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\li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9334544 {\f0\fs24\insrsid16603185\charrsid9334544 \par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9334544 {\f0\fs24\insrsid4859715\charrsid9334544 AND:}{\f0\fs24\insrsid16603185\charrsid9334544 \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9334544 {\f0\fs24\insrsid16603185\charrsid9334544 \par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9334544 {\b\f0\fs24\insrsid4859715\charrsid9334544 HIROSHI TOKUHISA \par }{\f0\fs24\insrsid16603185\charrsid9334544 1st}{\f0\fs24\insrsid4859715\charrsid9334544 D}{\f0\fs24\insrsid16603185\charrsid9334544 efendant}{\f0\fs24\insrsid4859715\charrsid9334544 \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9334544 {\f0\fs24\insrsid16603185\charrsid9334544 \par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9334544 {\f0\fs24\insrsid4859715\charrsid9334544 AND:}{\f0\fs24\insrsid16603185\charrsid9334544 \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9334544 {\f0\fs24\insrsid16603185\charrsid9334544 \par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9334544 {\b\f0\fs24\insrsid4859715\charrsid9334544 TOSA BUSSAN (FIJI) LIMITED \par }{\f0\fs24\insrsid4859715\charrsid9334544 2}{\f0\fs24\insrsid16603185\charrsid9334544 nd}{\f0\fs24\insrsid4859715\charrsid9334544 D}{\f0\fs24\insrsid16603185\charrsid9334544 efendant}{\f0\fs24\insrsid4859715\charrsid9334544 \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9334544 {\f0\fs24\insrsid16603185\charrsid9334544 \par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9334544 {\f0\fs24\insrsid4859715\charrsid9334544 AND:}{\f0\fs24\insrsid16603185\charrsid9334544 \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9334544 {\b\f0\fs24\insrsid16603185\charrsid9334544 \par }\pard \qc \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9334544 {\b\f0\fs24\insrsid4859715\charrsid9334544 RESERVE BANK OF FIJI \par }{\f0\fs24\insrsid4859715\charrsid9334544 3}{\f0\fs24\insrsid16603185\charrsid9334544 rd}{\f0\fs24\insrsid4859715\charrsid9334544 D}{\f0\fs24\insrsid16603185\charrsid9334544 efendant}{\f0\fs24\insrsid4859715\charrsid9334544 \par }\pard \ql \li0\ri0\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid9334544 {\f0\fs24\insrsid16603185\charrsid9334544 \par }{\b\f0\fs24\insrsid4859715\charrsid9334544 COUNSEL:}{\b\f0\fs24\insrsid9334544\charrsid9334544 }{\f0\fs24\insrsid4859715\charrsid9334544 K. MUAROR (FOR THE PLAINTIFF) \par H.K.NAGIN}{\f0\fs24\insrsid1778300\charrsid9334544 }{\f0\fs24\insrsid4859715\charrsid9334544 (FOR THE 1ST AND 2ND DEFENDANTS) \par \par }{\b\f0\fs24\insrsid4859715\charrsid9334544 DATE}{\b\f0\fs24\insrsid1778300\charrsid9334544 }{\b\f0\fs24\insrsid4859715\charrsid9334544 OF }{\b\f0\fs24\insrsid16603185\charrsid9334544 HEARING:}{\b\f0\fs24\insrsid4859715\charrsid9334544 }{ \f0\fs24\insrsid4859715\charrsid9334544 4th SEPTEMBER}{\f0\fs24\insrsid1778300\charrsid9334544 }{\f0\fs24\insrsid4859715\charrsid9334544 2009 \par }{\b\f0\fs24\insrsid4859715\charrsid9334544 DATE OF RULING}{\b\f0\fs24\insrsid16603185\charrsid9334544 : }{\f0\fs24\insrsid16603185\charrsid9334544 9th}{\f0\fs24\insrsid4859715\charrsid9334544 SEPTEMBER}{\f0\fs24\insrsid1778300\charrsid9334544 }{ \f0\fs24\insrsid4859715\charrsid9334544 2009 \par }\pard \ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par }\pard \qc \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 RULING ON APPLICATION FOR \par SECURITY FOR COSTS \par }\pard \ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 1.0\tab}}\pard\plain \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 \f54\fs22\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 The Plaintiff is a company incorporated and operating in Japan.}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 2.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 The First Defendant is a company incorporated and operating in Fiji.}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 3.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 The First Defendant is a Director and President of the 2nd Defendant. \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 4.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 The First Defendant is alleged to be the Chairman and major shareholder in both TOSA BUSSAN INCORPORATED, a company incorporated and operating in Japan }{ \b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 (}{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid16603185 "}{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 TBI}{ \b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid16603185 "}{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 )}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 and TOSA BUSSAN (FIJI) Limited, the second defendant }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 (}{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid16603185 "}{ \b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 TBF}{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid16603185 "}{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 ).}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 5.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 It is apparently common ground between the parties that TBF exports Tuna Fish products to TBI which t hen sells such products to Japan where the Plaintiff is one of the buyers of these products. \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 6.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 In an Affidavit of MOTOYUKI KANETA the Chairman and Director of the Plaintiff sworn on the 2nd of March 2009 it is alleged that in or about February 2007, TBI owed the Plaintiff the sum of JPY 183,360. (which was then said to equal FJD 2.6 Million) contributing to cash}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 payments made by the Plaintiff to TBI for fish products.