Weston and Inspector-General in Bankruptcy

This matter concerned an application by the Other Party to reopen a hearing before Mrs J C Kelly, Senior Member of the Administrative Appeals Tribunal. The dispute arose from the Other Party's objection to his discharge from bankruptcy, specifically concerning two grounds, paragraph 149D(1)(d) and 149D(1)(f) of the relevant Act. The Other Party sought to reopen the hearing on the basis that the Inspector-General in Bankruptcy (the Respondent) had changed its position during the substantive hearing, leading the Other Party to believe he did not need to present submissions regarding a "reasonable excuse" for the cancelled ground.

The legal issues before the Senior Member were whether the Respondent's change of position at the substantive hearing constituted a sufficient ground to reopen the proceedings, and whether the Other Party's alleged belief that the Respondent would maintain its original stance justified such reopening. The Other Party also contended that a diagnosis of Bipolar II disorder might have impaired his judgment, potentially accounting for his belief that his payable income assessment could be reviewed.

The Senior Member considered the public interest in the finality of review applications and recognised four classes of cases where a hearing might be reopened. The Respondent argued that its duty as a decision-maker was to assist the Tribunal in reaching the correct or preferable decision, rather than to defend its initial decision. The Senior Member acknowledged that the Respondent had indeed taken a different position at the substantive hearing, indicating that it may not have had reasons for cancelling the paragraph 149D(1)(d) ground. However, the Senior Member found that this change of position, and the Other Party's subsequent belief about the need to present submissions on reasonable excuse, did not establish a ground for reopening the hearing. The psychiatric diagnosis was also not found to be a basis for reopening.

The application by the Other Party to reopen the hearing was refused.