In force2020 Revised Edition

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Insolvency, Restructuring and Dissolution Act 2018 · 2020 Revised Edition · Part 17 · Administration in Bankruptcy

339. Determination of monthly contribution and target contribution

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(1)

The Official Assignee must, not later than 2 months after the administration date of a bankruptcy —

(a)

determine the bankrupt’s monthly contribution and target contribution in respect of the bankruptcy; and

(b)

serve a notice of the determination on —

(i)

the bankrupt;

(ii)

every creditor who has filed a proof of debt in respect of the bankruptcy; and

(iii)

in a case where the determination is made before the expiry of the period mentioned in section 347(2), every creditor who is mentioned in the statement of the bankrupt’s affairs but has not filed a proof of debt.

(2)

For the purposes of determining the monthly contribution mentioned in subsection (1)(a), the Official Assignee must take into account —

(a)

the current monthly income of the bankrupt;

(b)

the extent to which the current monthly income of the bankrupt’s spouse may contribute to the maintenance of the bankrupt’s family;

(c)

the monthly income that the bankrupt may reasonably be expected to earn over the duration of the bankruptcy, taking into account —

(i)

the previous and current monthly income of the bankrupt;

(ii)

the educational and vocational qualifications, age and work experience of the bankrupt;

(iii)

the range of monthly income earned by persons who are employed in occupations, positions or roles similar to that in which the bankrupt is, or can be expected to be, employed;

(iv)

the effect which the bankruptcy may have on the bankrupt’s earning capacity or other income;

(v)

the prevailing economic conditions; and

(vi)

the period of time during which the bankrupt is likely to be capable of earning a meaningful income; and

(d)

the reasonable expenses for the maintenance of the bankrupt and the bankrupt’s family.

(3)

Where the determination under subsection (1) is made by a trustee in bankruptcy, the trustee must also serve the notice of the determination, together with an explanation of the basis for making the determination, on the Official Assignee.

Terms defined in this Act

administration date
Defined · s 273
“administration date” means —(a)the date of submission by the bankrupt of the statement of the bankrupt’s affairs; or(b)where the bankrupt is directed by the Official Assignee under section 332(4)(c) to submit supplementary information, the date of submission of the supplementary information if later;
Open s 273
bankrupt
Defined · s 2
“bankrupt” means —(a)an individual debtor who has been adjudged bankrupt by a bankruptcy order; or(b)where a bankruptcy order has been made against a firm, each of the partners in the firm;
Open s 2
creditor
Defined · s 273
“creditor”, in relation to a debtor proposing a voluntary arrangement under Part 14, means a creditor to whom the debtor owes a debt provable in bankruptcy;
Open s 273
debt
Defined · s 288
“debt” means any debt, or any liability to pay money, that is unsecured, present, certain, and of an amount that is fixed or liquidated;
Open s 288
family
Defined · s 273
“family”, in relation to a bankrupt, means the persons (if any) who are living with and dependent on the bankrupt;
Open s 273
income
Defined · s 273
“income” includes all income, whether or not accruing in or derived from Singapore, and whether received in Singapore or elsewhere;
Open s 273
monthly contribution
Defined · s 273
“monthly contribution” means —(a)the amount, determined in accordance with section 339, that a bankrupt is required, under section 371, to pay to the Official Assignee on a monthly basis out of the bankrupt’s income; or(b)if the amount mentioned in paragraph (a) is varied by the Court under section 340(5)(a), 341(1) or 343(4)(a) or reduced by the Official Assignee under section 342(1) or 344(3), that amount as varied or reduced, as the case may be;
Open s 273
Official Assignee
Defined · s 2
“Official Assignee” means the Official Assignee appointed under section 16(1) and includes a Deputy Official Assignee, a Senior Assistant Official Assignee and an Assistant Official Assignee;
Open s 2
target contribution
Defined · s 273
“target contribution” means —(a)an amount equal to —(i)in any case where the bankruptcy is a repeat bankruptcy, 76 payments of monthly contributions determined in accordance with section 339; or(ii)in any other case, 52 payments of monthly contributions determined in accordance with section 339; or(b)if the amount referred to in paragraph (a) is varied by the Court under section 340(5)(a), 341(1) or 343(4)(a) or reduced by the Official Assignee under section 342(1) or 344(3), that amount as varied or reduced, as the case may be.
Open s 273
trustee
Defined · s 2
“trustee”, in relation to a bankruptcy and a bankrupt, means the trustee of the bankrupt’s estate and includes the Official Assignee when acting as trustee of the bankrupt’s estate;
Open s 2
trustee in bankruptcy
Defined · s 2
“trustee in bankruptcy” means a person appointed under section 36 as trustee of a bankrupt’s estate.
Open s 2