Singapore legislation

Clause 62

Presumption of inability to pay debts

For the purposes of a creditor’s petition, a debtor shall, until he proves to the contrary, be presumed to be unable to pay any debt within the meaning of section 61(1)(c) if the debt is immediately payable and —

(a)

(i)the petitioning creditor to whom the debt is owed has served on him in the prescribed manner, a statutory demand;

(ii)

at least 21 days have elapsed since the statutory demand was served; and

(iii)

the debtor has neither complied with it nor applied to the court to set it aside;

(b)

execution issued against him in respect of a judgment debt owed to the petitioning creditor has been returned unsatisfied in whole or in part; or

(c)

he has departed from or remained outside Singapore with the intention of defeating, delaying or obstructing a creditor in the recovery of the debt.

Read in full context — Bankruptcy Bill →