McInerney, in the matter of Ghougassian v Ghougassian [2020] FCA 1230

FEDERAL COURT OF AUSTRALIA

McInerney, in the matter of Ghougassian v Ghougassian [2020] FCA 1230 File numbers: NSD 146 of 2020 NSD 147 of 2020

Judge: MARKOVIC J

Date of judgment: 27 August 2020

Catchwords: BANKRUPTCY – applications for sequestration orders – where the acts of bankruptcy are based on non-compliance with bankruptcy notices – whether the bankruptcy notices are invalid on the grounds that the judgments underlying them are subject to a stay, the named creditor on the bankruptcy notices is not the judgment creditor, a judgment was erroneously issued, a bankruptcy notice was issued in relation to judgments owed to multiple creditors, the bankruptcy notices overstate the amount of any debt owing and the creditor's address on the bankruptcy notices was defective – whether the applicants are the proper petitioning creditors – whether there is other sufficient cause as to why sequestration orders ought not to be made – solvency –sequestration orders made – applications allowed

Legislation: Bankruptcy Act 1966 (Cth), ss 40(1)(g), 40(3)(d), 41, 43, 44, 52, 306 Corporations Act 2001 (Cth), ss 474(2), 477(2)(a) Federal Court (Bankruptcy) Rules 2016 (Cth), rr 4.02, 4.04, 4.05, 4.06 Uniform Civil Procedural Rules 2005 (NSW), r 39.1

Cases cited: Bonds Industries Ltd v Sing [1999] FCA 1055 Broadbent v Medical Board of Australia (2015) 241 FCR 419 CFB18 v Reader Lawyers & Mediators [2018] FCA 611 Corney v Brien (1951) 84 CLR 343 DJ Sweeney Holdings Pty Ltd v McLeod [2011] FMCA 608; (2011) 253 FLR 1 Francis v Eggleston Mitchell Lawyers Pty Ltd [2014] FCAFC 18 Growden v Wiltshire (1935) 52 CLR 286 Lewis v Nortex Pty Ltd (in liq) (2013) 211 FCR 483 Lindholdt v Meritt Madden Printing Pty Ltd [2002] FCA 260 Makhoul v Barnes (1995) 60 FCR 752 McIntyre v Gye (1994) 51 FCR 472 Metledge v Hopkins [2020] FCA 561 Nugent v Brialkim Pty Ltd (1985) 61 ALR 725 Ramsay Health Care Australia Pty Ltd v Compton (2017) 261 CLR 132 Re James; Ex parte Carter Holt Harvey Roofing (Australia) Pty Ltd (No 2) (1994) 51 FCR 14 Re Walsh (1982) 47 ALR 751 Re Wimborne; Ex parte the Debtor (1979) 24 ALR 494 Sandell v Porter (1966) 115 CLR 666 Sharpe v CNH Capital Australia Pty Limited [2018] FCA 49 Totev v Sfar [2006] FCA 470; (2006) 230 ALR 236 Van Reesema v Australian Growth Resources Corporation Pty Ltd (1987) 75 ALR 311