A mortgagee exercising power of sale who realises proceeds exceeding the secured debt must discharge the mortgage and account for the surplus forthwith on settlement; the mortgagee is not entitled to retain the surplus to investigate subsequent interest holders' claims. Section 77(3)(c) of the Transfer of Land Act 1958 (Vic) applies only to registered subsequent mortgages and charges, not unregistered ones. A liquidator's equitable lien for salvage costs extends only to costs exclusively directed to preserving the fund (such as procuring payment into court), not to general investigative or administrative costs. A receiver's appointment terminates when the secured debt is satisfied in full, and the receiver must deliver up property to the liquidator.
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