Ausmart Services Pty Ltd (in liq) v Zheng [2019] FCA 2162 | Case summary

Ausmart Services Pty Ltd (in liq) v Zheng [2019] FCA 2162 | Case summary | Zoe

[4]

TO: Mei Ming Zheng (also known as Meiming Zheng) This is a "freezing order" made against you on 18 December 2019 by Justice Anderson at a hearing without notice to you after the Court has been given the undertakings set out in Schedule A to this order and after the Court has read the affidavits listed in Schedule B to this order. The applicant has given to the Court the undertakings set out in Schedule A to this order. THE COURT ORDERS: INTRODUCTION

The application for this order is made returnable immediately.
Subject to the next paragraph, this order has effect up to and including 4pm on 24 January 2020 ("the return date"). On the return date there will be a further hearing in respect of this order at 9.30 a.m. before Justice Anderson.
Anyone served with or notified of this order, including you, may apply to the Court at any time to vary or discharge this order or so much of it as affects the person served or notified.
In this order - (a) "applicant", if there is more than one applicant, includes all the applicants; (b) "you", where there is more than one of you, includes all of you and includes you if you are a corporation; (c) "third party" means a person other than you and the applicant; (d) "unencumbered value" means value free of mortgages, charges, liens or other encumbrances.
(a) If you are ordered to do something, you must do it by yourself or through directors, officers, partners, employees, agents or others acting on your behalf or on your instructions. (b) If you are ordered not to do something, you must not do it yourself or through directors, officers, partners, employees, agents or others acting on your behalf or on your instructions or with your encouragement or in any other way. FREEZING OF ASSETS
(a) You must not remove from Australia or in any way dispose of, deal with or diminish the value of any of your assets which are in Australia ("Australian assets") up to the unencumbered value of AUD$8,900,000 ("the relevant amount"). (b) If the unencumbered value of your Australian assets exceeds the relevant amount, you may remove any of those assets from Australia or dispose of or deal with them or diminish their value, so long as the total unencumbered value of your Australian assets still exceeds the relevant amount. (c) If the unencumbered value of your Australian assets is less than the relevant amount, and you have assets outside Australia ("ex-Australian assets") - (i) you must not dispose of, deal with or diminish the value of any of your Australian assets and ex-Australian assets up to the unencumbered value of your Australian and ex-Australian assets of the relevant amount; and (ii) you may dispose of, deal with or diminish the value of any of your ex-Australian assets, so long as the unencumbered value of your Australian assets and ex-Australian assets still exceeds the relevant amount.
For the purposes of this order - (a) your assets include - (i) all your assets, whether or not they are in your name and whether they are solely or co-owned; (ii) any asset which you have the power, directly or indirectly, to dispose of or deal with as if it were your own (you are to be regarded as having such power if a third party holds or controls the asset in accordance with your direct or indirect instructions);and (iii) the following assets in particular - (A) the properties known as 30 Northern Avenue, Newborough VIC 3825, 14 Fergusson Street, Camperdown VIC 3260, 253 Lagoon Street, Deniliquin NSW 2710, 28 Jeeraland Avenue, Newborough VIC 3825, 5 Bower Parade, Singleton NSW 2330, 91 Decimus Street, Deniliquin NSW 2710, 104 Aitkins Road, Warrnambool VIC 3280, 27 Kelly Street, Scone NSW 2337 and Unit 27 1-5 Harrow Road, Auburn NSW 2144 or, if they have been sold, the net proceeds of the sale(s); (B) the assets of your business [known as [name]] [carried on at [address]] or, if any or all of the assets have been sold, the proceeds of the sale; and (C) any money in account [see account details, as set out in the annexure to this form of order]; (b) the value of your assets is the value of the interest you have individually in your assets. PROVISION OF INFORMATION
Subject to paragraph 9, you must - (a) at or before the further hearing on the return date (or within such further time as the Court may allow) to the best of your ability inform the applicant in writing of all your assets in world wide, giving their value, location and details (including any mortgages, charges or other encumbrances to which they are subject) and the extent of your interest in the assets; (b) within 3 working days after being served with this order, swear and serve on the applicant an affidavit setting out the above information.
(a) This paragraph 9 applies if you are not a corporation and you wish to object to complying with paragraph 8 on the grounds that some or all of the information required to be disclosed may tend to prove that you - (i) have committed an offence against or arising under an Australian law or a law of a foreign country; or (ii) are liable to a civil penalty. (b) This paragraph 9 also applies if you are a corporation and all persons who are able to comply with paragraph 8 on your behalf and with whom you have been able to communicate, wish to object to your complying with paragraph 8 on the grounds that some or all of the information required to be disclosed may tend to prove that they respectively - (i) have committed an offence against or arising under an Australian law or a law of a foreign country; or (ii) are liable to a civil penalty. (c) You must - (i) disclose so much of the information required to be disclosed to which no objection is taken; and (ii) prepare an affidavit containing so much of the information required to be disclosed to which objection is taken and deliver it to the Court in a sealed envelope; and (iii) file and serve on each other party a separate affidavit setting out the basis of the objection. EXCEPTIONS TO THIS ORDER
This order does not prohibit you from - (a) paying up to $1,000 a week on account of your ordinary living expenses; (b) paying $20,000 on account of your reasonable legal expenses; (c) dealing with or disposing of any of your assets in the ordinary and proper course of your business, including paying business expenses bona fide and properly incurred; (d) in relation to matters not falling within sub-paragraphs (a), (b) or (c), dealing with or disposing of any of your assets in discharging obligations bona fide and properly incurred under a contract entered into before this order was made, provided that before doing so you give the applicant, if possible, at least two working days written notice of the particulars of the obligation.
You and the applicant may agree in writing that the exceptions in the preceding paragraph are to be varied. In that case the applicant or you must as soon as practicable file with the Court and serve on the other a minute of a proposed consent order recording the variation signed by or on behalf of the applicant and you, and the Court may thereafter order that the exceptions are varied accordingly.
(a) The order will cease to have effect if you - (i) pay the sum of $8,862,917.57 into Court; or (ii) pay that sum into a joint bank account in the name of your solicitor and the solicitor for the applicant as agreed in writing between them; or (iii) provide security in that sum by a method agreed in writing with the applicant to be held subject to the order of the Court. (b) Any such payment and any such security will not provide the applicant with any priority over your other creditors in the event of your insolvency. (c) If this order ceases to have effect pursuant to sub-paragraph (a), you must as soon as practicable file with the Court and serve on the applicant notice of that fact. COSTS
The costs of this application are reserved. PERSONS OTHER THAN THE APPLICANT AND RESPONDENT
Set off by banks This order does not prevent any bank from exercising any right of set off it has in respect of any facility which it gave you before it was notified of this order.
Bank withdrawals by the respondent No bank need inquire as to the application or proposed application of any money withdrawn by you if the withdrawal appears to be permitted by this order.
Persons outside Australia (a) Except as provided in sub-paragraph (b) below, the terms of this order do not affect or concern anyone outside Australia. (b) The terms of this order will affect the following persons outside Australia - (i) you and your directors, officers, employees and agents (except banks and financial institutions); (ii) any person (including a bank or financial institution) who - (A) is subject to the jurisdiction of this Court; (B) has been given written notice of this order, or has actual knowledge of the substance of the order and of its requirements; and (C) is able to prevent or impede acts or omissions outside Australia which constitute or assist in a disobedience of the terms of this order; and (iii) any other person (including a bank or financial institution), only to the extent that this order is declared enforceable by or is enforced by a court in a country or state that has jurisdiction over that person or over any of that person's assets.
Assets located outside Australia Nothing in this order shall, in respect of assets located outside Australia, prevent any third party from complying or acting in conformity with what it reasonably believes to be its bona fide and properly incurred legal obligations, whether contractual or pursuant to a court order or otherwise, under the law of the country or state in which those assets are situated or under the proper law of any contract between a third party and you, provided that in the case of any future order of a court of that country or state made on your or the third party's application, reasonable written notice of the making of the application is given to the applicant. SCHEDULE A UNDERTAKINGS GIVEN TO THE COURT BY THE APPLICANT (1) The applicant undertakes to submit to such order (if any) as the Court may consider to be just for the payment of compensation (to be assessed by the Court or as it may direct) to any person (whether or not a party) affected by the operation of the order. (2) As soon as practicable, the applicant will file and serve upon the respondent copies of: (a) this order; (b) the application for this order for hearing on the return date; (c) the following material in so far as it was relied on by the applicant at the hearing when the order was made: (i) affidavits (or draft affidavits); (ii) exhibits capable of being copied; (iii) any written submission; and (iv) any other document that was provided to the Court. (d) a transcript, or, if none is available, a note, of any exclusively oral allegation of fact that was made and of any exclusively oral submission that was put, to the Court; (e) the reasons for judgment; (f) the originating process, or, if none was filed, any draft originating process produced to the Court. (3) As soon as practicable, the applicant will cause anyone notified of this order to be given a copy of it. (4) The applicant will pay the reasonable costs of anyone other than the respondent which have been incurred as a result of this order, including the costs of finding out whether that person holds any of the respondent's assets. (5) If this order ceases to have effect5 the applicant will promptly take all reasonable steps to inform in writing anyone to whom the applicant has given notice of this order, or who the applicant has reasonable grounds for supposing may act upon this order, that it has ceased to have effect. (6) The applicant will not, without leave of the Court, use any information obtained as a result of this order for the purpose of any civil or criminal proceedings, either in or outside Australia, other than this proceeding. (7) The applicant will not, without leave of the Court, seek to enforce this order in any country outside Australia or seek in any country outside Australia an order of a similar nature or an order conferring a charge or other security against the respondent or the respondent's assets. SCHEDULE B AFFIDAVITS RELIED ON Name of Deponent of Affidavit Date Affidavit Made Paul Anthony Allen 16 December 2019 Mark David Wenn 16 December 2019 Aris Zafiriou (filed in proceeding NSD 2194 of 2018) 26 November 2018

[8]

TO: Yu Qin Zhang This is a "freezing order" made against you on 18 December 2019 by Justice Anderson at a hearing without notice to you after the Court has been given the undertakings set out in Schedule A to this order and after the Court has read the affidavits listed in Schedule B to this order. The applicant has given to the Court the undertakings set out in Schedule A to this order. THE COURT ORDERS: INTRODUCTION

