Re Gargan, Peter Alexander Ex Parte The Official Trustee in Bankruptcy [1996] FCA 685

Re Gargan, Peter Alexander Ex Parte The Official Trustee in Bankruptcy [1996] FCA 685

No ground was shown to warrant an inquiry into the Official Trustee's conduct. The matters complained of largely sought to revisit issues already determined by Thomas J and by Drummond J, including the absence of real prospects in proposed appeals and claims. The asserted failures to investigate, pursue proceedings, examine persons, rely on particular material, deal with proofs of debt, or seek Commonwealth funding did not disclose a sufficient basis for impugning the trustee's conduct. The application for inquiry was therefore dismissed, while annulment was adjourned subject to directions because further submissions had been contemplated.

Jurisdiction
Australia
Judgment Date
23 August 1996
Procedural Posture
Bankruptcy Application Concerning Inquiry Into Trustee's Conduct and Annulment of Bankruptcy / Reasons for Judgment and Orders on Application for Inquiry; Application for Annulment Adjourned
Outcome
The application for an inquiry into the Official Trustee's conduct was dismissed; the application for annulment was adjourned to a date to be fixed subject to directions and to stand dismissed unless Mr Gargan notified the Registrar that he wished to proceed.
Legal Topics
["inquiry Into Trustee's Conduct" 'annulment of Bankruptcy' "trustee's Decision Not to Pursue Causes of Action" 'sequestration Order' 'relation Back' 'proofs of Debt' 'funding of Litigation']
['bankruptcy'] ["inquiry Into Trustee's Conduct" 'annulment of Bankruptcy' "trustee's Decision Not to Pursue Causes of Action" 'sequestration Order' 'relation Back' 'proofs of Debt' 'funding of Litigation']

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Procedural Posture

Bankruptcy Application Concerning Inquiry Into Trustee's Conduct and Annulment of Bankruptcy / Reasons for Judgment and Orders on Application for Inquiry; Application for Annulment Adjourned

Legal Issues

  1. 1 ["Whether a case had been made for an inquiry into the conduct of the Official Trustee in Bankruptcy in relation to Mr Gargan's bankruptcy." "Whether the trustee's refusal to pursue or assign causes of action, appeals, examinations, or claims warranted inquiry." 'Whether allegations of negligence, breach of contract, collusion, preference of creditors, or incompetence by the trustee or those acting for the trustee had any basis.' 'Whether the application for annulment should proceed and, if so, on what directions.']

Ratio Decidendi

No ground was shown to warrant an inquiry into the Official Trustee's conduct. The matters complained of largely sought to revisit issues already determined by Thomas J and by Drummond J, including the absence of real prospects in proposed appeals and claims. The asserted failures to investigate, pursue proceedings, examine persons, rely on particular material, deal with proofs of debt, or seek Commonwealth funding did not disclose a sufficient basis for impugning the trustee's conduct. The application for inquiry was therefore dismissed, while annulment was adjourned subject to directions because further submissions had been contemplated.

Court Disposition

The application for an inquiry into the Official Trustee's conduct was dismissed; the application for annulment was adjourned to a date to be fixed subject to directions and to stand dismissed unless Mr Gargan notified the Registrar that he wished to proceed.

Orders

  • ["The application under s 178 Bankruptcy Act 1966 for an inquiry into the Official Trustee's conduct be dismissed." 'The application for annulment be adjourned to a date to be fixed and subject to directions following.' 'Unless Mr Gargan informs the district Registrar in writing by 4.00 pm on 30 August 1996 that he...