BANKRUPTCY RULES - CHAPTER 6A BANKRUPTCY RULES - LONG TITLE Empowering section VerDate:30/06/1997 BANKRUPTCY RULES* (Cap 6, section 113) [1 January 1933] (G.N.A. 727 of 1932) ___________________________________________________________________________ __ Note: *These Rules were amended by L.N. 123 of 2007. The transitional and savings provisions contained in s. 77 of that Legal Notice are reproduced as follows: "77. Transitional and savings provisions (1) Notwithstanding anything contained in these Rules, the amendments effected under these Rules shall not apply to any case in which the bankruptcy petition was presented before the commencement date, and such case shall continue and be disposed of as if these Rules had not been made. (2) This section is in addition to and not in derogation of section 23 of the Interpretation and General Clauses Ordinance (Cap. 1). (3) For the purpose of this section, #“commencement date” (生 效日期) means the day appointed for the commencement of the Bankruptcy (Amendment) Ordinance 2005 (18 of 2005) (except sections 1, 12, 19 and 32 of that Ordinance).". # Commencement date:10 December 2007. BANKRUPTCY RULES - RULE 1 Citation VerDate:30/06/1997 PART I PRELIMINARY These rules may be cited as the Bankruptcy Rules. [cf. R. 1]* ___________________________________________________________________ Note: * The references to "R. 1", etc. are to the English Bankruptcy Rules 1915. BANKRUPTCY RULES - RULE 2 Interpretation VerDate:08/07/2005 In these rules, unless the context otherwise requires- "bankruptcy order" (破產令) means an order adjudging an individual bankrupt; (L.N. 77 of 1998) "court" (法院、法庭) means the court as defined by the Ordinance, and includes the Registrar when exercising the power of the court pursuant to the Ordinance or these rules; "court of appeal" (上訴法院) means any court exercising appellate jurisdiction under the Ordinance or these rules; "creditor" (債權人) includes a corporation, a firm of creditors in partnership and, in relation to criminal bankruptcy proceedings, the Official Petitioner; (L.N. 152 of 1979) "debtor" (債務人) includes any debtor proceeded against under the Ordinance, whether adjudged bankrupt or not, and also includes a firm of debtors in partnership; (G.N.A. 124 of 1955) "proof" (債權證明表) means a document by which a creditor seeks to establish his claim against a debtor; (L.N. 222 of 1992) "Registrar" (司法常務官) means the Registrar of the High Court, and any Senior Deputy Registrar, Deputy Registrar or Assistant Registrar of the High Court; (L.N. 231 of 1984; 25 of 1998 s. 2; 10 of 2005 s. 169) "sealed" (蓋章) means sealed with the seal of the court; "taxing officer" (訟費評定官) includes the Registrar and also any officer or officers of the court whose duty it is to tax costs. (L.N. 77 of 1998) [cf. R. 3] "bankruptcy order" (破產令) "court" (法院、法庭) "court of appeal" (上訴法院) "creditor" (債權人) "debtor" (債務人) "proof" (債權證明表) "Registrar" (司法常務官) "sealed" (蓋章) "taxing officer" (訟費評定官) BANKRUPTCY RULES - RULE 2A Provisional trustee regarded as trustee VerDate:10/12/2007 Save in rules 35, 36, 72A(3), 99A, 99B, 99E, 99F, 99G, 99Q(a), 99Y(2), 101, 113, 138, 141, 149A(2), 159(2), 159A, 162(1), 172 and 179, a provisional trustee shall, unless the context otherwise requires, be regarded as a trustee for the purposes of these rules. (L.N. 123 of 2007) BANKRUPTCY RULES - RULE 3 Computation of time VerDate:30/06/1997 The provisions of section 122 of the Ordinance shall apply to these rules as if the words "these rules" (本規則) were substituted for the words "this Ordinance" (本條例) in the first line of the said section. [cf. R. 4] "these rules" (本規則) "this Ordinance" (本條例) BANKRUPTCY RULES - RULE 4 (Transferred to the Bankruptcy (Forms) Rules, rule 2) VerDate:30/06/1997 (Transferred to the Bankruptcy (Forms) Rules, rule 2) BANKRUPTCY RULES - RULE 5 Matters to be heard in court VerDate:01/04/1998 PART II GENERAL PROCEDURE Court and chambers The following matters and applications shall be heard and determined in open court- (a) petitions: Provided that a debtor's petition may be heard in chambers if urgent, and if the judge so directs; (b) applications to annul a bankruptcy order; (L.N. 77 of 1998) (c) the public examination of debtors; (d) applications for an interim order or for the continuation, renewal or discharge of an interim order in connection with a voluntary arrangement; (L.N. 77 of 1998) (e) applications for suspension of the relevant period for discharge, the lifting of such a suspension or for early discharge; (L.N. 77 of 1998) (f) applications to set aside or avoid any settlement, conveyance, transfer, security or payment, or to declare for or against the title of the trustee to any property adversely claimed; (g) applications for the committal of any person to prison for contempt; (h) (Repealed L.N. 231 of 1984) (i) (Repealed L.N. 77 of 1998) (j) any other matter which the Chief Justice may direct. Any other matter or application may be heard and determined in chambers unless the judge directs that it be heard and determined in open court. (G.N.A. 124 of 1955) [cf. R. 6] BANKRUPTCY RULES - RULE 6 Adjournment from chambers to court and vice versa VerDate:30/06/1997 Subject to the provisions of the Ordinance and rules- (a) the Registrar may under the general or special directions of a judge hear and determine any application or matter which under the Ordinance and rules may be heard and determined in chambers; (b) any matter or application before the Registrar may at any time be adjourned by him to be heard before a judge; (c) any matter or application may, at any time, if a judge thinks fit, be adjourned from chambers to court or from court to chambers, and if all the contending parties require any matter of application to be adjourned from chambers to court it shall be so adjourned. (L.N. 106 of 1987) [cf. R. 9] BANKRUPTCY RULES - RULE 7 Proceedings, how intituled VerDate:01/04/1998 Proceedings (1) Every proceeding in court under the Ordinance (Cap 6) shall be dated, and shall be intituled "In Bankruptcy" (破產案) and with the name of the matter to which it relates. Numbers and dates may be denoted by figures. (2) (Repealed L.N. 77 of 1998) (3) The first proceeding in every matter shall have a distinctive number assigned to it by the Registrar and all subsequent proceedings in the same matter shall bear the same number. (L.N. 77 of 1998) [cf. R. 10] BANKRUPTCY RULES - RULE 8 Records of the court VerDate:30/06/1997 All proceedings of the court shall remain of record in the court, in the custody of the Registrar, so as to form a complete record of each matter, and they shall not be removed for any purpose, except for the use of the officers of the court, or by special direction of the judge or Registrar, but they may at all reasonable times be inspected by the trustee, the debtor, and any creditor who has proved, or any person acting on behalf of the trustee, debtor, or creditor, and, by special direction of the court, any other person. (G.N.A. 124 of 1955; L.N. 46 of 1964) [cf. R. 12] BANKRUPTCY RULES - RULE 9 Notices to be in writing VerDate:30/06/1997 All notices required by the Ordinance or these rules shall be in writing, unless these rules otherwise provide or the court in any particular case otherwise orders. [cf. R. 13] BANKRUPTCY RULES - RULE 10 (Repealed L.N. 77 of 1998) VerDate:01/04/1998 BANKRUPTCY RULES - RULE 11 Official Receiver or trustee to file copies of advertisements* VerDate:10/12/2007 (1) Whenever the Gazette contains any advertisement relating to any matter under the Ordinance, the person specified in paragraph (3) shall, in respect of the bankruptcy proceedings concerned, file a copy of the advertisement with the court. (2) In the case of an advertisement in a local newspaper, the person specified in paragraph (3) shall in like manner file a copy of the advertisement appearing therein. (3) If the advertisement was inserted— (a) by the Official Receiver, the Official Receiver is the person specified for the purposes of paragraphs (1) and (2); or (b) by a trustee, the trustee is the person specified for the purposes of paragraphs (1) and (2). (L.N. 123 of 2007) (4) The filed copy of such advertisement shall be prima facie evidence that it was duly inserted in the issue of the Gazette or newspaper mentioned. (L.N. 123 of 2007) [cf. R. 17] * (Amended L.N. 123 of 2007) BANKRUPTCY RULES - RULE 12 Preparation of order VerDate:10/12/2007 Preparation of order (1) If within 1 week from the making of- (a) a bankruptcy order; (b) an order annulling a bankruptcy order; or (c) (Repealed L.N. 123 of 2007) (d) an order- (i) following objections to discharge; (ii) for suspension of the relevant period for discharge or for the lifting of such a suspension; or (iii) for early discharge, the order has not been completed, it shall be the duty of the trustee to prepare and complete the order. (L.N. 123 of 2007) (1A) If an order made under section 20J of the Ordinance has not been completed within 1 week from the making of the order, the nominee shall prepare and complete the order. (L.N. 123 of 2007) (2) If in any case the judge is of the opinion that the provisions of this rule ought not to apply, he may so order. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 13 (Repealed L.N. 77 of 1998) VerDate:01/04/1998 BANKRUPTCY RULES - RULE 14 (Repealed L.N. 77 of 1998) VerDate:01/04/1998 BANKRUPTCY RULES - RULE 15 (Repealed L.N. 77 of 1998) VerDate:01/04/1998 BANKRUPTCY RULES - RULE 16 (Repealed L.N. 77 of 1998) VerDate:01/04/1998 BANKRUPTCY RULES - RULE 17 (Repealed L.N. 77 of 1998) VerDate:01/04/1998 BANKRUPTCY RULES - RULE 18 (Repealed L.N. 77 of 1998) VerDate:01/04/1998 BANKRUPTCY RULES - RULE 19 (Repealed L.N. 77 of 1998) VerDate:01/04/1998 BANKRUPTCY RULES - RULE 20 (Repealed L.N. 77 of 1998) VerDate:01/04/1998 BANKRUPTCY RULES - RULE 21 (Repealed L.N. 77 of 1998) VerDate:01/04/1998 BANKRUPTCY RULES - RULE 22 Application of section 125 VerDate:01/04/1998 Exemption from stamp duty For the purposes of section 125 of the Ordinance, "bankruptcy" (破產案) shall include any proceeding under the Ordinance whether before or after adjudication, and "bankrupt" (破產人) shall include any debtor proceeded against under the Ordinance. (L.N. 77 of 1998) [cf. R. 48] "bankruptcy" (破產案) "bankrupt" (破產人) BANKRUPTCY RULES - RULE 23 Appointment and remuneration of shorthand writer VerDate:01/04/1998 Shorthand notes (1) The court may at any time in any proceedings, if it considers that it would be desirable so to do, appoint a person (in these rules called a "shorthand writer" (速記員) ) to take down, in shorthand or otherwise, the evidence of the debtor or of any witness examined at any public or private sitting, examination or meeting under the Ordinance. (2) A shorthand writer (if any) attached to the Official Receiver's office shall be deemed to be duly appointed under paragraph (1), and it shall not be necessary to make any application to make such an appointment, and a general declaration by such shorthand writer adapted from Form 56 shall be deemed to apply to all proceedings in which notes are taken by him of any such evidence. (3) Any document purporting- (a) to be a transcript of the notes taken by a shorthand writer appointed under paragraph (1) or by a shorthand writer attached to the Official Receiver's Office; and (b) to be signed by such shorthand writer, shall until the contrary is proved be sufficient evidence that the questions and answers therein set forth were so put and answered respectively. (4) Every person appointed to be a shorthand writer under this rule shall be paid a sum not exceeding $2000 or as the court directs for each hour or part thereof during which he is engaged in such appointment or in the preparation of any transcript of the evidence that may be required. (L.N. 143 of 1985; L.N. 77 of 1998) (5) The fees of a shorthand writer shall be paid by the party at whose instance the appointment was made, or out of the estate, as may be directed by the court. (6) If the person appointed to be the shorthand writer under this rule is a public servant the fees payable under paragraph (4) shall be paid forthwith by the person responsible for such fees to the Official Receiver for payment into the general revenue. (L.N. 231 of 1984) (L.N. 39 of 1976) [cf. S.I. 1952/2113 rr. 69 & 70 U.K.] "shorthand writer" (速記員) BANKRUPTCY RULES - RULE 24 Discovery VerDate:01/07/1997 Adaptation amendments retroactively made - see 25 of 1998 s. 2 Discovery and examination under section 29 Any party to any proceeding in court may with the leave of the court administer interrogatories to or obtain discovery of documents from any other party to such proceeding. Proceedings under this rule shall be regulated as nearly as may be by the provisions in the Rules of the High Court (Cap 4 sub. leg. A) for the time being in force in relation to discovery and inspection. An application for leave under this rule may be made ex parte. (25 of 1998 s. 2) [cf. R. 73] BANKRUPTCY RULES - RULE 25 Examination under section 29 VerDate:30/06/1997 Every application to the court under section 29 of the Ordinance shall be in writing and shall state shortly the grounds upon which the application is made. When the application is made by or on behalf of the trustee or the Official Receiver it need not be verified by affidavit. [cf. R. 74] BANKRUPTCY RULES - RULE 26 To whom warrants addressed VerDate:30/06/1997 Warrants, arrests, and commitments A warrant of seizure, or a search warrant, or any other warrant issued under the provisions of the Ordinance , shall be addressed to such officer of the court or to such public officer as the Registrar may direct. [cf. R. 80] BANKRUPTCY RULES - RULE 27 Procedure when warrant issued under section 27 of Ordinance VerDate:30/06/1997 When a debtor is arrested under a warrant issued under section 27 of the Ordinance, he shall be given into the custody of the Commissioner of Correctional Services, who shall produce such debtor before the court as it may from time to time direct, and shall safely keep him until such time as the court otherwise orders; and any books, papers, moneys, goods and chattels in the possession of the debtor, which may be seized, shall forthwith be lodged with the Official Receiver or trustee, as the case may be. (L.N. 231 of 1984) [cf. R. 81] BANKRUPTCY RULES - RULE 28 Procedure when warrant issued under section 29(2) of Ordinance VerDate:30/06/1997 (1) When a person is apprehended under a warrant issued under section 29(2) of the Ordinance, the officer apprehending him shall forthwith bring him before the court to the end that he may be examined, and if he cannot immediately be brought up for examination or examined the officer shall deliver him into the custody of the Commissioner of Correctional Services and the said Commissioner shall receive him into custody and shall produce him before the court as it may from time to time direct or order, and subject to such direction or order shall safely keep him. (L.N. 231 of 1984) (2) The officer executing a warrant issued under section 29(2) of the Ordinance shall forthwith, after apprehending the person named in the warrant report to the court the apprehension or delivery into custody, as the case may be, and apply to the court to appoint a day and time for the examination of the person so apprehended, and the court shall thereupon appoint the earliest practicable day for the examination and shall issue its direction or order to the said Commissioner to produce him for examination at a place and time to be mentioned in such direction or order. Notice of any such appointment shall forthwith be given by the Registrar to the Official Receiver, trustee or other person