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\fs24\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\b\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 IN THE HIGH COURT OF THE COOK ISLANDS
\par HELD AT RAROTONGA
\par (CIVIL DIVISION)}{\b\lang2057\langfe1033\langnp2057\insrsid8798947\charrsid8798947 
\par }{\b\lang2057\langfe1033\langnp2057\insrsid8798947 
\par }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 OA NO. 13/2003
\par }\pard \qc \li0\ri0\nowidctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid358366 {\b\ul\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 
\par }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 BETWEEN}{\lang2057\langfe1033\langnp2057\insrsid8798947 :}{\lang2057\langfe1033\langnp2057\insrsid8798947\charrsid8798947 
\par }{\b\ul\lang2057\langfe1033\langnp2057\insrsid8798947 
\par }{\b\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 CHRISTIAN JOGODZINSKI}{\lang2057\langfe1033\langnp2057\insrsid8798947\charrsid8798947 
\par }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 of Fiji, Investor}{\lang2057\langfe1033\langnp2057\insrsid8798947 
\par }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 Applicant
\par }{\b\ul\lang2057\langfe1033\langnp2057\insrsid8798947 
\par }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 AND}{\lang2057\langfe1033\langnp2057\insrsid8798947 :}{\lang2057\langfe1033\langnp2057\insrsid8798947\charrsid8798947 
\par }{\b\ul\lang2057\langfe1033\langnp2057\insrsid8798947 
\par }{\b\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 TRUSTNET (COOK ISLANDS)}{\b\lang2057\langfe1033\langnp2057\insrsid8798947  }{\b\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 LIMITED}{
\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947  a company incorporated}{\lang2057\langfe1033\langnp2057\insrsid8798947 
\par }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 in the Cook Islands and}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 carrying on business there and}{
\lang2057\langfe1033\langnp2057\insrsid8798947  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 elsewhere as a trustee company
\par First Respondent
\par }{\lang2057\langfe1033\langnp2057\insrsid8798947 
\par }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 AND}{\lang2057\langfe1033\langnp2057\insrsid8798947 :
\par 
\par }{\b\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 LE GROUP des INSULAIRES}{\b\lang2057\langfe1033\langnp2057\insrsid8798947  }{\b\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 LIMITED}{
\lang2057\langfe1033\langnp2057\insrsid8798947 
\par }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 a company international company incorporated
\par under the provisions of the}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 trustee of the Le Group des
\par Insulaires Trust
\par Second Respondent
\par }{\lang2057\langfe1033\langnp2057\insrsid8798947 
\par }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 AND}{\lang2057\langfe1033\langnp2057\insrsid8798947 :
\par 
\par }{\b\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 WILLIAM CLARKE}{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947  of Suva,}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{
\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 Fiji Solicitor
\par Third Respondent
\par }{\b\ul\lang2057\langfe1033\langnp2057\insrsid8798947 
\par }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 AND}{\lang2057\langfe1033\langnp2057\insrsid8798947 :
\par 
\par }{\b\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 JOYCE C TAYLOR}{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947  of Newport
\par Beach California United States of}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 America Retired
\par Fourth Respondent
\par }{\lang2057\langfe1033\langnp2057\insrsid8798947 
\par }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 AND}{\b\lang2057\langfe1033\langnp2057\insrsid8798947 :
\par 
\par }{\b\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 JOHN SCOTT MILLER}{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947  and
\par }{\b\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 SHELLY ANNE MILLER}{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947  both
\par of Suva Fiji
\par Fifth Respondent
\par }\pard \ql \li0\ri0\nowidctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid8798947 {\lang2057\langfe1033\langnp2057\insrsid8798947 
\par }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 Mr McFadzien for Applicant
\par Ms McCarthy for Respondents
\par }{\lang2057\langfe1033\langnp2057\insrsid8798947 
\par }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 Date of hearing:}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 10 November 2003 
\par Date of judgment:}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 10 November 2003
\par }\pard \qc \li0\ri0\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid3102769 {\b\ul\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid3102769 
\par JUDGMENT OF WILLIAMS J
\par 
\par }\pard \ql \li0\ri0\nowidctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid8798947 {\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 [1]\tab First Respondent by way of an application dated 30th of October seeks an
}{\lang2057\langfe1033\langnp2057\insrsid3102769  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 order that the claim of the applicant in OA 13/2003 as against the First Respondent (}{\lang2057\langfe1033\langnp2057\insrsid8798947 "}{
\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 Trustnet}{\lang2057\langfe1033\langnp2057\insrsid8798947 "}{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 
) be struck out as no reasonable cause of action is disclosed against Trustnet.}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 The app
lication is made in reliance on Rule 131 of the Code of Civil Procedure and order for costs is also sought.}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 
The grounds asserted are, first, that the applicant has not and cannot allege any direct cause of action against Trustnet.}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 
Secondly, that Trustnet is not a party to the Trust and therefore has no capacity to deal with the assets of the Trust.}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 
Therefore there is no need for the injunction against it.
