Judge Rejects Ansett Adminstrators Application
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Judge Rejects Ansett Adminstrators Application
[quote] Business as usual: Ansett
From AAP. .AAP. .12feb02. .THE Ansett administrator said it was "business as usual" and Ansett services would not be affected by the Federal Court refusal to sanction the airline's loss-making operations.
The Federal Court today refused an application by Ansett administrator Andersen to support its decision to continue operating the airline at a $6 million-a-week loss.
Federal Court judge Justice Alan Goldberg said it was not appropriate for the court to support the application.
"As a matter of principle, it is not appropriate for a court to give a direction approving a business decision made by administrators where no issue of power or the propriety or reasonableness of the decision or issue requiring the court to make a judgment on a legal issue arises for consideration," the judge said.
Outside the Federal Court, Mark Mentha, of Andersen, said he welcomed the decision, saying it did not stand in the way of Ansett continuing its operations.
Mr Mentha said Justice Goldberg indicated the administrator was acting within its powers while trading at a loss.
He said the court case opened the way for creditors unhappy with the administrator's decision to state their case, but no-one did. . . . . <hr></blockquote>
. .Well I wonder what was the point of the excercise?
It was always going to be a long shot that the Judge ruled in their favour. Now that he hasn't, the adminstrators have wasted another $20 000 (but hey when you are losing nearly $1 million dollars a day that is neither here nor there). But more importantly they have effectively had a Federal Court Judge give the green light for disgruntled creditors to sue them for negligence. I don't think it was a smart move.
From AAP. .AAP. .12feb02. .THE Ansett administrator said it was "business as usual" and Ansett services would not be affected by the Federal Court refusal to sanction the airline's loss-making operations.
The Federal Court today refused an application by Ansett administrator Andersen to support its decision to continue operating the airline at a $6 million-a-week loss.
Federal Court judge Justice Alan Goldberg said it was not appropriate for the court to support the application.
"As a matter of principle, it is not appropriate for a court to give a direction approving a business decision made by administrators where no issue of power or the propriety or reasonableness of the decision or issue requiring the court to make a judgment on a legal issue arises for consideration," the judge said.
Outside the Federal Court, Mark Mentha, of Andersen, said he welcomed the decision, saying it did not stand in the way of Ansett continuing its operations.
Mr Mentha said Justice Goldberg indicated the administrator was acting within its powers while trading at a loss.
He said the court case opened the way for creditors unhappy with the administrator's decision to state their case, but no-one did. . . . . <hr></blockquote>
. .Well I wonder what was the point of the excercise?
It was always going to be a long shot that the Judge ruled in their favour. Now that he hasn't, the adminstrators have wasted another $20 000 (but hey when you are losing nearly $1 million dollars a day that is neither here nor there). But more importantly they have effectively had a Federal Court Judge give the green light for disgruntled creditors to sue them for negligence. I don't think it was a smart move.
Unless there is one set of rules for the Big End of town and another, contradictory set of rules for small business, His Honour Justice Alan Goldberg didn't really have any option.
I'd hate to be paying - or underwriting - Anderson's Professional Liability insurance!!!!
One would think the two Marks have only two options - liquidation or face personal litigation from disadvantaged and upset creditors (and staff!)
I'd hate to be paying - or underwriting - Anderson's Professional Liability insurance!!!!
One would think the two Marks have only two options - liquidation or face personal litigation from disadvantaged and upset creditors (and staff!)
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My understanding is that the administrators are paid first and on a commission / hourly basis. The more work the more they are paid.. .There are a lot of people who now, with some justification, think the consulting / auditing industry is amoral. Ask any Enron employee in the US.. .Maybe the industry down there is inward looking are not even aware at the disquiet and apprehension out there in the real world.
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ABC Net
Posted: Tue, 12 Feb 2002 19:03 AEDT
Administrators say court decision won't compromise Ansett deal
Ansett administrators say a Federal Court decision in Melbourne today does not compromise the deal with Tesna for the sale of the airline.
The Federal Court refused to support the administrators in their decision to keep operating the airline at a loss of about $6 million a week.
Justice Alan Goldberg says it was inappropriate for the court to make an order when the administrators were acting within the law.
Administrator Mark Mentha says it will be business as usual despite the decision, but he says the Tesna sale has to be finalised by the end of the month.
"This uncertainty is not good for the airline, not good for the brand, not good for goodwill," he said.
"Fox-Lew knows that we must get this deal done as quickly as possible."
The Sydney Airports Corporation, the main party holding up the deal, says talks with Tesna over airport leases are nearing completion.
But it says it is not putting any timeline on the negotiations.
Posted: Tue, 12 Feb 2002 19:03 AEDT
Administrators say court decision won't compromise Ansett deal
Ansett administrators say a Federal Court decision in Melbourne today does not compromise the deal with Tesna for the sale of the airline.
