Lee v Matrix Custodian Limited

[2014] NZHC 28

IN THE HIGH COURT OF NEW ZEALAND AUCKLAND REGISTRY

CIV-2009-404-003231 [2014] NZHC 28

UNDER  the Insolvency Act 2006

IN THE MATTER             of the bankruptcy of JAE SIM LEE BETWEEN  JAE SIM LEE

Applicant

ANDMATRIX CUSTODIAN LIMITED Respondent

Hearing:                   30 January 2014

Appearances:           G Bogiatto for Applicant

C T Jones for Respondent

Judgment:                30 January 2014

JUDGMENT OF VENNING J

Solicitors:           G Bogiatto, Auckland

Official Assignee, Auckland

JAE SIM LEE v MATRIX CUSTODIAN LIMITED [2014] NZHC 28 [30 January 2014]

[1]      The applicant Ms Lee seeks an order that she be discharged from bankruptcy. In short, the grounds are that she was adjudicated bankrupt on 3 September 2009. However, as she failed to provide a statement of affairs to the Official Assignee until

2 October 2013, the three year period normally applying to bankruptcy would not run from that date with the effect that she otherwise would not be entitled to be released from bankruptcy until October 2016.

[2]      As  counsel  have  observed  that  would  mean  she  would  be  subject  to bankruptcy for a period of over seven years.

[3]      There is jurisdiction for such an order.  Section 290 provides bankrupts are automatically discharged from bankruptcy three years after the filing of a statement of affairs but may apply to be discharged earlier.

[4]      The application is supported by an affidavit from the applicant.   In it she confirms that she has limited understanding of the English language and did not understand her obligation to file a statement of affairs when she was adjudicated bankrupt.  She only realised the situation when she very recently took advice about her position.

[5]      Ms Lee and her husband were bankrupted in 2009 as a result of the failure of a development company they were interested in.   The development company had been undertaking residential developments in the Whangarei area.   The company failed and was placed in liquidation in May 2010.

[6]      All  creditors  who  proved  in  bankruptcy  have  been  served  with  this application.   None of them have taken any steps to oppose the application.   The Official Assignee has filed a report confirming that the Assignee has not been able to realise any assets in the bankrupt estate.   The Assignee does not oppose the application.   He confirms, to the extent relevant, apart from the failure to file the statement of affairs as required, Ms Lee cooperated with the Official Assignee.

[7]      Having reviewed the supporting material I am satisfied that the orders sought are appropriate.  I particularly take into account that the bankrupt has already served a period of in excess of four years as a bankrupt.

[8]      Accordingly there will be orders discharging her from bankruptcy.  Costs to lie where they fall.

Venning J