REHMAN v Om SAI Indian Grocery Store Pty Ltd

In the matter of *Rehman v Om SAI Indian Grocery Store Pty Ltd*, the applicant, Mr. Rehman, sought to have the respondent, Om SAI Indian Grocery Store Pty Ltd, declared bankrupt. The dispute arose from an alleged debt owed by the respondent to the applicant. The application was heard by Judge Riethmuller in the Federal Court of Australia.

The primary legal issue before the Court was whether the respondent had failed to comply with a bankruptcy notice issued by the applicant. Specifically, the Court had to determine if the respondent had satisfied the debt, entered into a satisfactory proposal for payment, or applied to set aside the bankruptcy notice within the prescribed time frame.

Judge Riethmuller found that the respondent had not taken any of the required steps to avoid bankruptcy following the issuance of the notice. The Court was satisfied that the bankruptcy notice had been properly served and that the respondent had failed to comply with its terms. Consequently, the Court concluded that the respondent was unable to pay its debts.

The Court ordered that the respondent be made bankrupt.