}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 Mr Kaneta alleges that at the relevant time the fish products delivered by TBI to the Plaintiff were significantly less than the moneys paid by the Plaintiff. \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 7.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 In or about late January to early February 2007 Mr Kaneta deposes that he enquired of the first defendant how and when TBI was going to repay the moneys outstanding to the Plaintiff. \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 8.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 In response the First defendant (as major shareholder and Chairman of TBI) offered to transfer or sell of his shares in the second defendant\rquote s company (to the equivalent of the outstanding debt of JPY$183,360) to the Plaintiff thus helping TBI to repay the amount then owed to the Plaintiff.}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 9.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 Mr Kaneta claims that the Plaintiff accepted the first defendant\rquote s offer of shares in the second defendant in lieu of payment of the debt. \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 10.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 Accordingly on or about 7th February 2007, a share transfer document was prepared and executed in Japan for a consideration of Fiji Dollars Two Million Six Hundred and Nineteen Thousand Four Hundred (FJD $2,619,400.00) for 3 Million Seven Hundred Forty Two Thousand ( $3,742,000.00) of the First Defendant\rquote s Shares.}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 A copy of the share transfer was annexed to Mr Kaneta\rquote s affidavit. \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 11.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 Mr. Kaneta says that at the time the first defendant executed the share transfer he also assured Mr. Kaneta that he had the full legal authority and capacity to formally transfer or sell part of his shares in the Second defendant to the Plaintiff. \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 12.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 On or about 9th February 2007, following the signing of the share transfer in Japan, Mr. Kaneta came t o Fiji with the First defendant Hiroshi Tokuisa and, amongst other things was present at a Board Meeting that was held at the Factory of the second defendant at Lot 15, Rokobili Subdivision, Suva on 9th February 2007 at 2.30 pm. \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 13.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 Mr. Kaneta alleges th at at the Board Meeting which was chaired by the first defendant it was resolved that the second defendant had formally approved the partial transfer or sale of the 1st defendant shares to the Plaintiff company. \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 14.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 On or about 12th April 2007 BDO Zarin Ali Chartered Accountants of Suva, formally requested the Plaintiff to remit the sum of}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 FD $26,194.00 to their Trust Account towards payment of Stamp Duty costs for the share transfer.}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 On the same date, the Plaintiff remitted the sum of \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 US $15,797.40 towards the stamp duty costs. \par \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 15.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 Mr. Kaneta then deposes that at the time of executing the share transfer he was unaware of the requirements of the Exchange Control Act Cap 211 of the Laws of Fiji.}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 He received legal advice that the Plaintiff required the p ermission of the Minister whose power has been delegated to the third defendant to transfer a security registered in Fiji to it. \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 16.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 This was not done.}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 Mr. Kaneta says that his omission to seek and obtain Reserve Bank of Fiji permission prior to 7th February 2007 was inadvertent and innocent.}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 17.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 He became aware of the Exchange Control requirements in or about April 2007.}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 Thereupon he instructed his Accountants BDO Zarin Ali to make the necessary application to the third defendant, which they did.}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 18.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 He alleges that the first defendant (Transferor) became aware of this, and his lawyers wrote to the third defendant.}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 He does not know exactly the contents of this communication but soon after the 11th of June 2007 his Accountant, Mr. Zarin Khan received a letter dated 11th June 2007 from the Fiji Islands Trade and Investment Bureau stating that the request for the transfer would not be processed until the resolution of a shareholder\rquote s dispute between the two companies. \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 19.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 The Shareholders\rquote dispute referred to was the subject of proceedings in Suva High Court Action No. 210 of 2007.}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 On the 16th of November 2007 I made an Order in this action which was between Tosa Bussan (Fiji) Limited (Plaintiff) and Hiroshi Tokuhisa}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 (Defendant). Among other things I ordered that the shareholders of the second defendant company in this action (Tosa Busan Fiji Limited) were the following:- \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par }\pard \s16\ql \li720\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid16603185 {\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 Name}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \tab \tab \tab \tab \tab }{\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 Share(%)}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 1.