Court of Appeal upholds former director’s bankruptcy despite $2m cross-claims

The case grew out of a long-running fight over repairs to Hobson Apartments, a 12-storey central Auckland building found to be leaky. Manchester Securities, which is the registered owner of the penthouse and of which the appellant was sole director and shareholder, refused from 2012 to contribute to repair costs on the lower levels. The High Court later placed the company into liquidation. The body corporate then sought the appellant’s bankruptcy over costs orders against him totalling $167,552.41, or about $190,000 with interest.