PIONEER PARK PTY LTD (In liq) & ORS v AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED [2007] NSWCA 344

Reported Decision: (2007) 25 ACLC 1,707

New South Wales Court of Appeal

CITATION: PIONEER PARK PTY LTD (In liq) & ORS v AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED [2007] NSWCA 344

HEARING DATE(S): 11 October 2007

JUDGMENT DATE: 30 November 2007

JUDGMENT OF: Tobias JA at 1; McColl JA at 10; Basten JA at 11

DECISION: (1) Grant leave to appeal against the decision of the Registrar dismissing the motion seeking security for costs.(2) Allow the appeal and set aside the judgment of the Registrar delivered on 18 June 2007.(3) Order that the corporate Appellants furnish security for the costs of the Respondent of and incidental to the appeal in the amount of $150,000.(4) Stay the proceedings in this Court until such security is provided.(5) Order that the corporate Appellants pay the Respondent's costs of the motion, both before the Registrar and of the appeal from his decision.(6) Grant the Appellants (being the respondents to the appeal on the motion) a certificate under the Suitors' Fund Act 1951 (NSW) in relation to the costs of the appeal, unless disqualified pursuant to s 6(2) of that Act.

CATCHWORDS: CORPORATIONS – security for costs of appeal – whether s 1335 of Corporations Act 2001 (Cth) subject to State law – whether inconsistency – previous operation of State law – Corporations Act, ss 5E and 5G - COSTS – security for costs – impecuniosity of party against which order sought – whether order for security would stifle or stultify proceedings – position of individual appellant – oppression - JURISDICTION – jurisdiction of Court with respect to security for costs of appeal – exercise of federal jurisdiction by State court – Corporations Act, s 1335 – Supreme Court Rules, Part 51, r 16 – exercise of discretionary power under Corporations Act s 1335 not constrained by requirement of special circumstances - PROCEDURE – powers of Court to review decision of registrar – requirement of effective control and supervision by judge or judges of Court