[ad_1]
Clive Palmer, the mining giant, was hit hard, and the Queensland court ordered his flagship company to pay more than $100 million.
The Queensland court dealt a costly blow to mining giant Clive Palmer, ordering his flagship company to pay more than $100 million to the liquidator of the collapsed Queensland nickel refinery.
After the Supreme Court dismissed the Queensland Nickel Industry (QNI) liquidator’s claim for money owed by the closure of the northern Queensland refinery last year, it suddenly made a ruling.
On Friday, the Court of Appeal ordered Mr. Palmer’s mining company Mineralogy to pay the liquidator $102.8 million.
QNI entered voluntary management and was liquidated in 2016, causing hundreds of Queensland workers to lose their jobs.
Before it collapsed, QNI paid millions of dollars to Mineralogy in an account called “Mineralogy Loan Account.”
The Supreme Court rejected the liquidator’s initial claim last year, and the judge ruled that the loan was provided by a joint venture agreement between QNI Resources and QNI Metals, which is owned by Mr. Palmer.
However, the appeal judge ruled that the conclusion could not be established.
The court ruled that Mineralogy may know that QNI Resources and Metals is the owner of JVA, but the inference “does not extend” to the company’s understanding of “the legal relationship on which the funds in the management account are held.”
“If held in trust, at least in part to meet current and future legal joint venture expenses, any loan must be made by QNI as the trustee, not Mineralogy and JVC,” the judgment wrote.
“They (loans) are provided by QNI as trustee, and QNI has the right to demand repayment.”
[ad_2]
Source link
