Question
Mr and Mrs William operate a small tourism business since 2010. The main activities of the business are to take small groups of tourists on
Mr and Mrs William operate a small tourism business since 2010. The main activities of the business are to take small groups of tourists on ecological awareness walks in the wildernessareas of WesternAustralia. The businessis conducted througha corporate structure called Green Pty Ltd. Mrs William is the director of the company and Mr William is the director and secretary. In March2022, Mrs Williamgoes to thebank where GreenPty Ltd hasits accounts since 2015 and she says that the company needs to borrow $200,000 for a new off-road vehicle. The Bank agrees to lend so long as it can take security over the major asset of the company which is the building from which Green Pty Ltd operates and in which Mr andMrs William live.Mrs William intendsto use themoney to runaway with someone that she has met on a tour. Mr William has no knowledge of her activity. Mrs William obtainsthe loan documentsand mortgage documentsfrom the Bank.She affixes thecommon seal ofGreen Pty Ltdand forges herhusband's signature as secretary. The Bank advances the money and Mrs William absconds with it. Is Green Pty Ltd liable under the loan contract and mortgage?
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