Banksia fee approval

Banksia Securities: fee claim masterclass

There cannot be too many prominent rulings on insolvency practitioner remuneration that are not invoked at some point In the matter of Banksia Securities Ltd (in liq) (receivers and managers appointed) [2017] NSWSC 540. In approving claims for pay lodged by Banksia’s special purpose receivers (SPRs) – who are also its liquidators – NSW Supreme Court judge Fabian Gleeson has gone a good way to emptying…

Dyldam Group capitulates on $9.23 million ATO debt

Cor Cordis secures fees after Dyldam, ATO settle

It’s been a while coming but with public examinations scheduled for the end of this month it’s no surprise that the colourful figures behind the Dyldam construction group have finally brokered a deal with the Australian Taxation Office (ATO) over a multi-million dollar tax debt. 70 cents in the dollar, with $1 million paid up front and the balance to be handed over in seven months….

Right to success fee falls to receivers

Kordas duo retain right to $2 mill success fee

Pending any appeal from Tasmanian millionaire Jan Cameron, KordaMentha partners Rahul Goyal and David Winterbottom have won the right to a $2 million success fee which formed part of the remuneration they agreed to with Cameron when she appointed the receivers of DSG Holdings. In Bicheno Investments Pty Ltd v David John Winterbottom [2017] NSWSC 536 (9 May 2017) Justice Robert McDougall yesterday dismissed Cameron’s application for…

Applying the proportionality in pay principle to the quesiotn of saving a power station is vexed.

Proportionality in pay principle ignored again

SiN’s sometimes chastised for focussing only on bad news, though we all know that except in the most extraordinary of circumstances – the second coming perhaps – a good news event is no news. Unless it’s an event that overturns bad news. The issue of insolvency practitioner pay has in recent times been a topic that’s seen a major good news event – liquidator Cliff…

Palmer loses fee fight with QNI liquidators

QNI liquidators win latest bout with Palmer

Clive Palmer’s efforts to prevent John Park and his colleagues from FTI Consulting from paying themselves for their time as voluntary administrators (VAs) of Queensland Nickel have come to naught. On Wednesday the Supreme Court of Queensland made an order indemnifying the four FTI Consulting partners from any liability for any negligence, default, breach of trust or breach of duty relating to the payment by…

Jan Cameron offered a success fee. Now she's suing.

Cameron sues Kordas duo over $2 mill success fee

This case pitting Tasmanian businesswoman Jan Cameron against KordaMentha’s David Winterbottom and Rahul Goyal might hold some lessons for other insolvency practitioners taking appointments from unconventional creditors. One lesson might be that when promising one’s appointor to undertake a stock take, count the stock! The other might be that when contemplating an appointment from a secured creditor that’s not a bank or similar, additional due diligence pays….

ATO funding to pursue voidable transaction uncertain

ATO vacillating on funding valuable voidable

The minutes of a recent meeting of creditors of Project 1876 Pty Ltd reveal that the Australian Tax Office (ATO) remains undecided on the question of whether it should fund liquidators Ozem Kassem and Jason Tang to go after a $12.2 million voidable payment made to the owners of the Dyldam construction group. Kassem and Tang were appointed voluntary administrators by Project 1876’s director Maria Fayad on July 1, 2013…

Receiver rols dice on trust asset indemnity

Judge rules receiver cannot entirely rely on indemnity

After a setback on fees the question may arise as to whether it’s best to cut one’s losses or go double or nothing when the question turns to the extent to which a receiver can rely on the right to an indemnity. Helm Advisory director Adam Preiner recently chose the latter. Acting Supreme Court Judge Reg Barrett yesterday delivered a judgment which illustrates why one should…

Ad valorem constrained

Appeals court backs Black’s idyllic solution

Well the beast of ad valorem has been subdued and the curmudgeonly impulse that gave it too free a rein extinguished. If liquidators aren’t treating their staff to extra libation this afternoon then they do not appreciate the value of what the NSW Supreme Court of Appeal yesterday preserved. Just after 10:15am Sydney liquidator Cliff Sanderson learned that his appeal in the matter of Sanderson as…

Administrator wrestles with NatWest Finance

Administrator and Natwest tussle over PPSA interests

Mali Thaggard and NatWest Finance are engaged in a tussle over funds connected to the voluntary administration (VA) of Shepherd Group Services (SGS), the resolution of which should be instructive at least in terms of highlighting the critical issue of registering security interests on the Personal Property Securities Register (PPSR). On Monday Thaggard – who left TPH insolvency to set up under the banner Australia Business…