Worrell; In the matter of Storm Financial Limited (Receivers and Managers Appointed) (Administrators Appointed) [2009] FCA 70

Worrell; In the matter of Storm Financial Limited (Receivers and Managers Appointed) (Administrators Appointed) [2009] FCA 70

Given the complexity, scale, and investigative requirements of the administration, together with steps necessary before a meaningful report can be presented to creditors and consistent with the purpose of Pt 5.3A Corporations Act 2001 (Cth), extending the convening period is warranted. The extension should be limited as proposed by ASIC, with provision for further application if necessary.

Jurisdiction
Australia
Judgment Date
05 February 2009
Procedural Posture
Corporations Administration / Application to Extend Convening Period for Creditors' Meeting
Outcome
Extension of convening period granted as per ASIC's proposal, with liberty to apply for further extensions and costs of application to be administration expenses.
Legal Topics
['administration of Insolvent Companies' 'extension of Convening Period' "creditors' Meeting" 'deed of Company Arrangement']
['corporations Law' 'insolvency'] ['administration of Insolvent Companies' 'extension of Convening Period' "creditors' Meeting" 'deed of Company Arrangement']

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Procedural Posture

Corporations Administration / Application to Extend Convening Period for Creditors' Meeting

Legal Issues

  1. 1 ["Whether circumstances justify the extension of the convening period for the creditors' meeting under s 439A(6) of the Corporations Act 2001 (Cth)" 'Whether s 447A(1) of the Corporations Act 2001 (Cth) should permit meeting to be held at any time during the extended convening period' 'Whether the interests of creditors will be best served by such extension']

Ratio Decidendi

Given the complexity, scale, and investigative requirements of the administration, together with steps necessary before a meaningful report can be presented to creditors and consistent with the purpose of Pt 5.3A Corporations Act 2001 (Cth), extending the convening period is warranted. The extension should be limited as proposed by ASIC, with provision for further application if necessary.

Court Disposition

Extension of convening period granted as per ASIC's proposal, with liberty to apply for further extensions and costs of application to be administration expenses.

Orders

  • ["Pursuant to s 439A(6) of the Corporations Act 2001 (Cth), the convening period for the creditors' meeting is extended to midnight 16 March 2009." 'Court reserves for further consideration any application for a further extension.' 'Pursuant to s 447A(1), the meeting may be convened and held at any time during the...