Mahmood v Abdul Wahid and Sons Pty Ltd, in the matter of Abdul Wahid and Sons Pty Ltd (No 2) [2021] FCA 535

Federal Court of Australia

Mahmood v Abdul Wahid and Sons Pty Ltd, in the matter of Abdul Wahid and Sons Pty Ltd (No 2) [2021] FCA 535 File number: SAD 122 of 2020

Judgment of: WHITE J

Date of judgment: 20 May 2021

Catchwords: CORPORATIONS – application for leave pursuant to s 237 of the Corporations Act 2001 (Cth) to bring proceedings on behalf of a company – plaintiff seeks relief for oppressive conduct and breach of directors' duties arising from alleged removal of assets – whether grant of leave is in the best interests of the company – consideration of the prospects of success and indemnity for costs incurred against the company – application granted.

Legislation: Corporations Act 2001 (Cth) ss 180-183, 236, 237

Cases cited: Brightwell v RFB Holdings Pty Ltd (in liq) [2003] NSWSC 7; (2003) 171 FLR 464 Charlton v Baber [2003] NSWSC 745; (2003) 47 ACSR 31 Cooper v Myrtace Consulting Pty Ltd [2014] FCA 480 Dinomyte Pty Ltd v Australian Securities and Investment Commission [2019] FCA 1989 Fiduciary Ltd v Morningstar Research Pty Ltd [2005] NSWSC 442; (2005) 53 ACSR 732 Hislop v Paltar Petroleum (No 3) [2017] FCA 1253 Huang v Wang [2016] NSWCA 164; (2016) 114 ACSR 586 Mali, in the matter of Head Quarters (WA) Pty Ltd v Head Quarters (WA) Pty Ltd (as trustee for the Three Flights Up Unit Trust) [2016] FCA 171 Mio Art Pty Ltd v Macequest Pty Ltd [2013] QSC 211; (2013) 95 ACSR 583 Redenbach v Legal Practice Management Group Pty Ltd [2018] NSWSC 527; (2018) 125 ACSR 513 Robash Pty Ltd v Gladstone Pacific Nickel Pty Ltd [2011] NSWSC 1235; (2011) 86 ACSR 432 Swansson v RA Pratt Properties Pty Ltd [2002] NSWSC 583; (2002) 42 ACSR 313