCA 607 File number: NSD 1933 of 2019
Judge: BURLEY J
Date of judgment: 8 May 2020
Catchwords: BANKRUPTCY – application to annul bankruptcy pursuant to s 153B(1) of the Bankruptcy Act 1966 (Cth) – whether sequestration order ought not to have been made –whether applicant solvent at the time of sequestration order – whether applicant solvent now – no basis established for the Court to look behind the judgments upon which sequestration order is based – appropriate to exercise discretion to annul on condition that creditors and trustee are first paid
Legislation: Bankruptcy Act 1966 (Cth) ss 40(1)(g), 41, 43(1)(a), 52, 82, 153A, 153B(1) Bankruptcy Regulations 1996 (Cth) reg 4.02 Federal Court (Bankruptcy) Rules 2016 (Cth) r 4.05 Legal Profession Act 2004 (NSW) ss 309(1)(c), 317(4), 352 (repealed) Uniform Civil Procedure Rules 2005 (NSW) rr 36.10, 36.15, 36.16, 36.17
Cases cited: Barnes v Lion Finance Pty Ltd [2015] FCA 951 Benjamin & Khoury Solicitors v Kessly (No 2) [2019] FCCA 1979 Benjamin & Khoury Solicitors v Kessly [2019] FCCA 1976 Bleeze v Fopp [1911] HCA 53; 13 CLR 324 Boles v Official Trustee in Bankruptcy [2001] FCA 639; 183 ALR 239 Brezniak v Habib [2014] NSWSC 1730 Bulic v Commonwealth Bank of Australia Limited [2007] FCA 307; 5 ABC(NS) 122 Corney v Brien [1951] HCA 31; 84 CLR 343 Culleton v Balwyn Nominees Pty Ltd [2017] FCAFC 8; 343 ALR 632 Francis v Eggleston Mitchell Lawyers Pty Ltd [2014] FCAFC 18 Grustein v Hasapaki (No 2) [2014] NSWLEC 174 Hardaker v Phair trading as Proctor Phair & Associates, in the matter of Hardaker [2002] FCA 1176 Kessly v Benjamin & Khoury Pty Ltd [2018] FCCA 2918 Kessly v Benjamin & Khoury Pty Ltd [2018] NSWDC 369 Kessly v Hasapaki [2015] NSWCA 316 Makhoul v Barnes [1995] FCA 953; 60 FCR 572 Patakas v Bevan [2016] NSWSC 1618 Re Sarina; Ex parte Council of the Shire of Wollondilly [1980] FCA 175; 32 ALR 596 Sandell v Porter (1966) 115 CLR 666 Shaw v Yarranova Pty Ltd [2016] FCA 88 Shaw v Yarranova Pty Ltd [2017] FCAFC 88; 252 FCR 267 Wren v Mahony [1972] HCA 5; 126 CLR 212 Re Flatau; Ex parte Scotch Whisky Distillers Ltd (1888) 22 QBD 83
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