Kleinwort Benson Australia Ltd v Crowl [1988] HCA 34

High Court of Australia Mason C.J. Wilson, Brennan, Deane and Gaudron JJ. Kleinwort Benson Australia Ltd v Crowl [1988] HCA 34

ORDER Appeals allowed with costs. In the matter of Kleinwort Benson Australia Ltd. v. Delia Mary Crowl, order that the orders of the Full Court of the Federal Court be set aside and in lieu thereof order that the appeal be dismissed with costs. In each of the matters of Kleinwort Benson Australia Ltd. v. James Albert Crowl and Kleinwort Benson Australia Ltd. v. Tucker, order that the orders of the Full Court of the Federal Court be set aside, that the respondent pay the appellant's costs of the appeal to that court, and that the matter be remitted to that court for the making of orders in accordance with the judgment of this Court.

Cur. adv. vult.

The following written judgments were delivered:—

July 1 Mason C.J., Wilson, Brennan and Gaudron JJ.

These three appeals were heard together. Each is an appeal from a decision of the Full Court of the Federal Court of Australia allowing by majority (Beaumont and Burchett JJ., Wilcox J. dissenting) appeals against sequestration orders made by Jackson J. on 6 May 1987 in respect of the estates of each of the respondents to the present appeals. By order of the Full Court the orders were set aside.

The sequestration orders made by Jackson J. were based upon findings that each of the respondents to these appeals had committed an act of bankruptcy by failure to comply with the requirements of a bankruptcy notice: the Bankruptcy Act 1966 Cth ("the Act"), s. 40(1)(g).

Each bankruptcy notice was as follows:

Whereas Kleinwort Benson Australia Limited a duly incorporated company having a place of business at Level 27, 60 Margaret Street, Sydney (hereinafter referred to as "the judgment creditor") has claimed that the sum of $1,399,085.81 together with interest thereon at the rate of 19.5 per centum per annum from 3rd July, 1986 which at 30th September, 1986 amounts to $43,352.49 making a total of $1,442,438.30 is due by you to it under a final judgment obtained by it against you in the Supreme Court of New South Wales on the 3rd day of July, 1986, being a judgment the execution of which has not been stayed.