Caron v Said Jahani and John McInerney as joint and several liquidators of Courtenay House Capital Trading Group Pty Ltd (In liq) and Courtenay House Pty Ltd (In liq)

The case of *Caron v Said Jahani and John McInerney as joint and several liquidators of Courtenay House Capital Trading Group Pty Ltd (In liq) and Courtenay House Pty Ltd (In liq)* concerned an application for directions regarding the distribution of funds deposited by specific categories of investors in unregistered managed investment schemes that were in liquidation. The proceedings were before the Court of Appeal of New South Wales.

The primary legal issues before the court were whether to grant leave for the appellants to commence and proceed with an appeal against the liquidators, and how to appoint representative parties for different groups of investors to conduct the appeal. Additionally, the court was required to determine directions concerning the payment of legal costs and disbursements incurred by the parties in relation to the appeal, including the liquidators' own costs.

The Court of Appeal granted leave for the appellants to commence and proceed with their appeal against the liquidators. It appointed the appellants to represent themselves and a defined group of "Post 21 April 2017 Westpac Investors," and appointed J P Melocco Pty Ltd to represent itself and all other beneficial owners. The court further directed that the liquidators were justified in paying the legal costs and disbursements of the appellants and J P Melocco Pty Ltd, as well as their own costs, subject to approval by the Committees of Inspection or, in the absence of such approval, examination and approval by a Registrar of the Court of Appeal. These costs were to be paid from the Westpac Accounts on an interim basis, with the ultimate allocation of costs to specific funds reserved for the appeal hearing. The appeal was relisted for the fixing of a timetable for further interlocutory steps.