Federal Court does away with formal proof of debt

Mark Wilks, Brooke Egan and Ruby Divola of Corrs share that the Federal Court has recently approved an abridged process that allowed the liquidator to admit debts of a group of unsecured creditors without requiring a formal proof of debt, noting that the courts will consider a departure from the traditional process if satisfied that the formal procedure would deplete the distribution pool and ultimate return to creditors.

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