Bankruptcy proceedings are likely against the founder of the failed finance company Bridgecorp, after the Court of Appeal refused to issue a stay of proceedings against him.
In May, the High Court found Rod Petricevic owed Bridgecorp more than $600,000 after it ruled that the company had paid his personal income tax in 2006.
His lawyer told the Court of Appeal on Monday he had only expected that hearing to cover jurisdictional issues and was surprised when the judge dealt with the actual claim.
However, lawyers for the Bridgecorp receivers said Mr Petricevic was simply trying to avoid paying the money, while failing to divulge his true position.
The Court of Appeal declined the application and a full appeal hearing may take place later in August.
