24 Feb 2010
THE COMMISSIONER OF INLAND REVENUE V ATLAS FOOD AND BEVERAGE LIMITED AND ORS HC CHCH CIV-2009-409-001342
- Citation
- openlaw-10019f9c_4d36_4f47_9c9c_e8b3b66e0577.pdf
- Court
- High Court
The Court found material irregularity in the creditor approvals: related parties who were not to receive payments dominated unsecured class votes and should have been separated or discounted; the contingent secured claim presented as $3.6m was overstated and that vote should have been discounted or treated separately. Those irregularities deprived the Court of reliable evidence of creditor support and, coupled with inadequate process, unsecured payment security concerns, the director's centralised control and lack of independent oversight and coherent rationale, meant the Commissioner could n…