who has applied for the examination or warrant. (G.N.A. 124 of 1955) [cf. R. 82] BANKRUPTCY RULES - RULE 29 Application to commit VerDate:30/06/1997 An application to the court to commit any person for contempt of court shall be supported by affidavit. [cf. R. 83] BANKRUPTCY RULES - RULE 30 Notice and hearing of application VerDate:30/06/1997 Subject to the provisions of the Ordinance and these rules, upon the filing of an application to commit, the court shall fix a time and place to hear the application, notice whereof shall be personally served on the person sought to be committed, not less than 3 days before the day fixed for the hearing of the application: Provided that in any case in which the court may think fit, the court may allow substituted service of the notice by advertisement or otherwise, or shorten the length of notice to be given. [cf. R. 84] BANKRUPTCY RULES - RULE 31 Service of petition, etc. VerDate:01/04/1998 Service of petition, orders, etc. on debtor (L.N. 46 of 1964) When the debtor is not in Hong Kong, or cannot be found, the court may order service on him of the petition or any order made against him, or of any summons issued for his attendance, to be effected within such time and in such manner as it thinks fit. (G.N.A. 124 of 1955; L.N. 231 of 1984; L.N. 77 of 1998) BANKRUPTCY RULES - RULE 32 Regulations as to costs VerDate:30/06/1997 Costs and taxation The regulations as to costs contained in the Schedule shall, subject to these rules, apply to the taxation and allowance of costs and charges in all proceedings under the Ordinance and these rules. [cf. R. 103] BANKRUPTCY RULES - RULE 32A Costs VerDate:30/06/1997 (1) When awarding costs the court may- (a) direct that the costs of any matter or application- (i) shall be taxed and paid as between party and party or as between solicitor and client, on the basis of a common fund in which the client and others are interested; or (ii) may be allowed as between solicitor and own client; or (b) fix a sum to be paid in lieu of taxed costs. (2) Unless the court otherwise directs, the costs of an application to the court which is opposed shall follow the event and shall be taxed as between party and party. (3) Where- (a) an action is brought against the Official Receiver or trustee as representing the estate of the debtor; or (b) the Official Receiver or trustee is made a party to any proceedings on the application of any other party, the Official Receiver or trustee shall not be personally liable for costs unless the court otherwise directs. (L.N. 39 of 1976) [cf. S.I. 1952/2113 r. 92 U.K.] BANKRUPTCY RULES - RULE 33 Solicitor's costs in case of petition by debtor VerDate:30/06/1997 The solicitor in the matter of a bankruptcy petition presented by the debtor against himself shall in his bill of costs give credit for such sum or security (if any) as he may have received from the debtor as a deposit on account of the costs and expenses to be incurred in and about the filing and prosecution of such petition, and the amount of any such deposit shall be noted by the taxing officer upon the allocatur issued for such costs. [cf. R. 105] BANKRUPTCY RULES - RULE 34 Certificate of employment VerDate:10/12/2007 Before taxing the bill or charges of any solicitor, manager, accountant, auctioneer, broker or other person employed by the trustee, the taxing officer shall require a certificate in writing, signed by the trustee, to be produced to him, setting forth whether any, and if so what, special terms of remuneration have been agreed to, and, in the case of the bill of costs of a solicitor, a copy of the resolution or other authority sanctioning the employment. (L.N. 123 of 2007) [cf. R. 109] BANKRUPTCY RULES - RULE 35 Lodgment of bill VerDate:10/12/2007 (1) The bill or charges shall be lodged with— (a) (if incurred before the appointment of a trustee) the provisional trustee; or (b) (if incurred after the appointment of a trustee) the trustee. (2) The provisional trustee or trustee, as the case may be, shall lodge the bill or charges with the taxing officer. (L.N. 123 of 2007) BANKRUPTCY RULES - RULE 36 Notice of appointment VerDate:10/12/2007 Where a bill of costs or charges has been lodged with the taxing officer, he shall give notice of appointment to tax the same to the provisional trustee or trustee, and to the person to or by whom the bill or charges is or are to be paid, as the case may be. (L.N. 123 of 2007) BANKRUPTCY RULES - RULE 37 Copy of bill VerDate:30/06/1997 Every person whose bill or charges is or are to be taxed shall, on the application of either the Official Receiver or the trustee, furnish a copy of his bill or charges so to be taxed. The Official Receiver shall call the attention of the trustee to any items which in his opinion ought to be disallowed or reduced and may attend or be represented on the taxation. [cf. R. 114] BANKRUPTCY RULES - RULE 38 Applications for costs VerDate:10/12/2007 Where any party to or person affected by any proceeding desires to make an application for an order that he be allowed his costs, or any part of them, incident to such proceeding, and such application is not made at the time of the proceeding- (a) such party or person shall serve notice of his intended application on the trustee; (b) the trustee may appear on such application and object thereto; (c) no costs of or incident to such application shall be allowed to the applicant unless the court is satisfied that the application could not have been made at the time of the proceeding. (L.N. 123 of 2007) [cf. R. 115] BANKRUPTCY RULES - RULE 39 (Repealed L.N. 123 of 2007) VerDate:10/12/2007 BANKRUPTCY RULES - RULE 40 Disallowance of costs of unnecessary petition VerDate:01/04/1998 In any case in which, after a bankruptcy petition has been presented by a creditor against a debtor and before the hearing of such petition, the debtor files a petition and a bankruptcy order is made on the petition of the debtor, unless in the opinion of the court the estate has benefited thereby or there are special circumstances which make it just that such costs should be allowed, no costs shall be allowed to the debtor or his solicitor out of the estate. (L.N. 77 of 1998) [cf. R. 119] BANKRUPTCY RULES - RULE 41 Apportionment of costs in case of partnership VerDate:10/12/2007 In the case of a bankruptcy petition against a partnership, the costs payable out of the estates incurred up to and inclusive of the bankruptcy order shall be apportioned between the joint and separate estates in such proportions as the trustee may in his discretion determine. (L.N. 77 of 1998; L.N. 123 of 2007) [cf. R. 120] BANKRUPTCY RULES - RULE 42 Costs out of joint and separate estates VerDate:01/04/1998 (1) Where the joint estate of any co-debtors is insufficient to defray any costs or charges properly incurred prior to the appointment of the trustee, the Official Receiver may pay or direct the trustee to pay such costs or charges out of the separate estates of such co-debtors, or one or more of them, in such proportions as in his discretion the Official Receiver may think fit. The Official Receiver may also, as in his discretion he may think fit, pay or direct the trustee to pay any costs or charges properly incurred, prior to the appointment of the trustee, for any separate estate out of the joint estate or out of any other separate estate, and any part of the costs or charges of the joint estate incurred prior to the appointment of the trustee which affects any separate estate out of that separate estate. (2) Where the joint estate of any co-debtors is insufficient to defray any costs or charges properly incurred after the appointment of the trustee, the trustee, with such consent as is hereinafter mentioned, may pay such costs or charges out of the separate estates of such co-debtors, or one or more of them. The trustee, with the said consent, may also pay any costs or charges properly incurred for any separate estate, after his appointment, out of the joint estate, and any part of the costs or charges of the joint estate incurred after his appointment which affects any separate estate out of that separate estate. No payment under this rule shall be made out of a separate estate or joint estate by a trustee without the consent of the creditors' committee of the estate out of which the payment is intended to be made, or if such committee withhold or refuse their consent, without an order of the court. (G.N.A. 124 of 1955; L.N. 77 of 1998) [cf. R. 121] BANKRUPTCY RULES - RULE 43 (Repealed L.N. 77 of 1998) VerDate:01/04/1998 PART III PROCEEDINGS IN BANKRUPTCY BANKRUPTCY RULES - RULE 44 Form and content of statutory demand VerDate:01/04/1998 Statutory demand (1) A statutory demand under section 6A of the Ordinance must be dated, and be signed either by the creditor himself or by a person stating himself to be authorized to make the demand on the creditor's behalf. (2) The statutory demand must specify whether it is made under section 6A(1) or (2) of the Ordinance. (3) The statutory demand must state the amount of the debt, and the consideration for it (or, if there is no consideration, the way in which it arises) and- (a) if made under section 6A(1) of the Ordinance and founded on a judgment or order of a court, it must give details of the judgment or order; or (b) if made under section 6A(2) of the Ordinance, it must state the grounds on which it is alleged that the debtor appears to have no reasonable prospect of paying the debt. (4) If the amount claimed in the statutory demand includes- (a) any charge by way of interest not previously notified to the debtor as a liability of his; or (b) any other charge accruing from time to time, the amount or rate of the charge must be separately identified, the grounds on which payment of it is claimed must be stated, and in either case the amount claimed must be limited to that which has accrued due at the date of the demand. (5) If the creditor holds any security in respect of the debt, the full amount of the debt shall be specified, but- (a) there shall in the statutory demand be specified the nature of the security, and the value which the creditor puts upon it as at the date of the demand; and (b) the amount of which payment is claimed by the demand shall be the full amount of the debt, less the amount specified as the value of the security. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 45 Information to be given in statutory demand VerDate:01/04/1998 (1) The statutory demand must include an explanation to the debtor of the following matters- (a) the purpose of the demand, and the fact that, if the debtor does not comply with the demand, bankruptcy proceedings may be commenced against him; (b) the time within which the demand must be complied with, if that consequence is to be avoided; (c) the methods of compliance which are open to the debtor; and (d) his right to apply to the court for the demand to be set aside. (2) The statutory demand must- (a) specify one or more named individuals with whom the debtor may, if he wishes, enter into communication with a view to securing or compounding for the debt to the satisfaction of the creditor or (as the case may be) establishing to the creditor's satisfaction that there is a reasonable prospect that the debt will be paid when it falls due; and (b) in the case of any individual so named in the demand give his address and also his telephone number (if any). (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 46 Requirements as to service VerDate:01/04/1998 (1) Rule 49 has effect as regards service of the statutory demand, and proof of that service by affidavit to be filed with a bankruptcy petition. (2) The creditor shall do all that is reasonable for the purpose of bringing the statutory demand to the debtor's attention and, if practicable in the particular circumstances, to cause personal service of the demand to be effected. (3) Where the statutory demand is for payment of a sum due under a judgment or order of any court and the creditor knows, or believes with reasonable cause- (a) that the debtor has absconded or is keeping out of the way with a view to avoiding service; and (b) there is no real prospect of the sum due being recovered by execution or other process, the demand may be advertised in one or more newspapers; and the time limited for compliance with the demand runs from the date of the advertisement's appearance or (as the case may be) its first appearance. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 47 Application to set aside statutory demand VerDate:01/04/1998 (1) The debtor may, within the period allowed by this rule, apply to the court for an order setting the statutory demand aside. (2) The period referred to in paragraph (1) is 18 days from the date of the service on him of the statutory demand or, where the demand is advertised in a newspaper pursuant to rule 46, from the date of the advertisement's appearance or (as the case may be) its first appearance. (3) Starting with the date on which the application is filed in court, the time limited for compliance with the statutory demand ceases to run, subject to any order of the court under rule 48(7). (4) The debtor's application shall be supported by an affidavit- (a) specifying the date on which the statutory demand came into his hands; and (b) stating the grounds on which he claims that it should be set aside, and the affidavit shall have exhibited to it a copy of the statutory demand. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 48 Hearing of application to set aside VerDate:01/04/1998 (1) On receipt of an application under rule 47, the court may, if satisfied that no sufficient cause is shown for it, dismiss it without giving notice to the creditor. (2) Starting with the date on which the application is dismissed, the time limited for compliance with the statutory demand runs again. (3) If the application is not dismissed under paragraph (1), the court shall fix the date, time and place for it to be heard, and shall give at least 7 days' notice thereof to- (a) the debtor or, if the debtor's application was made by a solicitor acting for him, the solicitor; (b) the creditor; and (c) whoever is named in the statutory demand as the person with whom the debtor may enter into communication with reference to the demand (or, if more than one person is so named, the first of them). (4) On the hearing of the application, the court shall consider the evidence then available to it, and may either summarily determine the application or adjourn it, giving such directions as it thinks appropriate. (5) The court may grant the application if- (a) the debtor appears to have a counterclaim, set-off or cross demand which equals or exceeds the amount of the debt or debts specified in the statutory demand; (b) the debt is disputed on grounds which appear to the court to be substantial; (c) it appears that the creditor holds some security in respect of the debt claimed by the demand, and either rule 44(5) is not complied with in respect of it, or the court is satisfied that the value of the security equals or exceeds the full amount of the debt; or (d) the court is satisfied, on other grounds, that the demand ought to be set aside. (6) Where the creditor holds some security in respect of his debt, and rule 44(5) is complied with in respect of it but the court is satisfied that the security is under-valued in the statutory demand, the creditor may be required to amend the demand accordingly (but without prejudice to his right to present a bankruptcy petition by reference to the original demand). (7) If the court dismisses the application, it shall make an order authorizing the creditor to present a bankruptcy petition either forthwith, or on or after a date specified in the order. (8) A copy of the order shall be sent by the applicant forthwith to the creditor. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 49 Proof of service of statutory demand VerDate:01/04/1998 (1) Where under section 6A of the Ordinance the petition must have been preceded by a statutory demand, there must be filed in court, with the petition, an affidavit proving service of the demand. (2) Every affidavit must have exhibited to it a copy of the demand as served. (3) Subject to paragraph (4), if the statutory demand has been served personally on the debtor, the affidavit must be made by the person who effected that service. (4) If service of the statutory demand (however effected) has been acknowledged in writing either by the debtor himself, or by some person stating himself in the acknowledgment to be authorized to accept service on the debtor's behalf, the affidavit must be made either by the creditor or by a person acting on his behalf, and the acknowledgment of service must be exhibited to the affidavit. (5) If neither paragraph (3) nor (4) applies, the affidavit must be made by a person having direct personal knowledge of the means adopted for serving the statutory demand, and must- (a) give particulars of the steps which have been taken with a view to serving the demand personally; (b) state the means whereby (those steps having been ineffective) it was sought to bring the demand to the debtor's attention; and (c) specify a date by which, to the best of the knowledge, information and belief of the person making the affidavit, the demand will have come to the debtor's attention. (6) The steps of which particulars are given for the purposes of paragraph (5)(a) must be such as would have sufficed to justify an order for substituted service of a petition. (7) If the affidavit specifies a date for the purposes of compliance with paragraph (5)(c), then unless the court otherwise orders, that date is deemed for the purposes of these rules to have been the date on which the statutory demand was served on the debtor. (8) Where the creditor has taken advantage of rule 46(3), the affidavit must be made either by the creditor himself or by a person having direct personal knowledge of the circumstances; and there must be specified in the affidavit- (a) the means of the creditor's knowledge or (as the case may be) belief required for the purposes of that rule; and (b) the date or dates on which, and the newspaper in which, the statutory demand was advertised under that rule, and there shall be exhibited to the affidavit a copy of any advertisement of the demand. (9) The court may decline to file the petition if not satisfied that the creditor has discharged the obligation imposed on him by rule 46(2). (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 50 Description and address of debtor VerDate:01/04/1998 Petitions (1) Where a petition is presented by a debtor, he shall, besides inserting therein his name, description, Hong Kong Identity Card number or passport number and his address at the date when the petition is presented, further describe himself as lately residing or carrying on business at the address or several addresses, as the case may be, at which he has incurred debts and liabilities which at the date of the petition remain unpaid or unsatisfied. (L.N. 77 of 1998) (2) Where a petition is presented against a debtor who resides or carries on business at an address other than the address at which the debtor was residing or carrying on business at the time of contracting the debt or liability in respect of which the petition is presented, the petitioning creditor, in addition to stating in the petition the description of the debtor as of his then present address and description, shall in the petition describe the debtor as lately residing or carrying on business at the address at which he was residing or carrying on business when the debt or liability was incurred. (3) A petitioner who is not the debtor shall state the debtor's Hong Kong Identity Card number or passport number in the petition unless he does not have such information and cannot reasonably obtain it. (L.N. 77 of 1998) [cf. R. 146] BANKRUPTCY RULES - RULE 51 Attestation VerDate:01/04/1998 Every bankruptcy petition shall be attested. If it be attested in Hong Kong, the witness must be a solicitor or the Official Receiver or the Registrar. If it be attested out of Hong Kong, the witness must be a judge or magistrate or a Chinese consular officer or a notary public of the jurisdiction where the attestation takes place. (L.N. 231 of 1984; L.N. 77 of 1998) [cf. R. 148] BANKRUPTCY RULES - RULE 51A Copies of documents filed in bankruptcy proceedings to be served on Official Receiver VerDate:30/06/1997 Where a petitioner presents or files at court any document in connection with any bankruptcy proceedings, he or his solicitor shall, within 24 hours of such presentation or filing, serve a copy of the document presented or filed on the Official Receiver. (L.N. 272 of 1977) BANKRUPTCY RULES - RULE 52 Deposit by petitioner VerDate:10/12/2007 (1) Upon the presentation of a petition, the petitioner shall pay to the Official Receiver a deposit of— (a) in the case of a debtor's petition, the sum of $8650; or (b) in the case of a creditor's petition, the sum of $12150. (2) No petition shall be received unless the receipt of the Official Receiver for the deposit payable under paragraph (1) is produced to the Registrar. (3) After presenting a petition, the petitioner shall deposit with the Official Receiver such further sum as the court may, on the application of the Official Receiver, from time to time direct. (4) The deposit and any further deposit paid shall be applied to cover the fees, charges and percentages prescribed in the Bankruptcy (Fees and Percentages) Order (Cap. 6 sub. leg. C) and payable to the Official Receiver, and costs, charges and expenses incurred or authorized by the Official Receiver, whether acting as trustee or otherwise, including the costs of any person properly employed by him. (5) After the deposit and any further deposit have been so applied, the Official Receiver shall— (a) in the case of a debtor's petition where a provisional trustee is appointed under section 12(1A) of the Ordinance— (i) retain any balance of the deposit and further deposit, which shall be applied in accordance with section 37(1) of the Ordinance; and (ii) after complying with sub-subparagraph (i), account for and pay any unexpended balance of the deposit and further deposit to the trustee; or (b) in the case of a debtor's petition other than that referred to in subparagraph (a) and in the case of a creditor's petition, account for and pay any unexpended balance of the deposit and further deposit to the trustee. (6) The trustee shall account for any unexpended balance of the deposit and further deposit paid to him under paragraph (5)(a)(ii) or (b)— (a) in the case of a debtor's petition, to the bankrupt's estate; or (b) in the case of a creditor's petition, to that creditor. (7) For the purposes of paragraph (6)(b), the trustee shall— (a) pay any unexpended balance of the deposit and further deposit to that creditor; and (b) repay the amount of the deposit and further deposit expended and applied under paragraph (4) to that creditor out of the assets of the bankrupt in accordance with section 37(1) of the Ordinance. (L.N. 123 of 2007) BANKRUPTCY RULES - RULE 52A Deposits in respect of voluntary arrangements VerDate:01/04/1998 (1) Unless the applicant is also the nominee, where an application is made for an interim order under section 20A of the Ordinance, the applicant or some other person on his behalf shall, at the time of making the application, deposit with the nominee the sum of $12150, and such further sum (if any) as the applicant and nominee may agree to or as the court may from time to time direct, to cover the fees, expenses and remuneration to be incurred by the nominee in connection with the work done by him in respect of the voluntary arrangement. (2) This rule applies whether or not the voluntary arrangement is approved by the creditors. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 53 Registration of petition in Land Registry VerDate:12/02/2005 When a petition is filed, the Official Receiver may register a memorial of the petition in the Land Registry against any property registered therein in the name of the debtor or in any alias of his or in his t'ong name, or in the name of any t'ong in which he has any share or interest, or in the name of any spouse of the debtor. This provision shall so far as the nature of the case will admit apply in the case of any person carrying on business in a name or style other than his own. (8 of 1993 s. 30; L.N. 77 of 1998; 20 of 2002 s. 5) BANKRUPTCY RULES - RULE 54 Registration of petition in Land Registry against partner VerDate:12/02/2005 The Official Receiver may in either of the cases mentioned in rule 133 or 135 register a memorial of the petition in the Land Registry against any property registered in the name or names of any partner or partners in the debtor firm or in any alias of his or theirs or in any t'ong name of his or theirs, or in the name of any t'ong in which he or they has or have any share or interest, or in the name of the spouse of any of them. (8 of 1993 s. 30; L.N. 77 of 1998; 20 of 2002 s. 5) BANKRUPTCY RULES - RULE 55 Security for costs VerDate:30/06/1997 Creditor's petition A petitioning creditor who is resident out of the jurisdiction, or whose estate is vested in a trustee under any law relating to bankruptcy, or against whom a petition is pending under the Ordinance, or who has made default in payment of any costs ordered by any court to be paid by him to the debtor, may be ordered to give security for costs to the debtor. [cf. R. 150] BANKRUPTCY RULES - RULE 56 Verification VerDate:30/06/1997 Every creditor's petition shall be verified by affidavit, and when it is filed there shall be lodged with it one copy to be sealed and issued to the petitioner. [cf. R. 151] BANKRUPTCY RULES - RULE 57 Who to verify VerDate:30/06/1997 When the petitioning creditor cannot himself verify all the statements contained in his petition, he shall file in support of the petition the affidavit of some person who can depose to them. [cf. R. 152] BANKRUPTCY RULES - RULE 58 Joint petitioners VerDate:30/06/1997 Where a petition is presented by 2 or more creditors jointly, it shall not be necessary for each creditor to depose to the truth of all the statements which are within his own knowledge, but it shall be sufficient that each statement in the petition is deposed to by someone within whose knowledge it is. [cf. R. 153] BANKRUPTCY RULES - RULE 59 Service VerDate:30/06/1997 Service of creditor's petition (1) Service of a creditor's petition shall be effected by the creditor or his solicitor, or a person in their employment, delivering a sealed copy of the petition to the debtor. (2) If the court is satisfied by affidavit or other evidence on oath that prompt personal service cannot be effected because the debtor is evading service of the petition or any other legal process, or for any other cause, it may order substituted service to be effected in such manner as it thinks fit. (3) Where an order under paragraph (2) has been carried out, the petition shall be deemed to have been duly served on the debtor. (L.N. 194 of 1987) BANKRUPTCY RULES - RULE 60 Death of debtor before service of petition VerDate:30/06/1997 If a debtor against whom a bankruptcy petition has been filed dies before service thereof, the court may order service to be effected on the personal representatives of the debtor or on the Official Administrator or on such other persons as the court may think fit. [cf. R. 159] BANKRUPTCY RULES - RULE 61 Form and contents of order VerDate:10/12/2007 Interim trustee (L.N. 123 of 2007) Where an order is made appointing the Official Receiver to be interim trustee of the property of the debtor, such order shall state the nature and, so far as it is known, the locality of the property of which the Official Receiver is ordered to take possession. (L.N. 123 of 2007) [cf. R. 161] BANKRUPTCY RULES - RULE 62 Deposit VerDate:30/06/1997 Before any such order is made, the person who has made the application therefor shall deposit with the Official Receiver the sum of $3000 towards the prescribed fee for the Official Receiver, and such further sum as the court directs for the expenses which may be incurred by him. (L.N. 46 of 1964; L.N. 143 of 1985; L.N. 429 of 1993) [cf. R. 162] BANKRUPTCY RULES - RULE 63 Further deposit necessary VerDate:10/12/2007 If the sum of $3000, and such further sum so to be deposited for the expenses which may be incurred by the Official Receiver, proves to be insufficient, the person on whose application the order has been made shall from time to time deposit with the Official Receiver such additional sum as the court may, on the application of the Official Receiver, from time to time direct, and such sum shall be deposited within 48 hours after the making of a written request therefor. If such additional sum be not so deposited, the order appointing the interim trustee may be discharged by the court. (G.N.A. 124 of 1955; L.N. 46 of 1964; L.N. 143 of 1985; 80 of 1997 s. 102; L.N. 123 of 2007) [cf. R. 163] BANKRUPTCY RULES - RULE 64 Repayment of deposit VerDate:10/12/2007 If an order appointing an interim trustee is followed by a bankruptcy order, the deposits made by the creditor on whose application such interim trustee was appointed shall be repaid to him (except and so far as such deposits may be required by reason of insufficiency of assets for the payment of the fees chargeable and the expenses incurred by the interim trustee) out of the proceeds of the estate in the order of priority prescribed by the Ordinance. (L.N. 77 of 1998; L.N. 123 of 2007) [cf. Cap 6 s. 37] [cf. R. 164] BANKRUPTCY RULES - RULE 65 Damages if petition dismissed VerDate:10/12/2007 Where, after an order has been made appointing an interim trustee, the petition is dismissed, the court shall, upon to application to be made within 21 days from the date of the dismissal thereof, adjudicate with respect to any damages or claim thereto arising out of the appointment and shall make such order as the court thinks fit, and such decision or order shall be final and conclusive between the parties. (L.N. 123 of 2007) [cf. R. 165] BANKRUPTCY RULES - RULE 66 Time of hearing VerDate:10/12/2007 Hearing of petition The Registrar shall appoint the time and place at which the petition will be heard and notice thereof shall be written on the petition and sealed copy. Where the petition has not been served, the Registrar may appoint another time and place for such hearing. (L.N. 123 of 2007) [cf. R. 167] BANKRUPTCY RULES - RULE 67 Several respondents VerDate:30/06/1997 Where there are more respondents than one to a petition, the rules as to service shall be observed with respect to each respondent, but where all the respondents have not been served the petition may be heard separately or collectively as to the respondent or such of the respondents as has or have been served, and separately or collectively as to the respondents not then served according as service upon them is effected. [cf. R. 168] BANKRUPTCY RULES - RULE 68 Debtor intending to show cause VerDate:30/06/1997 Where a debtor intends to show cause against a petition, he shall file a notice with the Official Receiver specifying the grounds on which he intends to show cause, and