The application for this order is made returnable immediately.
Subject to the next paragraph, this order has effect up to and including 4pm on 24 January 2020 ("the return date"). On the return date there will be a further hearing in respect of this order at 9.30 a.m. before Justice Anderson.
Anyone served with or notified of this order, including you, may apply to the Court at any time to vary or discharge this order or so much of it as affects the person served or notified.
In this order - (a) "applicant", if there is more than one applicant, includes all the applicants; (b) "you", where there is more than one of you, includes all of you and includes you if you are a corporation; (c) "third party" means a person other than you and the applicant; (d) "unencumbered value" means value free of mortgages, charges, liens or other encumbrances.
(a) If you are ordered to do something, you must do it by yourself or through directors, officers, partners, employees, agents or others acting on your behalf or on your instructions. (b) If you are ordered not to do something, you must not do it yourself or through directors, officers, partners, employees, agents or others acting on your behalf or on your instructions or with your encouragement or in any other way. FREEZING OF ASSETS
(a) You must not remove from Australia or in any way dispose of, deal with or diminish the value of any of your assets which are in Australia ("Australian assets") up to the unencumbered value of AUD$267,500 ("the relevant amount"). (b) If the unencumbered value of your Australian assets exceeds the relevant amount, you may remove any of those assets from Australia or dispose of or deal with them or diminish their value, so long as the total unencumbered value of your Australian assets still exceeds the relevant amount. (c) If the unencumbered value of your Australian assets is less than the relevant amount, and you have assets outside Australia ("ex-Australian assets") - (i) you must not dispose of, deal with or diminish the value of any of your Australian assets and ex-Australian assets up to the unencumbered value of your Australian and ex-Australian assets of the relevant amount; and (ii) you may dispose of, deal with or diminish the value of any of your ex-Australian assets, so long as the unencumbered value of your Australian assets and ex-Australian assets still exceeds the relevant amount.
For the purposes of this order - (a) your assets include - (i) all your assets, whether or not they are in your name and whether they are solely or co-owned; (ii) any asset which you have the power, directly or indirectly, to dispose of or deal with as if it were your own (you are to be regarded as having such power if a third party holds or controls the asset in accordance with your direct or indirect instructions);and (iii) the following assets in particular - (A) the properties known as 17A Gaiwood Place, Castle Hill NSW 2154, 21 Chelmsford Avenue, Epping NSW 2121, 47A Rodd Street, Birrong NSW 2143, 5/57-59 Eighth Avenue, Campsie NSW 2194, 6 Waterview Street, Putney NSW 2112, 7/32-34 Ann Street, Wolli Creek NSW 2205 and 8 Lipook Court, Warrnambool VIC 3280 or, if they have been sold, the net proceeds of the sale(s); (B) the assets of your business [known as [name]] [carried on at [address]] or, if any or all of the assets have been sold, the proceeds of the sale; and (C) any money in account [see account details, as set out in the annexure to this form of order]; (b) the value of your assets is the value of the interest you have individually in your assets. PROVISION OF INFORMATION
Subject to paragraph 9, you must - (a) at or before the further hearing on the return date (or within such further time as the Court may allow) to the best of your ability inform the applicant in writing of all your assets in world wide, giving their value, location and details (including any mortgages, charges or other encumbrances to which they are subject) and the extent of your interest in the assets; (b) within 3 working days after being served with this order, swear and serve on the applicant an affidavit setting out the above information.
(a) This paragraph 9 applies if you are not a corporation and you wish to object to complying with paragraph 8 on the grounds that some or all of the information required to be disclosed may tend to prove that you - (i) have committed an offence against or arising under an Australian law or a law of a foreign country; or (ii) are liable to a civil penalty. (b) This paragraph 9 also applies if you are a corporation and all persons who are able to comply with paragraph 8 on your behalf and with whom you have been able to communicate, wish to object to your complying with paragraph 8 on the grounds that some or all of the information required to be disclosed may tend to prove that they respectively - (i) have committed an offence against or arising under an Australian law or a law of a foreign country; or (ii) are liable to a civil penalty. (c) You must - (i) disclose so much of the information required to be disclosed to which no objection is taken; and (ii) prepare an affidavit containing so much of the information required to be disclosed to which objection is taken and deliver it to the Court in a sealed envelope; and (iii) file and serve on each other party a separate affidavit setting out the basis of the objection. EXCEPTIONS TO THIS ORDER
This order does not prohibit you from - (a) paying up to $1,000 a week on account of your ordinary living expenses; (b) paying $20,000 on account of your reasonable legal expenses; (c) dealing with or disposing of any of your assets in the ordinary and proper course of your business, including paying business expenses bona fide and properly incurred; (d) in relation to matters not falling within sub-paragraphs (a), (b) or (c), dealing with or disposing of any of your assets in discharging obligations bona fide and properly incurred under a contract entered into before this order was made, provided that before doing so you give the applicant, if possible, at least two working days written notice of the particulars of the obligation.
You and the applicant may agree in writing that the exceptions in the preceding paragraph are to be varied. In that case the applicant or you must as soon as practicable file with the Court and serve on the other a minute of a proposed consent order recording the variation signed by or on behalf of the applicant and you, and the Court may thereafter order that the exceptions are varied accordingly.
(a) The order will cease to have effect if you - (i) pay the sum of $155,000 into Court; or (ii) pay that sum into a joint bank account in the name of your solicitor and the solicitor for the applicant as agreed in writing between them; or (iii) provide security in that sum by a method agreed in writing with the applicant to be held subject to the order of the Court. (b) Any such payment and any such security will not provide the applicant with any priority over your other creditors in the event of your insolvency. (c) If this order ceases to have effect pursuant to sub-paragraph (a), you must as soon as practicable file with the Court and serve on the applicant notice of that fact. COSTS
The costs of this application are reserved. PERSONS OTHER THAN THE APPLICANT AND RESPONDENT
Set off by banks This order does not prevent any bank from exercising any right of set off it has in respect of any facility which it gave you before it was notified of this order.
Bank withdrawals by the respondent No bank need inquire as to the application or proposed application of any money withdrawn by you if the withdrawal appears to be permitted by this order.
Persons outside Australia (a) Except as provided in sub-paragraph (b) below, the terms of this order do not affect or concern anyone outside Australia. (b) The terms of this order will affect the following persons outside Australia - (i) you and your directors, officers, employees and agents (except banks and financial institutions); (ii) any person (including a bank or financial institution) who - (A) is subject to the jurisdiction of this Court; (B) has been given written notice of this order, or has actual knowledge of the substance of the order and of its requirements; and (C) is able to prevent or impede acts or omissions outside Australia which constitute or assist in a disobedience of the terms of this order; and (iii) any other person (including a bank or financial institution), only to the extent that this order is declared enforceable by or is enforced by a court in a country or state that has jurisdiction over that person or over any of that person's assets.
Assets located outside Australia Nothing in this order shall, in respect of assets located outside Australia, prevent any third party from complying or acting in conformity with what it reasonably believes to be its bona fide and properly incurred legal obligations, whether contractual or pursuant to a court order or otherwise, under the law of the country or state in which those assets are situated or under the proper law of any contract between a third party and you, provided that in the case of any future order of a court of that country or state made on your or the third party's application, reasonable written notice of the making of the application is given to the applicant. SCHEDULE A UNDERTAKINGS GIVEN TO THE COURT BY THE APPLICANT (1) The applicant undertakes to submit to such order (if any) as the Court may consider to be just for the payment of compensation (to be assessed by the Court or as it may direct) to any person (whether or not a party) affected by the operation of the order. (2) As soon as practicable, the applicant will file and serve upon the respondent copies of: (a) this order; (b) the application for this order for hearing on the return date; (c) the following material in so far as it was relied on by the applicant at the hearing when the order was made: (i) affidavits (or draft affidavits); (ii) exhibits capable of being copied; (iii) any written submission; and (iv) any other document that was provided to the Court. (d) a transcript, or, if none is available, a note, of any exclusively oral allegation of fact that was made and of any exclusively oral submission that was put, to the Court; (e) the reasons for judgment; (f) the originating process, or, if none was filed, any draft originating process produced to the Court. (3) As soon as practicable, the applicant will cause anyone notified of this order to be given a copy of it. (4) The applicant will pay the reasonable costs of anyone other than the respondent which have been incurred as a result of this order, including the costs of finding out whether that person holds any of the respondent's assets. (5) If this order ceases to have effect5 the applicant will promptly take all reasonable steps to inform in writing anyone to whom the applicant has given notice of this order, or who the applicant has reasonable grounds for supposing may act upon this order, that it has ceased to have effect. (6) The applicant will not, without leave of the Court, use any information obtained as a result of this order for the purpose of any civil or criminal proceedings, either in or outside Australia, other than this proceeding. (7) The applicant will not, without leave of the Court, seek to enforce this order in any country outside Australia or seek in any country outside Australia an order of a similar nature or an order conferring a charge or other security against the respondent or the respondent's assets. SCHEDULE B AFFIDAVITS RELIED ON Name of Deponent of Affidavit Date Affidavit Made Paul Anthony Allen 16 December 2019 Mark David Wenn 16 December 2019 Aris Zafiriou (filed in proceeding NSD 2194 of 2018) 26 November 2018

[12]

TO: Yun Feng Shi (also known as Michael Shi) This is a "freezing order" made against you on 18 December 2019 by Justice Anderson at a hearing without notice to you after the Court has been given the undertakings set out in Schedule A to this order and after the Court has read the affidavits listed in Schedule B to this order. The applicant has given to the Court the undertakings set out in Schedule A to this order. THE COURT ORDERS: INTRODUCTION

The application for this order is made returnable immediately.
Subject to the next paragraph, this order has effect up to and including 4pm on 24 January 2020 ("the return date"). On the return date there will be a further hearing in respect of this order at 9.30 a.m. before Justice Anderson.
Anyone served with or notified of this order, including you, may apply to the Court at any time to vary or discharge this order or so much of it as affects the person served or notified.
In this order - (a) "applicant", if there is more than one applicant, includes all the applicants; (b) "you", where there is more than one of you, includes all of you and includes you if you are a corporation; (c) "third party" means a person other than you and the applicant; (d) "unencumbered value" means value free of mortgages, charges, liens or other encumbrances.
(a) If you are ordered to do something, you must do it by yourself or through directors, officers, partners, employees, agents or others acting on your behalf or on your instructions. (b) If you are ordered not to do something, you must not do it yourself or through directors, officers, partners, employees, agents or others acting on your behalf or on your instructions or with your encouragement or in any other way. FREEZING OF ASSETS
(a) You must not remove from Australia or in any way dispose of, deal with or diminish the value of any of your assets which are in Australia ("Australian assets") up to the unencumbered value of AUD$12,250,000 ("the relevant amount"). (b) If the unencumbered value of your Australian assets exceeds the relevant amount, you may remove any of those assets from Australia or dispose of or deal with them or diminish their value, so long as the total unencumbered value of your Australian assets still exceeds the relevant amount. (c) If the unencumbered value of your Australian assets is less than the relevant amount, and you have assets outside Australia ("ex-Australian assets") - (i) you must not dispose of, deal with or diminish the value of any of your Australian assets and ex-Australian assets up to the unencumbered value of your Australian and ex-Australian assets of the relevant amount; and (ii) you may dispose of, deal with or diminish the value of any of your ex-Australian assets, so long as the unencumbered value of your Australian assets and ex-Australian assets still exceeds the relevant amount.
For the purposes of this order - (a) your assets include - (i) all your assets, whether or not they are in your name and whether they are solely or co-owned; (ii) any asset which you have the power, directly or indirectly, to dispose of or deal with as if it were your own (you are to be regarded as having such power if a third party holds or controls the asset in accordance with your direct or indirect instructions);and (iii) the following assets in particular - (A) the properties known as 31 Albert Road, Beecroft NSW 2119, 52 Merton Street, Altona Meadows VIC 3028 and 7 Calder Court, Warrnambool VIC 3280 or, if they have been sold, the net proceeds of the sale(s); (B) the assets of your business [known as [name]] [carried on at [address]] or, if any or all of the assets have been sold, the proceeds of the sale; and (C) any money in account [see account details, as set out in the annexure to this form of order]; (b) the value of your assets is the value of the interest you have individually in your assets. PROVISION OF INFORMATION
Subject to paragraph 9, you must - (a) at or before the further hearing on the return date (or within such further time as the Court may allow) to the best of your ability inform the applicant in writing of all your assets in world wide, giving their value, location and details (including any mortgages, charges or other encumbrances to which they are subject) and the extent of your interest in the assets; (b) within 3 working days after being served with this order, swear and serve on the applicant an affidavit setting out the above information.
(a) This paragraph 9 applies if you are not a corporation and you wish to object to complying with paragraph 8 on the grounds that some or all of the information required to be disclosed may tend to prove that you - (i) have committed an offence against or arising under an Australian law or a law of a foreign country; or (ii) are liable to a civil penalty. (b) This paragraph 9 also applies if you are a corporation and all persons who are able to comply with paragraph 8 on your behalf and with whom you have been able to communicate, wish to object to your complying with paragraph 8 on the grounds that some or all of the information required to be disclosed may tend to prove that they respectively - (i) have committed an offence against or arising under an Australian law or a law of a foreign country; or (ii) are liable to a civil penalty. (c) You must - (i) disclose so much of the information required to be disclosed to which no objection is taken; and (ii) prepare an affidavit containing so much of the information required to be disclosed to which objection is taken and deliver it to the Court in a sealed envelope; and (iii) file and serve on each other party a separate affidavit setting out the basis of the objection. EXCEPTIONS TO THIS ORDER
This order does not prohibit you from - (a) paying up to $1,000 a week on account of your ordinary living expenses; (b) paying $20,000 on account of your reasonable legal expenses; (c) dealing with or disposing of any of your assets in the ordinary and proper course of your business, including paying business expenses bona fide and properly incurred; (d) in relation to matters not falling within sub-paragraphs (a), (b) or (c), dealing with or disposing of any of your assets in discharging obligations bona fide and properly incurred under a contract entered into before this order was made, provided that before doing so you give the applicant, if possible, at least two working days written notice of the particulars of the obligation.
You and the applicant may agree in writing that the exceptions in the preceding paragraph are to be varied. In that case the applicant or you must as soon as practicable file with the Court and serve on the other a minute of a proposed consent order recording the variation signed by or on behalf of the applicant and you, and the Court may thereafter order that the exceptions are varied accordingly.
(a) The order will cease to have effect if you - (i) pay the sum of $12,105,872.90 into Court; or (ii) pay that sum into a joint bank account in the name of your solicitor and the solicitor for the applicant as agreed in writing between them; or (iii) provide security in that sum by a method agreed in writing with the applicant to be held subject to the order of the Court. (b) Any such payment and any such security will not provide the applicant with any priority over your other creditors in the event of your insolvency. (c) If this order ceases to have effect pursuant to sub-paragraph (a), you must as soon as practicable file with the Court and serve on the applicant notice of that fact. COSTS
The costs of this application are reserved. PERSONS OTHER THAN THE APPLICANT AND RESPONDENT
Set off by banks This order does not prevent any bank from exercising any right of set off it has in respect of any facility which it gave you before it was notified of this order.
Bank withdrawals by the respondent No bank need inquire as to the application or proposed application of any money withdrawn by you if the withdrawal appears to be permitted by this order.
Persons outside Australia (a) Except as provided in sub-paragraph (b) below, the terms of this order do not affect or concern anyone outside Australia. (b) The terms of this order will affect the following persons outside Australia - (i) you and your directors, officers, employees and agents (except banks and financial institutions); (ii) any person (including a bank or financial institution) who - (A) is subject to the jurisdiction of this Court; (B) has been given written notice of this order, or has actual knowledge of the substance of the order and of its requirements; and (C) is able to prevent or impede acts or omissions outside Australia which constitute or assist in a disobedience of the terms of this order; and (iii) any other person (including a bank or financial institution), only to the extent that this order is declared enforceable by or is enforced by a court in a country or state that has jurisdiction over that person or over any of that person's assets.
Assets located outside Australia Nothing in this order shall, in respect of assets located outside Australia, prevent any third party from complying or acting in conformity with what it reasonably believes to be its bona fide and properly incurred legal obligations, whether contractual or pursuant to a court order or otherwise, under the law of the country or state in which those assets are situated or under the proper law of any contract between a third party and you, provided that in the case of any future order of a court of that country or state made on your or the third party's application, reasonable written notice of the making of the application is given to the applicant. SCHEDULE A UNDERTAKINGS GIVEN TO THE COURT BY THE APPLICANT (1) The applicant undertakes to submit to such order (if any) as the Court may consider to be just for the payment of compensation (to be assessed by the Court or as it may direct) to any person (whether or not a party) affected by the operation of the order. (2) As soon as practicable, the applicant will file and serve upon the respondent copies of: (a) this order; (b) the application for this order for hearing on the return date; (c) the following material in so far as it was relied on by the applicant at the hearing when the order was made: (i) affidavits (or draft affidavits); (ii) exhibits capable of being copied; (iii) any written submission; and (iv) any other document that was provided to the Court. (d) a transcript, or, if none is available, a note, of any exclusively oral allegation of fact that was made and of any exclusively oral submission that was put, to the Court; (e) the reasons for judgment; (f) the originating process, or, if none was filed, any draft originating process produced to the Court. (3) As soon as practicable, the applicant will cause anyone notified of this order to be given a copy of it. (4) The applicant will pay the reasonable costs of anyone other than the respondent which have been incurred as a result of this order, including the costs of finding out whether that person holds any of the respondent's assets. (5) If this order ceases to have effect5 the applicant will promptly take all reasonable steps to inform in writing anyone to whom the applicant has given notice of this order, or who the applicant has reasonable grounds for supposing may act upon this order, that it has ceased to have effect. (6) The applicant will not, without leave of the Court, use any information obtained as a result of this order for the purpose of any civil or criminal proceedings, either in or outside Australia, other than this proceeding. (7) The applicant will not, without leave of the Court, seek to enforce this order in any country outside Australia or seek in any country outside Australia an order of a similar nature or an order conferring a charge or other security against the respondent or the respondent's assets. SCHEDULE B AFFIDAVITS RELIED ON Name of Deponent of Affidavit Date Affidavit Made Paul Anthony Allen 16 December 2019 Mark David Wenn 16 December 2019 Aris Zafiriou (filed in proceeding NSD 2194 of 2018) 26 November 2018

