The Court held that it lacked jurisdiction to determine the validity of its own entered order setting aside sequestration orders, as s 138 of the FCFC Act renders such orders valid and binding until set aside through the limited avenues available (r 24.04 GFL Rules, appellate jurisdiction, or constitutional writs). Applying De Robillard v Carver and Cavanagh v Bank of New Zealand, the Court confirmed that where a sequestration order is set aside, the effect is ab initio — the debtor ceases to be bankrupt for all purposes, meaning transactions occurring during the brief period of bankruptcy are not rendered void by that bankruptcy. The recusal application was dismissed on the basis that judicial statements agreeing with a party's uncontested legal submission do not give rise to apprehended bias where the opposing party did not advance a contrary submission.
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