Griffin Coal - Case Update

The Federal Court of Australia has rejected a bid by Bluewaters Power, the largest creditor of Griffin Coal, for an inquiry into the conduct of receivers and managers from Deloitte.

Bluewaters alleged that Deloitte’s Matthew Donnelly, Sean Holmes and Grant Sparks, receivers and managers of Griffin Coal, may have acted unlawfully by "seeking to procure the liquidators" of Griffin to terminate its coal supply contracts.

The Court found that the alleged misconduct was of a relatively minor nature, largely turning on points of contractual interpretation which, if sustained, appeared to be driven by an honest but mistaken apprehension about the nature of the receivers’ functions and powers.

Read the decision here.