Breach of Duties by Liquidator: Case Analysis of Asden Developments Pty Ltd v Dinoris

BUSINESS AND
CORPORATE
LAW
Aditi Singla EMV80153
Navdeep Kaur EMV8997
Abhishek Singh SIDHU BIS8018
Varinderpreet Kaur EMV80151
Kuljeet Singh EMV80253

CASE INTRODUCTION
Asden Developments Pty Ltd (in liq) v
Dinoris (No 3) [2016] FCA 788
 Liquidator contravened the provisions
of section [180] of the CA;
 Company indulged into an ‘elaborate’
scheme and incorporated organization
called CJI Investments Pty Limited;
 The money of Asden was sent to a
company called Urban Property where
the sole director was PITs;

 Company had transferred such funds
to TJI and Asden was placed in
liquidation;
 The liquidator had been notified that
the director did not get the money
personally;
 The liquidator did not make any
attempt to personally contact the
director on the part of the liquidator;

BREACH OF DUTIES
 Breach of Section [180] of the CA-
Obligation of directors to act with
diligence and care while discharging
their duties;
 Breach of Section [180(1)] of the CA-
Director Compliance with Business
judgment rule incorporated in the CA
through the provisions of section
180(2);