[16]

TO: Quan Fa Shi (also known as Roger Shi) This is a "freezing order" made against you on 18 December 2019 by Justice Anderson at a hearing without notice to you after the Court has been given the undertakings set out in Schedule A to this order and after the Court has read the affidavits listed in Schedule B to this order. The applicant has given to the Court the undertakings set out in Schedule A to this order. THE COURT ORDERS: INTRODUCTION

The application for this order is made returnable immediately.
Subject to the next paragraph, this order has effect up to and including 4pm on 24 January 2020 ("the return date"). On the return date there will be a further hearing in respect of this order at 9.30 a.m. before Justice Anderson.
Anyone served with or notified of this order, including you, may apply to the Court at any time to vary or discharge this order or so much of it as affects the person served or notified.
In this order - (a) "applicant", if there is more than one applicant, includes all the applicants; (b) "you", where there is more than one of you, includes all of you and includes you if you are a corporation; (c) "third party" means a person other than you and the applicant; (d) "unencumbered value" means value free of mortgages, charges, liens or other encumbrances.
(a) If you are ordered to do something, you must do it by yourself or through directors, officers, partners, employees, agents or others acting on your behalf or on your instructions. (b) If you are ordered not to do something, you must not do it yourself or through directors, officers, partners, employees, agents or others acting on your behalf or on your instructions or with your encouragement or in any other way. FREEZING OF ASSETS
(a) You must not remove from Australia or in any way dispose of, deal with or diminish the value of any of your assets which are in Australia ("Australian assets") up to the unencumbered value of AUD$2,500,000 ("the relevant amount"). (b) If the unencumbered value of your Australian assets exceeds the relevant amount, you may remove any of those assets from Australia or dispose of or deal with them or diminish their value, so long as the total unencumbered value of your Australian assets still exceeds the relevant amount. (c) If the unencumbered value of your Australian assets is less than the relevant amount, and you have assets outside Australia ("ex-Australian assets") - (i) you must not dispose of, deal with or diminish the value of any of your Australian assets and ex-Australian assets up to the unencumbered value of your Australian and ex-Australian assets of the relevant amount; and (ii) you may dispose of, deal with or diminish the value of any of your ex-Australian assets, so long as the unencumbered value of your Australian assets and ex-Australian assets still exceeds the relevant amount.
For the purposes of this order - (a) your assets include - (i) all your assets, whether or not they are in your name and whether they are solely or co-owned; (ii) any asset which you have the power, directly or indirectly, to dispose of or deal with as if it were your own (you are to be regarded as having such power if a third party holds or controls the asset in accordance with your direct or indirect instructions);and (iii) the following assets in particular - (A) the properties known as 13 Ramel Way, Pakenham VIC 3180, 74 Emily Street, Seymour VIC 3660, 20 Northcott Avenue, Singleton Heights NSW 2330, 72 Emily Street, Seymour VIC 3660 or, if they have been sold, the net proceeds of the sale(s); (B) the assets of your business [known as [name]] [carried on at [address]] or, if any or all of the assets have been sold, the proceeds of the sale; and (C) any money in account [see account details, as set out in the annexure to this form of order]; (b) the value of your assets is the value of the interest you have individually in your assets. PROVISION OF INFORMATION
Subject to paragraph 9, you must - (a) at or before the further hearing on the return date (or within such further time as the Court may allow) to the best of your ability inform the applicant in writing of all your assets in world wide, giving their value, location and details (including any mortgages, charges or other encumbrances to which they are subject) and the extent of your interest in the assets; (b) within 3 working days after being served with this order, swear and serve on the applicant an affidavit setting out the above information.
(a) This paragraph 9 applies if you are not a corporation and you wish to object to complying with paragraph 8 on the grounds that some or all of the information required to be disclosed may tend to prove that you - (i) have committed an offence against or arising under an Australian law or a law of a foreign country; or (ii) are liable to a civil penalty. (b) This paragraph 9 also applies if you are a corporation and all persons who are able to comply with paragraph 8 on your behalf and with whom you have been able to communicate, wish to object to your complying with paragraph 8 on the grounds that some or all of the information required to be disclosed may tend to prove that they respectively - (i) have committed an offence against or arising under an Australian law or a law of a foreign country; or (ii) are liable to a civil penalty. (c) You must - (i) disclose so much of the information required to be disclosed to which no objection is taken; and (ii) prepare an affidavit containing so much of the information required to be disclosed to which objection is taken and deliver it to the Court in a sealed envelope; and (iii) file and serve on each other party a separate affidavit setting out the basis of the objection. EXCEPTIONS TO THIS ORDER
This order does not prohibit you from - (a) paying up to $1,000 a week on account of your ordinary living expenses; (b) paying $20,000 on account of your reasonable legal expenses; (c) dealing with or disposing of any of your assets in the ordinary and proper course of your business, including paying business expenses bona fide and properly incurred; (d) in relation to matters not falling within sub-paragraphs (a), (b) or (c), dealing with or disposing of any of your assets in discharging obligations bona fide and properly incurred under a contract entered into before this order was made, provided that before doing so you give the applicant, if possible, at least two working days written notice of the particulars of the obligation.
You and the applicant may agree in writing that the exceptions in the preceding paragraph are to be varied. In that case the applicant or you must as soon as practicable file with the Court and serve on the other a minute of a proposed consent order recording the variation signed by or on behalf of the applicant and you, and the Court may thereafter order that the exceptions are varied accordingly.
(a) The order will cease to have effect if you - (i) pay the sum of $2,375,995 into Court; or (ii) pay that sum into a joint bank account in the name of your solicitor and the solicitor for the applicant as agreed in writing between them; or (iii) provide security in that sum by a method agreed in writing with the applicant to be held subject to the order of the Court. (b) Any such payment and any such security will not provide the applicant with any priority over your other creditors in the event of your insolvency. (c) If this order ceases to have effect pursuant to sub-paragraph (a), you must as soon as practicable file with the Court and serve on the applicant notice of that fact. COSTS
The costs of this application are reserved. PERSONS OTHER THAN THE APPLICANT AND RESPONDENT
Set off by banks This order does not prevent any bank from exercising any right of set off it has in respect of any facility which it gave you before it was notified of this order.
Bank withdrawals by the respondent No bank need inquire as to the application or proposed application of any money withdrawn by you if the withdrawal appears to be permitted by this order.
Persons outside Australia (a) Except as provided in sub-paragraph (b) below, the terms of this order do not affect or concern anyone outside Australia. (b) The terms of this order will affect the following persons outside Australia - (i) you and your directors, officers, employees and agents (except banks and financial institutions); (ii) any person (including a bank or financial institution) who - (A) is subject to the jurisdiction of this Court; (B) has been given written notice of this order, or has actual knowledge of the substance of the order and of its requirements; and (C) is able to prevent or impede acts or omissions outside Australia which constitute or assist in a disobedience of the terms of this order; and (iii) any other person (including a bank or financial institution), only to the extent that this order is declared enforceable by or is enforced by a court in a country or state that has jurisdiction over that person or over any of that person's assets.
Assets located outside Australia Nothing in this order shall, in respect of assets located outside Australia, prevent any third party from complying or acting in conformity with what it reasonably believes to be its bona fide and properly incurred legal obligations, whether contractual or pursuant to a court order or otherwise, under the law of the country or state in which those assets are situated or under the proper law of any contract between a third party and you, provided that in the case of any future order of a court of that country or state made on your or the third party's application, reasonable written notice of the making of the application is given to the applicant. SCHEDULE A UNDERTAKINGS GIVEN TO THE COURT BY THE APPLICANT (1) The applicant undertakes to submit to such order (if any) as the Court may consider to be just for the payment of compensation (to be assessed by the Court or as it may direct) to any person (whether or not a party) affected by the operation of the order. (2) As soon as practicable, the applicant will file and serve upon the respondent copies of: (a) this order; (b) the application for this order for hearing on the return date; (c) the following material in so far as it was relied on by the applicant at the hearing when the order was made: (i) affidavits (or draft affidavits); (ii) exhibits capable of being copied; (iii) any written submission; and (iv) any other document that was provided to the Court. (d) a transcript, or, if none is available, a note, of any exclusively oral allegation of fact that was made and of any exclusively oral submission that was put, to the Court; (e) the reasons for judgment; (f) the originating process, or, if none was filed, any draft originating process produced to the Court. (3) As soon as practicable, the applicant will cause anyone notified of this order to be given a copy of it. (4) The applicant will pay the reasonable costs of anyone other than the respondent which have been incurred as a result of this order, including the costs of finding out whether that person holds any of the respondent's assets. (5) If this order ceases to have effect5 the applicant will promptly take all reasonable steps to inform in writing anyone to whom the applicant has given notice of this order, or who the applicant has reasonable grounds for supposing may act upon this order, that it has ceased to have effect. (6) The applicant will not, without leave of the Court, use any information obtained as a result of this order for the purpose of any civil or criminal proceedings, either in or outside Australia, other than this proceeding. (7) The applicant will not, without leave of the Court, seek to enforce this order in any country outside Australia or seek in any country outside Australia an order of a similar nature or an order conferring a charge or other security against the respondent or the respondent's assets. SCHEDULE B AFFIDAVITS RELIED ON Name of Deponent of Affidavit Date Affidavit Made Paul Anthony Allen 16 December 2019 Mark David Wenn 16 December 2019 Aris Zafiriou (filed in proceeding NSD 2194 of 2018) 26 November 2018

[20]

TO: Zu You Shi (also known as David Shi) This is a "freezing order" made against you on 18 December 2019 by Justice Anderson at a hearing without notice to you after the Court has been given the undertakings set out in Schedule A to this order and after the Court has read the affidavits listed in Schedule B to this order. The applicant has given to the Court the undertakings set out in Schedule A to this order. THE COURT ORDERS: INTRODUCTION

