Velkovski, Dimce & Ors v Ryan, Morgan John & Ors [1996] FCA 283

Velkovski, Dimce & Ors v Ryan, Morgan John & Ors [1996] FCA 283

There is a serious question to be tried as to the validity of the administrators' appointment and their suitability, competence, and impartiality; balance of convenience required replacement on an interlocutory basis to protect creditors' interests, especially given prior involvement of administrators with chargees and lack of proper investigation and reporting.

Parties
First Applicant: Dimce Velkovski; Second Applicant: ATTIA Imports Pty Limited; Third Applicant: Cobe International Pty Limited; First Respondent: Morgan John Ryan; Second Respondent: Robert William Waterhouse; Third Respondent: Stephen Winston Lewis; Fourth Respondent: Peter John Ryan; Fifth Respondent: Geoffrey David McDonald; Sixth Respondent: Timothy Paul Heesh; Seventh Respondent: Discount Acceptance Corporation Pty Limited; Eighth Respondent: Nitram Investments Pty Limited
Jurisdiction
Australia
Judgment Date
23 April 1996
Procedural Posture
Corporations Interlocutory Application / Interlocutory Orders and Reasons for Judgment
Outcome
Interlocutory orders replacing administrators and appointing new administrator and receiver-manager; application for stay refused.
Legal Topics
Appointment and Removal of Administrators, Charge Enforcement, Balance of Convenience, Interlocutory Orders
Corporations Law Appointment and Removal of Administrators Charge Enforcement Balance of Convenience Interlocutory Orders

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Parties

Dimce Velkovski

First Applicant

ATTIA Imports Pty Limited

Second Applicant

Cobe International Pty Limited

Third Applicant

Morgan John Ryan

First Respondent

Robert William Waterhouse

Second Respondent

Stephen Winston Lewis

Third Respondent

Peter John Ryan

Fourth Respondent

Geoffrey David McDonald

Fifth Respondent

Timothy Paul Heesh

Sixth Respondent

Discount Acceptance Corporation Pty Limited

Seventh Respondent

Nitram Investments Pty Limited

Eighth Respondent

Procedural Posture

Corporations Interlocutory Application / Interlocutory Orders and Reasons for Judgment

Legal Issues

  1. 1 Validity of administrators' appointment under Corporations Law
  2. 2 Whether administrators should be removed from office under s 449B
  3. 3 Serious question regarding moneys owed under charge

Ratio Decidendi

There is a serious question to be tried as to the validity of the administrators' appointment and their suitability, competence, and impartiality; balance of convenience required replacement on an interlocutory basis to protect creditors' interests, especially given prior involvement of administrators with chargees and lack of proper investigation and reporting.

Court Disposition

Interlocutory orders replacing administrators and appointing new administrator and receiver-manager; application for stay refused.

Orders

  • Geoffrey David McDonald and Timothy Paul Heesh removed as administrators of ATTIA Imports Pty Limited until further order.
  • Maxwell William Prentice appointed as administrator of ATTIA Imports Pty Limited until further order.