BSD Electrical Pty Ltd v KEL Builders Pty Ltd [1999] QSC 109

State ~ SCGJ9/IO? Reporting Bureau TRANSCRIPT OF PROCEEDINGS Copyright in this transcript is vested in the Crown. Copies thereof must not be made or sold without the written authority of the Director, State Reporting Bureau. ~._."",_ ... ,,~.~ • .---- •• h _r~~~:'~·~·::~~-· .. ~ C r_.,r. ..ViSED CO"?:'.:':_~5 ~:>::c:_: ..:'.) , n ... ,~ I State Rf::"~~ , .... /:., .": \.:::::~::H.i D~:'~~J"L04-_L_~~l SUPREME COURT OF QUEENSLAND CHAMBERS JONES J Application No. 2 of 1999 BSD ELECTRICAL PTY LTD Applicant and KEL BUILDERS PTY LTD Respondent CAIRNS .. DATE 23/04/99 JUDGMENT ,1111 Fillllr, The Law COlII'ls, (;I'Ol'g(~ Sln'ct, Brbhaill', Q... 000 Td(~phol1(,: (07) 3.!"7 ·U(,O F:I.'';; 107) .1.!-17 5~,\~ -- 1 of 3 -- 230499 D.1 T3/CB M/T CNS294/99 (Jones J) HIS HONOUR: In respect of the matter of·KEL Builders (Queensland) pty Ltd, Mr Jonsson appearing on behalf of the solicitors for the administrators appointed yesterday, seeks an adjournment of the application for winding up on the basis that the administration should be allowed to proceed. In support of that application an affidayit has been read of Leslie George Callahan which, as well as setting out the circumstances in which the administrators were appointed, indicated that on Tuesday 27 April 1999 settlement of the 10 20 sales of a parcel of three properties at Scott Street, Cairns; (I and of a further property at 25 Hannam Street, Cairns, will be settled. The proceeds of those two sales total in excess of $1.4 'million. The properties are subject to securities to the National Bank of Australia which indebtedness apparently exceeds the expected proceeds of those sales. The affidavit refers to the prospect that the bank would be prepared to release funds from those proceeds. That information in the affidavit of Mr Callahan is hearsay and were the settlements not so imminent I may have chosen not to rely upon it. However since there is only four days between now and when that allegation can be put to the test, I feel in the interest of the creditors, that the settlement ought to be allowed to proceed and this matter adjourned to the next day, 28 April 19991 I can then be shown whether the bank will in fact release funds. 2 JUDGMENT 30 I i C". I I CJI 40 I 50 60 , - I L,I -- 2 of 3 -- 230499 D.l T3/CB M/T CNS294/99 (Jones J) It is clear enough that release of funds in that way would be most beneficial to creditors and would allow a much easier determination as to whether the company should be wound up or allow to continue under administration. I am informed that there will be no disadvantage in respect of any relation back consideration by an adj9urnment of five days. There are matters of non-compliance with the Rules in relation to advertising on the part of the applicant for the winding up order which I am prepared to dispense with. And I would also make orders relating to the time limit for the administrators to call a meeting of creditors. The terms of that order, when presented, will be initialled by me and placed with the papers. The costs of this application will be reserved. The matter will be adjourned to 4.00 p.m. on Wednesday 28 April 1999. 3 JUDGMENT 10 20 30 40 50 60 -- 3 of 3 --