Re Ararimu Holdings Ltd - [1989] 3 NZLR 487

Commercial law — Fiduciary relationship — Sharebroker and clients — Sharebroker operated scrip pooling system fulfilling clients' orders by drawing from the pool and thereby acting as a principal rather than as an agent for clients — Whether fiduciary relationship existed between sharebroker and clients enabling clients to trace — Whether the fact that sharebroker had acted as a principal without knowledge of clients derogated from existence of fiduciary relationship.

Company law — Statutory management — Costs — Certain assets of company which was in statutory management were subject to equitable proprietary claims — Whether statutory managers' costs were to be met first out of general assets of company before resort to assets which were held on trust.

Company law — Statutory management — Sharebroker operated scrip pooling system fulfilling clients' orders by drawing from the pool — Moneys paid in by clients or received from sale of clients' shares were mixed in with sharebroker's general account — Whether clients were entitled to trace into pool or bank account — Whether rule in Clayton's Case applied — Whether dishonoured receipts and payments should be treated as "non-payments" — Whether payments made to bank account after commencement of receivership should be treated as "non-payments".