In the matter of the bankrupt estates of George Xenikis and Patricia Xenikis; Ian Russell Lock as trustee of the bankrupt estates of George Xenikis and Patricia Xenikis

[2007] FCA 1670

FEDERAL COURT OF AUSTRALIA

In the matter of the bankrupt estates of George Xenikis and Patricia Xenikis;  Ian Russell Lock as trustee of the bankrupt estates of George Xenikis and Patricia Xenikis [2007] FCA 1670

IAN RUSSELL LOCK AS TRUSTEE OF THE BANKRUPT ESTATES OF GEORGE XENIKIS AND PATRICIA XENIKIS

No SAD 142 of 2007

FINN J
1 NOVEMBER 2007
ADELAIDE

IN THE FEDERAL COURT OF AUSTRALIA
SOUTH AUSTRALIA DISTRICT REGISTRY	SAD 142 OF 2007

IN THE MATTER OF THE BANKRUPT ESTATES OF GEORGE XENIKIS AND PATRICIA XENIKIS

IAN RUSSELL LOCK AS TRUSTEE OF THE BANKRUPT ESTATES OF GEORGE XENIKIS AND PATRICIA XENIKIS Applicant
JUDGE:	FINN J
DATE OF ORDER:	1 NOVEMBER 2007
WHERE MADE:	ADELAIDE

THE COURT ORDERS THAT:

1.Pursuant to s 146 of the Bankruptcy Act 1966 (Cth) the applicant be authorised to make payment of a dividend of funds available for distribution to the creditors of the bankrupt estates of George Xenikis and Patricia Xenikis in the sum of $16,635.73.

Note:    Settlement and entry of orders is dealt with in Order 36 of the Federal Court Rules.

IN THE FEDERAL COURT OF AUSTRALIA
SOUTH AUSTRALIA DISTRICT REGISTRY	SAD 142 OF 2007

IN THE MATTER OF THE BANKRUPT ESTATES OF GEORGE XENIKIS AND PATRICIA XENIKIS

IAN RUSSELL LOCK AS TRUSTEE OF THE BANKRUPT ESTATES OF GEORGE XENIKIS AND PATRICIA XENIKIS Applicant
JUDGE:	FINN J
DATE:	1 NOVEMBER 2007
PLACE:	ADELAIDE

REASONS FOR JUDGMENT

1. This is an application by Ian Russell Lock as trustee of the bankrupt estates of George Xenikis and Patricia Xenikis in which orders are sought (i) that pursuant to s 146 of the Bankruptcy Act 1946 (Cth) the applicant be authorised to make payment of a dividend of funds available for distribution to the creditors of the bankrupt estates of George and Patricia Xenikis; and (ii) as filed, that the fees of the trustee for the conduct of the administration be approved for payment from the funds of the estate at the trustee’s firm’s normal charge-out rates (up to a maximum of $5,500 including GST).

2. I indicated on a previous hearing of this matter that this court had no jurisdiction to make the second order, a matter conceded by the representative of Mr Lock.  That order is no longer sought.

3. The affidavit of Mr Lock details the course of the administration of the bankrupts’ estates.  It is clear that they have done very little to assist any orderly realisation of their assets.  They failed to file statements of affairs and subsequently were prosecuted and fined under s 54 of the Act for their so doing.

4. The joint estate of the parties was a small one consisting of real property.  Its realisation produced a sum of $71,591.97.  That sum has, over time, been increased by some $981.55 in interest payments.  It nonetheless has been reduced considerably by disbursements and statutory charges and to a lesser extent by solicitors fees, advertising and bank charges.

5. On the figures provided by the trustee, as amended since the last hearing, the funds available for distribution now stand at the sum of $16,635.73, that amount being reached after the payment of the petitioning creditor’s costs.  While it is regrettable that so small a sum is available for distribution amongst the creditors, no useful purpose would be served in protracting this administration.

6. Accordingly, I make the orders sought under section 146 for distribution of the sum I have indicated, to the creditors of the bankrupt estates of Mr and Mrs Xenikis.

I certify that the preceding six (6) numbered paragraphs are a true copy of the Reasons for Judgment herein of the Honourable Justice Finn.

Associate:

Dated:        1 November 2007

Counsel for the Applicant:	Mr N Fryer (as representative of Mr I Lock)
Date of Hearing:	1 November 2007
Date of Judgment:	1 November 2007