The Federal Court refused to support the administrators in their decision to keep operating the airline at a loss of about $6 million a week.
Justice Alan Goldberg says it was inappropriate for the court to make an order when the administrators were acting within the law.
Administrator Mark Mentha says it will be business as usual despite the decision, but he says the Tesna sale has to be finalised by the end of the month.
"This uncertainty is not good for the airline, not good for the brand, not good for goodwill," he said.
"Fox-Lew knows that we must get this deal done as quickly as possible."
The Sydney Airports Corporation, the main party holding up the deal, says talks with Tesna over airport leases are nearing completion.
But it says it is not putting any timeline on the negotiations.
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You got it in one Mitsumi - but nobodys really listening.
It's increasingly clear that 90% of the "inward looking" as you put it are hypnotised by the superficial daily events and haven't a blind clue of the broader implications of Enron, Andersens role in the shredding of vital documents or the fact that they're currently the subject of 9 or 10 separate Congressional Committeees of Inquiry.
Or even closer to home that it was the same judge who ruled today (Goldberg) as got Solly Lew off the hook in the famous Coles "Yannon" share transaction inquiry a few years back.
Refs. .Shredding. .<a href="http://www.andersen.com/website.nsf/content/MediaCenterNewsReleaseArchiveEnron011002!OpenDocument" target="_blank">http://www.andersen.com/website.nsf/content/MediaCenterNewsReleaseArchiveEnron011002!OpenDocument</a>
Congressional Hearings. .<a href="http://biz.yahoo.com/rf/020131/n31119344_3.html" target="_blank">http://biz.yahoo.com/rf/020131/n31119344_3.html</a>
Fox Lew Goldberg start here-Plenty more on Google. .<a href="http://www.abc.net.au/rn/talks/8.30/busrpt/bstories/br201001.htm" target="_blank">http://www.abc.net.au/rn/talks/8.30/busrpt/bstories/br201001.htm</a>
Or this on Andersen at -. .<a href="http://www.corpwatch.org/news/PND.jsp?articleid=1373" target="_blank">http://www.corpwatch.org/news/PND.jsp?articleid=1373</a>. .“ENRON ROBBED the bank, Arthur Andersen provided the getaway car, and they say you were at the wheel,” Rep. James Greenwood, R-Penn., chairman of the House Energy Subcommittee on Oversight and Investigations intoned to former Arthur Andersen manager David Duncan in late January, at an early hearing about Enron.
Tip of the iceberg as I'm sure you know Mitsumi - but it IS summer down here and we'd sooner doze and fight among ourselves over trivia than consider the impact of global events on AN's future.
Best. .BG. .
It's increasingly clear that 90% of the "inward looking" as you put it are hypnotised by the superficial daily events and haven't a blind clue of the broader implications of Enron, Andersens role in the shredding of vital documents or the fact that they're currently the subject of 9 or 10 separate Congressional Committeees of Inquiry.
Or even closer to home that it was the same judge who ruled today (Goldberg) as got Solly Lew off the hook in the famous Coles "Yannon" share transaction inquiry a few years back.
Refs. .Shredding. .<a href="http://www.andersen.com/website.nsf/content/MediaCenterNewsReleaseArchiveEnron011002!OpenDocument" target="_blank">http://www.andersen.com/website.nsf/content/MediaCenterNewsReleaseArchiveEnron011002!OpenDocument</a>
Congressional Hearings. .<a href="http://biz.yahoo.com/rf/020131/n31119344_3.html" target="_blank">http://biz.yahoo.com/rf/020131/n31119344_3.html</a>
Fox Lew Goldberg start here-Plenty more on Google. .<a href="http://www.abc.net.au/rn/talks/8.30/busrpt/bstories/br201001.htm" target="_blank">http://www.abc.net.au/rn/talks/8.30/busrpt/bstories/br201001.htm</a>
Or this on Andersen at -. .<a href="http://www.corpwatch.org/news/PND.jsp?articleid=1373" target="_blank">http://www.corpwatch.org/news/PND.jsp?articleid=1373</a>. .“ENRON ROBBED the bank, Arthur Andersen provided the getaway car, and they say you were at the wheel,” Rep. James Greenwood, R-Penn., chairman of the House Energy Subcommittee on Oversight and Investigations intoned to former Arthur Andersen manager David Duncan in late January, at an early hearing about Enron.
Tip of the iceberg as I'm sure you know Mitsumi - but it IS summer down here and we'd sooner doze and fight among ourselves over trivia than consider the impact of global events on AN's future.
Best. .BG. .
Mitsumi The Receiver/Official Manager/Liquidator gets first cut of the cake and from my experience, it's usually a very, very large slice!
However, the Receiver/Manager/Liquidator is liable for any debts he incurs during the period of Receivership/Management/Liquidation.
No more, no less.
However, the Receiver/Manager/Liquidator is liable for any debts he incurs during the period of Receivership/Management/Liquidation.
No more, no less.
