Bailey Roberts Group Pty Ltd - Case Update

The Court has refused to order an inquiry into a liquidator’s conduct over his failure to comply with a subpoena for the production of documents.

The liquidator had taken the position that very large costs would be incurred to identify and produce the documents, and had failed to appear when the subpoena was returnable. The liquidator later consented to a production order.

The Court stated: “The Liquidator has fairly apologised to the Court in respect of the delay in compliance with the subpoena and, with respect, that apology was rightly made. His solicitors have also apologised in respect of the non-appearance on two occasions when the subpoena was returnable before the Registrar. It is important that liquidators understand that, even where they are not funded in a liquidation, they do not have immunity from compliance with compulsive orders of the Court. The Court had here issued a subpoena for the production of documents which had compulsive force. The choices available to the Liquidator were to comply with it or seek to set it aside, and there was no third option available by which the Liquidator could unilaterally choose not to comply with the subpoena without making any attempt to set it aside.”

Read the decision here.