In the matter of Idylic Solutions Pty Ltd as trustee for Super Save Superannuation Fund and others [2016] NSWSC 1292

Supreme Court New South Wales

Medium Neutral Citation: In the matter of Idylic Solutions Pty Ltd as trustee for Super Save Superannuation Fund and others [2016] NSWSC 1292 Hearing dates: 18, 19 August 2016 Decision date: 14 September 2016 Jurisdiction: Equity - Corporations List Before: Black J Decision: Pursuant to s 601EE(2) of the Corporations Act 2001 (Cth), the Court approves the remuneration sought by the liquidator(s) in respect of the unregistered managed investment schemes. The Court directs that the liquidator(s), in distributing assets of the schemes, would be justified in paying first the approved remuneration, costs, charges and expenses of the liquidator(s) in connection with the winding up of the relevant schemes. The Court orders that the liquidators' costs of the interlocutory application and the further consideration of the Third Amended Originating Process be paid out of the assets of the respective schemes to which those costs relate. Catchwords: CORPORATIONS — unregistered managed investment schemes — where liquidators of several unregistered managed investment schemes sought approval under s 601EE(2) of the Corporations Act 2001 (Cth) of their existing and anticipated future remuneration in respect of the winding up of the schemes on a time-based approach – where liquidators sought directions that they would be justified in distributing assets of the schemes on a basis giving liquidators' claims first priority – whether the Court should grant remuneration on a time-based approach as sought by the liquidators – whether the Court should approve prospective remuneration sought by the liquidators – whether liquidators' claims in respect of their remuneration and costs be given first priority – whether liquidators' costs of the proceedings be paid out of the assets of the respective schemes. Legislation Cited: - Corporations Act 2001 (Cth), ss 425, 473, 504, 556, 601ED, 601EE Cases Cited: - Australian Securities and Investments Commission v GDK Financial Solutions Pty Ltd (in liq) (No 3) [2008] FCA 448; (2008) 246 ALR 580 - Australian Securities and Investments Commission v Letten (No 23) [2014] FCA 985 - Conlan v Adams [2008] WASCA 61; (2008) 65 ACSR 521 - Hayes, Re Henry Walker Eltin Group Ltd (in liq) (No 4) [2015] FCA 656 - Ide v Ide [2004] NSWSC 751; (2004) 50 ACSR 324 - Korda, Re Stockford Ltd [2004] FCA 1682; (2004) 140 FCR 424 - Macks v Maka [2015] SASC 200 - Mirror Group Newspapers Plc v Maxwell (No 2) [1998] 1 BCLC 638 - Mohamed v Hurstville Tower Medical Clinic Pty Ltd (in liq) [2006] NSWSC 4 - Re AAA Financial Intelligence Ltd (in liq) (No 2) [2014] NSWSC 1270 - Re AAA Financial Intelligence Ltd (in liq) [2014] NSWSC 1004 - Re Anderson Group Pty Ltd; Mann v Anderson [2002] NSWSC 764 - Re Angstrom Assets Pty Ltd (in liq) [2014] NSWSC 1779 - Re Carton Ltd (1923) 39 TLR 194 - Re Clout (in his capacity as liquidator of Mainz Developments Pty Ltd) (in liq) [2016] NSWSC 1146 - Re Gramarkerr Pty Ltd (No 2) [2014] NSWSC 1405 - Re Hellion Protection Pty Ltd (in liq) [2014] NSWSC 1299 - Re Hewitt [2015] VSC 338 - Re Idylic Solutions Pty Ltd as trustee for Super Save Superannuation Fund [2016] NSWSC 907 - Re Independent Contractor Services (Aust) Pty Ltd (in liq) (No 2) [2016] NSWSC 106 - Re Koori Employment Enterprises Co-Operative Ltd (in liq) [2016] VSC 245 - Re Metal Storm [2015] NSWSC 1699 - Re Sakr Nominees Pty Ltd [2016] NSWSC 709 - Re Smith (in his capacity as former provisional liquidator of Australian Global Capital Pty Ltd (in liq)) [2016] FCA 644 - Re Traditional Values Management Ltd (in liq) (No 2) [2015] VSC 126 - Re Wine National Pty Ltd, James Estate Wines Pty Ltd and Liquor National Pty Ltd [2016] NSWSC 4 - Templeton v Australian Securities and Investments Commission [2015] FCAFC 137; (2015) 108 ACSR 545 - Thackray v Gunns Plantations Ltd [2011] VSC 380; (2011) 85 ACSR 144 - Venetian Nominees Pty Ltd v Conlan (1998) 20 WAR 96 - Warner, Re GTL Tradeup Pty Ltd (in liq) [2015] FCA 323; (2015) 104 ACSR 633 - Wenkart v Pantzer [2005] FCA 1572; (2005) 223 ALR 384 Texts Cited: - ARITA Code of Professional Practice for Insolvency Practitioners (3rd ed, 2014) Category: Principal judgment Parties: Barry Anthony Taylor and Andrew Fletcher Needham (Applicants) Representation: Counsel: B Lim (Applicants)