Australian Securities and Investments Commission v Endresz

The Australian Securities and Investments Commission (“ASIC”) sought sequestration orders against four respondents, Dawn May Endresz, Jozsef Endresz, Allan Paul Endresz and William Arthur Forge. The respondents opposed the applications on the grounds that the debts upon which the petitions were based were not still owing; they were solvent and able to pay their debts; they had a counterclaim, set-off or cross-demand equal to or exceeding the amount of the judgment debts; the bankruptcy notice was invalid; the restraining orders remained in place; and the petitions were an abuse of process. The court found that the respondents were not solvent and that the restraining orders were not a defence to the making of a sequestration order. The court found that the petitions were not an abuse of process and that the applications should proceed. It was ordered that the estate of each respondent be sequestrated and that the costs of the proceedings be paid from the estates of the respondents.