Singapore legislation

Clause 9

of Bankruptcy (Amendment) Bill

Clause 9

Amendment of section 39

Section 39 of the Bankruptcy Act is amended by inserting, immediately after subsection (5), the following subsections:“(6) The Official Assignee may forfeit the security furnished by the trustee under section 35 if —

(a)

the trustee fails to comply with section 81(9) or 86A(1); or

(b)

the trustee fails to submit the report of the administration of the bankruptcy in accordance with section 86F.(7) The Official Assignee must not forfeit any security until the trustee concerned has been notified in writing to appear before the Official Assignee to show cause why the security furnished by the trustee under section 35 should not be forfeited.(8) If, after giving the trustee an opportunity to be heard, the Official Assignee is satisfied that the trustee had no reasonable excuse for the failure referred to in subsection (6)(a) or (b), the Official Assignee must forfeit all or part of the security furnished by the trustee under section 35.(9) In determining whether to forfeit all or part of the security furnished by the trustee under section 35, the Official Assignee is to have regard to the circumstances surrounding the trustee’s failure referred to in subsection (6)(a) or (b) and to any mitigating circumstances.”.

Clause 9 — Bankruptcy (Amendment) Bill | laws.sg