Federal Court of Australia
Taylor v Hatzipapas, in the matter of Hatzipapas (No 2) [2023] FCA 231
ORDERS
BARRY ANTHONY TAYLOR IN HIS CAPACITY AS TRUSTEE IN BANKRUPTCY OF GEORGE HATZIPAPAS Applicant | ||
AND: | Respondent |
DATE OF ORDER: |
THE COURT ORDERS THAT:
1. Pursuant to section 30(1) and/or section 30(5) of the Bankruptcy Act 1966 (Cth), within 14 days of the date of service of these Orders the respondent is to file with the Official Receiver in Bankruptcy and serve on the applicant a duly completed statement of affairs in compliance with section 54 of the Bankruptcy Act 1966 (Cth).
2. Pursuant to section 30(1) and/or section 30(5) of the Bankruptcy Act 1966 (Cth), within 14 days of the date of service of these Orders the respondent is to comply with the written requirements of the applicant dated 12 May 2020 and 20 August 2020 by (in addition to complying with order 1 above):
(a) delivering up to the applicant all property belonging to the respondent that is not listed in sub-section 116(2) of the Bankruptcy Act 1966 (Cth) and/or regulations 27 to 30 of the Bankruptcy Regulations 2021 (Cth);
(b) producing to the applicant a list containing the details of all bank and other financial institution accounts operated by the respondent (including bank and other financial institution accounts to which the respondent has access);
(c) in addition to (b) above, producing to the applicant copies of all documents, books and records pertaining to the personal and financial affairs of the respondent as well as the financial affairs of any of his associated entities (as defined by sections 5 to 5E of the Bankruptcy Act 1966 (Cth));
(d) surrendering to the applicant the respondent’s passport(s) (if any);
(e) attending at a location and time to be nominated by the applicant for the purposes of conducting an interview with the applicant;
(f) producing to the applicant a statement of account detailing how the proceeds of a loan of $550,000.00 made to the respondent by Zyber Holdings Limited in 2019 (“the Zyber Loan”) were spent by the respondent and the purpose(s) for which the proceeds of the loan were spent;
(g) producing to the applicant a list containing details of any repayments of the Zyber Loan;
(h) producing to the applicant a statement detailing the whereabouts of any money advanced as part of the Zyber Loan that has not been spent or repaid; and
(i) producing to the applicant all supporting documentation in respect of (f) and (h) above.
3. The applicant be granted liberty to apply in the event that the respondent fails to comply with orders 1 and 2 above, such liberty to be exercised by contacting the Associate to Goodman J until notification of the allocation of the proceeding to a docket judge; and thereafter to the Associate to the docket judge.
4. The whole of the proceeding be referred to the National Operations Registrar for allocation to a docket judge.
5. Costs be reserved.
6. Pursuant to r 10.24 of the Federal Court Rules 2011 (Cth) (“the Rules”), the applicant be granted leave to serve sealed copies of these Orders by taking each of the following actions:
(a) leaving a copy of these Orders in the letterbox at 101 Bridgnorth Street, Carindale QLD 4152;
(b) leaving a copy of these Orders as close as is reasonably practicable to the front door of the dwelling situated at 101 Bridgnorth Street, Carindale QLD 4152;
(c) sending a copy of these Orders by email to the following email addresses:
(i) sniper002016@gmail.com;
(ii) georgepapas1@hotmail.com;
(iii) georgepapas002@gmail.com;
(iv) john.tomaras@williamroberts.com.au; and
(d) sending or causing to be sent an SMS message to the mobile telephone number 0474 455 529 in the following terms:
“IMPORTANT: YOUR URGENT ATTENTION IS REQUIRED. DO NOT IGNORE THIS MESSAGE.
On 16 March 2023 the Federal Court of Australia made further orders that directly impact you on the application of your bankruptcy trustee, Mr Barry Taylor of HLB Mann Judd. A sealed copy of the orders made on 16 March 2023 has been left in the letterbox at 101 Bridgnorth Street, Carindale QLD 4152. Copies have also been emailed to “sniper002016@gmail.com”, “georgepapas1@hotmail.com”, “georgepapas002@gmail.com”, and to Mr John Tomaras of William Roberts, at “john.tomaras@williamroberts.com.au”.
