In the matter of Roxy’s Bootcamp Pty Limited (in provisional liquidation) [2024] NSWSC 948

Supreme Court New South Wales

Medium Neutral Citation: In the matter of Roxy's Bootcamp Pty Limited (in provisional liquidation) [2024] NSWSC 948 Hearing dates: 19 and 22 July 2024 Date of orders: 22 July 2024 Decision date: 22 July 2024 Jurisdiction: Equity - Corporations List Before: Black J Decision: Directions given to liquidators and order made as to payment of trust funds. Catchwords: CORPORATIONS – Winding up – Application by liquidators for directions – Whether liquidator is justified in treating trust funds as property beneficially owned by the company – Whether liquidator is justified in not proceeding with so called 'Prize Draw'. Legislation Cited: Insolvency Practice Schedule (Corporations), s 90-1 Cases Cited: - Re Montpac Pty Ltd (in liq) and Global Network Link Pty Ltd (in liq) [2020] NSWSC 1237 - Re Octaviar Administration Pty Ltd (in liq) [2017] NSWSC 1556 Category: Procedural rulings Parties: Roxy Elise Davis-Jacenko (Applicant/Liquidators) Roxy's Bootcamp Pty Limited (in provisional liquidation) (Respondent) Representation: Counsel: M L Rose (Applicant/Liquidators) C W Robinson (Respondent) (First day only)

Solicitors: Bridges Lawyers (Applicant/Liquidators) Yazbeck Law (Respondent) (First day only) File Number(s): 2024/193403 (006)

Judgment – ex tempore (Revised 29 July 2024)

Nature of the application 1. By Interlocutory Process filed on 2 July 2024 the Applicants, Messrs Cathro and Blundell, as provisional liquidators and now liquidators ("Liquidators") of Roxy's Bootcamp Pty Limited (in prov liq) ("Company") apply for a range of relief. I note that the Company has now passed from provisional liquidation into liquidation and the provisional liquidators have become its liquidators; I will refer to them as the "Liquidators" as they now have that capacity. 2. The first relief sought is a direction that the Liquidators are justified in causing the Company not to proceed with the "Prize Draw", as that term is defined in an affidavit of Mr Blundell dated 21 June 2024 filed in the proceedings. The second is a direction that the Liquidators would be justified in treating the Trust Funds (as defined in that affidavit) as being property beneficially owned by the Company and a declaration that the Trust Funds have that character. 3. The Liquidators also seek an order that the First Respondent to the application, Lawyers Pty Ltd trading as Yazbeck Law account to the Company for the Trust Funds. An order in respect of the cost of the application is not pressed as against Yazbeck Law, in the circumstances that I note below but the Liquidators seek an order that their costs of and incidental to the application be costs in the Company's provisional liquidation, and be paid out of the Company's assets.