1. Despite promising beginnings, the organic farm in Riverina is not a success. Four years after it is registered, DudCo becomes insolvent. DudCo's directors, David, Nick and Peter hold a directors' meeting and appoint an administrator. Broke Bank, which has loaned $7 million to Dudco and is owed five months' worth of unpaid interest on the loan, has a non-circulating security interest over the building of Dudco. Under the terms of BrokeBank's security instrument, the event of default' list includes the appointment of an administrator. What can Broke Bank do to recover the unpaid interest or to enforce its security? 2 marks 2. At the second creditors' meeting, what factors would make DudCo's creditors favour a winding up and what factors would make them favour a deed of company arrangement? 2 marks 3. What happens if DudCo's creditors decide, at the second creditors' meeting, to execute a deed of company arrangement? What role will David, Nick and Peter have in running DudCo's business? Adivse 2 marks 4. Nine months before the administrator was appointed, DudCo sold some of its farmland to Peter for $600,000: A local real estate agent valued the land at the time and the report concluded that the land was worth $750,000. Could this be one or more of the voidable transactions that involves an insolvent transaction? Advise 2 marks 5. Assume the facts in part 1 are slightly different: Specifically, that (a) Broke Bank had a mortgage over the farmland; (b) Broke Bank appointed a receiver to enforce its security over the farmland; (c) the receiver arranged the sale of the farmland to Peter for $600,000 (at the same time as the local real estate agent valued the land at $750,000). Might the receiver have breached any duties? And what action could DudCo take? Advise 2 marks