In the matter of Cyprus Community of NSW Ltd [2024] NSWSC 1629

Supreme Court New South Wales

Medium Neutral Citation: In the matter of Cyprus Community of NSW Ltd [2024] NSWSC 1629 Hearing dates: 10-11 December 2024 Date of orders: 18 December 2024 Decision date: 18 December 2024 Jurisdiction: Equity - Corporations List Before: Black J Decision: Originating Process dismissed; order made validating appointment of voluntary administrators. Catchwords: CORPORATIONS – Voluntary administration – administrator – Where directors appointed resolved to place club in voluntary administration – Whether directors validly passed requisite resolution under s 436A of the Corporations Act 2001 (Cth) – Whether appointment of voluntary administrator was made for an improper purpose. CORPORATIONS – Voluntary administration – administrator – Whether appointment of voluntary administrator should be validated under s 447A of the Corporations Act 2001 (Cth). Legislation Cited: - Corporations Act 2001 (Cth), ss 436A, 440D, 447A, 447C - Court Suppression and Non-Publication Orders Act 2010 (NSW) - Evidence Act 1995 (NSW), ss 136, 140 - Insolvency Practice Rules (Corporations) 2016 (Cth) - Liquor Act 2007 (NSW) - Registered Clubs Act 1976 (NSW), ss 41A, 41E - Supreme Court (Corporations) Rules, r 2.13 Cases Cited: - Australasian Memory Pty Ltd v Brien (2000) 200 CLR 270; [2000] HCA 30 - Blacktown City Council v Macarthur Telecommunications Pty Ltd (2003) 47 ACSR 391; [2003] NSWSC 883 - Briginshaw v Briginshaw (1938) 60 CLR 336; [1938] HCA 34 - Cadwallader v Bajco (2001) 189 ALR 370; [2001] NSWSC 1193 - Calabretta v Redpen Developments Pty Ltd (in liq) (recs and mgrs apptd) (2010) 183 FCR 47; [2010] FCA 81 - Cawthorn v Keira Constructions Pty Ltd (1994) 33 NSWLR 607; (1994) 13 ACSR 337 - Correa v Whittingham (2013) 278 FLR 310; [2013] NSWCA 263 - Hayes v Doran (No 2) [2012] WASC 486 - Kazar v Duus (1998) 88 FCR 218; [1998] FCA 1378 - McMaster v Eznut Pty Ltd (2006) 58 ACSR 199; [2006] WASC 109 - Neat Holdings Pty Ltd v Karajan Holdings Pty Ltd (1992) 110 ALR 449 at 449–450; [1992] HCA 66 - Owen, Re RiverCity Motorway Ltd (admins apptd) (recs and mgrs apptd) (No 3) (2012) 201 FCR 360; [2012] FCA 313 - Panasystems Pty Ltd v Voodoo Tech Pty Ltd (2003) 21 ACLC 842; [2003] FCA 428 - Re Condor Blanco Mines Ltd [2016] NSWSC 1196 - Re Frisken, in the matter of NPH Group Pty Ltd (in liq) [2021] FCA 1155 - Re Gulf Energy Pty Ltd [2019] NSWSC 1637 - Re HPI Australia Pty Ltd [2008] NSWSC 1106 - Re Keneally as administrator of Australian Blue Mountain International Cultural & Tourist Group Pty Ltd (admin apptd) (2015) 107 ACSR 172; [2015] NSWSC 937 - Re Lime Gourmet Pizza Bar (Charlestown) Pty Ltd (formerly under administration) [2015] NSWSC 244 - Re Order of AHEPA NSW Inc [2020] NSWSC 1626 - Shirlaw v Graham [2001] NSWSC 612 - Smolarek v McMaster (as administrator of Eznut Pty Ltd [2006] WASCA 216 - St Leonards Property Pty Ltd v Ambridge Investments Pty Ltd (2004) 210 ALR 265; [2004] NSWSC 851 - Wagner v International Health Promotions (1994) 15 ACSR 419 Category: Principal judgment Parties: Costas Costa (First Plaintiff) Cyprus Capital Limited (Second Plaintiff) Cyprus Community of N.S.W. Limited (First Defendant) Morgan Kelly (Second Defendant) David Kennedy (Third Defendant) Representation: Counsel: T. D. Castle SC/M A Collins (Plaintiffs) M. A. Izzo SC/A P F Ryan (Administrators) M. P. Kyriacou (Self-represented)