Pascoe; in the matter of Hudson

In the matter of Hudson, the Trustee in Bankruptcy, represented by the Official Trustee, sought to obtain information regarding the distribution of a significant sum of money to the Bankrupt from Public Trust, a trustee in New Zealand. The Bankrupt had left Australia without consent, contravening the Bankruptcy Act 1966 (Cth), and had failed to provide the Trustee with required information about his assets, income, or expected income. The Trustee sought to issue a letter of request to the High Court of New Zealand to obtain the necessary information, arguing that the Bankrupt might hide any assets if notified of the application.

The court had to determine whether the Trustee should be required to give notice to the Bankrupt of the application, and if the Trustee could issue the letter of request to the High Court of New Zealand to obtain the information. The court also had to decide whether the Official Assignee for New Zealand would need to become involved in the proceedings.

The court accepted the Trustee's submission that notice should not be given to the Bankrupt, as the Bankrupt might hide any assets if notified of the application. The court found that it was urgent that the letter be issued and the information obtained. The court also determined that the letter of request should be expressed in a broad form to accommodate both possibilities: the High Court of New Zealand directly authorising or directing Public Trust, or appointing the Official Assignee of New Zealand as the Trustee's agent to obtain the information and provide it to the Trustee.

The court granted leave to the Trustee to file the application and affidavits, issued a letter of request to the High Court of New Zealand, and ordered that if any part of the sum of NZD92,946.90 or any assets representing that sum or any part of it were recovered by the Trustee, the Trustee must not distribute or part with such part of that sum or of those assets until the Bankrupt had been served with a sealed copy of the orders and a copy of the accompanying reasons for judgment, and any application by the Bankrupt for a variation or setting aside of the orders had been heard and determined. The Trustee also had liberty to apply on 24 hours' notice.