In the matter of i-Prosperity Waterside Rhodes Pty Ltd in its own capacity and as trustee for the i-Prosperity Waterside Rhodes Unit Trust [2021] NSWSC 1065

Supreme Court New South Wales

Medium Neutral Citation: In the matter of i-Prosperity Waterside Rhodes Pty Ltd in its own capacity and as trustee for the i-Prosperity Waterside Rhodes Unit Trust [2021] NSWSC 1065 Hearing dates: 25 August 2021 Date of orders: 25 August 2021 Decision date: 25 August 2021 Jurisdiction: Equity - Corporations List Before: Rees J Decision: Directions made. Catchwords: CORPORATIONS – mortgagee in possession –directions sought by controller – s.424, Corporations Act – sale to close associate – principles at [5]-[10] – connections between vendor and purchaser – connections between lender and purchaser –independent selling agent retained – public sale process – purchaser not privy to confidential information of value or other offers – most compelling offer – appropriate to make directions. Legislation Cited: Corporations Act 2001 (Cth) ss 9, 424 Real Property Act 1900 (NSW) s 57 Cases Cited: Almona Pty Ltd v Parklea Corporation Pty Ltd [2019] NSWSC 1868 Almona Pty Ltd v Parklea Corporation Pty Ltd [2021] NSWCA 171 Australian & New Zealand Banking Group Ltd v Bangadilly Pastoral Co Pty Ltd (1978) 139 CLR 195; [1978] HCA 21 Benzlaw & Associates Pty Ltd v Medi-Aid Centre Foundation Ltd [2007] QSC 233 Deputy Commissioner of Taxation v Best and Less (Wollongong) Pty Ltd (1992) 7 ACSR 245 Franbridge Pty Ltd v Societé & Generale Finance Corporation Pty Ltd (1994) 14 ACSR 304 In the matter of Actwane Pty Ltd [2002] NSWSC 572; (2002) 42 ACSR 307 In the matter of CopperCo Ltd; Ex Parte Doran [2009] WASC 170 In the matter of Direct Acceptance Corporation Ltd (Receiver Appointed) (in Liquidation) [2019] NSWSC 395; (2019) 136 ACSR 245 In the matter of Grand Orchid 21 Pty Ltd [2020] FCA 35 In the matter of Mirabela Nickel Ltd (receivers and managers appointed) (in liq); ex parte Madden [2018] WASC 335 In the matter of North City Developments Pty Ltd; Ex parte Walker (1990) 20 NSWLR 286 In the matter of Odessa Promotions Pty Ltd (in liq) (1979) CLC 40-523 In the matter of One.Tel Networks Holdings Pty Ltd [2001] NSWSC 1065; (2001) 40 ACSR 83 Korda v Silkchime Pty Ltd [2010] WASC 155; (2010) 243 FLR 269 Tse Kwong Lam v Wong Chit Sen [1983] 1 WLR 1349 White v Huxtable [2006] FCA 559; (2006) 232 ALR 388 Texts Cited: Austin & Black's Annotations to the Corporations Act Category: Principal judgment Parties: AMAL Security Services Pty Ltd trading as in its capacity as trustee of the i-Prosperity (Rhodes) Security Trust (Plaintiff) Representation: Counsel: Mr J Stoljar SC / Mr D Krochmalik (Plaintiff)