\tab}}\pard \s16\ql \li720\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls3\adjustright\rin0\lin720\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 Mudu Derenalagi\tab \tab \tab \tab 10 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 2.\tab}Kiniviliame Kiliraki\tab \tab \tab 10 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 3.\tab}Elena Veigalayaca\tab \tab \tab \tab 10 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 4.\tab}Hiroshi Tokuhisa\tab \tab \tab \tab 61 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 5.\tab}Taisin Suisan Co. Ltd\tab \tab \tab 2 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 6.\tab}Naboru Katahira\tab \tab \tab \tab 7 \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 20.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 I also found that the following persons are the current directors of Tosa Bussan Fiji Limited: \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 1)\tab}}\pard \s16\ql \li720\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls4\adjustright\rin0\lin720\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 Hiroshi Tokuhisa}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid16603185 }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 -}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid16603185 }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 Chairman \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 2)\tab}Kiniviliame Kiriraki \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 3)\tab}Tomoyuki Watabiki \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 4)\tab}Josua Rabukawaqa \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 5)\tab}Mereseini Lagilagi \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 21.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 Mr. Kaneta deposes that according to this list of Shareholders, the Plaintiff was found not to be a shareholder and he says that the reason for this is obvious, the share transfer has not been registered as there is no consent of the third defendant which is required. \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 22.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 As a result of the Order of 16th November 2007, the Plaintiff now seeks the formal consent of the third defendant to effect the share transfer but this has not yet been obtained. \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 23.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 Mr Kaneta accepts that the application to obtain the formal consent of the third Defendant under the Exchange Control Act is the responsibility of the Plaintiff but he says that the first defendant cannot take advantage of the state of affairs which he ha s directly produced.}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 24.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 I comment here that eventually this may become a matter of argument if the case ever proceeds to trial. \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 25.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 One thing is certain however according to Mr. Kaneta that it is becoming important for the share transfer to take place and this will enable the Plaintiff to participate in the affairs of the 2nd defendant. \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 26.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 Therefore on the 18th of March 2009 the Plaintiff issued an Originating Summons seeking the following Orders:- \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 1.\tab}}\pard \s16\ql \li720\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls5\adjustright\rin0\lin720\itap0\pararsid12339720 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 That the Minutes of the Second Defendant Board meeting dated 9th February 2007 is valid and binding on the Second Defendant Company. \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid12339720 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 2.\tab}}\pard \s16\ql \li720\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls5\adjustright\rin0\lin720\itap0\pararsid12339720 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 That, subject to formal approval of the Third Defendant, the Transfer of Shares document executed by the First Defendant and the Plaintiff dated 7th February 2007 is valid and binding on the parties. \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid12339720 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 3.\tab}}\pard \s16\ql \li720\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls5\adjustright\rin0\lin720\itap0\pararsid12339720 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 That the Third Defendant issue a Certificate declaring that the Transfer of Shares dated 7th February 2007 from the First Defendant to the Plaintiff is valid as if it had been done with the permission of the Third Defendant. \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 27.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 On the 4th of June 2009, which I find to be the earliest reasonable date after which the Courts resumed after the abrogation of the Constitution on 10th April 2009, the second Defendant issued a Summons for Security for Costs seeking an Order that the Plaintiff do provide security for costs in the sum of not less than Thirty Thousand dollars ($30,000) by way of cash deposit or such other sum as the Court deems just to prosecute this action.}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 28.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 It is not disputed by the Plaintiff that the defendant is entitled to make such an application and that it must be made as promptly as possible.}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 The only question the Plaintiff raises is the amount of the security.