The application for this order is made returnable immediately.
Subject to the next paragraph, this order has effect up to and including 4pm on 24 January 2020 ("the return date"). On the return date there will be a further hearing in respect of this order at 9.30 a.m. before Justice Anderson.
Anyone served with or notified of this order, including you, may apply to the Court at any time to vary or discharge this order or so much of it as affects the person served or notified.
In this order - (a) "applicant", if there is more than one applicant, includes all the applicants; (b) "you", where there is more than one of you, includes all of you and includes you if you are a corporation; (c) "third party" means a person other than you and the applicant; (d) "unencumbered value" means value free of mortgages, charges, liens or other encumbrances.
(a) If you are ordered to do something, you must do it by yourself or through directors, officers, partners, employees, agents or others acting on your behalf or on your instructions. (b) If you are ordered not to do something, you must not do it yourself or through directors, officers, partners, employees, agents or others acting on your behalf or on your instructions or with your encouragement or in any other way. FREEZING OF ASSETS
(a) You must not remove from Australia or in any way dispose of, deal with or diminish the value of any of your assets which are in Australia ("Australian assets") up to the unencumbered value of AUD$6,800,000 ("the relevant amount"). (b) If the unencumbered value of your Australian assets exceeds the relevant amount, you may remove any of those assets from Australia or dispose of or deal with them or diminish their value, so long as the total unencumbered value of your Australian assets still exceeds the relevant amount. (c) If the unencumbered value of your Australian assets is less than the relevant amount, and you have assets outside Australia ("ex-Australian assets") - (i) you must not dispose of, deal with or diminish the value of any of your Australian assets and ex-Australian assets up to the unencumbered value of your Australian and ex-Australian assets of the relevant amount; and (ii) you may dispose of, deal with or diminish the value of any of your ex-Australian assets, so long as the unencumbered value of your Australian assets and ex-Australian assets still exceeds the relevant amount.
For the purposes of this order - (a) your assets include - (i) all your assets, whether or not they are in your name and whether they are solely or co-owned; (ii) any asset which you have the power, directly or indirectly, to dispose of or deal with as if it were your own (you are to be regarded as having such power if a third party holds or controls the asset in accordance with your direct or indirect instructions);and (iii) the following assets in particular - (A) the properties known as 12 Lipook Court, Warrnambool VIC 3280 and 184-186 Liebig Street, Warrnambool VIC 3280 or, if they have been sold, the net proceeds of the sale(s); (B) the assets of your business [known as [name]] [carried on at [address]] or, if any or all of the assets have been sold, the proceeds of the sale; and (C) any money in account [see account details, as set out in the annexure to this form of order]; (b) the value of your assets is the value of the interest you have individually in your assets. PROVISION OF INFORMATION
Subject to paragraph 9, you must - (a) at or before the further hearing on the return date (or within such further time as the Court may allow) to the best of your ability inform the applicant in writing of all your assets in world wide, giving their value, location and details (including any mortgages, charges or other encumbrances to which they are subject) and the extent of your interest in the assets; (b) within 3 working days after being served with this order, swear and serve on the applicant an affidavit setting out the above information.
(a) This paragraph 9 applies if you are not a corporation and you wish to object to complying with paragraph 8 on the grounds that some or all of the information required to be disclosed may tend to prove that you - (i) have committed an offence against or arising under an Australian law or a law of a foreign country; or (ii) are liable to a civil penalty. (b) This paragraph 9 also applies if you are a corporation and all persons who are able to comply with paragraph 8 on your behalf and with whom you have been able to communicate, wish to object to your complying with paragraph 8 on the grounds that some or all of the information required to be disclosed may tend to prove that they respectively - (i) have committed an offence against or arising under an Australian law or a law of a foreign country; or (ii) are liable to a civil penalty. (c) You must - (i) disclose so much of the information required to be disclosed to which no objection is taken; and (ii) prepare an affidavit containing so much of the information required to be disclosed to which objection is taken and deliver it to the Court in a sealed envelope; and (iii) file and serve on each other party a separate affidavit setting out the basis of the objection. EXCEPTIONS TO THIS ORDER
This order does not prohibit you from - (a) paying up to $1,000 a week on account of your ordinary living expenses; (b) paying $20,000 on account of your reasonable legal expenses; (c) dealing with or disposing of any of your assets in the ordinary and proper course of your business, including paying business expenses bona fide and properly incurred; (d) in relation to matters not falling within sub-paragraphs (a), (b) or (c), dealing with or disposing of any of your assets in discharging obligations bona fide and properly incurred under a contract entered into before this order was made, provided that before doing so you give the applicant, if possible, at least two working days written notice of the particulars of the obligation.
You and the applicant may agree in writing that the exceptions in the preceding paragraph are to be varied. In that case the applicant or you must as soon as practicable file with the Court and serve on the other a minute of a proposed consent order recording the variation signed by or on behalf of the applicant and you, and the Court may thereafter order that the exceptions are varied accordingly.
(a) The order will cease to have effect if you - (i) pay the sum of $6,651,100 into Court; or (ii) pay that sum into a joint bank account in the name of your solicitor and the solicitor for the applicant as agreed in writing between them; or (iii) provide security in that sum by a method agreed in writing with the applicant to be held subject to the order of the Court. (b) Any such payment and any such security will not provide the applicant with any priority over your other creditors in the event of your insolvency. (c) If this order ceases to have effect pursuant to sub-paragraph (a), you must as soon as practicable file with the Court and serve on the applicant notice of that fact. COSTS
The costs of this application are reserved. PERSONS OTHER THAN THE APPLICANT AND RESPONDENT
Set off by banks This order does not prevent any bank from exercising any right of set off it has in respect of any facility which it gave you before it was notified of this order.
Bank withdrawals by the respondent No bank need inquire as to the application or proposed application of any money withdrawn by you if the withdrawal appears to be permitted by this order.
Persons outside Australia (a) Except as provided in sub-paragraph (b) below, the terms of this order do not affect or concern anyone outside Australia. (b) The terms of this order will affect the following persons outside Australia - (i) you and your directors, officers, employees and agents (except banks and financial institutions); (ii) any person (including a bank or financial institution) who - (A) is subject to the jurisdiction of this Court; (B) has been given written notice of this order, or has actual knowledge of the substance of the order and of its requirements; and (C) is able to prevent or impede acts or omissions outside Australia which constitute or assist in a disobedience of the terms of this order; and (iii) any other person (including a bank or financial institution), only to the extent that this order is declared enforceable by or is enforced by a court in a country or state that has jurisdiction over that person or over any of that person's assets.
Assets located outside Australia Nothing in this order shall, in respect of assets located outside Australia, prevent any third party from complying or acting in conformity with what it reasonably believes to be its bona fide and properly incurred legal obligations, whether contractual or pursuant to a court order or otherwise, under the law of the country or state in which those assets are situated or under the proper law of any contract between a third party and you, provided that in the case of any future order of a court of that country or state made on your or the third party's application, reasonable written notice of the making of the application is given to the applicant. SCHEDULE A UNDERTAKINGS GIVEN TO THE COURT BY THE APPLICANT (1) The applicant undertakes to submit to such order (if any) as the Court may consider to be just for the payment of compensation (to be assessed by the Court or as it may direct) to any person (whether or not a party) affected by the operation of the order. (2) As soon as practicable, the applicant will file and serve upon the respondent copies of: (a) this order; (b) the application for this order for hearing on the return date; (c) the following material in so far as it was relied on by the applicant at the hearing when the order was made: (i) affidavits (or draft affidavits); (ii) exhibits capable of being copied; (iii) any written submission; and (iv) any other document that was provided to the Court. (d) a transcript, or, if none is available, a note, of any exclusively oral allegation of fact that was made and of any exclusively oral submission that was put, to the Court; (e) the reasons for judgment; (f) the originating process, or, if none was filed, any draft originating process produced to the Court. (3) As soon as practicable, the applicant will cause anyone notified of this order to be given a copy of it. (4) The applicant will pay the reasonable costs of anyone other than the respondent which have been incurred as a result of this order, including the costs of finding out whether that person holds any of the respondent's assets. (5) If this order ceases to have effect5 the applicant will promptly take all reasonable steps to inform in writing anyone to whom the applicant has given notice of this order, or who the applicant has reasonable grounds for supposing may act upon this order, that it has ceased to have effect. (6) The applicant will not, without leave of the Court, use any information obtained as a result of this order for the purpose of any civil or criminal proceedings, either in or outside Australia, other than this proceeding. (7) The applicant will not, without leave of the Court, seek to enforce this order in any country outside Australia or seek in any country outside Australia an order of a similar nature or an order conferring a charge or other security against the respondent or the respondent's assets. SCHEDULE B AFFIDAVITS RELIED ON Name of Deponent of Affidavit Date Affidavit Made Paul Anthony Allen 16 December 2019 Mark David Wenn 16 December 2019 Aris Zafiriou (filed in proceeding NSD 2194 of 2018) 26 November 2018

[24]

TO: JIoNG XUE (also known as jane xue) This is a "freezing order" made against you on 18 December 2019 by Justice Anderson at a hearing without notice to you after the Court has been given the undertakings set out in Schedule A to this order and after the Court has read the affidavits listed in Schedule B to this order. The applicant has given to the Court the undertakings set out in Schedule A to this order. THE COURT ORDERS: INTRODUCTION

The application for this order is made returnable immediately.
Subject to the next paragraph, this order has effect up to and including 4pm on 24 January 2020 ("the return date"). On the return date there will be a further hearing in respect of this order at 9.30 a.m. before Justice Anderson.
Anyone served with or notified of this order, including you, may apply to the Court at any time to vary or discharge this order or so much of it as affects the person served or notified.
In this order - (a) "applicant", if there is more than one applicant, includes all the applicants; (b) "you", where there is more than one of you, includes all of you and includes you if you are a corporation; (c) "third party" means a person other than you and the applicant; (d) "unencumbered value" means value free of mortgages, charges, liens or other encumbrances.
(a) If you are ordered to do something, you must do it by yourself or through directors, officers, partners, employees, agents or others acting on your behalf or on your instructions. (b) If you are ordered not to do something, you must not do it yourself or through directors, officers, partners, employees, agents or others acting on your behalf or on your instructions or with your encouragement or in any other way. FREEZING OF ASSETS
(a) You must not remove from Australia or in any way dispose of, deal with or diminish the value of any of your assets which are in Australia ("Australian assets") up to the unencumbered value of AUD$200,000 ("the relevant amount"). (b) If the unencumbered value of your Australian assets exceeds the relevant amount, you may remove any of those assets from Australia or dispose of or deal with them or diminish their value, so long as the total unencumbered value of your Australian assets still exceeds the relevant amount. (c) If the unencumbered value of your Australian assets is less than the relevant amount, and you have assets outside Australia ("ex-Australian assets") - (i) you must not dispose of, deal with or diminish the value of any of your Australian assets and ex-Australian assets up to the unencumbered value of your Australian and ex-Australian assets of the relevant amount; and (ii) you may dispose of, deal with or diminish the value of any of your ex-Australian assets, so long as the unencumbered value of your Australian assets and ex-Australian assets still exceeds the relevant amount.
For the purposes of this order - (a) your assets include - (i) all your assets, whether or not they are in your name and whether they are solely or co-owned; (ii) any asset which you have the power, directly or indirectly, to dispose of or deal with as if it were your own (you are to be regarded as having such power if a third party holds or controls the asset in accordance with your direct or indirect instructions);and (iii) the following assets in particular - (A) the properties known as 1710/889 Collins Street, Docklands, VIC 3008 or, if it has been sold, the net proceeds of the sales; (B) the assets of your business [known as [name]] [carried on at [address]] or, if any or all of the assets have been sold, the proceeds of the sale; and (C) any money in account [see account details, as set out in the annexure to this form of order]; (b) the value of your assets is the value of the interest you have individually in your assets. PROVISION OF INFORMATION
Subject to paragraph 9, you must - (a) at or before the further hearing on the return date (or within such further time as the Court may allow) to the best of your ability inform the applicant in writing of all your assets in world wide, giving their value, location and details (including any mortgages, charges or other encumbrances to which they are subject) and the extent of your interest in the assets; (b) within 3 working days after being served with this order, swear and serve on the applicant an affidavit setting out the above information.
(a) This paragraph 9 applies if you are not a corporation and you wish to object to complying with paragraph 8 on the grounds that some or all of the information required to be disclosed may tend to prove that you - (i) have committed an offence against or arising under an Australian law or a law of a foreign country; or (ii) are liable to a civil penalty. (b) This paragraph 9 also applies if you are a corporation and all persons who are able to comply with paragraph 8 on your behalf and with whom you have been able to communicate, wish to object to your complying with paragraph 8 on the grounds that some or all of the information required to be disclosed may tend to prove that they respectively - (i) have committed an offence against or arising under an Australian law or a law of a foreign country; or (ii) are liable to a civil penalty. (c) You must - (i) disclose so much of the information required to be disclosed to which no objection is taken; and (ii) prepare an affidavit containing so much of the information required to be disclosed to which objection is taken and deliver it to the Court in a sealed envelope; and (iii) file and serve on each other party a separate affidavit setting out the basis of the objection. EXCEPTIONS TO THIS ORDER
This order does not prohibit you from - (a) paying up to $1,000 a week on account of your ordinary living expenses; (b) paying $20,000 on account of your reasonable legal expenses; (c) dealing with or disposing of any of your assets in the ordinary and proper course of your business, including paying business expenses bona fide and properly incurred; (d) in relation to matters not falling within sub-paragraphs (a), (b) or (c), dealing with or disposing of any of your assets in discharging obligations bona fide and properly incurred under a contract entered into before this order was made, provided that before doing so you give the applicant, if possible, at least two working days written notice of the particulars of the obligation.
You and the applicant may agree in writing that the exceptions in the preceding paragraph are to be varied. In that case the applicant or you must as soon as practicable file with the Court and serve on the other a minute of a proposed consent order recording the variation signed by or on behalf of the applicant and you, and the Court may thereafter order that the exceptions are varied accordingly.
(a) The order will cease to have effect if you - (i) pay the sum of $70,250 into Court; or (ii) pay that sum into a joint bank account in the name of your solicitor and the solicitor for the applicant as agreed in writing between them; or (iii) provide security in that sum by a method agreed in writing with the applicant to be held subject to the order of the Court. (b) Any such payment and any such security will not provide the applicant with any priority over your other creditors in the event of your insolvency. (c) If this order ceases to have effect pursuant to sub-paragraph (a), you must as soon as practicable file with the Court and serve on the applicant notice of that fact. COSTS
The costs of this application are reserved. PERSONS OTHER THAN THE APPLICANT AND RESPONDENT
Set off by banks This order does not prevent any bank from exercising any right of set off it has in respect of any facility which it gave you before it was notified of this order.
Bank withdrawals by the respondent No bank need inquire as to the application or proposed application of any money withdrawn by you if the withdrawal appears to be permitted by this order.
Persons outside Australia (a) Except as provided in sub-paragraph (b) below, the terms of this order do not affect or concern anyone outside Australia. (b) The terms of this order will affect the following persons outside Australia - (i) you and your directors, officers, employees and agents (except banks and financial institutions); (ii) any person (including a bank or financial institution) who - (A) is subject to the jurisdiction of this Court; (B) has been given written notice of this order, or has actual knowledge of the substance of the order and of its requirements; and (C) is able to prevent or impede acts or omissions outside Australia which constitute or assist in a disobedience of the terms of this order; and (iii) any other person (including a bank or financial institution), only to the extent that this order is declared enforceable by or is enforced by a court in a country or state that has jurisdiction over that person or over any of that person's assets.
Assets located outside Australia Nothing in this order shall, in respect of assets located outside Australia, prevent any third party from complying or acting in conformity with what it reasonably believes to be its bona fide and properly incurred legal obligations, whether contractual or pursuant to a court order or otherwise, under the law of the country or state in which those assets are situated or under the proper law of any contract between a third party and you, provided that in the case of any future order of a court of that country or state made on your or the third party's application, reasonable written notice of the making of the application is given to the applicant. SCHEDULE A UNDERTAKINGS GIVEN TO THE COURT BY THE APPLICANT (1) The applicant undertakes to submit to such order (if any) as the Court may consider to be just for the payment of compensation (to be assessed by the Court or as it may direct) to any person (whether or not a party) affected by the operation of the order. (2) As soon as practicable, the applicant will file and serve upon the respondent copies of: (a) this order; (b) the application for this order for hearing on the return date; (c) the following material in so far as it was relied on by the applicant at the hearing when the order was made: (i) affidavits (or draft affidavits); (ii) exhibits capable of being copied; (iii) any written submission; and (iv) any other document that was provided to the Court. (d) a transcript, or, if none is available, a note, of any exclusively oral allegation of fact that was made and of any exclusively oral submission that was put, to the Court; (e) the reasons for judgment; (f) the originating process, or, if none was filed, any draft originating process produced to the Court. (3) As soon as practicable, the applicant will cause anyone notified of this order to be given a copy of it. (4) The applicant will pay the reasonable costs of anyone other than the respondent which have been incurred as a result of this order, including the costs of finding out whether that person holds any of the respondent's assets. (5) If this order ceases to have effect5 the applicant will promptly take all reasonable steps to inform in writing anyone to whom the applicant has given notice of this order, or who the applicant has reasonable grounds for supposing may act upon this order, that it has ceased to have effect. (6) The applicant will not, without leave of the Court, use any information obtained as a result of this order for the purpose of any civil or criminal proceedings, either in or outside Australia, other than this proceeding. (7) The applicant will not, without leave of the Court, seek to enforce this order in any country outside Australia or seek in any country outside Australia an order of a similar nature or an order conferring a charge or other security against the respondent or the respondent's assets. SCHEDULE B AFFIDAVITS RELIED ON Name of Deponent of Affidavit Date Affidavit Made Paul Anthony Allen 16 December 2019 Mark David Wenn 16 December 2019 Aris Zafiriou (filed in proceeding NSD 2194 of 2018) 26 November 2018

