In the matter of Golden Plantation Pty Ltd [2011] NSWSC 1610

Supreme Court New South Wales

Medium Neutral Citation: In the matter of Golden Plantation Pty Ltd [2011] NSWSC 1610 Hearing dates: 9 December 2011 Decision date: 21 December 2011 Jurisdiction: Equity Division - Corporations List Before: Barrett J Decision: Originating process and interlocutory process dismissed with costs Catchwords: CORPORATIONS - winding up - winding up in insolvency - application by contributories for order terminating winding up - need for plaintiffs to prove company's solvency - where company wound up on basis of unsatisfied statutory demand - company's controllers say that debt not in truth owing - court must work on the basis that it is owing even if disputed - proposal to pay money into court pending determination of that dispute - loan to company for six months proposed - lender not identified - no indication of availability of funds - no indication of how the company would repay - company's assets are unproductive land held for development - expert's report as to solvency - expert merely takes at face value statements made to him by the controllers and gives no assurance of reliability or accuracy of financial data - need for "fullest and best evidence" of solvency not satisfied. Legislation Cited: Corporations Act 2001 (Cth), ss 471A, 482 Cases Cited: Expile Pty Ltd v Jabb's Excavations Pty Ltd [2003] NSWCA 163; (2003) 45 ACSR 711 TQM Design and Construct Pty Ltd v Golden Plantation Pty Ltd [2011] NSWSC 500 Re SNL Group Pty Ltd [2010] NSWSC 797 Category: Principal judgment Parties: Richard Choy Lim Kok and Lee Ling Kok - Plaintiffs Andrew Hugh Jenner Wily as liquidator of Golden Plantation Pty Ltd - First Defendant TQM Design and Construct Pty Limited - Second Defendant Representation: Mr J S Darams - Plaintiffs Ms S E Williams - First Defendant Ms V Culkoff - Second Defendant Eakin McCaffery Cox - Plaintiffs Kemp Strang - First Defendant Julie A Orsini - Second Defendant File Number(s): 2011/00344988