Wily, Hugh Jenner in his capacity as Official Liquidator of United Telecasters Sydney Limited (receivers and managers appointed) (in liq) & Anor v The Commonwealth of Australia Wiley, Hugh Jenner in his capacity as Official Liquidator of United Telecasters Sydney Limited (receivers and managers appointed) (in liq) & Anor v [1996] FCA 303

Wily, Hugh Jenner in his capacity as Official Liquidator of United Telecasters Sydney Limited (receivers and managers appointed) (in liq) & Anor v The Commonwealth of Australia Wiley, Hugh Jenner in his capacity as Official Liquidator of United Telecasters Sydney Limited (receivers and managers appointed) (in liq) & Anor v [1996] FCA 303

Section 468(1) of the Corporations Law applies only to dispositions of property of the company in which the company has a beneficial interest, in the sense of an interest available in the winding up. Since the funds paid by the receivers to the Commonwealth were subject to a fixed charge and the company had no...

Source-derived case information.

Jurisdiction
Australia
Judgment Date
02 May 1996
Procedural Posture
Appeal / Judgment on Appeal and on Question for Separate Determination
Outcome
Appeal dismissed
Legal Topics
['receivership' 'liquidation' 'disposition of Company Property' 'fixed and Floating Charges' 'statutory Interpretation']
['corporations Law' 'insolvency Law'] ['receivership' 'liquidation' 'disposition of Company Property' 'fixed and Floating Charges' 'statutory Interpretation']

Source-derived case record

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Procedural Posture

Appeal / Judgment on Appeal and on Question for Separate Determination

Legal Issues

  1. 1 ['Whether payments made by receivers and managers after commencement of winding up constitute dispositions of property of the company within s 468(1) of Corporations Law' "Whether 'property of the company' under s 468(1) is limited to property in which the company has a beneficial interest" 'Whether payments from accounts subject to a fixed charge are dispositions within the meaning of s 468(1)']

Ratio Decidendi

Section 468(1) of the Corporations Law applies only to dispositions of property of the company in which the company has a beneficial interest, in the sense of an interest available in the winding up. Since the funds paid by the receivers to the Commonwealth were subject to a fixed charge and the company had no beneficial interest in them at the relevant times, the payments did not constitute dispositions of property of the company within s 468(1) and were not void against the liquidator.

Court Disposition

Appeal dismissed

Orders

  • ['That the appeal be dismissed.' "That the appellants pay the respondent's costs of the appeal."]