The Federal Court has allowed the liquidators of Sunshine City Club to appoint themselves as voluntary administrators, staying the winding up while creditors consider a deed of company arrangement that would pay creditors in full and allow the community club to reopen.
Sunshine City Club has operated as a recreational clubhouse in Melbourne’s western suburbs since 1956. The company, a non-profit public company limited by guarantee, operated a licensed bar and gaming facilities, managed the club premises and supported community and charitable activities. It also owns the land from which the club operated.
The company had incurred trading losses since July 2022 and became cash-flow insolvent, although it appeared to remain…