}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \b\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid12339720 \hich\af0\dbch\af0\loch\f0 29.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \b\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid12339720 THE CASE LAW}{\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid12339720 \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par There is much case law on this subject and it is not disputed by the Plaintiff, but without going into this in any detail it is desirable to state the relevant principles and some of the numerous authorities.}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 30.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 The matter is governed by Order 23 r.(1)(a) of the Rules of the High Court which provides}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 as far as relevant}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 :}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 }{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715 \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid12339720 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid12339720\charrsid16603185 \par }\pard\plain \ql \li720\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid12339720 \f54\fs22\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 1(1) Where, on the application of a defendant to an action or other proceeding in the High Court, it appears to the Court \endash \par {\listtext\pard\plain\s16 \b\i\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 (a)\tab}}\pard\plain \s16\ql \li720\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls2\adjustright\rin0\lin720\itap0\pararsid12339720 \f54\fs22\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \tab that the plaintiff is }{\b\i\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 ordinarily resident}{\b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 out of jurisdiction, or \par {\listtext\pard\plain\s16 \b\i\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 \hich\af0\dbch\af0\loch\f0 (b)\tab}}{\b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{ \b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \tab \'85\'85\'85\'85. \par {\listtext\pard\plain\s16 \b\i\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 (c)\tab} \tab \'85\'85\'85\'85. \par {\listtext\pard\plain\s16 \b\i\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 (d)\tab} \tab \'85\'85\'85\'85. \par }\pard\plain \ql \li720\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid12339720 \f54\fs22\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 th en, if having regard to all the circumstances of the case, the Court thinks it is just to do so, it may order the plaintiff to give such security for the defendant\rquote s costs of the action or other proceedings as it thinks just. (emphasis mine)}{ \b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715 \par }\pard \ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid12339720\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 31.0\tab}}\pard\plain \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 \f54\fs22\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 The first case I mention is }{\i\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 Porzelack K G}{ \i\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\i\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 v. Porzelack (UK) Ltd, (1987) 1 ALLER 1074}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 where Sir Nicolas Browne Wilkinson V.C said at P.1076}{\b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 : }{ \b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid16603185 "}{\b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 The purpose of ordering security for costs against a plaintiff ordinarily resident outside the jurisdiction is to ensure th at a successful defendant will have a fund available within the jurisdiction of this court against which it can enforce the judgment for costs.}{\b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{ \b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 It is not, in the ordinary case, in any sense designed to provide a defendant with security for costs against a plaintiff who lacks funds.}{ \b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 The risk of defending a case brought by a penurious plaintiff is as applicable to plaintiffs coming from outside the jurisdiction as it is to plaintiff\rquote s residents within the jurisdiction}{ \b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid16603185 "}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 . \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid12339720 \hich\af0\dbch\af0\loch\f0 32.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid12339720 A little later His Lordship continued, }{\b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid16603185\charrsid12339720 "}{ \b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid12339720 Under Order 23, r1(1) (a) it seems to me that I have an entirely general discretion either to award or refuse security, having regard to all the circumstances of the case.}{ \b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid12339720 }{\b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid12339720 However, it is clear on the authorities that, if other matters are equal, it is normally just to exercise that discretion by ordering security against a non-resident}{\b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid12339720 }{ \b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid12339720 plaintiff.}{\b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid12339720 }{\b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid12339720 The question is what, in all the circumstances of the case, is the just answer}{\b\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid16603185\charrsid12339720 "}{\i\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid12339720 . \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 33.