In the matter of Michell as Trustee of the bankrupt estate of Almosawy (Bankrupt) v Al Mosawy

In the matter of Michell as Trustee of the bankrupt estate of Almosawy (Bankrupt) v Al Mosawy, the applicant, the trustee of the bankrupt estate of Maitham Almosawy, sought to have certain transactions declared void. The dispute concerned payments totalling $115,000 made by the bankrupt to the respondent. The matter was heard by Judge Burchardt.

The primary legal issue before the court was whether the transactions, by which the bankrupt paid $115,000 to the respondent, were voidable under sections 120 and 121 of the *Bankruptcy Act 1966* (Cth). These sections deal with transactions entered into to defeat or delay creditors, or which are not for the benefit of the bankrupt's estate.

Judge Burchardt found that the transactions were indeed void pursuant to sections 120 and 121 of the *Bankruptcy Act 1966* (Cth). The court declared the transactions void and ordered the respondent to repay the sum of $115,000 to the applicant, together with interest calculated at $3,265.53. The respondent was also ordered to pay the applicant's costs of the proceedings.