Charan v Gleeson (No 2)

[2013] FCA 1005

FEDERAL COURT OF AUSTRALIA

Charan v Gleeson (No 2) [2013] FCA 1005

Citation:		Charan v Gleeson (No 2) [2013] FCA 1005
Parties:		USHA WATI CHARAN v BRUCE GLEESON IN HIS CAPACITY AS TRUSTEE OF THE BANKRUPT ESTATE OF PRASHANT PRASHIKAR CHARAN
File number:		NSD 1761 of 2011
Judge:		MCKERRACHER J
Date of judgment:		3 October 2013
Catchwords:		BANKRUPTCY – payment of money into Court by applicant as security for costs – appeal dismissed – respondent sought order for payment of money out of Court – where applicant subsequently became bankrupt – whether money paid into Court vested in the bankrupt’s estate
Legislation:		Federal Court Rules 2011 (Cth) r 2.42(2)
Cases cited:		Bailey v Marinoff (1971) 125 CLR 529 Charan v Gleeson [2012] FCA 236 London County Council v Monks [1959] Ch 239 Re Lovering; Galladin Pty Ltd (Receiver and Manager Appointed) v Jackson (1994) 50 FCR 587
Date of hearing:	Determined on the papers
Date of last submissions:	23 September 2013
Place:	Perth
Division:	GENERAL DIVISION
Category:	Catchwords
Number of paragraphs:	12
Counsel for the Applicant:	The applicant filed submissions in person
Counsel for the Respondent:	Mr JD O'Connor
Solicitor for the Respondent:	Gillis Delaney Lawyers
IN THE FEDERAL COURT OF AUSTRALIA
NEW SOUTH WALES DISTRICT REGISTRY
GENERAL DIVISION			NSD 1761 of 2011

BETWEEN:	USHA WATI CHARAN Applicant
AND:	BRUCE GLEESON IN HIS CAPACITY AS TRUSTEE OF THE BANKRUPT ESTATE OF PRASHANT PRASHIKAR CHARAN Respondent

JUDGE:	MCKERRACHER J
DATE OF ORDER:	3 OCTOBER 2013
WHERE MADE:	PERTH

THE COURT ORDERS THAT:

1.The moneys paid into Court by the applicant in the proceedings pursuant to the orders of Rares J of 14 December 2011 and any interest earned on the said moneys be paid to the respondent’s solicitors forthwith. 

Note:Entry of orders is dealt with in Rule 39.32 of the Federal Court Rules 2011.

IN THE FEDERAL COURT OF AUSTRALIA
NEW SOUTH WALES DISTRICT REGISTRY
GENERAL DIVISION	NSD 1761 of 2011

BETWEEN:	USHA WATI CHARAN Applicant
AND:	BRUCE GLEESON IN HIS CAPACITY AS TRUSTEE OF THE BANKRUPT ESTATE OF PRASHANT PRASHIKAR CHARAN Respondent

JUDGE:	MCKERRACHER J
DATE:	3 OCTOBER 2013
PLACE:	PERTH

REASONS FOR JUDGMENT

Introduction

1. Mr Gleeson seeks payment out of Court to him, a sum paid into Court by Mrs Charan by way of security of costs on an appeal.  His application is opposed.  Further, Mrs Charan seeks to contend that the decision in the appeal should be reversed. 

   Background

2. The original proceedings giving rise to this disputation were commenced in November 2010 by Mr Gleeson (as trustee in bankruptcy) against Mrs Charan and her husband seeking various orders including orders pursuant to s 120 and s 121 of the Bankruptcy Act 1966 (Cth) (BA).  On 21 September 2011, judgment was given in favour of Mr Gleeson in the Federal Magistrates Court (now the Federal Circuit Court of Australia).  Mrs Charan and her husband were ordered to pay the costs of the proceedings in that Court. 

3. Mrs Charan appealed to this Court from the decision of…