In re Cussen & Greig as administrators of Heavy Plant Leasing Pty Ltd (Receivers & Managers Appointed) & Ors [2013] NSWSC 834

In re Cussen & Greig as administrators of Heavy Plant Leasing Pty Ltd (Receivers & Managers Appointed) & Ors [2013] NSWSC 834

The extension was justified because, without it, creditors were likely to have insufficient information to make an informed decision under s 439C, any deed of company arrangement was unlikely to be proposed until the progress claims were determined or clarified, further time was required for receivers and managers to realise assets, and an immediate winding up could prejudice recovery of monies from Mac Dow.

Jurisdiction
Australia
Judgment Date
18 June 2013
Procedural Posture
Interlocutory Application / Application Under S 447 a of the Corporations Act 2001 (cth) to Extend the Period for Holding an Adjourned Second Meeting of Creditors
Outcome
Counsel to bring in short minutes of order in accordance with reasons; orders to be made substantially as sought.
Legal Topics
['voluntary Administration' 'second Meeting of Creditors' "adjournment of Creditors' Meeting" 'extension Under S 447 A' 'deed of Company Arrangement' 'return to Creditors']
['corporations' 'insolvency'] ['voluntary Administration' 'second Meeting of Creditors' "adjournment of Creditors' Meeting" 'extension Under S 447 A' 'deed of Company Arrangement' 'return to Creditors']

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Procedural Posture

Interlocutory Application / Application Under S 447 a of the Corporations Act 2001 (cth) to Extend the Period for Holding an Adjourned Second Meeting of Creditors

Legal Issues

  1. 1 ['Whether the period for holding an adjourned second meeting of creditors should be extended under s 447A of the Corporations Act 2001 (Cth).' 'Whether the balance between a speedy administration and maximising returns for creditors justified a further adjournment of 180 days.']

Ratio Decidendi

The extension was justified because, without it, creditors were likely to have insufficient information to make an informed decision under s 439C, any deed of company arrangement was unlikely to be proposed until the progress claims were determined or clarified, further time was required for receivers and managers to realise assets, and an immediate winding up could prejudice recovery of monies from Mac Dow.

Court Disposition

Counsel to bring in short minutes of order in accordance with reasons; orders to be made substantially as sought.

Orders

  • ['The operation of the Act and regulations is to be amended to permit a further adjournment of the meeting for 180 days.' 'Leave is to be given to any person claiming to be interested, including any creditor of the applicants, to apply for a variation of the order on reasonable notice to the applicant and to the...