Australian Securities and Investments Commission v Marco (No 16) (Special Purpose Appointment)

The case of Australian Securities and Investments Commission v Marco (No 16) (Special Purpose Appointment) involves an application for the appointment of special purpose receivers and liquidators to an unregistered managed investment scheme, and the approval of a litigation funding agreement. The court was required to consider whether the appointment of special purpose receivers and liquidators was justified, and whether the proposed funding agreement was appropriate. The court also needed to decide on suppression and non-publication orders to protect confidential and commercially sensitive information.

The court found that the appointment of special purpose receivers and liquidators was justified to investigate and pursue claims on behalf of scheme members against third parties. The court was satisfied that the proposed funding agreement was appropriate and would not expose the scheme to unnecessary financial risk. The court considered it necessary to make suppression and non-publication orders to protect confidential information that was subject to legal professional privilege, as well as commercially sensitive information. The court held that the proper administration of justice required these orders to be made.

The court made orders for the appointment of special purpose receivers and liquidators, with certain conditions on their remuneration and expenses. The court also made suppression and non-publication orders in relation to certain confidential documents. The application for approval of the funding agreement was stood over for further hearing. Costs were reserved.

The final orders include taking the proceeding to have been commenced on a specific date, treating the amended originating process as the originating process, and prohibiting publication or disclosure of certain confidential documents. The application for further orders regarding the funding agreement and the remuneration and expenses of the special purpose receivers and liquidators were to be heard at a later date.