Court dismisses Caratti’s appeal

Property mogul Allen Caratti has failed to overthrow a WA Supreme Court decision that included an order to pay $1.5 million to an investor.

Mr Caratti appealed a Supreme Court of Western Australia decision handed down in 2022, which included orders to pay Liangzhang Zhou $1.5 million.

Mr Zhou claimed he entered into an investment agreement with company Parliament Place over a land development project in 2010, of which Mr Caratti was a guarantor.

When Parliament Place entered voluntary administration three years later, Mr Zhou alleged Mr Caratti failed to repay him the redemption amount under the agreement or redeem the $1.2 million worth of shares issued to him.

In his judgment in 2022, WA Supreme Court Justice Jeremy Allanson ordered Mr Caratti to pay Mr Zhou $1.5 million being the $1.2 million from the issued shares and the annual return.

The WA Court of Appeal upheld Justice Allanson’s decision, in a judgment published today.

“The [Caratti’s] argument was without merit and was correctly rejected by the trial judge,” the judgment reads.

“The trial judge correctly held that the redemption of shares was constituted by the payment of the purchase price and the cancellation of the shares.”

The WA Court of Appeal found none of Mr Caratti’s grounds of appeal were established.