In Forex Capital Trading Pty Ltd (in liquidation) v Invesus
Group Limited [2024] NSWSC 867, the Court considered two
issues. The first issue is whether a liquidator, by admitting a
proof of debt, creates a liability of the company in liquidation.
The second is whether the determination of a liquidator is binding
on the company in liquidation or a third party.
The answers to these questions determined whether the
liquidators of a company could quickly recover the total amount
admitted under proofs of debt from a parent company under a letter
of comfort.
The Court answered "no" to both questions.
Background
Forex Capital Trading Pty Ltd (in liquidation)
(FXCT) sold derivative products to retail
consumers.
