Friday 25 October 2013

Scott and Pascoe poised to get Godfrey

PPB Advisory's Andrew Scott
Photo: SiN Images
MURRAY Godfrey, registered liquidator and official liquidator of the NSW Supreme Court and the Federal Court, is facing a creditor’s petition hearing over a $160,000 judgement debt.

The petition application was filed in the Federal Court on Wednesday, October 23. 

Also filed was a consent authority, signed a day earlier by Andrew Scott and Scott Pascoe of PPB Advisory

The filings come less than a week after a court dismissed Godfrey's application to have a bankruptcy notice set aside. 

Scott and Pascoe have agreed to act as trustees of Godfrey’s estate in the event the court orders sequestration and Godfrey is bankrupted.

If appointed, Godfrey will be the first Sydney-based insolvency practitioner the pair have on their books. They also manages the affairs of a bankrupt practitioner from Melbourne.

However with the petition not set to return to court until November 27, the parties have a month to negotiate. Plenty could happen in that time.

It’s possible Godfrey will counter with some form of offset or cross-claim. However the scuttlebutt around town says he is talking to other trustees, canvassing his options.

Murray Godfrey
Photo: Veritas Advisory
Technically, the experienced insolvency professional committed an act of bankruptcy by failing to comply with the bankruptcy notice served on him on July 5, 2013 by creditor Weriton Finance.

Given this, he could potentially propose a Personal insolvency Agreement (PIA) but as Godfrey is refusing to comment, SiN has been unable to confirm if he's considering it. Then of course, Godfrey could pay out the debt.

Weriton Finance's Graham Werry, who obtained judgement against the Veritas Advisory founder in March, 2012, told SiN this week he expected to pursue the debtor to sequestration.

“I’m taking that course and until Murray initiates some other response the only approach I can take is to see this through to the end,” Werry said.

He declined to comment when asked if he had had any contact with the debtor since the handing down of 
Federal Court Justice Melissa Perry's judgement on October 18, 2013. 

Last Friday Justice Perry dismissed Godfrey’s application to have the July 5 bankruptcy notice set aside. 

For further reading and a link to the judgement see:

Godfrey delivers dollars to discharge debt

Murray Godfrey facing bankruptcy action

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1 comment:

  1. It looks like this proceeding has now been dismissed:

    It would be interesting to know the basis for the dismissal. I'm assuming consent orders.


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