[28]

TO: LISEN FANG This is a "freezing order" made against you on 18 December 2019 by Justice Anderson at a hearing without notice to you after the Court has been given the undertakings set out in Schedule A to this order and after the Court has read the affidavits listed in Schedule B to this order. The applicant has given to the Court the undertakings set out in Schedule A to this order. THE COURT ORDERS: INTRODUCTION

The application for this order is made returnable immediately.
Subject to the next paragraph, this order has effect up to and including 4pm on 24 January 2020 ("the return date"). On the return date there will be a further hearing in respect of this order at 9.30 a.m. before Justice Anderson.
Anyone served with or notified of this order, including you, may apply to the Court at any time to vary or discharge this order or so much of it as affects the person served or notified.
In this order - (a) "applicant", if there is more than one applicant, includes all the applicants; (b) "you", where there is more than one of you, includes all of you and includes you if you are a corporation; (c) "third party" means a person other than you and the applicant; (d) "unencumbered value" means value free of mortgages, charges, liens or other encumbrances.
(a) If you are ordered to do something, you must do it by yourself or through directors, officers, partners, employees, agents or others acting on your behalf or on your instructions. (b) If you are ordered not to do something, you must not do it yourself or through directors, officers, partners, employees, agents or others acting on your behalf or on your instructions or with your encouragement or in any other way. FREEZING OF ASSETS
(a) You must not remove from Australia or in any way dispose of, deal with or diminish the value of any of your assets which are in Australia ("Australian assets") up to the unencumbered value of AUD$2,400,000 ("the relevant amount"). (b) If the unencumbered value of your Australian assets exceeds the relevant amount, you may remove any of those assets from Australia or dispose of or deal with them or diminish their value, so long as the total unencumbered value of your Australian assets still exceeds the relevant amount. (c) If the unencumbered value of your Australian assets is less than the relevant amount, and you have assets outside Australia ("ex-Australian assets") - (i) you must not dispose of, deal with or diminish the value of any of your Australian assets and ex-Australian assets up to the unencumbered value of your Australian and ex-Australian assets of the relevant amount; and (ii) you may dispose of, deal with or diminish the value of any of your ex-Australian assets, so long as the unencumbered value of your Australian assets and ex-Australian assets still exceeds the relevant amount.
For the purposes of this order - (a) your assets include - (i) all your assets, whether or not they are in your name and whether they are solely or co-owned; (ii) any asset which you have the power, directly or indirectly, to dispose of or deal with as if it were your own (you are to be regarded as having such power if a third party holds or controls the asset in accordance with your direct or indirect instructions);and (iii) the following assets in particular - (A) the property known as 21 Burke Avenue, Berala, NSW 2141, or, if it has been sold, the net proceeds of the sale; (B) the assets of your business [known as [name]] [carried on at [address]] or, if any or all of the assets have been sold, the proceeds of the sale; and (C) any money in account [see account details, as set out in the annexure to this form of order]; (b) the value of your assets is the value of the interest you have individually in your assets. PROVISION OF INFORMATION
Subject to paragraph 9, you must - (a) at or before the further hearing on the return date (or within such further time as the Court may allow) to the best of your ability inform the applicant in writing of all your assets in world wide, giving their value, location and details (including any mortgages, charges or other encumbrances to which they are subject) and the extent of your interest in the assets; (b) within 3 working days after being served with this order, swear and serve on the applicant an affidavit setting out the above information.
(a) This paragraph 9 applies if you are not a corporation and you wish to object to complying with paragraph 8 on the grounds that some or all of the information required to be disclosed may tend to prove that you - (i) have committed an offence against or arising under an Australian law or a law of a foreign country; or (ii) are liable to a civil penalty. (b) This paragraph 9 also applies if you are a corporation and all persons who are able to comply with paragraph 8 on your behalf and with whom you have been able to communicate, wish to object to your complying with paragraph 8 on the grounds that some or all of the information required to be disclosed may tend to prove that they respectively - (i) have committed an offence against or arising under an Australian law or a law of a foreign country; or (ii) are liable to a civil penalty. (c) You must - (i) disclose so much of the information required to be disclosed to which no objection is taken; and (ii) prepare an affidavit containing so much of the information required to be disclosed to which objection is taken and deliver it to the Court in a sealed envelope; and (iii) file and serve on each other party a separate affidavit setting out the basis of the objection. EXCEPTIONS TO THIS ORDER
This order does not prohibit you from - (a) paying up to $1,000 a week on account of your ordinary living expenses; (b) paying $20,000 on account of your reasonable legal expenses; (c) dealing with or disposing of any of your assets in the ordinary and proper course of your business, including paying business expenses bona fide and properly incurred; (d) in relation to matters not falling within sub-paragraphs (a), (b) or (c), dealing with or disposing of any of your assets in discharging obligations bona fide and properly incurred under a contract entered into before this order was made, provided that before doing so you give the applicant, if possible, at least two working days written notice of the particulars of the obligation.
You and the applicant may agree in writing that the exceptions in the preceding paragraph are to be varied. In that case the applicant or you must as soon as practicable file with the Court and serve on the other a minute of a proposed consent order recording the variation signed by or on behalf of the applicant and you, and the Court may thereafter order that the exceptions are varied accordingly.
(a) The order will cease to have effect if you - (i) pay the sum of $2,247,972.23 into Court; or (ii) pay that sum into a joint bank account in the name of your solicitor and the solicitor for the applicant as agreed in writing between them; or (iii) provide security in that sum by a method agreed in writing with the applicant to be held subject to the order of the Court. (b) Any such payment and any such security will not provide the applicant with any priority over your other creditors in the event of your insolvency. (c) If this order ceases to have effect pursuant to sub-paragraph (a), you must as soon as practicable file with the Court and serve on the applicant notice of that fact. COSTS
The costs of this application are reserved. PERSONS OTHER THAN THE APPLICANT AND RESPONDENT
Set off by banks This order does not prevent any bank from exercising any right of set off it has in respect of any facility which it gave you before it was notified of this order.
Bank withdrawals by the respondent No bank need inquire as to the application or proposed application of any money withdrawn by you if the withdrawal appears to be permitted by this order.
Persons outside Australia (a) Except as provided in sub-paragraph (b) below, the terms of this order do not affect or concern anyone outside Australia. (b) The terms of this order will affect the following persons outside Australia - (i) you and your directors, officers, employees and agents (except banks and financial institutions); (ii) any person (including a bank or financial institution) who - (A) is subject to the jurisdiction of this Court; (B) has been given written notice of this order, or has actual knowledge of the substance of the order and of its requirements; and (C) is able to prevent or impede acts or omissions outside Australia which constitute or assist in a disobedience of the terms of this order; and (iii) any other person (including a bank or financial institution), only to the extent that this order is declared enforceable by or is enforced by a court in a country or state that has jurisdiction over that person or over any of that person's assets.
Assets located outside Australia Nothing in this order shall, in respect of assets located outside Australia, prevent any third party from complying or acting in conformity with what it reasonably believes to be its bona fide and properly incurred legal obligations, whether contractual or pursuant to a court order or otherwise, under the law of the country or state in which those assets are situated or under the proper law of any contract between a third party and you, provided that in the case of any future order of a court of that country or state made on your or the third party's application, reasonable written notice of the making of the application is given to the applicant. SCHEDULE A UNDERTAKINGS GIVEN TO THE COURT BY THE APPLICANT (1) The applicant undertakes to submit to such order (if any) as the Court may consider to be just for the payment of compensation (to be assessed by the Court or as it may direct) to any person (whether or not a party) affected by the operation of the order. (2) As soon as practicable, the applicant will file and serve upon the respondent copies of: (a) this order; (b) the application for this order for hearing on the return date; (c) the following material in so far as it was relied on by the applicant at the hearing when the order was made: (i) affidavits (or draft affidavits); (ii) exhibits capable of being copied; (iii) any written submission; and (iv) any other document that was provided to the Court. (d) a transcript, or, if none is available, a note, of any exclusively oral allegation of fact that was made and of any exclusively oral submission that was put, to the Court; (e) the reasons for judgment; (f) the originating process, or, if none was filed, any draft originating process produced to the Court. (3) As soon as practicable, the applicant will cause anyone notified of this order to be given a copy of it. (4) The applicant will pay the reasonable costs of anyone other than the respondent which have been incurred as a result of this order, including the costs of finding out whether that person holds any of the respondent's assets. (5) If this order ceases to have effect5 the applicant will promptly take all reasonable steps to inform in writing anyone to whom the applicant has given notice of this order, or who the applicant has reasonable grounds for supposing may act upon this order, that it has ceased to have effect. (6) The applicant will not, without leave of the Court, use any information obtained as a result of this order for the purpose of any civil or criminal proceedings, either in or outside Australia, other than this proceeding. (7) The applicant will not, without leave of the Court, seek to enforce this order in any country outside Australia or seek in any country outside Australia an order of a similar nature or an order conferring a charge or other security against the respondent or the respondent's assets. SCHEDULE B AFFIDAVITS RELIED ON Name of Deponent of Affidavit Date Affidavit Made Paul Anthony Allen 16 December 2019 Mark David Wenn 16 December 2019 Aris Zafiriou (filed in proceeding NSD 2194 of 2018) 26 November 2018

