Singapore legislation
Section 33
Section 33
Discharge of bankrupt
(1)
A bankrupt may at any time after being adjudged bankrupt apply to the court for an order of discharge, and the court shall appoint a day for hearing the application, but subject to subsection (2) the application shall not be heard until the public examination of the bankrupt is concluded; such application shall be made and heard in open court.
(2)
Where the debtor is resident out of Singapore and is unable for want of means or for any other reason which the court considers sufficient to return to Singapore, or where the debtor is a lunatic or suffers from any such mental or physical affliction or disability as in the opinion of the court makes him unfit to attend his public examination, the court may make an order dispensing with such examination or directing that the debtor be examined on such terms, in such manner and at such place as the court considers expedient.
(3)
On the hearing of the application the court shall take into consideration a report of the Official Assignee as to the bankrupt’s conduct and affairs, including a report as to the bankrupt’s conduct during the proceedings under his bankruptcy, and may either grant or refuse an absolute order of discharge, or suspend the operation of the order for a specified time, or grant an order of discharge subject to any conditions with respect to any earnings or income which may afterwards become due to the bankrupt, or with respect to his after-acquired property.
(4)
In all cases where it is proved to the satisfaction of the court that the bankrupt has committed any offence under this Act or under sections 421, 422, 423 and 424 of the Penal Code [Cap. 224], the court shall either refuse the discharge or suspend the operation of the order until a dividend of not less than 50% has been paid to the creditors, and on proof of any of the facts mentioned in subsection (6) the court shall either —
refuse the order;
suspend the operation of the order for a specified time;
suspend the operation of the order until a dividend of not less than 50% has been paid to the creditors; or
grant an order of discharge subject to such conditions as aforesaid.The powers of suspending and attaching conditions to a bankrupt’s discharge may be exercised concurrently.
(5)
If at any time after the expiration of two years from the date of any order made under this section the bankrupt satisfies the court that there is no reasonable probability of his being in a position to comply with the terms of that order, the court may modify the terms of the order or any subsequent order in such manner and upon such conditions as it thinks fit.
(6)
The facts hereinbefore referred to are —
that the bankrupt has omitted to keep such books of account as would sufficiently disclose his business transactions and financial position within the 3 years immediately preceding his bankruptcy, or within such shorter period immediately preceding that event as the court considers reasonable in the circumstances;
that the bankrupt has continued to trade after knowing or having reason to believe himself to be insolvent;
that the bankrupt has contracted any debt provable in the bankruptcy without having at the time of contracting it any reasonable ground of expectation, proof whereof shall lie on him, of being able to pay it;
that the bankrupt has brought on or contributed to his bankruptcy by rash speculations or extravagance in living, or by recklessness, or want of reasonable care and attention to his business and affairs;
that the bankrupt has delayed or put any of his creditors to unnecessary expense by a frivolous or vexatious defence to any action or other legal proceeding properly brought or instituted against him;
that the bankrupt has within 3 months preceding the date of the receiving order, when unable to pay his debts as they become due, given an undue preference to any of his creditors;
that the bankrupt has in Singapore or elsewhere on any previous occasion been adjudged bankrupt or made a composition or arrangement with his creditors;
that the bankrupt has been guilty of any fraud or fraudulent breach of trust;
that the bankrupt has within 3 months immediately preceding the date of the receiving order sent goods out of Singapore under circumstances which afford reasonable grounds for believing that the transaction was not a bona fide commercial transaction;
that the bankrupt’s assets are not of a value equal to 50% of the amount of his unsecured liabilities, unless he satisfies the court that the fact that the assets are not of a value equal to 50% of his unsecured liabilities has arisen from circumstances for or in respect of which he cannot justly be held blamable.
(7)
For the purposes of this section, the report of the Official Assignee shall be prima facie evidence of the statements therein contained.
(8)
Notice of the appointment by the court of the day for hearing the application for discharge shall be published as prescribed and sent 14 days at least before the day so appointed to each creditor who has proved, and the court shall hear the Official Assignee, and may also hear any creditor. At the hearing the court may put such questions to the debtor and receive such evidence as it thinks fit.
(9)
The court may, as one of the conditions referred to in this section, require the bankrupt to consent to judgment being entered against him by the Official Assignee for any balance, or part of the balance, of the debts provable under the bankruptcy which is not satisfied at the date of his discharge; but in such case execution shall not be issued on the judgment without leave of the court, which leave may be given on proof that the bankrupt has since his discharge acquired property or income available for payment of his debts.
(10)
A discharged bankrupt shall, notwithstanding his discharge, give such assistance as the Official Assignee requires in the realisation and distribution of such of his property as is vested in the Official Assignee, and if he fails to do so he shall be guilty of a contempt of court; and the court may also, if it thinks fit, revoke his discharge, but without prejudice to the validity of any sale, disposition or payment duly made, or thing duly done subsequent to the discharge, but before its revocation.
(11)
For the purposes of this section, the following presumptions shall be made:
if at any time after the expiration of 6 months from the date of the adjudication the Official Assignee reports to the court that the value of the assets which have been realised, together with the estimated value of the assets which are realisable, is insufficient to pay a dividend of 50% on the debts proved in the bankruptcy, it shall be presumed, until the contrary is proved, that the bankrupt has continued to trade after knowing or having reason to believe himself to be insolvent;
in determining whether a bankrupt was, or knew, or had reason to believe himself to be insolvent at any particular date, every debt owing to him by any person resident out of the jurisdiction, which debt had been at that date due for more than 12 months, shall be excluded from the computation of the value of the assets, and for the purpose of such computation shall be deemed not to be an asset;
a bankrupt shall be deemed to have continued to trade after knowing or having reason to believe himself to be insolvent if, having continued to trade after he was in fact insolvent, he —
is unable to satisfy the court that he had reasonable ground for believing himself to be solvent; or
fails without reasonable excuse, proof whereof shall lie on him, to produce a proper balance-sheet for each of the 3 years immediately preceding the bankruptcy, every such balance-sheet being made within a reasonable time after the expiration of the year to which it relates, and showing the true state of his affairs at the end of that year;
any preference given by the bankrupt to any creditor within the 3 months immediately preceding the date of the receiving order shall, until the contrary is proved, be deemed to be undue.