In the matter of Rainbow Carlingford One Pty Limited (in liquidation) (ACN 604 122 054) [2019] NSWSC 971

Supreme Court New South Wales

Medium Neutral Citation: In the matter of Rainbow Carlingford One Pty Limited (in liquidation) (ACN 604 122 054) [2019] NSWSC 971 Hearing dates: 29 July 2019 Decision date: 01 August 2019 Jurisdiction: Equity - Corporations List Before: Rees J Decision: Application to terminate winding up of Rainbow Carlingford One Pty Limited (in liquidation) (ACN 604 122 054) refused. Catchwords: CORPORATIONS — Winding up — Termination of winding up — Non-trading land-holding company — Obligations to financiers exceed value of land — land tax debt — Where company insolvent but for proposed funding agreement with related parties — Liquidator's solvency report indicates that proposed agreement sufficient to meet "pessimistic scenario" — Whether related parties' asset positions support the proposed agreement — Application refused. Legislation Cited: Corporations Act 2001 (Cth), ss 9, 198G, 482 Supreme Court (Corporations) Rules 1999 (NSW), r 8.2 Cases Cited: Benedict v Olde; in the matter of ATS (Asia Pacific) Pty Ltd [2011] FCA 1008 In re Telescriptor Syndicate Limited [1903] 2 Ch 174 In the matter of CNL Transport Pty Ltd (in liq); Hunt v Smith [2017] NSWSC 291 In the matter of Modena Imports Pty Ltd (in liq) [2010] NSWSC 739 In the matter of MWM Sydney Pty Ltd (in liquidation) [2016] NSWSC 688 In the matter of Recycling Glass Pty Limited (ACN 001 332 654) [2014] NSWSC 439 In the matter of SNL Group Pty Ltd (in liq); Su v SNL Group Pty Ltd (in liq) [2010] NSWSC 797 Re Data Homes Pty Limited (in liq) [1972] 2 NSWLR 22 Re Pine Forests of Australia (Canberra) Pty Ltd [2010] NSWSC 1127 Re Warbler Pty Limited (1982) 6 ACLR 526; 1982) 1 ACLC 323 Category: Principal judgment Parties: Rainbowforce Pty Ltd (ACN 095 335 603) (Plaintiff) Rainbow Carlingford One Pty Ltd (in liquidation) (ACN 604 122 054) (Defendant) Representation: Counsel: Mr AP Lo Surdo SC with Mr TJ Kane (Plaintiff) Mr D Krochmalik (Defendant)