[32]

TO: Xia Juan You This is a "freezing order" made against you on 18 December 2019 by Justice Anderson at a hearing without notice to you after the Court has been given the undertakings set out in Schedule A to this order and after the Court has read the affidavits listed in Schedule B to this order. The applicant has given to the Court the undertakings set out in Schedule A to this order. THE COURT ORDERS: INTRODUCTION

The application for this order is made returnable immediately.
Subject to the next paragraph, this order has effect up to and including 4pm on 24 January 2020 ("the return date"). On the return date there will be a further hearing in respect of this order at 9.30 a.m. before Justice Anderson.
Anyone served with or notified of this order, including you, may apply to the Court at any time to vary or discharge this order or so much of it as affects the person served or notified.
In this order - (a) "applicant", if there is more than one applicant, includes all the applicants; (b) "you", where there is more than one of you, includes all of you and includes you if you are a corporation; (c) "third party" means a person other than you and the applicant; (d) "unencumbered value" means value free of mortgages, charges, liens or other encumbrances.
(a) If you are ordered to do something, you must do it by yourself or through directors, officers, partners, employees, agents or others acting on your behalf or on your instructions. (b) If you are ordered not to do something, you must not do it yourself or through directors, officers, partners, employees, agents or others acting on your behalf or on your instructions or with your encouragement or in any other way. FREEZING OF ASSETS
(a) You must not remove from Australia or in any way dispose of, deal with or diminish the value of any of your assets which are in Australia ("Australian assets") up to the unencumbered value of AUD$1,475,000 ("the relevant amount"). (b) If the unencumbered value of your Australian assets exceeds the relevant amount, you may remove any of those assets from Australia or dispose of or deal with them or diminish their value, so long as the total unencumbered value of your Australian assets still exceeds the relevant amount. (c) If the unencumbered value of your Australian assets is less than the relevant amount, and you have assets outside Australia ("ex-Australian assets") - (i) you must not dispose of, deal with or diminish the value of any of your Australian assets and ex-Australian assets up to the unencumbered value of your Australian and ex-Australian assets of the relevant amount; and (ii) you may dispose of, deal with or diminish the value of any of your ex-Australian assets, so long as the unencumbered value of your Australian assets and ex-Australian assets still exceeds the relevant amount.
For the purposes of this order - (a) your assets include - (i) all your assets, whether or not they are in your name and whether they are solely or co-owned; (ii) any asset which you have the power, directly or indirectly, to dispose of or deal with as if it were your own (you are to be regarded as having such power if a third party holds or controls the asset in accordance with your direct or indirect instructions);and (iii) the following assets in particular - (A) the property known as 8/16 - 20 High Street, Carlton, NSW 2218 or, if it has been sold, the net proceeds of the sale; (B) the assets of your business [known as [name]] [carried on at [address]] or, if any or all of the assets have been sold, the proceeds of the sale; and (C) any money in account [see account details, as set out in the annexure to this form of order]; (b) the value of your assets is the value of the interest you have individually in your assets. PROVISION OF INFORMATION
Subject to paragraph 9, you must - (a) at or before the further hearing on the return date (or within such further time as the Court may allow) to the best of your ability inform the applicant in writing of all your assets in world wide, giving their value, location and details (including any mortgages, charges or other encumbrances to which they are subject) and the extent of your interest in the assets; (b) within 3 working days after being served with this order, swear and serve on the applicant an affidavit setting out the above information.
(a) This paragraph 9 applies if you are not a corporation and you wish to object to complying with paragraph 8 on the grounds that some or all of the information required to be disclosed may tend to prove that you - (i) have committed an offence against or arising under an Australian law or a law of a foreign country; or (ii) are liable to a civil penalty. (b) This paragraph 9 also applies if you are a corporation and all persons who are able to comply with paragraph 8 on your behalf and with whom you have been able to communicate, wish to object to your complying with paragraph 8 on the grounds that some or all of the information required to be disclosed may tend to prove that they respectively - (i) have committed an offence against or arising under an Australian law or a law of a foreign country; or (ii) are liable to a civil penalty. (c) You must - (i) disclose so much of the information required to be disclosed to which no objection is taken; and (ii) prepare an affidavit containing so much of the information required to be disclosed to which objection is taken and deliver it to the Court in a sealed envelope; and (iii) file and serve on each other party a separate affidavit setting out the basis of the objection. EXCEPTIONS TO THIS ORDER
This order does not prohibit you from - (a) paying up to $1,000 a week on account of your ordinary living expenses; (b) paying $20,000 on account of your reasonable legal expenses; (c) dealing with or disposing of any of your assets in the ordinary and proper course of your business, including paying business expenses bona fide and properly incurred; (d) in relation to matters not falling within sub-paragraphs (a), (b) or (c), dealing with or disposing of any of your assets in discharging obligations bona fide and properly incurred under a contract entered into before this order was made, provided that before doing so you give the applicant, if possible, at least two working days written notice of the particulars of the obligation.
You and the applicant may agree in writing that the exceptions in the preceding paragraph are to be varied. In that case the applicant or you must as soon as practicable file with the Court and serve on the other a minute of a proposed consent order recording the variation signed by or on behalf of the applicant and you, and the Court may thereafter order that the exceptions are varied accordingly.
(a) The order will cease to have effect if you - (i) pay the sum of $1,327,424.91 into Court; or (ii) pay that sum into a joint bank account in the name of your solicitor and the solicitor for the applicant as agreed in writing between them; or (iii) provide security in that sum by a method agreed in writing with the applicant to be held subject to the order of the Court. (b) Any such payment and any such security will not provide the applicant with any priority over your other creditors in the event of your insolvency. (c) If this order ceases to have effect pursuant to sub-paragraph (a), you must as soon as practicable file with the Court and serve on the applicant notice of that fact. COSTS
The costs of this application are reserved. PERSONS OTHER THAN THE APPLICANT AND RESPONDENT
Set off by banks This order does not prevent any bank from exercising any right of set off it has in respect of any facility which it gave you before it was notified of this order.
Bank withdrawals by the respondent No bank need inquire as to the application or proposed application of any money withdrawn by you if the withdrawal appears to be permitted by this order.
Persons outside Australia (a) Except as provided in sub-paragraph (b) below, the terms of this order do not affect or concern anyone outside Australia. (b) The terms of this order will affect the following persons outside Australia - (i) you and your directors, officers, employees and agents (except banks and financial institutions); (ii) any person (including a bank or financial institution) who - (A) is subject to the jurisdiction of this Court; (B) has been given written notice of this order, or has actual knowledge of the substance of the order and of its requirements; and (C) is able to prevent or impede acts or omissions outside Australia which constitute or assist in a disobedience of the terms of this order; and (iii) any other person (including a bank or financial institution), only to the extent that this order is declared enforceable by or is enforced by a court in a country or state that has jurisdiction over that person or over any of that person's assets.
Assets located outside Australia Nothing in this order shall, in respect of assets located outside Australia, prevent any third party from complying or acting in conformity with what it reasonably believes to be its bona fide and properly incurred legal obligations, whether contractual or pursuant to a court order or otherwise, under the law of the country or state in which those assets are situated or under the proper law of any contract between a third party and you, provided that in the case of any future order of a court of that country or state made on your or the third party's application, reasonable written notice of the making of the application is given to the applicant. SCHEDULE A UNDERTAKINGS GIVEN TO THE COURT BY THE APPLICANT (1) The applicant undertakes to submit to such order (if any) as the Court may consider to be just for the payment of compensation (to be assessed by the Court or as it may direct) to any person (whether or not a party) affected by the operation of the order. (2) As soon as practicable, the applicant will file and serve upon the respondent copies of: (a) this order; (b) the application for this order for hearing on the return date; (c) the following material in so far as it was relied on by the applicant at the hearing when the order was made: (i) affidavits (or draft affidavits); (ii) exhibits capable of being copied; (iii) any written submission; and (iv) any other document that was provided to the Court. (d) a transcript, or, if none is available, a note, of any exclusively oral allegation of fact that was made and of any exclusively oral submission that was put, to the Court; (e) the reasons for judgment; (f) the originating process, or, if none was filed, any draft originating process produced to the Court. (3) As soon as practicable, the applicant will cause anyone notified of this order to be given a copy of it. (4) The applicant will pay the reasonable costs of anyone other than the respondent which have been incurred as a result of this order, including the costs of finding out whether that person holds any of the respondent's assets. (5) If this order ceases to have effect5 the applicant will promptly take all reasonable steps to inform in writing anyone to whom the applicant has given notice of this order, or who the applicant has reasonable grounds for supposing may act upon this order, that it has ceased to have effect. (6) The applicant will not, without leave of the Court, use any information obtained as a result of this order for the purpose of any civil or criminal proceedings, either in or outside Australia, other than this proceeding. (7) The applicant will not, without leave of the Court, seek to enforce this order in any country outside Australia or seek in any country outside Australia an order of a similar nature or an order conferring a charge or other security against the respondent or the respondent's assets. SCHEDULE B AFFIDAVITS RELIED ON Name of Deponent of Affidavit Date Affidavit Made Paul Anthony Allen 16 December 2019 Mark David Wenn 16 December 2019 Aris Zafiriou (filed in proceeding NSD 2194 of 2018) 26 November 2018

[35]

