In the matter of One.Tel Limited [2014] NSWSC 457

Supreme Court New South Wales

Medium Neutral Citation: In the matter of One.Tel Limited [2014] NSWSC 457 Hearing dates: 14 April 2014 (in chambers) Decision date: 17 April 2014 Jurisdiction: Equity Division - Corporations List Before: Brereton J Decision: Pursuant to s 511, special purpose liquidator and general purpose liquidators of One.Tel are justified in entering into and performing the Deed of Settlement, and procuring One.Tel to do so. Pursuant to s 477(2A) and (2B), the liquidators have the approval of the Court to compromise debts in accordance with the Deed, and to enter into the Deed notwithstanding that obligations under it may be discharged by performance more than three months after it is entered into. Catchwords: CORPORATIONS - External administration - liquidation - liquidator's applications - creditors voluntary winding up - special purpose liquidator - application for directions under Corporations Act s 511 - principles and practice applicable - whether court should retrospectively declare past conduct to have been proper - held, it should not - whether inclusion of release for personal benefit of special purpose liquidator inappropriate - held, not so where no apparent viable claim against SPL - applications for approvals under s 477(2A) and (2B) - principles applicable. Legislation Cited: (CTH) Corporations Act 2001, s 477(2A), s 477(2B), s 506(1A), s 511, s 1317K. (NSW) Trustee Act 1925, s 63. Cases Cited: Cassegrain [2011] NSWSC 1156 Crawford v Oswald Park Pty Ltd (in liq) [2006] NSWSC 987 Dean-Willcocks v Soluble Solution Hydroponics (1997) 42 NSWLR 209 Empire (Aust) Nominees Pty Ltd v Vince [2000] VSC 324; (2000) 35 ACSR 167 Gerard Cassegrain & Co Pty Limited v In the Matter of 246 Arabella Investments Pty Ltd (In Liq) [2012] NSWSC 1212 In the matter of 7 Steel Distribution Pty Limited (in liq) (receivers and managers appointed) [2013] NSWSC 669 In the Matter of Adscaff Pty Ltd [2013] NSWSC 1081 In the Matter of Auzhair Supplies Pty Ltd (in liq) [2013] NSWSC 1; (2013) 272 FLR 304; (2013) 92 ACSR 554 In the matter of Ian James Purchas as liquidator of Astarra Asset Management Pty Ltd (in liq) [2011] NSWSC 91 Onefone Australia Pty Ltd v One.Tel Ltd (2010) 78 ACSR 163 Re Ansett Australia Limited and Korda [2002] FCA 90; (2002) 115 FCR 409; 40 ACSR 433 Re Bell Group Ltd (in liq); Ex parte Antony Leslie John Woodings as Liquidator of the Bell Group Ltd (in liq) [2013] WASC 409 Re CIC Insurance Ltd (2001) 38 ACSR 181 Re FAI Traders Insurance Co Pty Ltd [2002] NSWSC 1080 Re G A Listing & Maintenance Pty Ltd (1994) 15 ACSR 308 Re GB Nathan & Co Pty Ltd (1991) 5 ACSR 673 Re HIH Casualty & General Insurance Co Ltd [2002] NSWSC 1036 Re HIH Insurance Group Ltd [2001] NSWSC 308 Re HIH Insurance Ltd [2004] NSWSC 5 Re Luxtrend Pty Ltd [1997] 2 QdR 86 Re Mineral Securities (Australia) Ltd [1973] 2 NSWLR 207 Re Oliver Davey (Pacific) Pty Ltd [1999] VSC 241 Re One-Tel Networks Holdings Pty Ltd [2001] NSWSC 1065; (2001) 40 ACSR 83 Re Opel Networks Pty Ltd [2013] NSWSC 1245 Re Read [2007] FCA 1985; (2007) 164 FCR 237 Re S&D International Pty Ltd (in liquidation) (No 7) [2012] VSC 551 Re Spedley Securities Ltd (1992) 9 ACSR 83 Re The Bell Group Ltd (in liq) [2009] WASC 235 Re Tietyens Investments Pty Ltd (1999) 31 ACSR 1 Re Timbercorp Limited (in liq) [2011] VSC 189 Re United Medical Protection Ltd [2003] NSWSC 237 Registrar of Aboriginal Corporations v Bibelmen Mia Aboriginal Corp [2001] FCA 136 S & D International v MIG Property Services [2010] VSC 336 Sanderson v Classic Car Insurances Pty Limited (1985) 10 ACLR 115 SingTel Optus Pty Limited & Ors v Weston [2012] NSWSC 674 Stewart, in the matter of Newtronics Pty Ltd [2007] FCA 1375 Category: Principal judgment Parties: Stephen James Parbery as special purpose liquidator of One.Tel Limited (in liq) (first plaintiff) Steven Sherman as liquidator of One.Tel Limited (in liq) (second plaintiff) Peter Walker as liquidator of One.Tel Limited (in liq) (third plaintiff) One.Tel Limited (in liq) (ACN 068 193 153) (fourth plaintiff) Representation: Solicitors: Arnold Bloch Leibler (plaintiffs) File Number(s): 2014/ 109452