Corporations Act 2001

CHAPTER 5 - EXTERNAL ADMINISTRATION  

PART 5.6 - WINDING UP GENERALLY  

Note: This Part applies to a sub-fund of a CCIV in a modified form: see Division 5 of Part 8B.6 .

Division 8 - Pooling  

Subdivision A - Pooling determinations  

SECTION 579A   COURT MAY VARY OR TERMINATE POOLING DETERMINATION  

579A(1)    
If a pooling determination is in force in relation to a group of 2 or more companies, the Court may make an order varying or terminating the pooling determination if the Court is satisfied that:

(a)    information that was about the business, property, affairs or financial circumstances of a company in the group, and that:

(i) was false or misleading; and

(ii) can reasonably be expected to have been material to eligible unsecured creditors of a company in the group in deciding whether to vote in favour of a resolution to approve the making of the pooling determination;

was given to:

(iii) the liquidator of a company in the group; or

(iv) eligible unsecured creditors of a company in the group; or

(b)    

information that was about the business, property, affairs or financial circumstances of a company in the group, and that:

(i) was false or misleading; and

(ii) can reasonably be expected to have been material to eligible unsecured creditors of a company in the group in deciding whether to vote in favour of a resolution to approve the making of the pooling determination;

was contained in a document that accompanied a notice of the meeting at which the resolution was passed; or

(c)    

there was an omission from such a document, and the omission can reasonably be expected to have been material to any of those eligible unsecured creditors in deciding whether to vote in favour of a resolution to approve the making of the pooling determination; or

(d)    effect cannot be given to the pooling determination without injustice or undue delay; or

(e)    the pooling determination would materially disadvantage an eligible unsecured creditor who is an applicant for the order; or

(f)    the pooling determination would be oppressive or unfairly prejudicial to, or unfairly discriminatory against, an applicant for the order who is an eligible unsecured creditor of a company in the group; or

(g)    the pooling determination would be contrary to the interests of the creditors of the companies in the group, considered as a whole; or

(h)    in a case where a company in the group is being wound up under a members ' voluntary winding up:

(i) the pooling determination would materially disadvantage a member of the company who is an applicant for the order; or

(ii) the pooling determination would be oppressive or unfairly prejudicial to, or unfairly discriminatory against, one or more such members; or

(iii) the pooling determination would be contrary to the interests of the members of the company as a whole; or

(i)    the pooling determination should be varied or terminated for some other reason.

Note: For eligible unsecured creditor , see section 579Q .

579A(2)    
An order may only be made on the application of:

(a)    a creditor of a company in the group; or

(b)    in a case where a company in the group is being wound up under a members ' voluntary winding up - a member of the company, so long as the member is not a company in the group; or

(c)    any other interested person.

579A(3)    

If the Court makes an order under subsection (1) , the applicant for the order must:

(a)    lodge with ASIC a notice setting out the text of the order; and

(b)    do so within 2 business days after the making of the order.

The notice must be in the prescribed form.