Re Slingo, J.P. Ex Parte Prentice, M.W

[1992] FCA 1000

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m U P T C Y - application brought by trustee under S. 208(a) of Bankru~tcv Act 1966 (Cthl for order releasing debtor's property from control - no quorum present in all three meetings called - meaning of phrase "meeting of creditors".

- ss. 204 and 208

Re Janet Phoebe Slinao: Ex Darte Maxwell William Prentice

QX 116 of 1991

Drummond J
Brisbane

6 November, 1992

RE:  JANET PHOEBE SLING0

EX PARTE: MAXWELL WILLIAM PRENTICE

MINUTES OF ORDER

JUDGE MAKING ORDER:	Drummond J
DATE OF ORDER:	6 November, 1992
WHERE MADE:	Brisbane
THE COURT ORDERS THAT:

1.         The trustee's application filed 5 October, 1992 is dismissed.

NOTE :  Settlement and entry of orders is dealt with in Rule
124 of the Bankruptcy Rules.

I N THE FEDEm COURT OF AUSTRALIA	)	No.	QX 116 of 1 9 9 1
GENERAL DIVISION	1
BANKRUPTCY DISTRICT OF	1
THE STATE OF OUEENSLAND	1

RE :  JANET PHOEBE SLING0

EX PARTE: MAXWELL WILLIAM PRENTICE

Corm:	Drummond J
Date:	6 November, 1992
Place:	Brisbane

EX TEMPORE RIWGONS FOR JUDGMENT

This is an app l ica t ion by a t r u s t e e appointed by

au tho r i t y of t h e debtor under S . 1 8 8 ( l ) ( e ) of t h e Bankruptcv

A c t 1966 f C t h l f o r an order t h a t t h e debtor ' s property be

re leased from con t ro l under Division 2 of P a r t X of t h e

Bankru~tcv A c t pursuant t o S. 208(a ) .

The pos i t i on t h a t emerges from t h e mate r ia l before

m e is t h a t t h e t r u s t e e has attempted t o convene a meeting of

t h e debtor ' s c r e d i t o r s on no less than t h r e e occasions.

Meetings o r adjourned meetings w e r e he ld on 7 October,	2 1
October, and 4 November, 1992 .	On each of 7 and 21 October

t h e meetings convened f o r those da t e s w e r e adjourned t o

subsequent da t e s , f o r t h e reason t h a t no quorum was present .

The t h i r d at tempt t h e t r u s t e e made t o convene a meeting of

creditors on the adjourned date, 4 November, also resulted in

a situation where no quorum was present.

It is against that background that the trustee has

brought this application.

Section 208 of the Bankruptcy Act provides:

"The Court may, by order, on the application of an interested person, release a debtor's property from control under this Division if -

(a) a meeting of creditors called in pursuance of an authority under section 188 has not, within 4 months from the date for which the meeting was first called, passed one of the special resolutions referred to in subsection 204(1); or

(b) ...".

All of the elements of S. 208(a) are satisfied on the material before me, save for the question whether there has been a "meeting of creditors" within the meaning of that term in S. 208(a). It seems to me that the subsection can

only operate if there has in fact been a meeting of creditors

capable of passing one or other of the special resolutions

referred to in S. 204(1). A meeting of creditors at which

there are too few creditors in value or number to constitute a

>

quorum is not, I think, a meeting of creditors within S.

No submissions to the contrary have been put to me by Mr. Denby, who appears on behalf of the trustee.

In these circumstances, I think the only course open to me is to dismiss the application.

I certify that this and the preceding
two pages is a true copy of the
reasons for judgment herein of the

Honourable Mr. Justice Drummond.

Associate: PT""" Date: 6 November , 19 92