Moss and Inspector-General in Bankruptcy

This matter concerned a review of the Inspector-General in Bankruptcy's decision to refuse to overturn a Notice of Objection to Discharge filed by the Trustee against the Applicant, who was bankrupt. The Applicant sought to have the objection set aside, but the Respondent had upheld the Trustee's decision.

The Administrative Appeals Tribunal was required to determine whether the Trustee was entitled to issue a notice of objection to the bankrupt's discharge on the grounds of falsehood and lack of credibility, stemming from the bankrupt's conduct and explanations regarding certain transactions. Specifically, the Tribunal had to consider whether the transactions were bona fide or a sham designed to defeat creditors, and whether there was any reasonable excuse for the bankrupt's conduct.

The Tribunal considered the protracted history leading to the bankruptcy, including various loan agreements and property transactions. It found that the Applicant had been caught in a falsehood and demonstrated a complete disregard for his oath and undertaking. The Tribunal concluded that the transactions in question were not bona fide, but rather a sham designed to defeat creditors, and that there was no reasonable excuse for the Applicant's conduct.

The Tribunal affirmed the Respondent's decision to uphold the Trustee's Notice of Objection to Discharge.