MF Lady Pty Ltd (Trustee) v Henry Morgan Limited [2022] FCA 978

Federal Court of Australia

MF Lady Pty Ltd (Trustee) v Henry Morgan Limited [2022] FCA 978 File number: NSD 1382 of 2020

Judgment of: JACKSON J

Date of judgment: 22 August 2022

Catchwords: CORPORATIONS - winding up - application to wind up company on just and equitable ground - purpose of company established by prospectus initially issued - fundamental departure from original purpose - whether change of purpose authorised by shareholders - transactions warranting investigation - compliance breaches - company's solvency position not a factor against winding up in the circumstances - plaintiffs not acting unreasonably to seek winding up rather than pursuing alternative remedies - just and equitable to wind company up - application to wind up also made on oppression ground - oppression shown on evidence - winding up order made

Legislation: Corporations Act 2001 (Cth) ss 9, 204A, 228, 232, 250N, 311, 461, 462, 467, 494, 712, 739, Chapter 2E, Part 5.3A Evidence Act 1995 (Cth) s 131, 136 Federal Court Rules 2011 (Cth) r 7.23

Cases cited: Asia Pacific Joint Mining Pty Ltd v Allways Resources Holdings Pty Ltd [2018] QCA 48; [2018] 3 Qd R 520 Australian Competition and Consumer Commission v Allphones Retail Pty Ltd (No 3) [2009] FCA 1075 Australian Securities and Investments Commission v ABC Fund Managers Ltd [2001] VSC 383 Australian Securities and Investments Commission v ActiveSuper Pty Ltd (No 2) [2013] FCA 234 Australian Securities and Investments Commission v Chase Capital Management Pty Ltd [2001] WASC 27 Australian Securities and Investments Commission v Merlin Diamonds Ltd [2019] FCA 1546 Australian Securities and Investments Commission v Uglii Corporation Ltd [2016] FCA 1099 Benjamin Hornigold Limited 02 and Henry Morgan Limited 02 [2019] ATP 1 Benjamin Hornigold Limited 05, 06 & 07 [2019] ATP 18 Boros v Pages Property Investments Pty Ltd [2021] NSWCA 288 CIC Insurance Ltd (prov liq apptd) v Hannan & Co Pty Ltd [2001] NSWSC 437 Commonwealth v ABC2 Group Pty Ltd (court-apptd recs and mgrs apptd) [2009] NSWSC 1442 Cumberland Holdings Ltd v Washington H Soul Pattinson & Co Ltd (1977) 13 ALR 561 Ebrahimi v Westbourne Galleries Ltd [1973] AC 360 Galanopoulos v Moustafa [2010] VSC 380 Frigger v Trenfield (No 7) [2020] FCA 1740 Gognos Holdings Ltd v Australian Securities and Investments Commission [2018] QCA 181 Gregor v British-Israel-World Federation [2002] NSWSC 12 Harvard Nominees Pty Ltd v Tiller [2019] FCA 1672 Haselgrove v Lavender Estates Pty Ltd [2009] NSWSC 1076 Hillam v Ample Source International Ltd (No 2) [2012] FCAFC 73; (2012) 202 FCR 336 Hillig v Darkinjung Local Aboriginal Land Council [2006] NSWSC 1371 Hillig v Darkinjung Pty Ltd [2008] NSWCA 75 Host-Plus Pty Ltd v Australian Hotels Association [2003] VSC 145 Hylepin Pty Ltd v Doshay Pty Ltd [2021] FCAFC 201; (2021) 288 FCR 104 In Re Straw Products Pty Ltd [1942] VLR 222 John J Starr (Real Estate) Pty Ltd v Robert R Andrew (A'asia) Pty Ltd (1991) 6 ACSR 63 Kingjade Holdings Pty Ltd v Pineridge Nominees Pty Ltd (1997) 15 ACLC 910 Lion Nathan Australia Pty Ltd v Coopers Brewery Ltd [2005] FCA 1812 Lion Nathan Australia Pty Ltd v Coopers Brewery Ltd [2006] FCAFC 144; (2006) 156 FCR 1 Loch v John Blackwood Ltd [1924] AC 783 Nassar v Innovative Precasters Group Pty Ltd [2009] NSWSC 342 Pages Property Investments Pty Ltd v Boros [2020] NSWSC 1270 Plaintiff M47/2018 v Minister for Home Affairs [2019] HCA 17; (2019) 265 CLR 285 Re CNPR Ltd [2018] NSWSC 989 Re Johnson Corporation Ltd (1980) 5 ACLR 227; (1980) 2 NSWLR 681 Re New South Wales Leagues' Club Ltd [2014] NSWSC 1610 Re Tivoli Freeholds Ltd [1972] VR 445 Registered Clubs Association of NSW v Australian Broadcasting Corporation [2016] NSWSC 835 Shelton v National Roads and Motorists Association Ltd [2004] FCA 1393 Spotlight Pty Ltd v NCON Australia Ltd [2012] VSCA 232; (2012) 46 VR 1 Strong v J Brough & Son (Strathfield) Pty Ltd (1991) 5 ACSR 296 Vujnovich v Vujnovich [1989] 3 NZLR 513