Australian Vocational Learning Institute Pty Ltd (in liq), in the matter of Australian Vocational Learning Institute Pty Ltd (in liq) [2022] FCA 319

Federal Court of Australia

Australian Vocational Learning Institute Pty Ltd (in liq), in the matter of Australian Vocational Learning Institute Pty Ltd (in liq) [2022] FCA 319 File number: NSD 103 of 2022

Judgment of: CHEESEMAN J

Date of judgment: 29 March 2022

Catchwords: CORPORATIONS – application pursuant to section 477(2B) of the Corporations Act 2001 (Cth) for approval of entry into a funding agreement with the Commonwealth of Australia, acting through the Department of Education, Skills and Employment by the plaintiffs – where court proceedings have been commenced against the company in liquidation, the liquidator and the Commonwealth challenging the liquidator's decision to admit the Commonwealth's proof of debt and seeking the liquidator's removal as liquidator on grounds of apprehended bias – where the funding agreement is sought to be entered to cover the costs of agreed work which includes defence of the said proceedings and the determination of an application by the Commonwealth to vary its proof of debt – where the liquidation is otherwise without sufficient funds to undertake the agreed work - whether entry into the agreements is in the interests of the administration – Held: application successful. PRACTICE AND PROCEDURE – confidentiality orders sought in respect of part of the evidence and submissions supporting the application – where that material comprises the funding agreement and otherwise details the liquidator's ongoing investigations into the affairs of the company – Held: confidentiality orders made.

Legislation: Corporations Act 2001 (Cth), s 477(2B) Federal Court of Australia Act 1976 (Cth), ss 37AF(1)(b)(i), 37AF(1)(b)(iv) and 37AF(2)