In 1993 Gerard Cassegrain & Co Pty Ltd settled legal
proceedings brought against CSIRO on the basis that it was paid the
amount of $9.5 million. Entries were then made into the
company's accounts to create a loan of $4.25 million owing by
the company to Claude Cassegrain, one of the directors. In the
court proceedings it was accepted that Claude had no entitlement to
any part of the compensation and that there was never any moneys
owing to him by the company.
In 1996 the company transferred a property to Claude and his
wife, Felicity as joint tenants. The transfer purported to debit
Claude's loan account with the company for the consideration
payable.
In 1996 Claude's siblings brought oppression proceedings
against him in the Federal Court. The Federal Court held that
Claude's conduct in relation to recording a loan of $4.25
million and drawing down on that loan was oppressive and unfairly
prejudicial to the other shareholders in the company.
