Melbourne Insolvency and Debt-recovery Firm Case Study Paper.

Melbourne Insolvency and Debt-recovery Firm Case Study Paper.

Use IRAC format to answer the question if you applicable.

  1. Issue: State the legal issue(s) to be discussed.
  2. Rule: State the relevant statutes and case law.
  3. Application: Apply the relevant rules to the facts that created the issue.
  4. Conclusion: State the most likely conclusions using the logic of the application section. Melbourne Insolvency and Debt-recovery Firm Case Study Paper.

You are a graduate analyst working for a Melbourne insolvency and debt-recovery firm and are provided with the following instructions from your client. Wang Fang (WF) read a prospectus in November 2017 and bought $500,000 worth of units in Love a Nut Pty Ltd (LNPL), a company acting as a trustee and registered entity of a registered Managed Investment Scheme that operates seven Tofu Nut plantations through Australia. WF is excited by this investment because she wants to invest in an Australian productive industry and get a steady income stream from fully franked dividends. At the time WF purchased the shares, the prospectus revealed that: 1. Big Bank lent ten million dollars to LNPL in April 2018, with 10% interest payable monthly and the balance due in ten years. This loan is secured by a registered security interest over the Tofu Nut Plantation, all shares in LNPL, and all other assets of the company.


All this security is currently worth 15 million dollars; 2. Simon Chen, a director of LNPL, also provided his Portsea holiday house as security for the April 2018 Big Bank Loan, which is mortgaged to the bank for 3 million dollars; 3. Mohammed, one of the directors of LNPL, lent the company $200,000 in November 2017. Melbourne Insolvency and Debt-recovery Firm Case Study Paper.He also holds $500,000 worth of units. He was one of the first unitholders and manages the Victorian Tofu Nut Plantation. Further, in November 2019 the board of directors of LNPL approve: a. A payment of $125,000 to a director Mei Ling for a Tesla car for business purposes; and b. A payment of $100,000 to repay Mohammed. He is promised a share of the next crop in September 2020 as payment for the rest of the loan. By November 2019 the value of investments in the Tofu Nut Plantation have doubled in value because LNPL has had the largest crop ever. Using the money lent by Big Bank, LNPL has established 10 more tofu nut plantations. There is a lot of media coverage and everyone wants to be part of it. However, by the last week of August 2020, a series of bad weather events affect 7 of the Tofu Nut Plantations. This includes a hurricane in Brisbane, a severe drought in New South Wales, floods in Victoria, and hailstorms in Tasmania. The expected crop falls by 70% and the company runs into financial difficulties. In September 2020 Mohammed resigned as a director of the company and issued a statutory demand in September 2020 for the company’s failure to repay the loan.

A voluntary administrator is appointed over LNPL on 16 October 2020. WF now seeks your advice.

REQUIRED Your manager has asked you to answer the following questions based on the legal issues raised by the allegations. If there are any further facts that you would need to complete the analysis, state what questions you would ask and why these are necessary.

c) Explain the role and purpose of voluntary administration.

You can refer to the Corporations ACT 2001 on the link below if need be.

Melbourne Insolvency and Debt-recovery Firm Case Study Paper.

Calculate the price of your order

The price of a paper depends on the number of pages, academic level and the urgency. Our prices are discounted and start from as low as $10 per page. To know how much you would pay for an order, fill in the basic paper details.

Confidentiality and Security

We take confidentially of our customers seriously. This is the reason we use only PayPal to make payments that require only an email. This means you can order and pay for your order without disclosing your full identity and with no trace to you or your credit/debit card details as this information is only shared with PayPal, a trusted international payment system. Our website is also encrypted to ensure additional security. In addition, we never sell your paper nor divulge the paper or client details to anyone.


We write all our papers from scratch and never plagiarize at all. Our papers are 100% original with no plagiarism element even when many students place a similar order with us. You are guaranteed of a custom-made non-plagiarized paper that you cannot find anywhere else even in part whenever you order from us.


Professional writers in the various fields who have a wealth of experience in academia write all your papers. You are, therefore, guaranteed of a well-researched paper with the right content and in the correct structure. All our papers are properly referenced and any sources used are correctly cited using your preferred referencing styles such as APA, MLA, OSCOLA, Harvard, Chicago/Turabian, Vancouver, or any other referencing style you prefer.

Our services are legal and acceptable

Do you know that it is legal to seek our academic writing services and is not against the policies of your university, college or any other learning institution?
You are not prohibited from getting our custom-made papers if you use them in any of the following ways;

  1. As a source for additional understanding of the subject
  2. As a source of ideas for your research, in this case, it should be properly referenced
  3. For proper paraphrasing as per your schools plagiarism definition and acceptable paraphrase
  4. Direct citing in your work, when properly referenced.