ZHANG (Migration)

This matter concerned an appeal to the Tribunal by Mr. Zhang (the applicant) and two other individuals (the second and third named applicants) regarding the refusal of their Business Skills (Residence) (Class DF) visas, specifically Subclass 890 (Business Owner). The core of the dispute revolved around whether the applicant met the asset requirements stipulated by clause 890.212 of the Migration Regulations 1994.

The Tribunal was required to determine if the applicant, his spouse, or de facto partner, together, possessed assets in their main Australian business with a net value of at least AUD100,000 throughout the 12 months preceding the application, and if these assets were lawfully acquired. A further issue arose concerning the jurisdiction of the Tribunal to consider the application of the second named applicant, Ms. Lei, who was not in the migration zone at the relevant times.

The Tribunal affirmed the decision to refuse the visa to the first and third named applicants, finding that the applicant had failed to demonstrate that the business met the net asset threshold. The Tribunal did not accept that a director's loan of $300,000, which was immediately transferred to another company, United World, constituted a genuine asset of the business. Similarly, an investment in a Chinese company, Uwell (Shanghai) Trading, was deemed not to be an asset for a business operating in Australia. Consequently, the Tribunal concluded that the net value of the assets in the business was less than $100,000. Regarding the second named applicant, the Tribunal found it lacked jurisdiction to review her application as she was not in the migration zone when the decision was made or when the review application was filed.