GRANT AND KHOV v BHANA [2016] NZHC 2755

GRANT AND KHOV v BHANA [2016] NZHC 2755

Respondents were in contempt for deliberate failure to comply with court orders to produce company and trust records; given their culpability, mitigation and conduct, the appropriate penalty was monetary fines (Stephen Bhana $8,000; Jasu Mati Bhana $5,000) rather than imprisonment, with fines to be paid to the registry and distributed half to the liquidators and half to the Crown; costs awarded to the liquidators on a party and party basis with a timetable for filing submissions.

Citation
[2016] NZHC 2755
Parties
Applicant Liquidator: Damien Grant; Applicant Liquidator: Steven Khov; First Respondent: Stephen Bhana; Second Respondent: Jasu Mati Bhana
Court
High Court
Jurisdiction
New Zealand
Judgment Date
17 November 2016
Procedural Posture
Contempt of Court (civil) / Insolvency / Penalty Hearing and Judgment (final Penalties Imposed)
Outcome
Contempt established; fines imposed and costs awarded to liquidators
Legal Topics
Contempt Penalties, Non Compliance With Discovery/orders, Liquidators' Powers and Duties, Allocation of Fines and Costs
Civil Contempt Insolvency Law Companies Law Civil Procedure Contempt Penalties Non Compliance With Discovery/orders Liquidators' Powers and Duties Allocation of Fines and Costs

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Legal principles 4 Authorities cited 11 Party arguments 2 Amounts and remedies 2
Sign in to unlock

Parties

Damien Grant

Applicant Liquidator

Steven Khov

Applicant Liquidator

Stephen Bhana

First Respondent

Jasu Mati Bhana

Second Respondent

Procedural Posture

Contempt of Court (civil) / Insolvency / Penalty Hearing and Judgment (final Penalties Imposed)

Legal Issues

  1. 1 Whether the respondents were in contempt for failing to comply with discovery/orders made by Woolford J
  2. 2 Appropriate penalty for contempt given seriousness, culpability and mitigation
  3. 3 Whether imprisonment or fine is appropriate and the quantum of fines

Ratio Decidendi

Respondents were in contempt for deliberate failure to comply with court orders to produce company and trust records; given their culpability, mitigation and conduct, the appropriate penalty was monetary fines (Stephen Bhana $8,000; Jasu Mati Bhana $5,000) rather than imprisonment, with fines to be paid to the registry and distributed half to the liquidators and half to the Crown; costs awarded to the liquidators on a party and party basis with a timetable for filing submissions.

Court Disposition

Contempt established; fines imposed and costs awarded to liquidators

Orders

  • Stephen Bhana fined $8,000 payable to the registry
  • Jasu Mati Bhana fined $5,000 payable to the registry