Director General, Department of Services, Technology and Administration v Veall (No 2)

In Director General, Department of Services, Technology and Administration v Veall (No 2), the plaintiff sought injunctive and declaratory relief as well as orders for restitution against three defendants who were associated with TLC Consulting Pty Limited, an introduction agency that was placed into administration in 2009. The court was required to determine whether the third defendant, who was the sole director and secretary of TLC, was liable for the misleading and deceptive conduct and unconscionable conduct of the agency. The proceedings against the first and third defendants proceeded ex parte, while the proceedings against the second defendant were yet to commence.

The court had to decide whether the third defendant was accessorially liable for the conduct of TLC. The court considered whether the third defendant had a "practical connexion" with the contraventions by TLC of the relevant legislation, and whether he was "concerned" in those contraventions. The court found that the third defendant had a significant role in TLC's operations, and had a "practical connexion" with the contraventions by TLC. The court also found that the third defendant had a "very clear awareness" of what TLC was prevented from doing, and was thus liable for the conduct of TLC.

The court held that the third defendant was accessorially liable for the misleading and deceptive conduct and unconscionable conduct of TLC. The court found that the third defendant had a "practical connexion" with the contraventions by TLC, and was thus "concerned" in those contraventions. The court also found that the third defendant had a significant role in TLC's operations, and had a "very clear awareness" of what TLC was prevented from doing. The court ordered that the third defendant pay restitution to the plaintiff in the amount of $300,000, and that he be prohibited from being involved in the operation of any business that provides services similar to those provided by TLC. The proceedings against the first and second defendants were yet to commence.