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 I shall endevour to answer that question shortly. \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 34.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 It is important that the application be made promptly \endash see }{\i\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 Sir Lindsay Parkinson and Co. Ltd v.} {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 }{\i\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 Tripland Ltd (1973) 2 ALLER 273}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 per Lord Denning M R at p286 and Cairns L J at pg 286 paragraph (g). \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 35.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 There is local authority in the Court of Appeal decision in }{\i\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 NATIONAL BANK OF FIJI}{ \i\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\i\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 v}{\i\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{ \i\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 21C}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 }{\i\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 GARDEN ISLAND WOO IL PACIFIC CO. LTD (IN LIQ) and}{\i\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\i\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 Ors}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 ;}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 Civil Appeal No.11 of 1992 where the Court of Appeal confirmed a decision of the High Court which had refused to make an Order for security for costs when the Judge found that the defendants had delayed unduly in bringing their application. \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 36.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 On behalf of the Plaintiff, Mr. Muaror submitted that it would be fair to order a payment of $8,500 but Mr. Nagin points out that the amount must bear some relation to the size of the claim made by the Plaintiff.}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 He says this is for $2.6 million Fiji dollars to which Mr. Muaror demurs.}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 He says that no specific amount is claimed in the originating summons which seeks only a declaration about the validity of the transfer of shares. \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 37.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 With respect I think this is a little too simplistic.}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 The Plaintiff\rquote s debt is said to be FJD $2.6 million which, it apparently considers to be a fair value for the shares offered by the First Defendant. \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 38.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 Mr. Nagin points out correctly that the amount which I order will not be paid into the Trust Account of the defendant\rquote s Solicitors.}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 It will be held by the Court to be drawn on if required.}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 39.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 I must also take into account the fact that Fiji has now devalued its currency so that the amount of $30,000 in Japanese Yen is now probably less than it would have been at the time the Plaintiff\rquote s summons was issued.}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 For some time now according to the Exchange Rate published in the Press, One Fiji Dollar buys 44.58 Japanese yen.}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \hich\af0\dbch\af0\loch\f0 40.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 In all the circumstances I consider the appropriate amount to be paid into Court at this time is $20,000.}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 If, it transpires that this is not sufficient then a further application can be made. \par }\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 See }{ \i\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 Nicholas Benjamin Midegs and Ors}{\i\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{ \i\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 v. Savita Devi Midegs Civil Action No. HPP 11 of 2007}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 a decision of Master Udit of the 25th of March 2008.}{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 It is also relevant, as Master Udit held in that case, to take into account the possibility of this matter being settled. \par \par {\listtext\pard\plain\s16 \lang2057\langfe1033\langnp2057\insrsid4859715\charrsid12339720 \hich\af0\dbch\af0\loch\f0 41.0\tab}}\pard \s16\ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin0\itap0\pararsid16603185 { \f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid12339720 I therefore order that the Plaintiff do pay into Court the sum of FD $20,000 dollars by way of cash deposit within 14 days of the delivery of this Ruling.}{ \f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid12339720 }{\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid12339720 Thereafter the action will take its normal course. \par }\pard\plain \ql \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid16603185 \f54\fs22\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par }\pard \qc \li0\ri0\nowidctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid12339720 {\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 JOHN}{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 E.}{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid1778300\charrsid16603185 }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 BYRNE \par }{\b\f0\fs24\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid12339720 JUDGE}{\b\f0\fs24\ul\lang2057\langfe1033\langnp2057\insrsid4859715\charrsid16603185 \par }}