in specie bug may be crushed forever

Still on Dgenny's sleight of hand, it may be strongly suspected that ASIC will get the nod to untie this unholy alliance once and for all. Perhaps a sign of things to come.
The key to such conclusion is that the assets are PIF's to deal with, s 601FC up front, again nocking original Judge off his perch.
Oops, he assumed Dgenny had PIF members consent.
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ASIC's appeal

ASIC appealed against the primary judge's orders referencing the Act Chapter 5C which deals with "Managed Investment Schemes" and in particular drawing attention to the nature of a managed investment scheme and to the terms of the Act s 601FC(2) which provides that the responsible entity holds scheme property on trust for scheme members.
The Result

The full Court allowed ASIC's appeal and set aside the orders made by the primary judge making orders in lieu as follows:

The in specie transfer of the shares in ARL from Wellington as Responsible Entity of the Fund to the unit holders of the Fund was beyond the power of Wellington under the constitution of the Fund and by making an in specie transfer of the Shares to the unit holders of the Fund, Wellington did not operate the Fund and perform the functions conferred on it by the Fund's constitution, and contravened the Act s 601FB(1).

The following key points were made by the Court at para [85] (however relevant other materials are at paras [82] - [86]:

"85 In our view, the distribution of the shares in ARL to the Unit Holders of the Fund was contrary to the terms of the constitution and was done without power."

Source: ASIC v Wellington Capital Ltd [2013] FCAFC 52 (28 May 2013)
http://www.timebase.com.au/news/2013/AT421-article.html

"In specie" definition refresher:

Investopedia explains 'In Specie'An example of an in specie distribution is a stock dividend, which can be distributed to investors when cash is in short supply. It is common to see an in specie distribution made in the form of fractional shares such as 0.5 shares for each share held. The phrase "in specie" is Latin for "in its actual form".

And: Definition of 'In Specie' A phrase describing the distribution of an asset in its present form, rather than selling it and distributing the cash. In specie distribution is made when cash is not readily available, or allocating the physical asset is the better alternative.