Nipps (Administrator) v Remagen Lend ADA Pty Ltd, in the matter of Adaman Resources Pty Ltd (Administrators Appointed) (No 7) [2021] FCA 813

Federal Court of Australia

Nipps (Administrator) v Remagen Lend ADA Pty Ltd, in the matter of Adaman Resources Pty Ltd (Administrators Appointed) (No 7) [2021] FCA 813 File number: WAD 95 of 2021

Judgment of: BANKS-SMITH J

Date of judgment: 20 July 2021

Catchwords: CORPORATIONS - administration - seven companies in group in administration - application for directions under s 90-15 of Insolvency Practice Schedule - where administrators seek direction that justified and acting reasonably in giving effect to combined deed of company arrangement - where validity of appointment of administrators to two of the seven companies challenged and the subject of separate overlapping proceedings commenced by defendant - litigation has led to uncertainty as to time by which the validity question might be resolved - business of companies includes operating gold mine - administrators undertook expression of interest campaign - where competing sale and deed of company arrangement proposals were received - nature of inquiries undertaken by administrators in preferring and recommending deed of company arrangement as proposed by creditor and funder of the administration - administrators declined to recommend alternate offers proposed by defendant - where creditors at second meeting of creditors resolved that companies enter into recommended deed of company arrangement - where defendant alleges in solicitor correspondence impropriety of administrators' conduct - whether appropriate to grant relief - application granted CORPORATIONS - administration - application for orders under s 447A of Corporations Act - directions sought as to manner in which provisions of Part 5.3A are to operate with respect to two companies in group - where validity of appointment of administrators to those companies is challenged - directions sought to facilitate execution of documents and steps to be taken in order to complete transactions under the proposed deed of company arrangement - where directions include direction that Part 5.3A is to operate such that provisions of Divisions 10, 11 and 11AA of Part 5.3A also apply - whether appropriate to make orders - application granted