Comer v Commissioner of Inland Revenue

[2020] NZHC 955

IN THE HIGH COURT OF NEW ZEALAND GREYMOUTH REGISTRY

I TE KŌTI MATUA O AOTEAROA MĀWHERA ROHE

CIV-2019-418-4

[2020] NZHC 955

IN THE MATTER

of the Insolvency Act 2006

AND

IN THE MATTER

of the bankruptcy of PAUL DESMOND COMER

BETWEEN

PAUL DESMOND COMER

Applicant

AND

THE COMMISSIONER OF INLAND REVENUE

First Respondent

AND

THE OFFICIAL ASSIGNEE

Second Respondent

Hearing:	11 May 2020
Counsel:	A G Whitcombe for Applicant (appearance by AVL) No appearance for Respondents
Judgment:	11 May 2020

JUDGMENT OF ASSOCIATE JUDGE LESTER

(on application for annulment of bankruptcy)

This judgment was delivered by me on 11 May 2020 at 3.30pm pursuant to Rule 11.5 of the High Court Rules

Registrar/Deputy Registrar 11 May 2020

COMER v THE COMMISSIONER OF INLAND REVENUE [2020] NZHC 955 [11 May 2020]

[1]        Paul Desmond Comer was bankrupted on the application of the Inland Revenue Department on 30 September 2019.

[2]        On 12 February 2020, Mr Comer applied for an order annulling his bankruptcy under s 309(1)(b) of the Insolvency Act 2006 (“the Act”).

[3]Sections 309 of the Act provides:

(1)The Court may, on the application of the Assignee or any person interested, annual the adjudication if -

(a)…

(b)the court is satisfied that the bankrupt’s debts have been fully paid or satisfied and that the Assignee’s fees and costs incurred in the bankruptcy having been paid; or

[4]        Counsel   for   the   Commissioner   of   Inland   Revenue   Department    (“the Commissioner”), filed a memorandum (dated 31 March 2020) seeking that their appearance be excused when the application for annulment was called on the basis that the Official Assignee has confirmed that it holds funds to pay all debts, costs and expenses involved in the bankrupt’s estate. The Commissioner does not oppose the application.

[5]        The Official Assignee has filed a report confirming that Mr Comer’s adjudication has been advertised and that it has no objection to the annulment under s 309(1)(b) of the Act.

[6]        Given that all of Mr Comer’s debts, along with the Official Assignee’s fees and disbursements, have now been paid to the Official Assignee, this is the very situation that s 309(1)(b) of the Act is aimed at.

[7]        Accordingly, I am satisfied that it is appropriate that there be an order annulling the bankruptcy of Paul Desmond Comer, and I so order.

Associate Judge Lester

Solicitors:

Whitcombe Guinness and Kitchingham, Greymouth

Copy to:

The Official Assignee

Commissioner of Inland Revenue Department