Background 3 The first to eighth plaintiffs are companies in liquidation (Plaintiff Companies). On 27 November 2018, Ross Andrew Blakeley, Quentin James Olde and Paul Anthony Allen (collectively, the Provisional Liquidators) were appointed provisional liquidators of the Plaintiff Companies. The appointments were by order of Yates J made in proceeding NSD 2194 of 2018 (Winding Up Proceeding): Deputy Commissioner of Taxation v Ausmart Services Pty Ltd [2018] FCA 1912. 4 On 20 December 2018, Jagot J made an order in the Winding Up Proceeding requiring the Provisional Liquidators to provide by 1 March 2019 to the Court and the Deputy Commissioner of Taxation (Deputy Commissioner) a report as to the provisional liquidation of the Plaintiff Companies, including requiring the following matters: (a) the identification of their assets and liabilities; (b) an opinion as to their solvency; (c) the likely return to creditors; (d) any other information necessary to enable their financial position to be assessed; (e) any suspected contravention by them of the Corporations Act 2001 (Cth) (Act); and (f) any suspected contravention of the Act and/or any other legislation by any of their current or former directors and/or officers. 5 On 14 March 2019, the Provisional Liquidators provided a report summarising the results of the Provisional Liquidators' investigations, which addressed each of the matters required by the orders of Jagot J (Provisional Liquidators' Report). 6 The conclusions in the Provisions Liquidators' Report were that: (a) there was a shortfall of assets to liabilities in relation to each of the Plaintiff Companies; (b) each of the Plaintiff Companies was insolvent; (c) the likely return to creditors in any liquidation of each of the Plaintiff Companies would be less than 100 cents in the dollar; (d) further information was required to establish the financial position and affairs of the Plaintiff Companies, which, given the lack of appropriate records and cooperation to date by the Plaintiff Companies' directors and officers, could only be obtained through public examinations of various parties; (e) possible contraventions of the Act by the Plaintiff Companies had been identified; (f) multiple suspected breaches of the Act and other legislation by directors and officers of each of the Plaintiff Companies, including possible criminal offences, had been identified; (g) substantial further enquiry was warranted into the conduct of the Plaintiff Companies, and their directors and officers; (h) various causes of action also likely existed against those and other parties that require further investigation and pursuance; and (i) the Plaintiff Companies should be wound up on the grounds of insolvency and/or it was just and equitable for such an order to be made. 7 On 15 May 2019, the Plaintiff Companies were wound up by order of Steward J. By those same orders, Ross Andrew Blakeley, Joseph Hansell and Paul Anthony Allen (Liquidators) were appointed as liquidators of each of the Plaintiff Companies. The Liquidators are the ninth plaintiff in this proceeding. 8 The Plaintiff Companies are part of a larger group of at least 31 associated companies, connected to Scott Shi, and his family or associates, who are active in the contract labour hire industry, predominately by supplying workers to Australian abattoirs (Shi Group). 9 By an affidavit sworn by one of the Liquidators, Paul Anthony Allen, on 16 December 2019 (Allen affidavit), the Liquidators allege that the Shi Group has been used over a period of more than ten years in an elaborate tax evasion scheme involving the failure to pay over $83 million in federal taxes and more in state taxes. The Liquidators allege that the scheme involved the diversion of vast sums of money overseas, and into primarily land assets in Australia. The Liquidators have identified payments or transfers of some $119,566,423. 10 The Liquidators seek to obtain freezing orders in respect of real property held by 11 officers or associates of the Plaintiff Companies. This relief is sought in circumstances where Yates J made findings in the Winding Up Proceeding that the plaintiff in that proceeding, the Deputy Commissioner, had established a prima facie case that the Plaintiff Companies were engaging in systematic and deliberate non-compliance with their taxation obligations involving unpaid taxes of almost $38 million. 11 The Allen affidavit deposes to the investigations which were undertaken by the Provisional Liquidators and the subsequent investigations undertaken by the Liquidators and their staff. 12 The Allen affidavit deposes that in 2013, a government funded taskforce known as the Cross Agency Trust Taskforce (Taskforce) was established. The Taskforce was established to deal with the increased manipulation of trusts as vehicles that could be at the centre of tax avoidance, tax evasion, and money laundering. 13 In early 2014, the Taskforce became aware of Scott Shi and his associated companies due to the receipt of information in connection to the meat processing industry. The Taskforce identified that Scott Shi was operating a complex web of at least 31 intertwined companies, including the Plaintiff Companies. 14 It is alleged that companies within the Shi Group operated a large business that provided labour hire services to a number of abattoirs. That business had held contracts with at least 42 abattoirs throughout Australia between 2008 and 2017. Those contracts were identified as the source of more than $349 million of revenue and involved the employment or contracting of at least 1,100 workers per year. 15 The Allen affidavit deposes that in July 2015, the Taskforce commenced an intense audit of the Shi Group and persons associated with that group. As a result of this audit, it was determined that companies in the Shi Group, including the Plaintiff Companies, had incurred taxation liabilities which include: (a) amounts withheld from the wages of employees pursuant to Div 12 of Pt 2-5 of Sch 1 to the Taxation Administration Act 1953 (Cth) but not remitted (PAYG withholding); (b) goods and services tax (GST) pursuant to A New Tax System (Goods and Service Tax) Act 1999 (Cth) in relation to labour hire contracts with abattoirs; (c) superannuation guarantee charges (SGC) pursuant to s 16 of the Superannuation Guarantee (Administration) Act 1992 (Cth) in relation to employees; and (d) income tax. 16 The Allen affidavit further deposes to the Shi Group being engaged in the following activities: (a) large scale tax evasion involving companies within the Shi Group, including by: (i) underreporting GST liabilities, or failing to report those liabilities at all; (ii) failing to lodge income tax returns, lodging returns that grossly underreported the relevant company's income tax liabilities, or lodging returns that overstated the relevant company's entitlement to claim tax deductions; (iii) failing to lodge BAS, lodging BAS that underreported the relevant company's GST liabilities, or lodging BAS that overstated the relevant company's entitlement to GST input credits; (iv) withholding amounts from wages or similar payments to their employees on account of PAYG withholding amounts, but failing to remit those amounts to the ATO; (v) failing to make required SGC contributions and failing to lodge SGC statements with the ATO; and (vi) engaging in the practice of "phoenixing" (whereby the relevant company would be wound up or deregistered to avoid paying outstanding taxation liabilities, with all employees transferred, and all debtors redirected, to a newly incorporated company); (b) labour importation, overcrowding, sham contracting and underpayment of workers, which involved: (i) employing or contracting predominantly with Chinese, Taiwanese and/or Korean nationals without Australian citizenship, many of whom were on visas with limited rights to work; (ii) providing workers with accommodation as part of their engagement by the Shi Group, deducting amounts from amounts paid to those workers (likely in breach of applicable legislation), and housing many workers in properties owned by entities within the Shi Group (or related parties), often in overcrowded conditions; (iii) regularly engaging in "sham contracting" arrangements, which involved engaging workers as subcontractors rather than employees, with the intention of avoiding the payment of employee entitlements (including superannuation, annual leave, leave loading and overtime); and (iv) deducting amounts from workers' wages in the form of an initial 'bond' payment for uniforms, tools and other expenses, and ongoing payment of "board" for the accommodation provided (despite frequent overcrowding); and (c) overseas funds transfers, including: (i) transferring funds received by companies within the Shi Group overseas, often via Money Chain Foreign Exchange (Money Chain), a business specialising in providing remittance services/foreign exchange trading services for Chinese citizens around the world; and (ii) frequently transferring such funds to Chinese bank accounts held by Scott Shi and his related entities, for purposes seemingly entirely unrelated to the business affairs of the Shi Group. 17 The Allen affidavit deposes that many companies in the Shi Group have gone into liquidation or have been deregistered without paying their tax liabilities. The directors of the companies in the group usually changed a short time before each company was wound up or deregistered. The employees of each company listed in the labour hire contracts with each abattoir were transferred to a new company set up in the Shi Group. Nearly all the money received by companies in the Shi Group that was not used to pay wages or business expenses was withdrawn by Scott Shi or his associates. There are usually several companies in the Shi Group in operation at any one time, with some companies having contracts with abattoirs to supply workers and other companies using their bank accounts to pay workers. 18 The Allen affidavit deposes to the Plaintiff Companies having a total primary tax shortfall to the ATO of $37,719,923.67. 19 The Allen affidavit deposes to the analysis by the ATO of the Plaintiff Companies' bank statements, AUSTRAC records and other documents which indicate that the wound up or deregistered companies in the Shi Group had their assets stripped prior to liquidation or deregistration. In particular, the analysis shows that the funds in the Plaintiff Companies' bank accounts were not used to pay wages or other business expenses but were transferred to other companies in the Shi Group, or were withdrawn or transferred offshore for the benefit of Scott Shi, his relatives and associates. 20 The Allen affidavit deposes to the single controlling mind behind the Plaintiff Companies being Scott Shi. 21 The Allen affidavit deposes to the investigations by the Liquidators and those of the ATO. Those investigations reveal that moneys originating from the Plaintiff Companies had been used to acquire an extensive portfolio of real property or service mortgages on real property. Almost exclusively, these properties are not held in the names of the Plaintiff Companies or by Scott Shi directly. They are generally held in the names of a range of family members or associates of Scott Shi or the Shi Group business. 22 The Allen affidavit deposes that to date, the Liquidators have identified 10 properties that have been purchased at least partially with funds originating from the Plaintiff Companies and who are registered in the name of the defendants (Financed Properties). The table below summarises the Financed Properties: No. Property Address Registered Proprietor Company Providing Funds Amount Provided

13 Ramel Way, Pakenham VIC 3180 Quan Fa Shi Ezyrol $44,000 4th Defendant
30 Northern Avenue, Newborough VIC 3825 Meiming Zheng Ezyrol $25,995 1st Defendand
74 Emily Street, Seymour VIC 3660 Quan Fa Shi Ezyrol $35,500 4th Defendant
1710/889 Collins Street, Docklands VIC 3008 Jiong Xue Gamma $70,250 6th Defendant
14 Fergusson Street, Camperdown IC 3260 Meiming Zheng Mondex $19,250 1st Defendant
253 Lagoon Street, Deniliquin VIC 3825 Meiming Zheng Mondex $21,000 1st Defendant
28 Jeeralang Avenue, Newborough VIC 3825 Meiming Zheng Mondex $35,000 1st Defendant
5 Bower Parade, Singleton NSW 2330 Meiming Zheng Mondex $41,200 1st Defendant
91 Decimus Street, Deniliquin NSW 2710 Meiming Zheng Mondex $12,500 1st Defendant
21 Burke Avenue, Berala NSW 2141 Lisen Fang Spark $91,000 7th Defendant

[36]

23 Caveats have been lodged over each of the Financed Properties. 24 The Allen affidavit deposes to the connection between Scott Shi and each of the second to eighth defendants. 25 The Allen affidavit deposes to the Liquidators' belief that funds from the Plaintiff Companies were used to acquire 16 properties (other than the Financed Properties) in the names of the defendants (Further Properties). The Liquidators' investigations are continuing in relation to these Further Properties to establish a direct link between the use of funds from the Plaintiff Companies and the purchase of one or more of the Further Properties identified. At present, the Liquidators have formed the view that there is no proper basis to lodge a caveat over the Further Properties. For this reason, the Liquidators seek the freezing orders the subject of this interlocutory application to immobilise the defendants from being able to deal with these Further Properties. 26 The table below lists the 16 Further Properties identified as being owned by the defendants. It is these properties over which the Liquidators seek freezing orders: No. Address Registered Proprietor(s)

104 Aitkins Road, Warrnambool VIC 3280 Mei Ming Zheng 1st Defendant
27 Kelly Street, Scone NSW 2337 Mei Ming Zheng 1st Defendant
Unit 27 1-5 Harrow Road, Auburn NSW 2144 Mei Ming Zheng 1st Defendant
20 Northcott Avenue, Singleton Heights NSW Qan Fa Shi (Roger Shi) 2330 4th Defendant
72 Emily Street, Seymour VIC 3660 Qan Fa Shi (Roger Shi) 4th Defendant
17 A Gaiwood Place, Castle Hill NSW 2154 Yu Qin Zhang 2nd Defendant
21 Chelmsford Avenue, Epping NSW 2121 Yu Qin Zhang 2nd Defendant
47A Rodd Street, Birrong NSW 2143 Yu Qin Zhang 2nd Defendant
5/57-59 Eigth Avenue, Campsie NSW 2194 Yu Qin Zhang 2nd Defendant
6 Waterview Street, Putney NSW 2112 Yu Qin Zhang 2nd Defendant
7/32-34 Ann Street, Wolli Creek NSW 2205 Yu Qin Zhang 2nd Defendant
8 Lipook Court, Warrnambool VIC 3280 Yu Qin Zhang 2nd Defendant
31 Albert Road, Beecroft NSW 2119 Yun Feng Shi (Michael Shi) 3rd Defendant
52 Merton Street, Altona Meadows VIC 3028 Yun Feng Shi (Michael Shi) 3rd Defendant
7 Calder Court, Warrnambool VIC 3280 Yun Feng Shi (Michael Shi) 3rd Defendant
12 Lipook Court, Warrnambool VIC 3280 Zu You Shi (David Shi) 5th Defendant
184-186 Liebig Street, Warrnambool VIC 3280 Zu You Shi (David Shi) 5th Defendant

[37]

27 The Allen affidavit deposes to the potential claims which the Liquidators have identified to date against the defendants and which will be the subject of this proceeding by the Liquidators. Set out below is a table of the potential claims and quantum against the defendants: No. Defendant name Potential claim(s) Potential claim quantum

Yu Qin Zhang Equitable compensation for knowing receipt of funds from the sixth plaintiff transferred in breach of fiduciary duty, involvement in director's contraventions of the Act in respect of those transfers, and/or claims that those payments are voidable under Part 5.7B of the Act as unreasonable director-related or uncommercial transactions $155,000 2nd Defendant
Yun Feng Shi (Michael Shi) Compensation under section 588M of the Act for contraventions of section 588G of the Act in respect of position as director of the second plaintiff $12,105,872.90 3rd Defendant
Quan Fa Shi (Roger Shi) Equitable compensation for breach of fiduciary duty in respect of funds transferred to Money Chain by the second plaintiff, compensation for contraventions of the Act in respect of the same transfer, equitable compensation for breach of fiduciary duty in respect of funds transferred to a (now deregistered) company in the Shi Group by the second plaintiff, compensation for contraventions of the Act in respect of the same transfer, equitable compensation for breach of fiduciary duty in respect of funds transferred to a (now deregistered) company in the Shi Group by second plaintiff, compensation for contraventions of the Act in respect of the same transfer, declarations that the second plaintiff has a beneficial interest in 13 Ramel Way, Pakenham and 74 Emily Street Seymour via a resulting or constructive trust $2,375,995 4th Defendant
Mei Ming Zheng Compensation under section 588M of the Act for contraventions of section 588G of the Act in respect of positions as director of the first plaintiff, and the fifth plaintiff, a declaration that second plaintiff has a beneficial interest in 30 Northern Avenue, Newborough via a resulting or constructive trust, declarations that Mondex has a beneficial interest in 14 Fergusson Street, Camperdown, 253 Lagoon Street, Deniliquin, 28 Jeeralang Avenue, Newborough, 5 Bower Parade, Singleton, 91 Decimus Street, Deniliquin via a resulting or constructive trust $8,862,917.57 1st Defendant
Zu You Shi Equitable compensation for breach of fiduciary duty in respect of funds transferred to a (now deregistered) company in the Shi Group by the seventh plaintiff, compensation for contraventions of the Act in respect of the same transfer, equitable compensation for knowing receipt of funds from the sixth plaintiff transferred in breach of fiduciary duty, involvement in director's contraventions of the Act in respect of those transfers, and/or claims that those payments are voidable under Part 5.7B of the Act as unreasonable director-related or uncommercial transactions $6,651,100 (David Shi) 5th Defendant
Jiong Xue A declaration that the third plaintiff has a beneficial interest in 1710/889 Collins Street, Docklands via a resulting or constructive trust $70,250.00 (Jane Xue) 6th Defendant
Lisen Fang Compensation under section 588M of the Act for contraventions of section 588G of the Act in respect of position as director of the eighth plaintiff, equitable compensation for breach of fiduciary duty in respect of funds transferred to Money Chain by the eighth plaintiff, compensation for contraventions of the Act in respect of the same transfer, equitable compensation for breach of fiduciary duty in respect of cheque drawn on bank account of the eighth plaintiff, compensation for contraventions of the Act in respect of the same transfer, a declaration that the fifth plaintiff has a beneficial interest in 21 Burke Avenue, Berala via a resulting trust or a constructive trust, equitable compensation for breach of fiduciary duty in respect of net funds transferred to the third plaintiff by the eighth plaintiff, compensation for contraventions of the Act in respect of the same transfers $2,247,972.23 7th Defendant
Xia Juan You Compensation under section 588M of the Act for contraventions of section 588G of the Act in respect of position as director of the fourth plaintiff $1,327,424.91 8th Defendant

