28 Jul 2014
G & S ENTERPRISES (2006) (IN LIQUIDATION) v LEVIN AND ORS [2014] NZHC 1762
- Citation
- [2014] NZHC 1762
- Court
- High Court
On the evidence (chiefly the liquidator's analysis) the company was insolvent by March 2007 and thereafter; the directors continued to trade and allowed debts to accumulate, breaching statutory duties (ss 131,135,136,137). Those breaches justified a compensatory award under s 301(1)(b)(ii); accordingly each director is ordered to pay NZD 253,556.58 to the company in liquidation and Sweetman is liable in debt for his drawings of NZD 20,216.03. Procedural deficiencies as to service on Griffin did not prevent entry of judgment where he had knowledge and no defence was filed.