Bankruptcy Amendment Act 1991

Legislation au C2004A04300 Not in force Act

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Bankruptcy Amendment Act 1991

No. 9 of 1992

TABLE OF PROVISIONS

PART 1—PRELIMINARY

Section

1. Short title etc.

2. Commencement

PART 2—AMENDMENTS OF THE PRINCIPAL ACT

3. Interpretation

4. Repeal of section 6A and insertion of new sections:

6A. Provision of statement of affairs otherwise than under Part X or XI

6B. Provision of statement of affairs under Part X or XI and statement of administration of estate of deceased person

5. Functions of Inspector-General

6. Duties etc. of trustee

7. Exercise of powers by certain officials

8. Repeal of section 37 and insertion of new section:

37. Power of Court to rescind orders etc.

9. Repeal of heading and insertion of new heading and Subdivision:

Division 5—Meetings of creditors

Subdivision A—Preliminary

63A. Definitions

63B. Trustee's representative

10. Heading

11. Trustee to convene meetings


TABLE OF PROVISIONS—continued

Section

12. Repeal of sections 65 to 68 and insertion of new sections:

64A. Persons to whom notice of meeting to be given

64B. Certain matters to be included in notice of meeting

64C. If telephone conference facilities are available

64D. Statement by creditor as to amount of debt

64E. Notice about voting by proxy

64F. Notice about appointment of attorney

64G. Agenda to be set out in notice of meeting

Subdivision C—Procedure before opening of meeting

64H. Creditors, or proxies or attorneys, participating by telephone

64J. Preparation of attendance record

Subdivision D—Procedure at meetings

64K. Opening of meeting

64L. Appointment of minutes secretary

64M. Announcement of proxies and attorneys

64N. Quorum

64P. Election of person to preside at meeting

64Q. Whether holding of meeting is convenient to majority of creditors

64R. Tabling of bankrupt's statement of affairs

64S. Statements and questions

64T. Motions

64U. Remuneration of registered trustee

64V. Appointment of committee of inspection

64W. Other business

64X. Next meeting

Subdivision E—Miscellaneous

64Y. Adjournment of meeting

64Z. Duties of minutes secretary

64ZA. Entitlement to vote

64ZB. Manner of voting

64ZC. Appointment of proxies

64ZD. Provisions relating to motions and amendments of motions

64ZE. Joint bankruptcies

64ZF. Substantial compliance to be sufficient

13. Heading

14. Committee of inspection

15. Annulment of bankruptcy

16. Effect of composition or scheme of arrangement

17. Insertion of new section:

76A. Meetings of creditors

18. Heading

19. Insertion of new section:

77AA. Access by Official Receiver to premises

20. Insertion of new sections:

77C. Power of Official Receiver to obtain information and evidence

77D. Allowances and expenses in respect of attendance

77E. Advance on account of allowances and expenses

77F. Allowances and expenses to be paid out of bankrupt's estate

21. Notification of change in name, address or day-time telephone number

22. Discovery of bankrupt's property etc.

23. Insertion of new Divisions:


TABLE OF PROVISIONS—continued

Section

Division 2—Offshore information notices

81A. Issue of notices

81B. Extension of period of notice

81C. Variation of notices

81D. Withdrawal of notices

81E. Notices may be included in same document

81F. Relationship between this Division and section 77C

Division 3—Failure to comply with certain…

Overview

The Bankruptcy Amendment Act 1991No. 9 of 1992, enacted by the Parliament of Australia, was designed to amend the Bankruptcy Act 1966, addressing several issues and gaps within the existing framework of bankruptcy proceedings. This Act brings several significant changes, including the introduction of new procedures for the provision of statements of affairs by bankrupts, the redefinition of certain roles and responsibilities, and the establishment of stricter criteria for early discharge from bankruptcy. One of the primary objectives of this Act is to ensure greater transparency and accountability in the bankruptcy process, particularly concerning the financial obligations and conduct of bankrupts. It also aims to enhance the efficiency of bankruptcy administration by introducing new mechanisms for the collection of contributions from bankrupts and providing the Official Receiver with additional powers to obtain necessary information and evidence. The Act further seeks to improve the process of discharging bankrupts by providing clear guidelines and conditions for early discharge, and by specifying the circumstances under which the annulment of a bankruptcy may occur. These amendments reflect a commitment to updating and refining the legal processes surrounding bankruptcy to better serve the interests of creditors, the public, and the integrity of the financial system.

Scope and Application

The Bankruptcy Amendment Act 1991No. 9 of 1992 amends the Bankruptcy Act 1966, applying to individuals and entities declared bankrupt, trustees, and other parties involved in the administration of bankruptcy proceedings within Australia. This Act primarily concerns the procedures and responsibilities associated with the bankruptcy process, including the provision and verification of statements of affairs, the conduct of meetings of creditors, and the rights and obligations of various parties, such as trustees and creditors. The amendments extend to both new and existing bankruptcies, ensuring that changes in legislation do not unfairly disadvantage those who were already in the process when the amendments were enacted. Key aspects include the modification of the procedures for the provision and verification of statements of affairs, the introduction of new rules for meetings of creditors, and the establishment of new criteria for the annulment and discharge of bankruptcies. Additionally, the Act addresses the responsibilities of the Official Receiver and the trustees, including their powers to obtain information and the conditions under which they may be remunerated. It also sets out the process for reviewing and objecting to discharges and annulments, providing a structured framework for these reviews and objections to be conducted and resolved. The legislation further imposes penalties for non-compliance and outlines the procedure for the indexation of certain amounts specified within the Act, ensuring that monetary provisions are adjusted for inflation over time.

Key Provisions

  • The Bankruptcy Amendment Act 1991 amends the Bankruptcy Act 1966 in several key ways. Firstly, the Act revises the requirements for the provision of statements of affairs by debtors and bankrupts, ensuring that these statements include detailed particulars of property, liabilities, and expected income, and must be verified by a declaration. The Act also imposes duties on trustees, such as notifying creditors of the bankrupt's application for early discharge and the potential disqualifications. Meetings of creditors are governed by detailed provisions, including how notices are to be issued, what information must be included, and the procedures for conducting the meetings, such as the appointment of a minutes secretary and the process for voting.
  • The Act outlines the obligations of various parties involved in the bankruptcy process. Trustees must convene meetings of creditors, provide them with specific information, and ensure that certain procedural requirements are met. Creditors and their representatives must participate in meetings and may do so in person or by telephone, provided they comply with the requirements set out in the notice. The bankrupt is required to provide a statement of affairs and keep records of their financial affairs throughout the period of bankruptcy.
  • There are several offences and penalties for non-compliance with the provisions of the Act. For instance, a person who refuses or fails to comply with a notice to provide information or produce books can be imprisoned for up to 6 months. A bankrupt who provides a false or misleading statement to the trustee is also subject to imprisonment for up to 6 months. Other penalties include fines and potential disqualification from early discharge if the bankrupt engages in misleading conduct or fails to disclose certain financial information. Additionally, leaving Australia without the Court's permission while being liable to make a contribution to the trustee is an offence that carries a penalty of imprisonment for up to 6 months. These penalties underscore the importance of compliance with the Act’s requirements for all involved parties.

Legal classification tags

Area of Law
Bankruptcy Law
Consumer Law
Instrument
Act
Concepts
Commencement Provisions
Repeal & Amendment
Offence Provisions
Reporting & Disclosure Obligations
Enforcement Powers
Liability of bankrupt to pay contributions
Assessment of bankrupt's income and contribution
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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.