Natkunarajah (Liquidator), in the matter of FLY365 Pty Ltd (in liquidation)

The case of Natkunarajah (Liquidator), in the matter of FLY365 Pty Ltd (in liquidation) involves the appointment of additional liquidators for the company FLY365 Pty Ltd, which is in liquidation. The original liquidator, who was appointed based on the information that the liquidation would not be large or complex, found that the task was more burdensome than anticipated. This decision required the court to address the legal issues of whether it was in the interests of creditors to appoint additional liquidators and whether the liquidators could be required to provide certain information to the creditors electronically.

The court found that the original liquidator did not have sufficient resources to handle the tasks required by the liquidation, and that appointing additional liquidators with distinct roles was in the best interest of the creditors. The court also considered the provision of information to creditors, noting that the company’s records only contained email addresses for some creditors, not postal addresses. The court ruled that the liquidators were justified in providing information electronically to the creditors whose email addresses were available in the company’s records, and that this method was practical and cost-effective. The court, however, refrained from declaring that electronic notification would be validly given to all creditors, as it believed such an order would vary the operation of the legislation.

The final orders of the court appointed two additional liquidators, directed the manner in which certain information must be communicated to the creditors, and allowed the liquidators to comply with their obligations based on the information available from the company's records. The court also ordered that the liquidators must notify the creditors of these orders within seven business days and that the liquidator’s costs of the application would be paid out of the company’s assets.