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\qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid13834703 \fs20\lang1033\langfe5129\cgrid\langnp1033\langfenp5129 {\b\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 IN THE HIGH COURT OF FIJI}{
\b\fs24\lang2057\langfe5129\langnp2057\insrsid13834703\charrsid13834703 
\par }{\b\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 (AT SUVA)
\par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid13834703 {\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 
\par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid13834703 {\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 CIVIL APPEAL NO. HBA 20 OF 2001S
\par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid13834703 {\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 
\par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid13834703 {\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 Between:
\par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid13834703 {\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 
\par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid13834703 {\b\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 TEKOTI ROATAN
\par }{\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 Appellant
\par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid13834703 {\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 
\par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid13834703 {\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 and
\par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid13834703 {\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 
\par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid13834703 {\b\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 H.P. KASABIA BROTHERS LIMITED
\par }{\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 Respondent
\par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid13834703 {\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 
\par Seru for the Appellant
\par E. Shandil}{\fs24\lang2057\langfe5129\langnp2057\insrsid13834703  }{\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 for the Respondent
\par 
\par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid13834703 {\b\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 JUDGMENT
\par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid13834703 {\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 
\par This is an appeal by a bankrupt against a refusal by the Suva Magistrates\rquote  Court (Jiten Singh Esq}{\fs24\lang2057\langfe5129\langnp2057\insrsid13834703 .}{\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 
) to grant him a certificate of misfortune pursuant to Section 28 (5) of the Bankruptcy Act (Cap 48).
\par 
\par A receiving order was made against the Appellant on the petition of the Respondent dated 22 February 1983.}{\fs24\lang2057\langfe5129\langnp2057\insrsid13834703  }{\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 
On 7 April 1988 the Appellant was adjudicated bankrupt.}{\fs24\lang2057\langfe5129\langnp2057\insrsid13834703  }{\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 The amount owed to the Respondent was $4,044.85}{
\fs24\lang2057\langfe5129\langnp2057\insrsid13834703  }{\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 however according to the report of the Official Receiver filed on 22 November 2000 eight other proofs of debt were filed amountin
g together to approximately $454,426.00.
\par 
\par On 20 June 2000 the Appellant applied to the Suva Magistrates\rquote  Court for an order of discharge under Section 28 (1) of the Act.}{\fs24\lang2057\langfe5129\langnp2057\insrsid13834703  }{
\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 In paragraph 13 of his report the Official Receiver opposed the Appellant\rquote s application.
\par 
\par The application was supported by an affidavit sworn on 20 June 2000.}{\fs24\lang2057\langfe5129\langnp2057\insrsid13834703  }{\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 
The Appellant deposed that the debt to the Respondent was incurred by a company whose debts he had guaranteed.}{\fs24\lang2057\langfe5129\langnp2057\insrsid13834703  }{\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 
Although the debt was not disputed the Appellant deposed that the company was not being run by him at the time that the debts were incurred but, in his absence abroad, was being run by his business partner.
\par 
\par On 9 February 2001 the Appellant appeared before the Resident Magistrate.}{\fs24\lang2057\langfe5129\langnp2057\insrsid13834703  }{\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 He relied on his affidavit.}{
\fs24\lang2057\langfe5129\langnp2057\insrsid13834703  }{\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 In a concise judgment the Resident Magistrate rejected the application.}{\fs24\lang2057\langfe5129\langnp2057\insrsid13834703  }{
\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 His reasoning was that \'93this was not a case of misfortune but bad management of business affairs\'94.}{\fs24\lang2057\langfe5129\langnp2057\insrsid13834703  }{
\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 He also noted that the Official Receiver had reported that the Appellant had \'93not paid suff
icient monies or made satisfactory arrangements to liquidate the debts and the Official Receiver\rquote s costs\'94.