shall post to the petitioning creditor or to his solicitor a copy of the notice, in each case 3 days before the day on which the petition is to be heard. [cf. R. 169] BANKRUPTCY RULES - RULE 69 Non-appearance of debtor VerDate:01/04/1998 If the debtor does not appear at the hearing, the court may on hearing the petitioning creditor and the Official Receiver either dismiss the petition or make a bankruptcy order on such proof of the statements in the petition and of the amount of assets and liabilities as the court thinks sufficient. (L.N. 77 of 1998) [cf. R. 170] BANKRUPTCY RULES - RULE 70 Hearing of petition VerDate:30/06/1997 On the hearing of the petition, the amount of assets and liabilities, and in the case of a creditor's petition any matters which the debtor has given notice that he intends to dispute, shall be proved. [cf. R. 171] BANKRUPTCY RULES - RULE 71 Non-appearance of creditor VerDate:01/04/1998 If any creditor neglects to appear on his petition, no subsequent petition against the same debtor or debtors, or any of them, either alone or jointly with any other person, shall without the leave of the court be presented by the same creditor in respect of the same debt. (L.N. 77 of 1998) [cf. R. 172] BANKRUPTCY RULES - RULE 72 Application to withdraw petition VerDate:30/06/1997 No application to withdraw a petition shall be heard except upon proof that notice of the intended application and a copy of the affidavits in support thereof have been duly served upon the Official Receiver not less than 7 days before the day named in the notice for hearing the application. BANKRUPTCY RULES - RULE 72A Drawing up and contents of bankruptcy order VerDate:10/12/2007 Bankruptcy order, etc. (G.N.A. 124 of 1955; L.N. 77 of 1998) (1) It shall be the duty of the petitioner, or his solicitor, and of all other persons who have appeared on the hearing of the petition, at latest on the day following the day on which a bankruptcy order is pronounced in court, to leave with the Registrar a draft of the order and all other documents required for the purpose of enabling the Registrar to complete the order forthwith. (2) It shall not be necessary for the Registrar to make an appointment to settle an order unless in any particular case the special circumstances make an appointment necessary. (3) A bankruptcy order, or an order for the appointment of an interim trustee shall contain at the foot thereof a notice stating that it will be the duty of the petitioner or the debtor to attend on the interim trustee, provisional trustee or trustee, as the case may be, at such time and place as he may appoint and to give him all information he may require. (L.N. 123 of 2007) (L.N. 272 of 1977; L.N. 77 of 1998) BANKRUPTCY RULES - RULE 73 Registration of bankruptcy order in Land Registry VerDate:10/12/2007 Where a bankruptcy order is made, the trustee may register a memorial of such bankruptcy order in the Land Registry against any property registered therein in the name of the debtor or in any alias of his or in his t'ong name, or in the name of any t'ong in which he has any share or interest, or in the name of the spouse of the debtor. (8 of 1993 s. 30; L.N. 77 of 1998; 20 of 2002 s. 5; L.N. 123 of 2007) BANKRUPTCY RULES - RULE 74 Registration of bankruptcy order in Land Registry against partner VerDate:10/12/2007 Where a bankruptcy order is made against a firm, the trustee may register a memorial thereof in the Land Registry against any property registered in the name of any partner or partners in the debtor firm or in any alias of his or theirs or in any t'ong name of his or theirs, or in the name of any t'ong in which he or they has or have any share or interest, or in the name of the spouse of any partner. (8 of 1993 s. 30; L.N. 77 of 1998; 20 of 2002 s. 5; L.N. 123 of 2007) BANKRUPTCY RULES - RULE 75 Service of bankruptcy order VerDate:10/12/2007 The trustee shall cause a sealed copy of a bankruptcy order to be served on the debtor. (G.N.A. 124 of 1955; L.N. 77 of 1998; L.N. 123 of 2007) BANKRUPTCY RULES - RULE 76 (Repealed L.N. 77 of 1998) VerDate:01/04/1998 BANKRUPTCY RULES - RULE 77 (Repealed L.N. 77 of 1998) VerDate:01/04/1998 BANKRUPTCY RULES - RULE 78 Advertisement VerDate:01/04/1998 Where a bankruptcy order is made the Official Receiver shall forthwith send notice thereof to the Gazette and to such local newspaper or newspapers as he may think fit. (L.N. 77 of 1998) [cf. R. 186] BANKRUPTCY RULES - RULE 79 Costs of petition, etc. VerDate:01/04/1998 (1) Subject to paragraphs (2), (3) and (4), the costs of all proceedings under the Ordinance down to and including the making of the bankruptcy order shall be borne by the party prosecuting the same. (2) The court may at any time order that the debtor shall pay the whole or any part of the costs. (3) Where a bankruptcy order is made on the petition of the debtor while a creditor's petition against him is pending, the court may order that the costs shall be paid out of the estate. (4) Where a bankruptcy order is made on a creditor's petition, the costs of the petitioning creditor shall be taxed and paid out of the estate. (L.N. 39 of 1976; L.N. 77 of 1998) [cf. R. 187] BANKRUPTCY RULES - RULE 79A Official Receiver's costs where proceeds of estate insufficient VerDate:01/04/1998 When the proceeds of the estate are not sufficient for the payment of any costs necessarily incurred by the Official Receiver in excess of the deposit made under rule 52 after the making of the bankruptcy order the court may order such costs to be paid by the party prosecuting the proceedings. (L.N. 39 of 1976; L.N. 77 of 1998) [cf. S.I. 1952/2113 r. 181 U.K.] BANKRUPTCY RULES - RULE 80 Application to annul bankruptcy order or to stay proceedings thereunder VerDate:10/12/2007 (1) An application to the court to annul a bankruptcy order or to stay proceedings thereunder, made by any person other than the Official Receiver or trustee shall not be heard except upon proof that notice of the intended application and a copy of the affidavits in support thereof have been duly served upon the Official Receiver or trustee, as the case may be. Notice of any such application shall be served on the Official Receiver or trustee, as the case may be, not less than 7 days before the day named in the notice for hearing the application. Pending the hearing of the application, the court may make an interim order staying such of the proceedings as it thinks fit. (1A) Before an application referred to in paragraph (1) is heard by the court, the applicant shall, if he considers that notice of annulment should be advertised or gazetted under section 33(5) of the Ordinance in the event the application is successful, deposit with the Official Receiver or trustee the costs thereof, as estimated by the Official Receiver or trustee. (L.N. 77 of 1998) (2) In any case in which any such application is made by the Official Receiver or trustee, 4 days' notice thereof and a copy of any report in support thereof shall be served on the bankrupt and the petitioning creditor (if any) and the trustee where he is not the applicant: Provided that where such service is found to be impracticable by reason that the bankrupt or the petitioning creditor is out of Hong Kong or cannot be found at his usual or last known address or place of business no objection shall be taken to the application on the ground of such service not having been effected. (3) Where an application is made to the court under section 33(1)(b) of the Ordinance to annul a bankruptcy order, the trustee shall and the Official Receiver (where he is not the trustee) may make and file 4 days before the day appointed for hearing the application a report as to the bankrupt's conduct and affairs, including a report as to his conduct during the proceedings, and the court on the hearing of the application shall hear and consider such report and such further evidence as may be adduced by any party, and any objections which may be made by the Official Receiver, or by or on behalf of the trustee (if any) or any creditor whom the court may order to be served with notice of the application or may permit to appear thereon. For the purposes of the application, any report made by the Official Receiver under this paragraph shall be prima facie evidence of the statements therein contained. [cf. R. 188A] (3A) Where an order is made annulling a bankruptcy order, the trustee shall, on application by the former bankrupt, issue to him a certificate confirming such annulment. (L.N. 77 of 1998) (4) For the purposes of this rule "creditor" (債權人) includes all creditors mentioned in the bankrupt's statement of affairs or who have notified to the trustee that they have, or at the date of the bankruptcy order had, claims against the bankrupt. (L.N. 231 of 1984; L.N. 77 of 1998; L.N. 123 of 2007) [cf. R. 188] "creditor" (債權人) BANKRUPTCY RULES - RULE 81 How made out VerDate:10/12/2007 Statement of affairs The statement of affairs shall be made out in duplicate, and one copy shall be verified. The trustee shall file in court the verified statement of affairs submitted to him by the bankrupt. (L.N. 77 of 1998; L.N. 123 of 2007) [cf. R. 189] BANKRUPTCY RULES - RULE 81A (Repealed L.N. 77 of 1998) VerDate:01/04/1998 BANKRUPTCY RULES - RULE 82 Extension of time VerDate:10/12/2007 Where any bankrupt requires any extension of the time for the filing by him of his statement of affairs, the bankrupt shall apply to the trustee, who may, if he thinks fit, give a written certificate extending such time. (L.N. 77 of 1998; L.N. 123 of 2007) [cf. R. 190] BANKRUPTCY RULES - RULE 82A Application for public examination VerDate:10/12/2007 Public examination (1) An application by the Official Receiver or trustee under section 19 of the Ordinance for the public examination of a bankrupt shall be made inter partes and the evidence in support of the application may be in the form of a report to the court setting out the reasons why such an examination is needed. (L.N. 123 of 2007) (2) A report to the court under paragraph (1) shall be confidential but the court may, on application, allow the bankrupt to see all or part of the report provided the bankrupt satisfies the court that it would be unfair to him not to allow him to see it. (3) Where a creditor intends to question a bankrupt, he shall, not less than 7 days before the date of the examination, provide the Official Receiver or trustee, as the case may be, with a list of the topics on which he intends to put such questions. (4) A record signed by the bankrupt under section 19 of the Ordinance shall be open to the inspection of any creditor at all reasonable times upon payment of the prescribed fee. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 82B Preliminary public examination proceedings VerDate:10/12/2007 (1) A bankrupt in respect of whom the court has made an order under section 19 of the Ordinance shall, unless the court otherwise orders, attend- (L.N. 123 of 2007) (a) where the application for public examination is made by the Official Receiver, at a time and place to be notified to him by the Official Receiver in writing to be examined as to his affairs by the Official Receiver; (b) where the application for public examination is made by the trustee, at a time and place to be notified to him by the trustee in writing to be examined as to his affairs by the trustee. (2) The notice shall also require the bankrupt to bring with him a list of his creditors, particulars of his assets and any books of account and other documents relevant to an investigation of his affairs not already delivered to the Official Receiver or trustee, as the case may be. (3) At the conclusion of the preliminary examination of the bankrupt the examiner shall prepare notes of such parts of the information given by the bankrupt as he considers necessary or desirable to place on record. (4) A copy of such notes shall be served by the Official Receiver or trustee, as the case may be, on the bankrupt sufficiently before his public examination to enable him to be advised thereon, if he so wishes. (5) The bankrupt may adopt the notes of his preliminary examination under this rule as or as part of his evidence at his public examination, and, when so adopted, they shall be read out by the Official Receiver or trustee, as the case may be, signed by the bankrupt and filed as the notes or part of the notes of his public examination. (L.N. 77 of 1998; L.N. 123 of 2007) BANKRUPTCY RULES - RULE 83 Adjournments sine die VerDate:01/04/1998 Where the court is of opinion that a bankrupt is failing to disclose his affairs or where the bankrupt has failed to attend the public examination or any adjournment thereof or where the bankrupt has not complied with any order of the court in relation to his accounts, conduct, dealings and property and no good cause is shown by him for such failure, the court may forthwith commit the bankrupt for contempt of court or may adjourn the public examination sine die, and may make such further or other order as the court thinks fit. (L.N. 77 of 1998) [cf. R. 195] BANKRUPTCY RULES - RULE 84 Application to proceed VerDate:10/12/2007 The court may on the application of the Official Receiver, trustee or bankrupt appoint a day for proceeding with a public examination which has been adjourned sine die. (L.N. 77 of 1998; L.N. 123 of 2007) [cf. R. 196] BANKRUPTCY RULES - RULE 85 Proceeding after adjournment sine die VerDate:10/12/2007 Where an examination has been adjourned sine die and the bankrupt desires to have a day appointed for proceeding with his public examination, the expense of gazetting, advertising and giving notice to creditors of the day to be appointed for proceeding with such examination shall, unless the Official Receiver or trustee, as the case may be, consents to the costs being paid out of the estate, be at the cost of the bankrupt, who shall, before any day is appointed for proceeding with the public examination, deposit with the Official Receiver or trustee, as the case may be, such sum as he may specify to the bankrupt that he considers sufficient to defray the expense aforesaid. The balance of the deposit after defraying the expense aforesaid shall be returned to the bankrupt. (L.N. 77 of 1998; L.N. 123 of 2007) [cf. R. 197] BANKRUPTCY RULES - RULE 86 Notice of public examination VerDate:10/12/2007 In any case in which a public examination has been ordered under section 19(4) of the Ordinance or has been adjourned sine die and the court afterwards makes an order for proceeding with such public examination, the Official Receiver or trustee (whoever makes the application under section 19(1) of the Ordinance) shall- (L.N. 123 of 2007) (a) send notice of the date, time and place appointed for such public examination to all persons mentioned in section 19(5) of the Ordinance; and (b) gazette such notice at least 7 days before the day so appointed. (L.N. 77 of 1998; L.N. 123 of 2007) BANKRUPTCY RULES - RULE 87 (Repealed L.N. 77 of 1998) VerDate:01/04/1998 BANKRUPTCY RULES - RULE 87A (Repealed L.N. 77 of 1998) VerDate:01/04/1998 BANKRUPTCY RULES - RULE 87B Application VerDate:01/04/1998 Inquiry into bankrupt's conduct, dealings and property (1) Where an application is made under section 29 of the Ordinance, the application shall be in writing and shall sufficiently identify the person in respect of whom the application is made and shall state whether the person is- (a) to be ordered to appear before the court; (b) to answer interrogatories (if so, particulars are to be given of the matters in respect of which answers are required); (c) to submit affidavits (if so, particulars are to be given of the matters to which he is required to swear); or (d) to produce books, papers or other records (if so, the items in question are to be specified), or for any 2 or more of those purposes. (2) The application shall be made inter partes unless the applicant satisfies the court that the respondent or others may take actions which would prejudicially affect the estate. An application for an order to submit an affidavit shall also be made inter partes unless the applicant satisfies the court that it would likely prejudice the interests of the estate if it were so made. (3) Where the application is for an order to submit an affidavit and the person appeals against the order, he need not continue with the preparation of the affidavit before the hearing of the appeal unless the Court of First Instance, on application, so orders. (4) The evidence in support of an application under this rule may be in the form of a report to the court setting out the reasons why an order is needed. (5) The court may, on application, allow the person in respect of whom the order is made to see all or part of the report provided he satisfies the court that it would be unfair to him not to allow him to see it. (6) Where the application is for an order to appear before the court, the person in respect of whom the order is made may, but not at the expense of the estate unless the court otherwise orders, employ a solicitor with or without counsel, who may put to him such questions as the court may allow for the purpose of enabling him to explain or qualify any answer given by him, and may make representations on his behalf. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 87C Costs VerDate:01/04/1998 (1) Where- (a) the court has made an order under section 29 of the Ordinance summoning a person before it and it appears to the court that the summoning was made necessary because information had been unjustifiably refused by such person; or (b) the court makes an order that a person delivers up property to the Official Receiver or trustee or to discharge a debt due to the bankrupt, the court may order that the costs of the proceedings be paid by that person. (2) Where a person in respect of whom an order has been made under section 29 of the Ordinance co-operates fully with the Official Receiver or trustee in providing the necessary information, the court may order that that person be paid, out of the bankrupt's estate, the reasonable costs incurred by him in providing such information. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 88 Application for suspension of discharge VerDate:01/04/1998 Discharge (1) The following applies where the trustee or one of the bankrupt's creditors applies to the court for an order under section 30A(3) of the Ordinance. (2) Where the application is made by- (a) the Official Receiver, as trustee, he shall with his application file a report; or (b) a trustee other than the Official Receiver or by a creditor, he shall with his application file an affidavit, setting out the reasons why it appears to him that such an order should be made. (3) The court shall fix the date, time and place for the hearing of the application, and give notice of it to the trustee and the bankrupt and, where the applicant is a creditor, to the applicant. (4) Copies of the applicant's report or affidavit under this rule shall be sent by him to the bankrupt, and where the applicant is a creditor, to the trustee, so as to reach them at least 21 days before the date fixed for the hearing. (5) The bankrupt may, not later than 7 days before the date of the hearing, file in court a notice specifying any statements in the applicant's report or affidavit that he intends to deny or dispute and, where he does so, he shall send copies of it, not less than 4 days before the date of the hearing, to the applicant and, where the applicant is not the trustee, to the trustee. (6) If on hearing the court makes an order suspending the bankrupt's discharge, copies of the order shall be sent by the applicant to the bankrupt and, where the applicant is not the trustee, to the trustee. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 89 Lifting of suspension of discharge VerDate:01/04/1998 (1) Where the court has made an order under section 30A(3) of the Ordinance that the relevant period (that is to say, the period after which the bankrupt may under that section have his discharge) shall cease to run, the bankrupt may apply to the court for the order to be discharged. (2) The court shall fix the date, time and place for the hearing of the application; and the bankrupt shall, not less than 28 days before the date fixed for the hearing, give notice of the venue to the trustee, accompanied in each case by a copy of the application. (3) The trustee may appear and be heard on the bankrupt's application; and, whether or not he appears, where the trustee- (a) is the Official Receiver he may file in court a report; or (b) is not the Official Receiver he may file an affidavit in court, setting out any matters which he considers ought to be drawn to the court's attention. (4) If a report or affidavit is filed under paragraph (3), copies of it shall be sent by the trustee to the bankrupt, not later than 14 days before the hearing. (5) The bankrupt may, not later than 7 days before the date of the hearing, file in court a notice specifying any statements in the trustee's report or affidavit that he intends to deny or dispute and, where he does so, he shall send copies of it, not less than 4 days before the date of the hearing, to the trustee. (6) If on the bankrupt's application the court discharges the order under section 30A(3) of the Ordinance (being satisfied that the relevant period should begin to run again), it shall issue to the bankrupt a certificate that it has done so, with effect from a specified date. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 90 Application by bankrupt for early discharge VerDate:01/04/1998 (1) If the bankrupt applies under section 30B of the Ordinance for an order discharging him from bankruptcy, he shall give to the trustee notice of the application, and deposit with him such sum as the latter may require to cover his costs and expenses of the application. (2) The court, if satisfied that paragraph (1) has been complied with, shall fix the date, time and place for the hearing of the application, and give at least 42 days' notice of it to the trustee and the bankrupt. (3) The trustee shall give notice accordingly to every creditor who, to the trustee's knowledge, has a claim outstanding against the estate which has not been satisfied. (4) Notices under paragraph (3) shall be given not later than 14 days before the date fixed for the hearing of the bankrupt's application. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 91 Report or affidavit of trustee VerDate:01/04/1998 (1) Where the bankrupt makes an application under section 30B of the Ordinance, the trustee shall, at least 21 days before the date fixed for the hearing of the application, file in court, where the trustee- (a) is the Official Receiver, a report; or (b) is not the Official Receiver, an affidavit, containing the following information with respect to the bankrupt- (i) any failure by him to comply with his obligations under the Ordinance; (ii) the circumstances surrounding the present bankruptcy, and those surrounding any previous bankruptcy of his; (iii) the extent to which, in the present and in any previous bankruptcy, his liabilities have exceeded his assets; and (iv) particulars of any distribution which has been, or is expected to be, made to creditors in the present bankruptcy or, if such is the case, that there has been and is to be no distribution, and the trustee shall include in his report or affidavit any other matters which in his opinion ought to be brought to the court's attention. (2) The trustee shall send a copy of the report or affidavit to the bankrupt so as to reach him at least 14 days before the date of the hearing of the application under section 30B of the Ordinance. (3) The bankrupt may, not later than 7 days before the date of the hearing, file in court a notice specifying any statements in the trustee's report or affidavit that he intends to deny or dispute and, where he does so, he shall send a copy of it, not less than 4 days before the date of the hearing, to the trustee. (4) The trustee and any creditor may appear on the hearing of the bankrupt's application, and may make representations and put to the bankrupt such questions as the court may allow. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 92 Certificate of discharge VerDate:01/04/1998 (1) Where it appears to the court that a bankrupt is discharged, whether by expiration of time or otherwise, the court shall, on his application, issue to him a certificate of his discharge, and the date from which it is effective. (2) The discharged bankrupt may require the trustee to give notice of the discharge- (a) in the Gazette; (b) in any newspaper in which the bankruptcy was advertised; or (c) in both. (3) Any requirement by the discharged bankrupt under paragraph (2) shall be addressed to the trustee in writing and the trustee shall notify him forthwith as to the costs of the advertisement and is under no obligation to advertise until that sum has been paid. (4) Where the discharged bankrupt has died, the references to him in paragraphs (2) and (3) are to be construed as referring to his personal representative. (5) A discharge under section 30A, 30B or 30C of the Ordinance does not release the bankrupt from any obligation arising under a confiscation order made under section 3 of the Drug Trafficking (Recovery of Proceeds) Ordinance (Cap 405). (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 93 Deferment of issue of order pending appeal VerDate:01/04/1998 An order made by the court on an application by the bankrupt for discharge under section 30B of the Ordinance may be stayed and not be gazetted until the time allowed for appealing has expired or, if an appeal is entered, until the appeal has been determined. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 94 Costs in respect of discharge VerDate:01/04/1998 Any costs or expenses which the trustee may have to pay arising under rules 88 to 93 shall be paid out of the bankrupt's estate, not by the trustee personally. <* Note - Exp. X-Ref.: Rules 88, 89, 90, 91, 92, 93 *> (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 95 (Repealed L.N. 77 of 1998) VerDate:01/04/1998 BANKRUPTCY RULES - RULE 96 (Repealed L.N. 77 of 1998) VerDate:01/04/1998 BANKRUPTCY RULES - RULE 97 (Repealed L.N. 77 of 1998) VerDate:01/04/1998 BANKRUPTCY RULES - RULE 98 (Repealed L.N. 77 of 1998) VerDate:01/04/1998 BANKRUPTCY RULES - RULE 99 (Repealed L.N. 77 of 1998) VerDate:01/04/1998 BANKRUPTCY RULES - RULE 99A Four clear days' notice to be given of meeting VerDate:10/12/2007 Meetings of creditors If a general meeting of the bankrupt's creditors is to be held for the purpose of appointing a first trustee, the provisional trustee shall summon the meeting, which shall be held within 16 weeks of the date of the bankruptcy order, by giving not less than 4 clear days' notice of the date, time and place thereof in the Gazette and in a local newspaper. (L.N. 77 of 1998; L.N. 123 of 2007) BANKRUPTCY RULES - RULE 99B Notice of meeting to be sent VerDate:10/12/2007 If a general meeting of the bankrupt's creditors is to be held for the purpose of appointing a first trustee, the provisional trustee shall also as soon as practicable send to each creditor mentioned in the bankrupt's statement of affairs a notice of the date, time and place of the meeting, but the proceedings at the meeting shall not be invalidated by reason of any such notice not having been sent or received before the meeting. (L.N. 77 of 1998; L.N. 123 of 2007) BANKRUPTCY RULES - RULE 99C Place of meeting VerDate:10/12/2007 The meeting shall be held at the office of the provisional trustee or such other place as he may specify. (L.N. 77 of 1998; L.N. 123 of 2007) BANKRUPTCY RULES - RULE 99D Summoning of creditors' meeting* VerDate:10/12/2007 (1) The trustee may at any time summon a meeting of creditors, and shall do so whenever so directed by the court. (L.N. 123 of 2007) (2) Where the court directs a general meeting of creditors to be summoned under this rule, it shall be summoned as the court directs. (3) (Repealed L.N. 123 of 2007) (4) The trustee shall, not less than 7 days before such meeting, send a copy of the order to each creditor at the address given in his proof, or when he has not proved, the address given in the list of creditors by the debtor, or such other address as may be known to the trustee. (L.N. 123 of 2007) (L.N. 77 of 1998) * (Amended L.N. 123 of 2007) BANKRUPTCY RULES - RULE 99E Summoning of subsequent meetings VerDate:10/12/2007 (1) Meetings subsequent to the meeting held for the purpose of appointing a trustee shall be summoned by sending notice of the date, time and place thereof to each creditor at the address given in his proof, or if he has not proved, at the address given in the bankrupt's statement of affairs, or at such other address as may be known to the person summoning the meeting. (L.N. 123 of 2007) (2) Where no special time is prescribed for the subsequent meeting, the notice shall be sent off not less than 3 days before the day appointed for the meeting. (L.N. 123 of 2007) (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 99F Chairman VerDate:10/12/2007 The provisional trustee or some person nominated by him shall be the chairman at the meeting held for the purpose of appointing a first trustee, and at subsequent meetings until the appointment of a trustee when such trustee shall be the chairman. (L.N. 77 of 1998; L.N. 123 of 2007) BANKRUPTCY RULES - RULE 99G Entitlement to vote VerDate:01/04/1998 A person shall not be entitled to vote as a creditor at the meeting held for the purpose of appointing a trustee or any other meeting of creditors unless he has duly proved a debt provable in bankruptcy to be due to him from the bankrupt and the proof has been duly lodged 24 hours at least before the time appointed for the meeting. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 99H Unliquidated or contingent debt VerDate:01/04/1998 A creditor shall not vote at any such meeting in respect of any unliquidated or contingent debt or any debt the value of which is not ascertained. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 99I Value of secured creditor's security VerDate:01/04/1998 (1) For the purpose of voting, a secured creditor shall, unless he surrenders his security, state in his proof the particulars of his security, the date when it was given and the value at which he assesses it, and shall be entitled to vote only in respect of the balance (if any) due to him after deducting the value of his security. (2) If he votes in respect of his whole debt he shall be deemed to have surrendered his security unless the court on application is satisfied that the omission to value the security has arisen from inadvertence. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 99J Debt secured by bill of exchange or promissory note VerDate:01/04/1998 A creditor shall not vote in respect of any debt on or secured by a current bill of exchange or promissory note held by him unless he is willing to- (a) treat the liability to him thereon of every person who is liable thereon antecedently to the bankrupt, and against whom a bankruptcy order has not been made, as a security in his hands; and (b) estimate the value thereof and for the purposes of voting, but not for the purposes of dividend, to deduct it from his proof. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 99K Creditor of firm may prove against partner VerDate:01/04/1998 If a bankruptcy order is made against one partner of a firm, any creditor to whom that partner is indebted jointly with the other partners of the firm, or any of them, may prove his debt for the purpose of voting at any meeting of creditors and shall be entitled to vote thereat. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 99L Admission of proofs VerDate:01/04/1998 (1) The chairman of a meeting shall have power to admit or reject a proof for the purpose of voting but his decision shall be subject to appeal to the court. (2) If the chairman is in doubt whether the proof of a creditor should be admitted or rejected he shall make a note of it and shall allow the creditor to vote, subject to the vote being subsequently declared invalid in the event of the objection being sustained. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 99M Voting VerDate:01/04/1998 A creditor may vote either in person or by proxy. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 99N Form of proxy VerDate:10/12/2007 Every instrument of proxy shall be in the prescribed form and shall be issued by the trustee, and shall be signed by the person giving the proxy, or by any manager or clerk or other person in his regular employment, or by his solicitor or solicitors. (L.N. 77 of 1998; L.N. 123 of 2007) BANKRUPTCY RULES - RULE 99O Proxy forms to be sent to creditors VerDate:10/12/2007 General and special forms of proxy shall be sent to the creditors together with a notice summoning a meeting of creditors, and neither the name nor the description of the Official Receiver, of the trustee or of any other person shall be printed or inserted in the body of any instrument of proxy before it is so sent. (L.N. 77 of 1998; L.N. 123 of 2007) BANKRUPTCY RULES - RULE 99P General proxy VerDate:01/04/1998 A creditor may give a general proxy to his manager or clerk or any other person in his regular employment or to his solicitor and, in such case, the instrument of proxy shall state the relation in which the person to act thereunder stands to the creditor. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 99Q Special proxy VerDate:01/04/1998 A creditor may give a special proxy to any person to vote at any specified meeting or adjournment thereof on all or any of the following matters- (a) for or against the appointment of any specified person as trustee or as member of the creditors' committee, or for or against the continuance in office of any specified person as trustee or member of a creditors' committee; (b) on all questions relating to any matter, other than those referred to in paragraph (a), arising at any specified meeting or adjournment thereof. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 99R Time for lodging proxy VerDate:10/12/2007 (1) A proxy may not be used unless it is deposited with the trustee 24 hours before the meeting at which it is to be used. (2) A proxy required to be deposited in accordance with these rules shall be deemed to have been so deposited if such proxy is received by facsimile transmission by the trustee within the time provided in paragraph (1). (L.N. 77 of 1998; L.N. 123 of 2007) BANKRUPTCY RULES - RULE 99S Solicitation by trustee VerDate:01/04/1998 Where it appears to the satisfaction of the court that any solicitation has been used by or on behalf of a trustee in obtaining proxies, or in procuring the trusteeship, except by the direction of a meeting of creditors, the court shall have power, if it thinks fit, to order that no remuneration shall be allowed to the person by whom or on whose behalf such solicitation may have been exercised, notwithstanding any resolution of the creditors' committee or of the creditors to the contrary. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 99T Proxy to trustee* VerDate:10/12/2007 A creditor may appoint the trustee to act in the manner prescribed as his general or special proxy. (L.N. 77 of 1998; L.N. 123 of 2007) * (Amended L.N. 123 of 2007) BANKRUPTCY RULES - RULE 99U Adjournments VerDate:01/04/1998 The chairman of a meeting may, with the consent of the meeting, adjourn the meeting from time to time and from place to place. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 99V Quorum VerDate:01/04/1998 (1) A meeting shall not be competent to act for any purpose, except the election of a chairman, the proving of debts and the adjournment of the meeting, unless there is present thereat at least one creditor entitled to vote. (2) For the purposes of this rule, the reference to one creditor present includes a creditor represented by proxy by any person, including the chairman of the meeting. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 99W No quorum present VerDate:01/04/1998 If within half an hour from the time appointed for the meeting a quorum of creditors is not present or represented, the meeting shall be adjourned to the same day in the following week at the same time and place or to such other day as the chairman may appoint, being not fewer than 7 nor more than 21 days after the day first appointed. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 99X Minutes VerDate:01/04/1998 The chairman of every meeting shall cause minutes of the proceedings at the meeting to be drawn up and fairly entered in a record kept for that purpose and the minutes shall be signed by him or by the chairman of the next ensuing meeting. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 99Y Conflict of interest VerDate:01/04/1998 (1) No person acting under either a general or a special proxy shall vote in favour of any resolution which would directly or indirectly place him or his partner or employer in a position to receive any remuneration out of the estate of the bankrupt otherwise than as a creditor ratably with the other creditors of the bankrupt. (2) Where any person holds special proxies to vote for the appointment of himself as trustee he may use the said proxies and vote accordingly. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 99Z Excluded votes VerDate:01/04/1998 The vote of the trustee or of his partner, clerk, solicitor or solicitor's clerk, either as creditor or as proxy for a creditor, shall not be reckoned in the majority required for passing any resolution affecting the conduct of the trustee. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 100 Notice to bankrupt of meeting to appoint trustee VerDate:10/12/2007 The trustee shall give 3 days' notice to the bankrupt of the time and place appointed for the meeting mentioned in rules 99A and 101, when one is to be held. The notice may be either delivered to him personally or sent to him by prepaid letter post, as may be convenient. It shall be the duty of the bankrupt to attend such meeting. (G.N.A. 124 of 1955; L.N. 77 of 1998; L.N. 123 of 2007) [cf. R. 240] BANKRUPTCY RULES - RULE 101 Notice of meeting to appoint successive trustee* VerDate:10/12/2007 The trustee shall fix the day for the meeting for the purpose of appointing a successive trustee, when one is to be held, and shall forthwith gazette and advertise the same in one local newspaper if he considers such advertisement desirable. The trustee shall also give notice to the creditors. (L.N. 77 of 1998; L.N. 123 of 2007) [cf. R. 241] * (Amended L.N. 123 of 2007) BANKRUPTCY RULES - RULE 102 (Repealed L.N. 123 of 2007) VerDate:10/12/2007 BANKRUPTCY RULES - RULE 103 Non-reception of notice by creditor VerDate:30/06/1997 Where a meeting of creditors is called by notice, the proceedings had and resolutions passed at such meeting shall, unless the court otherwise orders, be valid notwithstanding that some creditors have not received the notice summoning the meeting. (G.N.A. 124 of 1955) [cf. R. 243] BANKRUPTCY RULES - RULE 104 (Repealed L.N. 123 of 2007) VerDate:10/12/2007 BANKRUPTCY RULES - RULE 105 Proof of notice VerDate:30/06/1997 A certificate by the Official Receiver or other officer of the court or by the clerk of any such person, or an affidavit by the trustee or his solicitor or the clerk of either of such persons, that the notice of any meeting of creditors or sitting of the court has been duly posted shall be sufficient evidence of such notice having been duly sent to the person to whom the same was addressed. (G.N.A. 124 of 1955) [cf. R. 245] BANKRUPTCY RULES - RULE 106 (Repealed) VerDate:30/06/1997 (Repealed L.N. 7 of 1976) BANKRUPTCY RULES - RULE 107 Adjournment VerDate:30/06/1997 Where a meeting of creditors is adjourned, the adjourned meeting shall be held at the same place as the original place of meeting unless in the resolution for adjournment another place is specified. [cf. R. 248] BANKRUPTCY RULES - RULE 107A Resolution passed at adjourned meeting of creditors VerDate:30/06/1997 Where a resolution is passed at an adjourned meeting of any creditors, the resolution shall, for all purposes, be treated as having been passed on the date on which it was in fact passed, and shall not be deemed to have been passed on any earlier date. (L.N. 231 of 1984) BANKRUPTCY RULES - RULE 108 Quorum VerDate:30/06/1997 In calculating a quorum of creditors present at a meeting, those persons only who are entitled to vote at the meeting shall be reckoned. [cf. R. 249] BANKRUPTCY RULES - RULE 109 Proving debts VerDate:10/12/2007 Proof of debts (1) A creditor shall prove his debt in the prescribed form which shall be delivered or sent through the post to the trustee and accompanied by the prescribed fee as the case may require. (2) The trustee may, if he thinks it necessary, require a claim of debt to be verified by affidavit in the prescribed form notwithstanding that a proof of debt has already been lodged. (3) The affidavit may be sworn before any person authorized to administer oaths or take statutory declarations. (L.N. 222 of 1992; L.N. 123 of 2007) BANKRUPTCY RULES - RULE 110 Employees' wages VerDate:01/04/1998 In any case in which it appears from the bankrupt's statement of affairs that there are numerous claims for wages by employees or others employed by the bankrupt, it shall be sufficient if one proof for all such claims is made either by the bankrupt or by his supervisor or some other person on behalf of all such creditors. Such proof shall have annexed thereto, as forming part thereof, a schedule setting forth the names of the employees or others and the amounts severally due to them. Any proof made in compliance with this rule shall have the same effect as if separate proofs had been made by each of the said employees or others. (L.N. 77 of 1998) [cf. R. 251] BANKRUPTCY RULES - RULE 111 Production of bills of exchange and promissory notes VerDate:10/12/2007 Where a creditor seeks to prove in respect of a bill of exchange, promissory note, or other negotiable instrument or security on which the bankrupt is liable, such bill of exchange, note, instrument or security must, subject to any special order of the court made to the contrary, be produced to the chairman of a meeting or trustee, as the case may be, before the proof can be admitted either for voting or for dividend. (L.N. 77 of 1998; L.N. 123 of 2007) [cf. R. 252] BANKRUPTCY RULES - RULE 112 Time for lodging proofs VerDate:10/12/2007 A proof intended to be used at the first meeting of creditors shall be lodged with the trustee not later than 24 hours before the time appointed for the meeting. A proof intended to be used at an adjournment of the first meeting (if not lodged in time for the first meeting) must be lodged not less than 24 hours before the time appointed for the adjourned meeting. (L.N. 123 of 2007) [cf. R. 253] BANKRUPTCY RULES - RULE 113 Transmission of proofs to trustee VerDate:10/12/2007 Where a trustee is appointed in any matter, all proofs of debts that have been received by the provisional trustee shall be handed over to the trustee, but the provisional trustee shall first make a list of such proofs and take a receipt thereon from the trustee for such proofs. (L.N. 123 of 2007) [cf. R. 254] BANKRUPTCY RULES - RULE 114 Time for admission or rejection of proofs by trustee VerDate:01/04/1998 The trustee, not later than 21 days from the latest date specified in the notice of his intention to declare a dividend as the time within which such proofs must be lodged, shall either admit or reject wholly or in part every proof lodged with him or require further evidence in support thereof. (L.N. 77 of 1998) [cf. R. 259] BANKRUPTCY RULES - RULE 115 Time for admission or rejection of proof by trustee VerDate:01/04/1998 Where the trustee has given notice of his intention to declare a dividend he shall, within 21 days after the date mentioned in such notice as the latest date up to which proofs must be lodged, examine and in writing admit or reject every proof which has not been already admitted or rejected and give notice of his decision rejecting a proof wholly or in part to the creditor affected thereby. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 115A Time prescribed under section 34(7A) VerDate:01/04/1998 The time prescribed under section 34(7A)(i) of the Ordinance is 4 years. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 116 Notice of admission of proof VerDate:30/06/1997 Where a creditor's proof has been admitted, the notice of dividend shall be sufficient notification to such creditor of such admission. [cf. R. 261] BANKRUPTCY RULES - RULE 117 Appeal from rejection of proof VerDate:10/12/2007 No application to reverse or vary the decision of the trustee in rejecting a proof shall be entertained after the expiration of 21 days from the date of the decision complained of. Notice of appeal shall be given to the trustee upon such application. (L.N. 123 of 2007) [cf. R. 262] BANKRUPTCY RULES - RULE 118 Costs of appeals from decisions as to proofs VerDate:10/12/2007 The trustee shall in no case be personally liable for costs in relation to an appeal from his decision rejecting any proof wholly or in part. (L.N. 123 of 2007) [cf. R. 263] BANKRUPTCY RULES - RULE 119 (Repealed L.N. 77 of 1998) VerDate:01/04/1998 Proxies and voting letters BANKRUPTCY RULES - RULE 120 Signature of proxy VerDate:10/12/2007 Proxies and voting letters A proxy given by a creditor shall be deemed to be sufficiently executed if it is signed by any person in the employ of the creditor having a general authority to sign for such creditor, or by the authorized agent of such creditor if resident outside Hong Kong. Such authority shall be in writing and shall be produced to the trustee if required. (23 of 1998 s. 2; L.N. 123 of 2007) [cf. R. 265] BANKRUPTCY RULES - RULE 121 Filling in when creditor blind, etc. VerDate:30/06/1997 The proxy of a creditor blind or incapable of writing may be accepted if such creditor has attached his signature or mark thereto in the presence of a witness, who shall add to his signature his description and residence, and provided that all insertions in the proxy are in the handwriting of the witness and such witness has certified at the foot of the proxy that all such insertions have been made by him at the request of the creditor and in his presence before he attached his signature or mark. [cf. R. 266] BANKRUPTCY RULES - RULE 122 Minors not to be proxies VerDate:30/06/1997 No person shall be appointed a general or special proxy who is a minor. [cf. R. 267] BANKRUPTCY RULES - RULE 122A Introductory VerDate:01/04/1998 Voluntary arrangements (1) In this rule and rules 122B to 122ZP- (a) "Case 1" refers to a case where the debtor is an undischarged bankrupt; (b) "Case 2" refers to a case where the debtor is not an undischarged bankrupt. <* Note - Exp. X-Ref.: Rules 122B, 122C, 122D, 122E, 122F, 122G, 122H, 122I, 122J, 122K, 122L, 122M, 122N, 122O, 122P, 122Q, 122R, 122S, 122T, 122U, 122V, 122W, 122X, 122Y, 122Z, 122ZA, 122ZB, 122ZC, 122ZD, 122ZE, 122ZF, 122ZG, 122ZH, 122ZI, 122ZJ, 122ZK, 122ZL, 122ZM, 122ZN, 122ZO, 122ZP *> (2) Rules 122A to 122ZP apply where a debtor, with a view to an application for an interim order, makes a proposal to his creditors for a voluntary arrangement, and these rules apply whether or not the debtor is an undischarged bankrupt. <* Note - Exp. X-Ref.: Rules 122A, 122B, 122C, 122D, 122E, 122F, 122G, 122H, 122I, 122J, 122K, 122L, 122M, 122N, 122O, 122P, 122Q, 122R, 122S, 122T, 122U, 122V, 122W, 122X, 122Y, 122Z, 122ZA, 122ZB, 122ZC, 122ZD, 122ZE, 122ZF, 122ZG, 122ZH, 122ZI, 122ZJ, 122ZK, 122ZL, 122ZM, 122ZN, 122ZO, 122ZP *> (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 122B Preparation of proposal VerDate:01/04/1998 The debtor shall prepare for the intended nominee a proposal on which (with or without amendments to be made under rule 122C(3)) to make his report to the court under section 20D of the Ordinance. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 122C Contents of proposal VerDate:01/04/1998 (1) The debtor's proposal shall provide a short explanation why, in his opinion, a voluntary arrangement is desirable, and give reasons why his creditors may be expected to concur with such an arrangement. (2) The following matters shall be stated, or otherwise dealt with, in the proposal- (a) the following matters, so far as within the debtor's immediate knowledge- (i) his assets, with an estimate of their respective values and the basis of that estimate; (ii) the extent (if any) to which the assets are charged in favour of creditors; (iii) the extent (if any) to which particular assets are to be excluded from the voluntary arrangement; (b) particulars of any property, other than assets of the debtor himself, which is proposed to be included in the arrangement, the source of such property and the terms on which it is to be made available for inclusion; (c) the nature and amount of the debtor's liabilities (so far as within his immediate knowledge), the manner in which they are proposed to be met, modified, postponed or otherwise dealt with by means of the arrangement and (in particular)- (i) how it is proposed to deal with creditors of the debtor in respect of debts that are given priority under section 38 of the Ordinance and creditors who are, or claim to be, secured; (ii) how associates of the debtor (being creditors of his) are proposed to be treated under the arrangement; and (iii) in Case 1 whether, to the debtor's knowledge, claims have been made under section 49, 50 or 71A of the Ordinance, or there are circumstances giving rise to the possibility of such claims, and in Case 2 whether there are circumstances which would give rise to the possibility of such claims in the event that he should be adjudged bankrupt, and, where any such circumstances are present, whether, and if so how, it is proposed under the voluntary arrangement to make provision for wholly or partly indemnifying the insolvent estate in respect of such claims; (d) whether any, and if so what, guarantees have been given of the debtor's debts by other persons, specifying which (if any) of the guarantors are associates of his; (e) the proposed duration of the voluntary arrangement; (f) the proposed dates of distributions to creditors, with estimates of their amounts; (g) the amount proposed to be paid to the nominee (as such) by way of remuneration and expenses; (h) whether, for the purposes of the arrangement, any guarantees are to be offered by any persons other than the debtor, and whether (if so) any security is to be given or sought; (i) the manner in which funds held for the purposes of the arrangement are to be banked, invested or otherwise dealt with pending distribution to creditors; (j) the manner in which funds held for the purpose of payment to creditors, and not so paid on the termination of the arrangement, are to be dealt with; (k) if the debtor has any business, the manner in which it is proposed to be conducted during the course of the arrangement; (l) details of any further credit facilities which it is intended to arrange for the debtor, and how the debts so arising are to be paid; (m) the manner in which it is proposed that the nominee of the arrangement should be remunerated, and his expenses defrayed; (n) the functions which are to be undertaken by the nominee of the arrangement; (o) the name, address and qualification of the person proposed as the nominee of the voluntary arrangement, and confirmation that he is (so far as the debtor is aware) experienced and qualified to act as a nominee in relation to the voluntary arrangement either as trustee or otherwise for the purpose of supervising its implementation. (3) With the agreement in writing of the nominee, the debtor's proposal may be amended at any time up to the delivery of the former's report to the court under section 20D of the Ordinance. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 122D Notice to intended nominee VerDate:01/04/1998 (1) The debtor shall give to the intended nominee written notice of his proposal. (2) The notice, accompanied by a copy of the proposal, shall be delivered either to the intended nominee himself, or to a person authorized to take delivery of documents on his behalf. (3) If the intended nominee agrees to act, he shall cause a copy of the notice to be endorsed to the effect that it has been received by him on a specified date. (4) The copy of the notice so endorsed shall be returned by the intended nominee forthwith to the debtor at an address specified by him in the notice for that purpose. (5) Where (in Case 1) the debtor gives notice of his proposal to the Official Receiver and the trustee (if any), the notice must contain the name and address of the person, other than the Official Receiver, who has agreed to act as nominee. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 122E Application for interim order VerDate:01/04/1998 (1) An application to the court for an interim order shall be accompanied by an affidavit of the following matters- (a) the reasons for making the application; (b) particulars of any execution or other legal process which, to the debtor's knowledge, has been commenced against him; (c) that he is an undischarged bankrupt or (as the case may be) that he is able to petition for his own bankruptcy; (d) that no previous application for an interim order has been made by or in respect of the debtor in the period of 12 months ending with the date of the affidavit; and (e) that the nominee under the proposal (naming him), other than the Official Receiver, is a person who is experienced in insolvency matters, and is willing to act in relation to the proposal. (2) A copy of the notice to the intended nominee under rule 122D, endorsed to the effect that he agrees so to act, and a copy of the debtor's proposal given to the nominee under that rule shall be exhibited to the affidavit. (3) On receiving the application and affidavit, the court shall fix the date, time and place for the hearing of the application. (4) The applicant shall give at least 3 days' notice of the hearing- (a) in Case 1, to the bankrupt, the Official Receiver and the trustee (whichever of those 3 is not himself the applicant); (b) in Case 2, to any creditor who (to the debtor's knowledge) has presented a bankruptcy petition against him; and (c) in either case, to the nominee who has agreed to act in relation to the debtor's proposal. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 122F Hearing of application VerDate:01/04/1998 (1) Any of the persons who have been given notice under rule 122E(4) may appear or be represented at the hearing of the application. (2) The court, in deciding whether to make an interim order on the application, shall take into account any representations made by or on behalf of any of those persons (in particular, whether an order should be made containing such provision as is referred to in section 20C(3) and (4) of the Ordinance). (3) If the court makes an interim order, it shall fix the date, time and place for consideration of the nominee's report, but, subject to paragraph (4), the date for that consideration shall be not later than that on which the interim order ceases to have effect under section 20C(6) of the Ordinance. (4) If under section 20D(4) of the Ordinance an extension of time is granted for filing the nominee's report, the court shall, unless there appear to be good reasons against it, correspondingly extend the period for which the interim order has effect. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 122G Action to follow making of order VerDate:01/04/1998 (1) Where an interim order is made, the applicant shall serve one of the copies on the nominee under the debtor's proposal and one on the Official Receiver if he is not the nominee. (2) The applicant shall also forthwith give notice of the making of the order to any person who was given notice of the hearing pursuant to rule 122E(4) and was not present or represented at it. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 122H Statement of affairs VerDate:01/04/1998 (1) In Case 1, if the debtor has already delivered a statement of affairs under section 10 or 18 of the Ordinance, he need not deliver a further statement unless so required by the nominee, with a view to supplementing or amplifying the former one. (2) In Case 2, the debtor shall, within 7 days after his proposal is delivered to the nominee, or within such longer time as the latter may allow, deliver to the nominee a statement of his (the debtor's) affairs. (3) The statement of affairs shall comprise the following particulars (supplementing or amplifying, so far as is necessary for clarifying the state of the debtor's affairs, those already given in his proposal)- (a) a list of his assets, divided into such categories as are appropriate for easy identification, with estimated values assigned to each category and the basis of the estimates; (b) in the case of any property on which a claim against the debtor is wholly or partly secured, particulars of the claim and its amount, and of how and when the security was created; (c) the names and addresses of the creditors of the debtor in respect of debts that are given priority under section 38 of the Ordinance, with the amounts of their respective claims; (d) the names and addresses of the debtor's unsecured creditors, with the amounts of their respective claims; (e) particulars of any debts owed by or to the debtor to or by persons who are associates of his; (f) such other particulars (if any) as the nominee may in writing require to be furnished for the purpose of making his report to the court on the debtor's proposal. (4) The statement of affairs shall be made up to a date not earlier than 2 weeks before the date of the notice to the nominee under rule 122D, but the nominee may allow an extension of that period to the nearest practicable date (not earlier than 2 months before the date of the notice under rule 122D) and, if he does so, he shall give his reasons in his report to the court on the debtor's proposal. (5) The statement of affairs shall be certified by the debtor as correct, to the best of his knowledge and belief. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 122I Additional disclosure for assistance of nominee VerDate:01/04/1998 (1) If it appears to the nominee that he cannot properly prepare his report on the basis of information in the debtor's proposal and statement of affairs, he may call on the debtor to provide him with- (a) further and better particulars as to the circumstances in which, and the reasons why, he is insolvent or (as the case may be) threatened with insolvency; (b) particulars of any previous proposals which have been made by him; (c) any further information with respect to his affairs which the nominee thinks necessary for the purposes of his report. (2) The nominee may call on the debtor to inform him whether and in what circumstances he has at any time- (a) been concerned in the affairs of any company (whether or not incorporated in Hong Kong) which has become insolvent; (b) been adjudged bankrupt or entered into an arrangement with his creditors, whether in Hong Kong or elsewhere; or (c) been prohibited by operation of law or otherwise disqualified from taking part in the management of a company. (3) For the purpose of enabling the nominee to consider the debtor's proposal and prepare his report on it, the latter must give him access to his accounts and records. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 122J Nominee's report on proposal VerDate:10/12/2007 (1) The nominee's report shall be delivered by him to the court not less than 3 days before the interim order ceases to have effect. (2) With his report the nominee shall deliver- (a) a copy of the debtor's proposal (with amendments, if any, authorized under rule 122C(3)); and (b) a copy or summary of any statement of affairs provided by the debtor. (3) If the nominee makes known his opinion that a meeting of the debtor's creditors should be summoned under section 20E of the Ordinance, his report shall have annexed to it his comments on the debtor's proposal but, if his opinion is otherwise, he shall give his reasons for that opinion. (4) The court shall cause the nominee's report to be endorsed with the date on which it is filed in court, and any creditor of the debtor is entitled, at all reasonable times on any business day, to inspect the file. (5) In Case 1, the nominee shall send to the trustee (if any)- (L.N. 123 of 2007) (a) a copy of the debtor's proposal; (b) a copy of his (the nominee's) report and his comments accompanying it (if any); and (c) a copy or summary of the debtor's statement of affairs, and, in Case 2, the nominee shall send a copy of each of those documents to any person who has presented a bankruptcy petition against the debtor. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 122K Replacement of nominee VerDate:01/04/1998 Where the debtor intends to apply to the court under section 20K(3) of the Ordinance for the nominee to be replaced, he shall give to the nominee at least 7 days' notice of his application. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 122L Consideration of nominee's report VerDate:01/04/1998 (1) At the hearing by the court to consider the nominee's report, any of the persons who have been given notice under rule 122E(4) may appear or be represented. (2) Rule 122G applies to any order made by the court at the hearing. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 122M Summoning of creditors' meeting VerDate:01/04/1998 (1) If in his report the nominee states that in his opinion a meeting of creditors should be summoned to consider the debtor's proposal, the date on which the meeting is to be held shall be not less than 14 days from that on which the nominee's report is filed in court under rule 122J, nor more than 28 days from that on which that report is considered by the court under rule 122L. (2) Notices calling the meeting shall be sent by the nominee, at least 14 days before the day fixed for it to be held, to all the creditors specified in the debtor's statement of affairs, and any other creditors of whom the nominee is otherwise aware. (3) Each notice sent under this rule shall state the effect of rule 122R(1), (3) and (4); and with it there shall be sent- (a) a copy of the proposal; (b) a copy of the statement of affairs or, if the nominee thinks fit, a summary of it (the summary to include a list of the creditors and the amounts of their debts); and (c) the nominee's comments on the proposal. (4) In addition to sending notices under paragraph (2), the nominee shall have the notice published in- (a) one issue of an English language newspaper; and (b) one issue of a Chinese language newspaper, circulated in Hong Kong and such publication shall constitute constructive notice to all the creditors of the debtor. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 122N Creditors' meeting: supplementary VerDate:01/04/1998 (1) Subject as follows, in fixing the date, time and place for the creditors' meeting, the nominee shall have regard to the convenience of creditors. (2) The meeting shall be summoned for commencement between 0930 and 1600 hours on a business day. (3) With every notice summoning the meeting there shall be sent out forms of proxy. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 122O Chairman at creditors' meeting VerDate:01/04/1998 (1) Subject as follows, the nominee shall be chairman of the creditors' meeting. (2) If for any reason the nominee is unable to attend, he may nominate another person to act as chairman in his place; but a person so nominated must be either- (a) a person who is experienced in insolvency matters; or (b) an employee of the nominee or his firm who is experienced in insolvency matters. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 122P Chairman as proxy-holder VerDate:01/04/1998 The chairman shall not by virtue of any proxy held by him vote to increase or reduce the amount of the remuneration or expenses of the nominee of the proposed arrangement, unless the proxy specifically directs him to vote in that way. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 122Q Voting rights VerDate:01/04/1998 (1) Subject as follows, every creditor who was given notice of the creditors' meeting is entitled to vote at the meeting or any adjournment of it. (2) In Case 1, votes are calculated according to the amount of the creditor's debt as at the date of the bankruptcy order unless the debts are incurred after the making of the bankruptcy order, in which case, the votes of those creditors will be calculated according to the amount of the debt as at the date of the meeting and in Case 2, votes are calculated according to the amount of the debt as at the date of the meeting. (3) A creditor shall not vote in respect of a debt for an unliquidated amount, or any debt whose value is not ascertained, except where the chairman agrees to put upon the debt an estimated minimum value for the purpose of entitlement to vote. (4) The chairman has power to admit or reject a creditor's claim for the purpose of his entitlement to vote, and the power is exercisable with respect to the whole or any part of the claim. (5) The chairman's decision on entitlement to vote is subject to appeal to the court by any creditor, or by the debtor. (6) If the chairman is in doubt whether a creditor's claim should be admitted or rejected for the purpose of his entitlement to vote, he shall make a note of it and allow the creditor to vote, subject to his vote being subsequently declared invalid if the objection to the claim is sustained. (7) If on an appeal the chairman's decision is reversed or varied, or a creditor's vote is declared invalid, the court may order another meeting to be summoned, or make such other order as it thinks just, but the court's power to make an order under this paragraph is exercisable only if it considers that the matter is such as to give rise to unfair prejudice or a material irregularity. (8) An application to the court by way of appeal under this rule against the chairman's decision shall not be made after the end of the period of 28 days beginning with the day on which the nominee's report to the court is made under section 20G of the Ordinance. (9) The chairman is not personally liable for any costs incurred by any person in respect of an appeal under this rule. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 122R Requisite majorities VerDate:01/04/1998 (1) Subject as follows, at the creditors' meeting for any resolution to pass approving any proposal or modification there must be a majority in excess of three-quarters in value of the creditors present in person or by proxy and voting on the resolution. (2) The same applies in respect of any other resolution proposed at the meeting, but substituting one-half for three-quarters. (3) In the following cases there is to be left out of account a creditor's vote in respect of any claim or part of a claim- (a) where written notice of the claim was not given, either at the meeting or before it, to the chairman or the nominee; (b) where the claim or part thereof is secured; (c) where the claim is in respect of a debt wholly or partly on, or secured by, a current bill of exchange or promissory note, unless the creditor is willing- (i) to treat the liability to him on the bill or note of every person who is liable on it antecentently to the debtor, and against whom a bankruptcy order has not been made (or, in the case of a company, which has not gone into liquidation), as a security in his hands; and (ii) to estimate the value of the security and (for the purpose of entitlement to vote, but not of any distribution under the arrangement) to deduct it from his claim. (4) Any resolution is invalid if those voting against it include more than half in value of the creditors, counting in these latter only those- (a) to whom notice of the meeting was sent; (b) whose votes are not to be left out of account under paragraph (3); and (c) who are not, to the best of the chairman's belief, associates of the debtor. (5) It is for the chairman of the meeting to decide whether under this rule- (a) a vote is to be left out of account in accordance with paragraph (3); or (b) a person is an associate of the debtor for the purposes of paragraph (4)(c), and in relation to the second of these 2 cases the chairman is entitled to rely on the information provided by the debtor's statement of affairs or otherwise in accordance with this rule and rules 122A to 122Q and 122S to 122ZP. <* Note - Exp. X-Ref.: Rules 122A, 122B, 122C, 122D, 122E, 122F, 122G, 122H, 122I, 122J, 122K, 122L, 122M, 122N, 122O, 122P, 122Q, 122S, 122T, 122U, 122V, 122W, 122X, 122Y, 122Z, 122ZA, 122ZB, 122ZC, 122ZD, 122ZE, 122ZF, 122ZG, 122ZH, 122ZI, 122ZJ, 122ZK, 122ZL, 122ZM, 122ZN, 122ZO, 122ZP *> (6) If the chairman uses a proxy contrary to rule 122P, his vote with that proxy does not count towards any majority under this rule. (7) Rule 122Q(5) to (9) applies as regards an appeal against the decision of the chairman under this rule. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 122S Proceedings to obtain agreement on proposal VerDate:01/04/1998 (1) On the day on which the creditors' meeting is held, it may from time to time be adjourned. (2) If on that day the requisite majority for the approval of the voluntary arrangement (with or without modifications) has not been obtained, the chairman may, and shall if it is so resolved, adjourn the meeting for not more than 14 days. (3) If there are subsequently further adjournments, the final adjournment shall not be to a day later than 14 days after that on which the meeting was originally held. (4) If the meeting is adjourned under paragraph (2), notice of the fact shall be given by the nominee forthwith to the court. (5) If, following any final adjournment of the meeting the proposal (with or without modifications) is not agreed to, it is deemed rejected. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 122T Resolutions after voluntary arrangement approved VerDate:01/04/1998 (1) If the voluntary arrangement is approved (with or without modifications), a resolution may be taken by the creditors, where 2 or more persons are appointed to act as nominee, on the question whether acts to be done in connection with the arrangement may be done by any one of them, or must be done by both or all of them. (2) If at the creditors' meeting a voluntary arrangement is approved and a creditor wishes to move a resolution to replace the nominee with another person he must, at or before the meeting, produce to the chairman that person's- (a) written consent to act (unless he is present and then and there signifies his consent); and (b) written confirmation that he is experienced in insolvency matters. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 122U Hand-over of property, etc. to nominee VerDate:10/12/2007 (1) Forthwith after the approval of the voluntary arrangement, the debtor in Case 2, and the trustee in Case 1, shall do all that is required for putting the nominee into possession of the assets included in the arrangement. (L.N. 123 of 2007) (2) On taking possession of the assets in Case 1, the nominee shall discharge any balance due to the Official Receiver and (if other) the trustee by way of remuneration or on account of- (a) fees, costs, charges and expenses properly incurred and payable under the Ordinance or these rules; and (b) any advances made in respect of the insolvent estate, together with interest on such advances at the rate specified under section 49 of the High Court Ordinance (Cap 4) at the date of the bankruptcy order. (L.N. 123 of 2007) (3) Alternatively in Case 1, the nominee must, before taking possession, give the Official Receiver or the trustee a written undertaking to discharge any such balance out of the first realization of assets. (4) The Official Receiver and (if other) the trustee has in Case 1 a charge on the assets included in the voluntary arrangement in respect of any sums due as above until they have been discharged, subject only to the deduction from realizations by the nominee of the proper costs and expenses of realization. (5) Any sums due to the Official Receiver take priority over those due to a trustee. (6) The nominee shall from time to time out of the realization of assets discharge all guarantees properly given by the Official Receiver or the trustee for the benefit of the estate, and shall pay all their expenses. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 122V Report of creditors' meeting VerDate:10/12/2007 (1) A report of the creditors' meeting shall be prepared by the chairman of the meeting. (2) The report shall- (a) state whether the proposal for a voluntary arrangement was approved or rejected and, if approved, with what (if any) modifications; (b) set out the resolutions which were taken at the meeting, and the decision on each one; (c) list the creditors (with their respective values) who were present or represented at the meeting, and how they voted on each resolution; and (d) include such further information (if any) as the chairman thinks it appropriate to make known to the court. (3) A copy of the chairman's report shall, within 7 days of the meeting being held, be filed in court; and the court shall cause that copy to be endorsed with the date of filing. (4) The persons to whom notice of the result is to be given, under section 20G(1) of the Ordinance, are all those who were sent notice of the meeting under these rules and, in Case 1, the trustee. (L.N. 123 of 2007) (5) The notice shall be sent immediately after a copy of the chairman's report is filed in court under paragraph (3). (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 122W Register of voluntary arrangements VerDate:01/04/1998 (1) The Official Receiver shall maintain a register of individual voluntary arrangements, and shall enter in it all such matters as are reported to him in pursuance of rules 122X, 122Y and 122ZC. (2) The register shall be open to public inspection. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 122X Reports to Official Receiver VerDate:01/04/1998 (1) Immediately after the chairman of the creditors' meeting has filed in court a report that the meeting has approved the voluntary arrangement, he shall report to the Official Receiver the following details of the arrangement- (a) the name, Hong Kong Identity Card number (if any) and address of the debtor; (b) the date on which the arrangement was approved by the creditors; (c) the name and address of the nominee. (2) A person who is appointed to act as nominee of an individual voluntary arrangement (whether in the first instance or by way of replacement of another person previously appointed) shall forthwith give written notice to the Official Receiver of his appointment, and if he vacates office as nominee, he shall forthwith give written notice of that fact also to the Official Receiver. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 122Y Revocation or suspension of arrangement VerDate:10/12/2007 (1) This rule applies where the court makes an order of revocation or suspension under section 20J of the Ordinance. (2) The person who applied for the order shall serve sealed copies of it- (a) in Case 1, on the debtor, the Official Receiver and the trustee; (b) in Case 2, on the debtor; and (c) in either case on the nominee of the voluntary arrangement. (3) If the order includes a direction by the court under section 20J(4)(b) of the Ordinance for any further creditors' meeting to be summoned, notice shall also be given (by the person who applied for the order) to whoever is, in accordance with the direction, required to summon the meeting. (4) The debtor (in Case 2) and the trustee (in Case 1) shall- (L.N. 123 of 2007) (a) forthwith after receiving a copy of the court's order, give notice of it to all persons who were sent notice of the creditors' meeting which approved the voluntary arrangement or who, not having been sent that notice, appear to be affected by the order; (b) within 7 days of their receiving a copy of the order (or within such longer period as the court may allow), give notice to the court whether it is intended to make a revised proposal to creditors, or to invite re-consideration of the original proposal. (5) The person on whose application the order of revocation or suspension was made shall, within 7 days after the making of the order, give written notice of it to the Official Receiver. (L.N. 77 of 1998) BANKRUPTCY RULES - RULE 122Z Nominee's accounts and reports VerDate:01/04/1998 (1) Where the voluntary arrangement authorizes or requires the nominee- (a) to carry on the debtor's business or to trade on his behalf or in his name; (b) to realize assets of the debtor or (in Case 1) belonging to the estate; or (c) otherwise to administer or dispose of any funds of the debtor or the estate, he shall keep accounts and records of his acts and dealings in and in connection with the arrangement, including in particular records of all receipts and payments of money. (2) The nominee shall, not less often than once in very 12 months beginning with the date of his appointment, prepare an abstract of such receipts and payments, and send copies of it, accompanied by his comments on the progress and efficacy of the arrangement, to- (a) the court; (b) the debtor; and (c) all those of the debtor's creditors who are bound by the arrangement and whose names and addresses the nominee is aware of. (3) If in any period of 12 months he has made no payments and had no receipts, he shall at the end of that period send a statement to that effect to all those who are specified in paragraph (2)(a) to (c). (4) An abstract prepared under paragraph (2) shall relate to a period beginning with the date of the nominee's appointment or (as the case may be) the day following the end of the last period for which an abstract was prepared under this rule; and copies of the abstract shall be sent out, as required by paragraph (2), within the 2 months following the end