\par 
\par [2]\tab The background circumstances are that a Mareva Injunction was made by \tab this Court on the 17th of October 2003.}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 
Trustnet was a party to those proceedings but the Statement of Claim did not identify a specific cause of action against Trustnet.}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 
One of the orders made by way of Mareva Injunction on 17th of October was that the Trustnet and the Third Respondent }{\lang2057\langfe1033\langnp2057\insrsid8798947 "}{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 deliver}{
\lang2057\langfe1033\langnp2057\insrsid3102769  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 up or cause to be del}{\lang2057\langfe1033\langnp2057\insrsid3102769 ivered up and disclosed to the }{
\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 applicant on oath within 7 days, copies of all documents within their possession or knowledge in relation to firstly the Deed of Settlement of the Le Group des Insulaires Trust made on 1 Jun
e 2001 between the Fifth Respondents\rquote  Settlors and the Second and Third Respondents as trustee and sole director of the Second Respondent respectively and secondly, Katafanga Island.}{\lang2057\langfe1033\langnp2057\insrsid8798947 " }{
\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 
\par 
\par [3]\tab The application is opposed by the applicant, the grounds of opposition being that Trustnet is the only resident respondent it will have against \tab whom it can obtain necessary ancillary relief.}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{
\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 The Second Respondent, which is an international company incorporated pursuant to the provisions of the International Companies 
Act 1981-82, is required by section 90 of that Act to have a resident secretary.}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 That }{\lang2057\langfe1033\langnp2057\insrsid3102769 
resident secretary will either }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 be Trustnet or a wholly owned subsidiary of Trustnet as is permitted by section 4A of the Trustee Companies Act 1981-82.}{
\lang2057\langfe1033\langnp2057\insrsid8798947  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 That resident secr
etary would be the only respondent within this jurisdiction who would have access to documents relevant to the Deed of Settlement of the Le Group des Insulaire Trust in the Cook Islands at least for the present time.}{
\lang2057\langfe1033\langnp2057\insrsid8798947  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 For that reason Trustnet should remain a respondent.}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{
\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 The position may change when the proposed proceedings are launched in Fiji against the Second, Third, Fourth and Fifth Respondents.}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{
\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 (Fiji is the place where the prime asset of the Second Respondent, namely Katafanga Island is located.)
\par 
\par [4]}{\lang2057\langfe1033\langnp2057\insrsid3102769  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 The submissions on behalf of Trustnet Ms McCarthy summarized her case as follows:
\par 
\par }\pard \ql \li720\ri0\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid12149196 {\insrsid12149196 (a) }{\insrsid1249869\charrsid12149196 Trustnet should be struck out because in terms of the substantive injunction, }{
\insrsid12149196 as opposed }{\insrsid1249869\charrsid12149196 to the orders}{\insrsid12149196  }{\insrsid1249869\charrsid12149196 of discovery, Trustnet has no power to deal with the}{\insrsid12149196  }{\insrsid1249869\charrsid12149196 assets of a T
rust without instructions from other Respondents.}{\insrsid8798947\charrsid12149196  }{\insrsid1249869\charrsid12149196 It does not control and manage the Trust}{\insrsid12149196  }{\insrsid1249869\charrsid12149196 
itself because instructions must come from the Second}{\insrsid12149196  }{\insrsid1249869\charrsid12149196 Respondent. The mere serving of the Mareva proceedings}{\insrsid12149196  }{\insrsid1249869\charrsid12149196 
on Trustnet would be a sufficient protection because if}{\insrsid12149196  }{\insrsid1249869\charrsid12149196 Trustnet with knowledge of the proceedings became a}{\insrsid12149196  }{\insrsid1249869\charrsid12149196 
party to any breaches of the injunctions made against the}{\insrsid12149196  }{\insrsid1249869\charrsid12149196 other Respondents it would itself become liable.}{\insrsid8798947\charrsid12149196  }{\insrsid1249869\charrsid12149196 In short,}{
\insrsid12149196  }{\insrsid1249869\charrsid12149196 there is no need to have injunctions or orders against}{\insrsid12149196  }{\insrsid1249869\charrsid12149196 Trustnet.
\par }{\insrsid12149196\charrsid12149196 
\par }{\insrsid12149196 (b). }{\insrsid1249869\charrsid12149196 So far as the Court has power to make ancillary orders of the kind referred to in Blanchard Civil Remedies in New}{\insrsid12149196  }{\insrsid1249869\charrsid12149196 
Zealand at page 295-299, the same reasoning applies. There is no need to join them as ancillary orders can be made}{\insrsid12149196  }{\insrsid1249869\charrsid12149196 against Trustnet without the need to have it as a party.
