Originally Posted by
Section28- BE
Giday Mr Blackout & MickG-
For, the sake of 'Clarity' (and 'probably' should have referenced the source material earlier and how the question/view formed for myself- my BAD, but do not have- the time...!!!!).
THE "POINT" being- the Submission/s of 1x 'Richard Hughes' in his Capacity as 'Liquidator'-
Link to said 'Submission' to the Court here:
https://www.fedcourt.gov.au/__data/a...on-2872020.pdf
Extract (
Bolding):
And on it goes....
Does, 'that' make sense- "
each other entity to the DOCG is liable for its debts".......????, and 'that' therefore- for me, triggered 'the Solvency' question.
Then- 'when' does that Deed of Cross-Guarantee expire... vis, the 'process' and resultant Test of Solvency..???
Many thanks- and All the Best
rgds
S28- BE
The DOCG issue is essentially moot - we've known about the value of the issued notes since the get-go. The only thing that some of the notes being guaranteed by Newco 2 does is change Newco 2's status from solvent to insolvent. That in turn means that Newco 2 could not be voluntarily liquidated as a solvent business as had been originally contemplated.
Based on the information that Hughes uncovered Newco 2 and Investco need to be treated as insolvent. Hughes's recommendation was that they both be placed under administration the same as the other 39 Virgin entities. That's what his application sought and it's what Middleton J ordered in response to that application (see an earlier post by Blackout with the link to the order).
This little diversion is now essentially done - there are now 41 entities under administration, and the caravan rolls on.