Singapore legislation
Clause 65
Clause 65
Proceedings on creditor’s petition
(1)
The court hearing a creditor’s petition shall not make a bankruptcy order thereon unless it is satisfied that —
the debt or any one of the debts in respect of which the petition is presented is a debt which, having been payable at the date of the petition, has neither been paid nor secured or compounded for; and
where the debtor does not appear at the hearing, the petition has been duly served on him.
(2)
The court may dismiss the petition if —
it is not satisfied with the proof of the petitioning creditor’s debt or debts;
it is not satisfied with the proof of the service of the petition on the debtor;
it is satisfied that the debtor is able to pay all his debts;
it is satisfied that the debtor has made an offer to secure or compound for the petitioning creditor’s debt the acceptance of which offer would have required the dismissal of the petition and the offer has been unreasonably refused by the petitioning creditor; or
it is satisfied that for other sufficient cause no order ought to be made thereon.
(3)
In determining for the purposes of subsection (2)(c) whether the debtor is able to pay all his debts, the court shall take into account his contingent and prospective liabilities.
(4)
When a bankruptcy petition has been presented against a debtor on the ground that the debtor —
has failed to pay a judgment debt, and there is pending an appeal from or an application to set aside, the judgment or order by virtue of which the judgment debt is payable; or
has failed to comply with a statutory demand, and there is pending an application to set aside the statutory demand,the court may, if it thinks fit, stay or dismiss the petition.
(5)
Where the debtor appears on the petition and denies that he is —
indebted to the petitioner; or
indebted to such an amount as would justify the petitioner presenting a bankruptcy petition against him,the court may, on condition that the debtor furnishes such security as the court may order for payment to the petitioner of —
any debt which may be established against the debtor in due course of law; and
the costs of establishing the debt,stay all proceedings on the petition for such time as may be required for trial of the question relating to the debt.
(6)
Where proceedings are stayed, the court may, if by reason of the delay caused by the stay of proceedings or for any other cause it thinks just, make a bankruptcy order on the petition of some other creditor, and shall thereupon dismiss, on such terms as it may think just, the petition in which proceedings have been stayed.