Westpac Banking Corporation v Toksoz & Anor [2010] NSWSC 1509

New South Wales Supreme Court

CITATION : Westpac Banking Corporation v Toksoz & Anor [2010] NSWSC 1509 This decision has been amended. Please see the end of the judgment for a list of the amendments.

HEARING DATE(S) : 2 to 9 December 2010

JUDGMENT DATE : 23 December 2010

JURISDICTION : Equity Division

JUDGMENT OF : Palmer J

DECISION : Judgment for Plaintiff against First Defendant for $868,655.33 plus interest; declaration that Second Defendant is liable to account as resulting trustee for assets to value of $742,836, and accrued interest.

CATCHWORDS : FRAUD – "IDENTITY THEFT" – Bank defrauded of more than $1.1M via telephone banking and on-line banking – whether First Defendant was the fraudster. - TRACING – whether Second Defendant received any proceeds of the frauds with knowledge of the frauds – whether Second Defendant accountable as trustee.

LEGISLATION CITED : Evidence Act 1995 (NSW) - s 140(2)(c) Fair Trading Act 1987 (NSW) - s 42

CATEGORY : Principal judgment

- Black v S. Freedman & Co (1910) 12 CLR 105 - Briginshaw v Briginshaw (1938) 60 CLR 336 - Evans & Associates v European Bank Ltd (2004) 61 NSWLR 75 - Foskett v McKeown [2001] 1 AC 102 CASES CITED : - Hallett's Estate, Re (1879) 13 Ch D 696 - Heperu Pty Ltd v Belle (2009) 258 ALR 727, [2009] NSWCA 252 - Maronis Holdings Ltd v Nippon Credit Australia Ltd (2001) 38 ACSR 404 - Sophie, Re [2008] NSWCA 250 - United States Surgical Corporation v Hospital Products International Pty Ltd [1983] 2 NSWLR 157

TEXTS CITED : Fratcher's "Scott on Trusts" (4th Ed) para 521, p 654