\par 
\par On appeal Mr. Seru focussed on the refusal to grant a certificate of misfortune rather than on the Courts refusal to discharge the Appellant under the powers given to it by Section 28 (2) of the Act.}{\fs24\lang2057\langfe5129\langnp2057\insrsid13834703  
}{\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 Mr. Seru did however suggest in ground 7 of the grounds of appeal that the court should not have taken into account the Official Receiver\rquote s report since \'93
he was not a party to the action\'94.}{\fs24\lang2057\langfe5129\langnp2057\insrsid13834703  }{\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 With respect,
 this submission is not correct since Section 28 (2) of the Act specifically requires the court to take into account the Official Receiver\rquote s report.
\par 
\par Mr. Seru\rquote s principal argument was set out in his written submission.}{\fs24\lang2057\langfe5129\langnp2057\insrsid13834703  }{\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 He cited }{
\fs24\ul\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 In Re Boulton Brothers & Co}{\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 
. [1927] 1 Ch 79 and suggested that the Appellant had no control over the company at the time it incurred the debts and that therefore the bankruptcy was caused by misfortune.}{\fs24\lang2057\langfe5129\langnp2057\insrsid13834703  }{
\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 Mr. Seru advanced a similar argument in the Magistrates\rquote  Court but the resident Magistrate rejected it.}{\fs24\lang2057\langfe5129\langnp2057\insrsid13834703  }{
\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 In my view he was right to do so.}{\fs24\lang2057\langfe5129\langnp2057\insrsid13834703  }{\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 In Halsbury\rquote 
s Laws of England 4}{\fs24\lang2057\langfe5129\super\langnp2057\insrsid15744396\charrsid13834703 th}{\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703  Edition Volume 3 paragraph 452 it is written that:
\par 
\par }\pard \ql \li720\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid13834703 {\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 
A certificate of misfortune will not be granted unless there has been misfortune as distinguished from and unaccompanied by misconduct.}{\fs24\lang2057\langfe5129\langnp2057\insrsid13834703  }{
\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 
Misfortune is an adverse event not immediately dependent on the actions or will of him who suffers from it and of so improbable a character that no prudent man would take it into his calculations in reference to the interest of himself or others;\'94

\par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid13834703 {\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 
\par Mr. Shandil}{\fs24\lang2057\langfe5129\langnp2057\insrsid13834703  }{\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 
suggested that the fact that the Appellant knowingly gave the guarantee and then knowingly left the company in the hands of his partner did not bring him within the scope of misfortune.}{\fs24\lang2057\langfe5129\langnp2057\insrsid13834703  }{
\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 I agree.
\par 
\par Grounds of Appeal 1, 4, 5, 6 and 8 were not argued by Mr. Seru but they are all directed at the particular debt owned to the Respondent.}{\fs24\lang2057\langfe5129\langnp2057\insrsid13834703  }{
\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 At no stage was any mention made by the Appellant of the other creditors some of whom, as has been seen, were substantial.}{\fs24\lang2057\langfe5129\langnp2057\insrsid13834703  }{
\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 In my view the first question before the Magistrates\rquote  Court was whether a discharge should be granted at all.}{\fs24\lang2057\langfe5129\langnp2057\insrsid13834703  }{
\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 Only following a decision to grant a discharge could the question of a certificate of misfortune arise.}{\fs24\lang2057\langfe5129\langnp2057\insrsid13834703  }{
\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 To advance misfortune as a ground for granting a discharge is in my view to take a mistaken approach.
\par 
\par In the face of the Official Receiver\rquote s Report I am not satisfied that the Appellant has shown that the Resident Magistrate erred in refusing to discharge him and therefore the question of granting a Section 28 (5) certificate did not arise.}{
\fs24\lang2057\langfe5129\langnp2057\insrsid13834703  }{\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 
Even had it done so I am satisfied that the Appellant became liable for his debt not through misfortune but, as found by the Resident Magistrate, by mismanagement.
\par 
\par The appeal fails and is dismissed.
\par 
\par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid13834703 {\b\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 M.D. Scott
\par Judge
\par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid13834703 {\fs24\lang2057\langfe5129\langnp2057\insrsid15744396\charrsid13834703 
\par 5 April 2002
\par }}