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Why the ATO had to pay a judgment exceeding $15m (plus $20m in interest), a strict application of the equitable rule in Barnes v Addy concerning knowing receipt of trust property.

The decision of Commonwealth of Australia v Kupang Resources Pty Ltd [2026] NSWCA 161 demonstrates how the ATO is not immune from the equitable principles set down in Barnes v Addy (1874) LR 9 Ch App 244 concerning the knowing receipt of trust property.

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