[38]

28 The Allen affidavit deposes to the Liquidators' belief that this proceeding is likely to establish that the defendants: (a) have acted in breach of their duties under the Act; (b) have misappropriated or knowingly received funds that have been misappropriated from Shi companies; (c) as directors are prepared to remove assets of the companies for their own benefit; (d) have had companies deregistered or liquidated to escape tax liabilities; (e) have been involved in paying vast sums of money overseas without real trace; (f) have been involved in illegal modern slavery activity; and (g) have been involved in phoenix activity. 29 The Allen affidavit deposes to the second, third, fourth, fifth, seventh and eighth defendants as each being directors and officers of one or more of the Plaintiff Companies. The first defendant is the wife of Scott Shi and is identified in the Allen affidavit as having received funds from the Plaintiff Companies. The sixth defendant is a long-term employee of Scott Shi and there is evidence that she has received substantial sums from the Plaintiff Companies. 30 The Allen affidavit deposes to the Liquidators' concerns that the defendants in this proceeding will divest themselves of their assets, possibly by transferring funds overseas, including to China, unless freezing orders are made. 31 The Liquidators also rely upon an affidavit of Aris Zafiriou (Zafiriou affidavit) sworn 26 November 2018 in the Winding Up Proceeding. Mr Zafiriou was at that time an Executive Level Officer employed by the ATO as Director, Significant Debt Management. The plaintiffs seek leave to rely upon the Zafiriou affidavit in this proceeding. I granted that leave. 32 The Zafiriou affidavit deposes to evidence of Scott Shi, the Shi Group of companies and officers and directors of the Shi Group of companies including the Plaintiff Companies' involvement in: (a) large scale tax evasion including "phoenixing", involving companies within the Shi Group; (b) labour importation, overcrowding, sham contracting and underpayment of workers in the abattoir industry; and (c) transferring of funds received by companies within the Shi Group overseas often via Money Chain and frequent transferring of such funds to Chinese bank accounts held by Mr Shi and his related entities for purposes unrelated to the business affairs of the Shi Group. 33 The Zafiriou affidavit further deposes to: (a) the ATO investigation of the Shi Group, including the Plaintiff Companies, for the period 1 July 2009 to 30 June 2017 identifying significant shortfalls for the payment of income tax, GST, PAYG and SGC tax payable by those companies. The total primary tax shortfall across the Plaintiff Companies is, according to the ATO investigation, $37,719,923.67; and (b) the involvement of the defendants as either directors or officers of one or more of the Plaintiff Companies or recipients of funds from the Plaintiff Companies and involved in either directly or indirectly breaches of the Act, including possible criminal conduct to evade federal and state tax liabilities in the tens of millions of dollars. 34 The above summary of background facts is not exhaustive of all matters deposed to in the Allen affidavit and the Zafiriou affidavit. It is sufficient background for the purpose of determining this application for interim freezing orders.

[39]

Applicable principles 35 The Court has power to make a freezing order generally under s 23 of the Federal Court of Australia Act 1976 (Cth) and Division 7.4 (rr 7.31-7.38) of the Rules. 36 Rule 7.32 of the Rules provides as follows: (1) The Court may make an order (a freezing order), with or without notice to a respondent, for the purpose of preventing the frustration or inhibition of the Court's process by seeking to meet a danger that a judgment or prospective judgment of the Court will be wholly or partly unsatisfied. (2) A freezing order may be an order restraining a respondent from removing any assets located in or outside Australia or from disposing of, dealing with, or diminishing the value of, those assets. 37 Rule 7.35 of the Rules sets out the circumstances in which this power may be enlivened. It provides as follows: (1) This rule applies if: (a) judgment has been given in favour of an applicant by: (i) the Court; or (ii) for a judgment to which subrule (2) applies - another court; or (b) an applicant has a good arguable case on an accrued or prospective cause of action that is justiciable in: (i) the Court; or (ii) for a cause of action to which subrule (3) applies - another court. (2) This subrule applies to a judgment if there is a sufficient prospect that the judgment will be registered in or enforced by the Court. (3) This subrule applies to a cause of action if: (a) there is a sufficient prospect that the other court will give judgment in favour of the applicant; and (b) there is a sufficient prospect that the judgment will be registered in or enforced by the Court. (4) The Court may make a freezing order or an ancillary order or both against a judgment debtor or prospective judgment debtor if the Court is satisfied, having regard to all the circumstances, that there is a danger that a judgment or prospective judgment will be wholly or partly unsatisfied because any of the following might occur: (a) the judgment debtor, prospective judgment debtor or another person absconds; (b) the assets of the judgment debtor, prospective judgment debtor or another person are: (i) removed from Australia or from a place inside or outside Australia; or (ii) disposed of, dealt with or diminished in value. (5) The Court may make a freezing order or an ancillary order or both against a person other than a judgment debtor or prospective judgment debtor (a third party) if the Court is satisfied, having regard to all the circumstances, that: (a) there is a danger that a judgment or prospective judgment will be wholly or partly unsatisfied because: (i) the third party holds or is using, or has exercised or is exercising, a power of disposition over assets (including claims and expectancies) of the judgment debtor or prospective judgment debtor; or (ii) the third party is in possession of, or in a position of control or influence concerning, assets (including claims and expectancies) of the judgment debtor or prospective judgment debtor; or (b) a process in the Court is or may ultimately be available to the applicant as a result of a judgment or prospective judgment, under which process the third party may be obliged to disgorge assets or contribute toward satisfying the judgment or prospective judgment. (6) Nothing in this rule affects the power of the Court to make a freezing order or ancillary order if the Court considers it is in the interests of justice to do so. 38 The principles governing the grant of freezing orders were summarised by Wigney J in Basi v Namitha Nakul Pty Ltd [2019] FCA 743 as follows: 7. The purpose of a freezing order is to prevent an abuse or a frustration of the Court's process by depriving an applicant of the fruits of any judgment obtained in the action: Jackson v Sterling Industries Ltd (1987) 162 CLR 612 at 625. It is "no light matter" to freeze a party's assets and there is, accordingly, a need for the Court to exercise caution: Patterson v BTR Engineering (Aust) Ltd (1989) 18 NSWLR 319 at 324F. A freezing order is a "drastic remedy" which should not be lightly granted: Cardile v LED Builders Pty Ltd (1999) 198 CLR 380 at [51] citing Frigo v Culhari (unreported, NSW Court of Appeal 17 July 1998 at 10-11). 8. An applicant has a good arguable case if they have "a reasonably arguable case on legal as well as factual matters": Cardile at [68]; Insolvency Guardian Melbourne Pty Ltd v Carlei (2016) 111 ACSR 236; [2016] FCA 72 at [18]. It has also been said that a "good arguable case" is one "which is more than barely capable of serious argument, and yet not necessarily one the judge considers would have better than a fifty per cent chance of success": Curtis v NID Pty Ltd [2010] FCA 1072 at [6] citing Ninemia Maritime Corp v Trave Schiffahrtsgesselschaft mbH & Co KG (The Niedersachsen) [1983] Com LR 234 at 235 (affirmed on appeal: [1983] 1 WLR 1412); Deputy Commissioner of Taxation v Greenfield Electrical Services Pty Ltd (2016) 103 ATR 327; [2016] FCA 653 at [7]. 9. Where a freezing order is sought on the basis of a danger of the dissipation of assets, it is not necessary for the Court to be satisfied that the risk of dissipation is more probable than not. Nor is it necessary for the applicant to adduce evidence of an intention on the part of the respondent to dissipate assets: Deputy Commissioner of Taxation v Hua Wang Bank Berhad (2010) 273 ALR 194; [2010] FCA 1014 at [8]-[10]; Deputy Commissioner of Taxation v Chemical Trustee Ltd (No 4) (2012) 90 ATR 711; [2012] FCA 1064 at [23]. The making of a freezing order involves a discretionary exercise of power. The Court retains a discretion to refuse relief even if the requirements in r 7.35 of the Rules are satisfied: Patterson at 321-322.

[40]

Is there a good arguable case? 39 For the following reasons, I am satisfied on the basis of the matters deposed to in the Allen affidavit and the Zafiriou affidavit that the plaintiffs have a good arguable case to recover moneys from each of the defendants. 40 First, the matters deposed to identify the involvement of the defendants in the alleged contraventions by Scott Shi, the Shi Group and the Plaintiff Companies of the Act and participation in alleged criminal conduct to evade federal and state tax liabilities. The defendants' involvement is either as directors or officers of the Shi Group, which include the Plaintiff Companies, or as recipients of funds from the Shi Group and the Plaintiff Companies. 41 Second, the conclusions of the Provisional Liquidators' Report, which found that the Plaintiff Companies, and their directors and officers (including the defendants), were involved in multiple breaches of the Act, including possible criminal offences. The Provisional Liquidators' Report also found the involvement of Scott Shi, his family members and business associates (which include the defendants) in that contravening conduct. 42 Third, the Taskforce's inquiries and investigations provide evidence of Scott Shi, his associates, family members, and directors and officers of the Plaintiff Companies (including the defendants) engaging in alleged criminal conduct to evade federal and state tax liabilities in the tens of millions of dollars. 43 Fourth, the audit team at the ATO conducted an investigation into companies within the Shi Group for the period 1 July 2009 to 30 June 2017 and found that companies within the group failed to pay a total tax shortfall in excess of $37.7 million. The analysis by the ATO of the Plaintiff Companies' bank statements, AUSTRAC records and other documents provide evidence of the transfer of tens of millions of dollars to overseas companies associated with Scott Shi, his associates, family members, the Shi Group, and directors and officers of the Plaintiff Companies (including the defendants). 44 Fifth, the evidence deposed to in the Allen affidavit provides a reasonable basis for believing that Scott Shi has close personal, business and family associations with the defendants, and that the defendants are involved in, either directly or indirectly, the alleged criminal undertakings of Scott Shi and the Shi Group. 45 Sixth, the evidence that the Financed Properties have been purchased by business associates and family members of Scott Shi using funds originating from the Plaintiff Companies. 46 For the reasons stated above, I am satisfied that the plaintiffs have a good arguable case against the defendants for the recovery of moneys in respect to the claims alleged.

[41]

Is there a danger that a prospective judgment will be wholly or partially unsatisfied? 47 A freezing order may be made against a prospective judgment debtor where the Court is satisfied, having regard to all the circumstances, that there is a danger that a prospective judgment will be wholly or partially unsatisfied because the assets of the prospective judgment debtor might be removed from Australia or from a place inside or outside Australia, or disposed of, dealt with, or diminished in value: r 7.35(4) of the Rules. 48 I am satisfied that the plaintiffs have established that there is a strong prima facie case that a prospective judgment obtained by the plaintiffs against the defendants would be wholly or partly unsatisfied because the defendants might dispose of, deal with or diminish the value of their assets. The potential claims identified by the Liquidators to date against the defendants in this proceeding involve substantial sums of money and at their very heart involve the defendants' participation either directly or indirectly in alleged criminal conduct undertaken by Scott Shi and the Shi Group. Where, as here, allegations made against the defendants contain allegations of serious dishonesty, evidence of that nature is capable of satisfying the Court of the existence of the requisite danger to dispose of, deal with or dissipate assets. 49 Such circumstances were present in Patterson v BTR Engineering (Aust) Ltd (1989) 18 NSWLR 319, where Gleeson CJ (with the agreement of Meagher JA and Rogers AJA) observed the following about the circumstances of that case: In particular, I consider that [the primary judge] was correct in taking the view that the evidence as to the nature of the scheme in which the appellant was allegedly involved, which established a prima facie case against him, was such as to justify the conclusion that there was a danger that the appellant would dispose of assets in order to defeat any judgment that might be obtained against him and that such danger was sufficiently substantial to warrant the injunction. There is no reason in principle why the evidence which is relevant to the first of the issues earlier referred to might not also have a bearing on the second, and this will especially be so where the prima facie case that is made out against a defendant is one of serious dishonesty involving diversion of money from its proper channels. The present is not a case in which a plaintiff who claims simply to be an unsecured creditor seeks to prevent a dissipation of assets which have no particular connection with the claim in question. This is a case in which the plaintiff claims that the defendant, making use of a corporation controlled by him, fraudulently misappropriated a large sum of money which, if it is still under the control of the appellant, would be quite likely to constitute, directly or indirectly, the bulk of his assets. As [the primary judge] held, the nature of the scheme in which, on the evidence to date, the appellant appears to have engaged, is such that it is reasonable to infer that he is not the sort of person who would, unless restrained, preserve his assets intact so that they might be available to his judgment creditor. (Emphasis added.) 50 Based on the Allen affidavit and the Zafiriou affidavit, I am satisfied that the defendants are not the sort of persons who would, unless restrained, preserve their assets in tact so that they might be available to a judgment creditor.

Ausmart Services Pty Ltd (in liq) v Zheng

At a glance

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Judgment (44 paragraphs)

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Legislation Cited (6)

Cases Cited (11)

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