Thurston and Loomis & Ors

In the matter of *Thurston and Loomis & Ors*, Forrest J of the Family Court of Australia was required to make orders concerning a non-compliant superannuation fund. The dispute involved the parties, Mr Loomis and Ms Thurston, who were directors of the trustee company for the R Superannuation Fund, and the fund itself, which had outstanding debts. The court was tasked with resolving issues arising from the fund's non-compliance and facilitating the repayment of monies owed.

The central legal issues before the court were how to ensure the timely submission of financial statements and tax returns for the non-compliant superannuation fund to the Australian Tax Office, and how to facilitate the repayment of outstanding debts to the fund. Specifically, the court needed to determine the mechanism for compelling the parties to sign necessary documents and to address the repayment of monies owed by Mr Loomis and Ms Thurston to the fund, including the use of a Transition to Retirement Pension.

Forrest J applied principles of family law property adjustment and the court's power to make orders to facilitate the proper administration of superannuation funds in property settlement proceedings. The court's reasoning focused on practical steps to rectify the non-compliance and recover debts. Orders were made authorising an expert accountant, Mr BG, to direct the parties in signing documents for the submission of financial statements and tax returns. Crucially, the court also authorised the Senior Registrar to sign these documents if either party refused, pursuant to s 106A of the *Family Law Act 1975*. Furthermore, orders were made for Mr Loomis to receive a Transition to Retirement Pension payment, which was to be immediately repaid to the fund to reduce his and Ms Thurston's debt. The court also directed the consolidation of funds held in various accounts into an account held by Mr RO as trustee, pending further order, and stayed the final property adjustment orders pending the completion of an Australian Tax Office review of the fund.