Powell v Aymkone Pty Limited

The case of Powell v Aymkone Pty Limited was heard in the court and involved a dispute over the ownership of US$310,000 that was received by Aymkone, a licensed securities dealer. Powell, the plaintiff, claimed that he was the true owner of the money, which was to be invested according to his instructions, and that Aymkone held the funds in trust for him. The court needed to determine whether Aymkone was aware of the trust and whether it was accountable to Powell.

The central legal issue the court had to resolve was whether Aymkone was on notice of the trust that Powell claimed to have established over the funds. Powell argued that he had informed Pooley, the principal of Aymkone, over the phone about the intended investment and the terms under which the funds were to be held in trust for him. Aymkone, however, maintained that no such conversation took place, and it had no knowledge of the trust or any obligation to Powell. The court had to examine the evidence presented regarding the communication between Powell and Aymkone to ascertain whether Aymkone had actual or constructive notice of the trust.

The court concluded that there was no evidence to support Powell's claim that a telephone conversation with Pooley had taken place. Furthermore, the court found that Aymkone had no notice of the trust for Powell, as the funds were deposited under the names of Camm and Therrien, with Therrien being a fictitious reference. Since Aymkone was not on notice of the trust, it could not be held accountable to Powell. Consequently, the court dismissed Powell's proceedings.