Hong Kong Ordinances

BANKRUPTCY ORDINANCE - SECT 20L

Default in connection with voluntary arrangement

(1) The court shall not make a bankruptcy order on a petition under
section 3(1)(c) (nominee of, or person bound by, voluntary arrangement
proposed and approved) unless it is satisfied-

   (a)  that the debtor has failed to comply with his obligations under the
        voluntary arrangement; or

   (b)  that information which was false or misleading in any material
        particular or which contained material omissions-

        (i)    was contained in any statement of affairs or other document
               supplied by the debtor under sections 20 to 20K to any person;
               or <* Note 
 - Exp. X-Ref.: Sections 20, 20A, 20B, 20C, 20D, 20E, 20F,
               20G, 20H, 20I, 20J, 20K *>

        (ii)   was otherwise made available by the debtor to his creditors at
               or in connection with a meeting summoned under those sections;
               or

   (c)  that the debtor has failed to do all such things as may for the
        purposes of the voluntary arrangement have been reasonably required of
        him by the nominee of the arrangement.

(2) Where a bankruptcy order is made on a petition under section  3 (1)(c),
any expenses properly incurred as expenses of the administration of the
voluntary arrangement in question shall be a first charge on the bankrupt's
estate. (Added 76 of 1996 s. 13)