Had a very similar experience in the Moorabbin training area recently - was IFR heading north for Plenty at 4000' and popped out of cloud to see a decathalon(?) cloud dancing direct ahead.
Polite enquiry to Melbourne Radar found that radar wasn't showing him at all so no way to track him back to Moorabbin. Pilot probably didn't realise how lucky he was either. I'm no good at judging distances mid-air but he was little more than a runway length away and only just just slightly below.
To VFR pilots who are thinking "I don't go IMC" - just remember that VFR includes 1000' above and below and 1500m from cloud for this very reason when above 3000' or 1000' AGL less than this and you are IMC by definition.
UTR.
Last edited by UnderneathTheRadar; 10th Nov 2008 at 22:44.
Reason: ooops - wan't heading for Epping!