Hong Kong Ordinances

BANKRUPTCY ORDINANCE - SECT 20H

Effect of approval

(1) Where the meeting summoned under section 20E approves the proposed
voluntary arrangement (with or without modifications)-

   (a)  the approved arrangement-

        (i)    takes effect as if made by the debtor at the meeting; and

        (ii)   binds every person who in accordance with the rules had notice
               of, and was entitled to vote at, the meeting (whether or not he
               was present or represented at it) as if he were a party to the
               arrangement; and

   (b)  any interim order in force in relation to the debtor immediately
        before the end of the period of 28 days beginning with the day on
        which the report with respect to the creditors' meeting was made to
        the court under section 20G ceases to have effect at the end of that
        period.

(2) Subsection (1)(b) applies except to such extend as the court may direct
for the purposes of any application under section 20J.

(3) Where proceedings on a bankruptcy petition have been stayed by an interim
order which ceases to have effect under subsection (1)(b), that petition is
deemed, unless the court otherwise orders, to have been dismissed. (Added 76
of 1996 s. 13)