\par }\pard \ql \li0\ri0\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid12149196 {\insrsid1249869\charrsid12149196 
\par }\pard \ql \li0\ri0\nowidctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid8798947 {\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 [5]\tab Having considered these submissions the Cou}{
\lang2057\langfe1033\langnp2057\insrsid5533846 rt refuses the application for }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 the following reasons.}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{
\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 First, there is a cause of action known to the law, the Norwich Pharmacal course of action, based on the House of Lords decision in that ca
se recorded in 1974 Appeal Case 133 which would have justified the joinder of Trustnet.}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 
Secondly, on a strike out, the strike out defendant can defeat the strike out by asserting, that it will be possible to amend the pleadings introducing a prima f}{\lang2057\langfe1033\langnp2057\insrsid544239 acie arguable cause of action. }{
\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 In this case it would be the Norwich Pharmacal course of action.}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 
Thirdly, at least at the present moment, there is justification for the ancillary discovery order against Trustnet.}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 
Fourthly, it may be preferable, rather than merely 
exercising the ancillary jurisdiction against Trustnet as a non party, to have Trustnet for the time being, remain a party and amenable to orders both against it and in its favour, for example as to costs.}{\lang2057\langfe1033\langnp2057\insrsid8798947  
}{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 By having Trustnet joined as a party this Court ha
s better control over the whole situation including control over the time at which it may be appropriate for Trustnet to be removed as a party to the proceedings.
\par 
\par [6]\tab The Orders of the Court will therefore be as follows:
\par }\pard \ql \li720\ri0\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid1249869 {\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 
\par }{\lang2057\langfe1033\langnp2057\insrsid544239 1. }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 The application for Trustnet to strike out is refused;}{\lang2057\langfe1033\langnp2057\insrsid1249869 
\par }{\lang2057\langfe1033\langnp2057\insrsid544239\charrsid8798947 
\par }{\lang2057\langfe1033\langnp2057\insrsid544239 2. }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 
The applicant is to file in this Court no later than 4pm on Friday 14th November 2003 an amended Statement of Claim alleging a Norwich Pharmacal course of action against Trustnet.}{\lang2057\langfe1033\langnp2057\insrsid1249869 
\par }{\lang2057\langfe1033\langnp2057\insrsid544239\charrsid8798947 
\par }{\lang2057\langfe1033\langnp2057\insrsid544239 3. }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 Paragraph 2 of the Order of the Court dated 17th of October 2003 by way of Mareva Injunction, is hereby amended so as to provide that in}{
\lang2057\langfe1033\langnp2057\insrsid8798947  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 the first instance there shall be provided by Trustnet a list of all documents, as opposed to the delivery up of the documents themselves.}{
\lang2057\langfe1033\langnp2057\insrsid8798947  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 Thereafter relevant doc
uments will be delivered up, such documents to comprise documents which the parties agree are relevant or, failing agreement, those identified by the Court.}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{
\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 The time for compliance with the amended order will be 4pm on 1 December for the list of documents.}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{
\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 If the parties agree upon the documents to be delivered up, such delivery shall take place by 4pm on 14 December.}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{
\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 If they cannot agree then by that same date, 14 December, the applicant will lodge an application to the Court specifying the documents in th
e list in respective of which it seeks delivery and serve that application on the local solicitors for the Trustnet.}{\lang2057\langfe1033\langnp2057\insrsid1249869 
\par }{\lang2057\langfe1033\langnp2057\insrsid544239\charrsid8798947 
\par }{\lang2057\langfe1033\langnp2057\insrsid544239 4. }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 The reasonable costs of Trustnet in producing the list under the amended 17th of 
October order and the subsequent delivery shall be met by the Applicant if the parties cannot agree those costs then Trustnet has leave to apply to have the Court determine such costs.
\par }\pard \ql \li0\ri0\nowidctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid8798947 {\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 
\par [7]\tab Although the Applicant has successfully resisted the strike out, there would have been no need for it had the ca}{\lang2057\langfe1033\langnp2057\insrsid2431536 use of action against Trustnet }{
\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 been properly pleaded in the first instance.}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 
In these circumstances, as properly acknowledged by counsel or the Applicant, it is appropriate that costs be awarded to Trustnet.}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 
The parties shall endeavour to agree to amount of such costs.}{\lang2057\langfe1033\langnp2057\insrsid8798947  }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 Failing agreement wi}{\lang2057\langfe1033\langnp2057\insrsid2431536 
thin 7 days Trustnet has leave }{\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid8798947 to file an application.
\par 
\par [8]\tab Leave reserved to all parties to apply.
\par }{\b\lang2057\langfe1033\langnp2057\insrsid2431536 
\par }\pard \qc \li0\ri0\nowidctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid2431536 {\b\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid2431536 David Williams J
\par }\pard \qc \li0\ri0\nowidctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid2437820 {\b\lang2057\langfe1033\langnp2057\insrsid2431536\charrsid2431536 N}{\b\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid2431536 
ovember 10, 2003}{\b\lang2057\langfe1033\langnp2057\insrsid1249869\charrsid2437820 
\par }}