Deputy Commissioner of Taxation v Hickey

The case of Deputy Commissioner of Taxation v Hickey involves the Deputy Commissioner of Taxation, who is seeking orders for the respondents, Mr James Lindsay Hickey and Ms Heather Margaret Horne, to be found guilty of contempt of court for disobeying a Mareva injunction. The injunction was granted by Ipp J of the Supreme Court of Western Australia on 19 July 1996, and the respondents' alleged disobedience occurred thereafter. The Commissioner's motions for contempt orders were heard in the Federal Court of Australia.

The legal issues that the court was required to decide included whether the respondents had indeed disobeyed the Mareva injunction and, if so, what appropriate punishment should be imposed for such contempt. A significant aspect of the decision involved determining the extent to which the respondents were aware of the injunction and whether their actions were deliberate or inadvertent. Another aspect was the consideration of various mitigating factors, including the respondents' personal circumstances and the financial amounts involved.

The court found that both Mr Hickey and Ms Horne had knowingly disobeyed the Mareva injunction by disposing of their assets. The court took into account the severity of the breaches, the amounts of money involved, and the respondents' personal circumstances in determining the appropriate punishment. Mr Hickey was found to have committed more extensive breaches and was sentenced to a fine of $12,000 and ordered to pay the applicant's costs. Ms Horne, while also found guilty of contempt, was ordered to pay a fine of $4,000 and the applicant's costs. Both respondents' motions were stood over for further consideration if the fines or costs were not paid.

In conclusion, the court ordered that Mr Hickey and Ms Horne be found guilty of contempt and imposed fines and costs upon them. The fines and costs were to be paid within six months, and the motions were adjourned for further mention if necessary.