You can also obtain a sealed copy of the orders by requesting that they be provided to you from any of the following people:
(i) your bankruptcy trustee, Barry Taylor, either by email at “btaylor@hlbnsw.com.au” or by calling +61 (02) 9020 4115; and
(ii) your bankruptcy trustee’s lawyer, Jonathan O’Loughlin, by emailing “jonathan@olwlaw.com.au”, or by calling +61 416 772 835.”
7. Pursuant to r 10.24 of the Rules, service of these Orders is taken to have been effected upon completion of the actions identified in Order (4)(a) to (d).
Note: Entry of orders is dealt with in Rule 39.32 of the Federal Court Rules 2011.
GOODMAN J
1 By application filed 1 February 2023, the applicant trustee seeks orders pursuant to s 30 of the Bankruptcy Act 1966 (Cth) requiring the respondent to provide a completed statement of affairs and to comply with written directions made to him and written requirements made of him by the trustee.
2 The trustee relies upon his affidavit made on 31 January 2023 (trustee’s affidavit), an affidavit of Mr Bart Dziubinski made on 2 March 2023 and an affidavit of Ms Yiik Chew made on 3 March 2023. That evidence establishes, in so far as is presently relevant, the following.
3 On 8 May 2020, the respondent became bankrupt upon the making of a sequestration order by Judge Manousaridis of the (then) Federal Circuit Court of Australia: Puddick v Hatzipapas [2020] FCCA 1070. The trustee was appointed as trustee of the respondent’s bankrupt estate on the same day.
4 On 12 May 2020, the trustee’s office sent by registered post to the respondent’s known residential address (Bridgnorth Street premises) a letter of that date addressed to the respondent which, amongst other things, required the respondent to:
(1) complete a statement of affairs;
(2) attend an interview with the trustee;
(3) deliver his property to the trustee;
(4) provide all documents, books and records pertaining to his financial and personal affairs; and
(5) surrender his passport to the trustee.
5 On 20 August 2020, the trustee caused a letter addressed to the respondent to be sent to the Bridgnorth Street premises which contained a direction to the respondent under s 77 of the Act to provide particular information to the trustee.
6 The respondent has not complied with the trustee’s directions and requirements.
7 On 1 March 2023 I made orders (1 March 2023 orders) for substituted service of the application and the trustee’s affidavit (which included copies of the 12 May 2020 and 20 August 2020 correspondence), with such service being taken to have been effected upon completion of the following actions: leaving the application, the trustee’s affidavit and the orders made on that day (together, the Documents) in the letterbox at the Bridgnorth Street premises and as close as is reasonably practicable to the front door at the Bridgnorth Street premises; sending the Documents by email to specified email addresses apparently associated with the respondent; and sending or causing to be sent an SMS message to a mobile telephone number apparently associated with the respondent. My reasons for making the 1 March 2023 orders are set out in Taylor v Hatzipapas, in the matter of Hatzipapas [2023] FCA 153.
8 Each of the actions described in the 1 March 2023 orders was taken. The respondent has not filed a notice of appearance or taken any other step in the proceeding. Nor has he made any contact with the trustee or the trustee’s solicitors.
9 The trustee calls in aid s 30(1) and (5) of the Act. The former sub-section provides the Court with a general power to make orders necessary for the purposes of carrying out or giving effect to the Act; and the latter subsection provides, amongst other things, a power to require a bankrupt to comply with a direction or requirement of a trustee under the Act.
10 The evidence establishes a failure by the respondent to comply with various directions and requirements of the trustee and the Act and that service of the Documents has occurred. In these circumstances, it is appropriate that orders be made requiring compliance with the directions and requirements of the trustee and the Act. It is also appropriate to grant leave to the trustee to effect service of the orders made today by the same means of substituted service as described in the 1 March 2023 orders.
11 For these reasons, I will make the orders sought by the trustee.
I certify that the preceding eleven (11) numbered paragraphs are a true copy of the Reasons for Judgment of the Honourable Justice Goodman. |