Singapore legislation

Clause 106

of Insolvency, Restructuring and Dissolution Bill

Clause 106

Company’s statement of affairs

(1)

Where a company enters judicial management, the relevant persons must submit a statement as to the affairs of the company to the judicial manager within 28 days (or such longer period not exceeding 2 months as the judicial manager may allow) after the company receives the judicial manager’s notice mentioned in section 105(1)(b).

(2)

The statement of affairs mentioned in subsection (1) —

(a)

must show, as at the date that the company entered judicial management —

(i)

the particulars of the company’s assets, debts and liabilities;

(ii)

the names and addresses of the company’s creditors;

(iii)

the securities held by each of those creditors;

(iv)

the dates when each of those securities was given; and

(v)

such further or other information as may be prescribed by regulations; and

(b)

must be verified by an affidavit of the relevant persons mentioned in subsection (1).

(3)

For the purposes of subsections (1) and (2), the relevant persons are —

(a)

all of the following persons:

(i)

one or more of the persons who are, at the date of the company’s entry into judicial management, the directors of the company;

(ii)

the person who is at that date the secretary of the company; or

(b)

if the persons mentioned in paragraph (a) are not able or willing to submit and verify the statement of affairs mentioned in subsection (1), such of the following persons as the judicial manager may require to submit and verify the statement of affairs:

(i)

any person who is or has been an officer of the company;

(ii)

any person who has taken part in the company’s formation at any time within one year before the date of the company’s entry into judicial management;

(iii)

any person who is or has been employed by the company, whether under a contract of service or a contract for services, and is in the judicial manager’s opinion capable of giving the information required.

(4)

Any person who, without reasonable excuse, fails to comply with this section shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $10,000 and also to a default penalty.

(5)

Any statement of affairs submitted under subsection (1) may be used in evidence against any person making or concurring in making it.

(6)

The judicial manager must lodge a copy of the company’s statement of affairs with the Registrar of Companies immediately after receiving that statement of affairs.

(7)

Any person making the statement of affairs mentioned in subsection (1) and the affidavit verifying the statement of affairs must be paid by the judicial manager, out of the judicial manager’s receipts, such costs and expenses incurred in and about the preparation and making of the statement of affairs and the affidavit as the judicial manager may consider reasonable, subject to an appeal to the Court.

Read in full context — Insolvency, Restructuring and Dissolution Bill →