Benjamin and Khoury Solicitors v Kessly (No.2)

In the matter of *Benjamin and Khoury Solicitors v Kessly (No.2)*, the Supreme Court of New South Wales, constituted by Judge Street, considered an application for a sequestration order against the estate of Evangelina Francisca Kessly. The petitioning creditor sought this order pursuant to section 27 of the *Bankruptcy Act 1966* (Cth).

The central legal issues before the Court were whether the petitioning creditor had established the requisite proof of the matters required under section 52(1) of the *Bankruptcy Act 1966* and whether there was any sufficient cause for refusing to make a sequestration order.

Judge Street granted leave for Rudra Legal Corporation to withdraw from the proceedings and refused an oral application for an adjournment. The Court also dispensed with the need for a further updated affidavit of debt. Applying the principles of the *Bankruptcy Act 1966*, the Court found that the petitioning creditor had satisfied the necessary conditions and that no sufficient cause existed to prevent the making of a sequestration order. Consequently, a sequestration order was made against the estate of Evangelina Francisca Kessly. The Court further ordered that the petitioning creditor's further costs, in addition to any existing costs orders, be paid out of the bankrupt estate in accordance with its priority, in the sum of $9,000.00. The act of bankruptcy was noted as having occurred on 11 February 2019, and consent to act as trustee had been filed in respect of Kristen Beadle.