Corporations Act 2001

CHAPTER 5 - EXTERNAL ADMINISTRATION  

PART 5.4B - WINDING UP IN INSOLVENCY OR BY THE COURT  

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

Division 1 - General  

SECTION 468   AVOIDANCE OF DISPOSITIONS OF PROPERTY, ATTACHMENTS ETC.  

468(1)    

Any disposition of property of the company, other than an exempt disposition, made after the commencement of the winding up by the Court is, unless the Court otherwise orders, void.

468(2)    
In subsection (1), exempt disposition , in relation to a company that has commenced to be wound up by the Court, means:

(a)    a disposition made by the liquidator, or by a provisional liquidator, of the company pursuant to a power conferred on him or her by:

(i) this Act; or

(ii) rules of the Court that appointed him or her; or

(iii) an order of the Court; or

(aa)    a disposition made in good faith by, or with the consent of, an administrator of the company; or

(ab)    a disposition under a deed of company arrangement executed by the company; or

(ac)    

a disposition made in good faith by, or with the consent of, a restructuring practitioner for the company; or

(ad)    

a disposition under a restructuring plan made by the company; or

(b)    a payment of money by an Australian ADI out of an account maintained by the company with the Australian ADI, being a payment made by the Australian ADI:

(i) on or before the day on which the Court makes the order for the winding up of the company; and

(ii) in good faith and in the ordinary course of the banking business of the Australian ADI.

468(3)    
Notwithstanding subsection (1), the Court may, where an application for winding up has been filed but a winding up order has not been made, by order:

(a)    validate the making, after the filing of the application, of a disposition of property of the company; or

(b)    permit the business of the company or a portion of the business of the company to be carried on, and such acts as are incidental to the carrying on of the business or portion of the business to be done, during the period before a winding up order (if any) is made;

on such terms as it thinks fit.

468(4)    
Any attachment, sequestration, distress or execution put in force against the property of the company after the commencement of the winding up by the Court is void.