Bankruptcy Rules (Amendment)

Legislation au C1935L00122 Rules Not in force Legislative Instrument

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STATUTORY RULES

_________

 

1935. No.122

 

RULES UNDER THE BANKRUPTCY ACT 1924.1933.*

 

I, THE GOVERNORGENERAL in and over the Comomnwealth of Australia, acting with the advice of the Federal Executive Council, hereby make the following Rules under the Bankruptcy Act 19241933.

 

 

Dated this day of

 Twenty Seventh

November, 1935

       (SGD.) ISAAC A. ISAACS

       GovernorGeneral.

 

By His Excellency's Command,

(Sgd) Robert G. Menzies

AttorneyGeneral.

 

AMENDMENTS OF THE BANKRUPTCY RULES.†

 

Interpretation.

 1.  In these Rules, any reference to a Rule, Schedule or Form shall be read as a reference to a Rule, Schedule or Form, as the case may be, contained in the Bankruptcy Rules, as amended to the date of commencement of these Rules.

Service of bankruptcy notice.

 2.  Rule 146 is amended by omitting from subrule (3.) the words  “capital city situated in any District” and inserting in their stead the words “city in which the Court issuing the notice is situated”.

Documents to be annexed to petition under s. 52(e) of Act.

 3.  Rule 161 is amended by inserting, after the word “Act,”, the words “the warrant of execution endorsed by the Sheriff or”.

Time of hearing.

 4.  Rule 170 is amended by inserting in subrule (2.), after the word “shall”, the words “, unless otherwise directed by the Court,”.

Directions by InspectorGeneral.

 5.  After rule 386, the following rule is inserted :—

  “386A. The InspectorGeneral may give special or general directions to any Official Receiver in any bankruptcy matter.”

 

 

 

* Notified in the Commonwealth Gazette on ,     1935.

 Statutory Rules 1934, No. 77, as amended by Statutory Rules 1935, No. 34.

4814.6/13.11.1935.—PRICE 3D.

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Judicial notice to be taken of InspectorGeneral’s directions.

 6.  Rule 387 is amended by adding at the end thereof the words Judicial notice “and of any direction given by the InspectorGeneral in pursuance of section thirteen of the Act”.

Representation of Official receiver in Court.

 7.  Rule 399 is repealed and the following rule inserted in its stead:—

 “399.  Any officer who has been given a direction by the InspectorGeneral in pursuance of section thirteen of the Act may, subject to the directions of the InspectorGeneral or of the Court, represent the Official Receiver in any proceedings in Court or in any administrative or other matter.”.

Amendment of Form 6.

 8.  Form 6 in the First Schedule is amended by inserting, after paragraph 2, the following paragraph:—

  “3. I identified the person I served as the said     by (the deponent should here state the source of his knowledge.)”.

Service of bankruptcy notice.

 9.  Form 10 in the First Schedule is amended by inserting, after paragraph 2, the words “(The deponent should here state the source of his knowledge.)”.

Amendment of Form 11.

 10.  Form 11 in the First Schedule is amended by inserting, after paragraph 4, the words “(The deponent should here state the source of his knowledge.)”.

Amendment of Form 14.

 11. Form 11 in the First Schedule is amended by inserting, after paragraph 4, the words “NOTICE OF PETITION” and inserting in their stead the words ‘NOTICE OR PETITION”.

Amendment of Form 29H.

 12.  Form 29H in the First Schedule is amended by omitting from paragraph (d) in the eighth column the words “as per Sheet ‘F’” and inserting in their stead the words “as per Sheet ‘G’”.

Amendment of Forms 35 and 36.

 13.  Forms 35 and 36 in the First Schedule are amended— . 

 (a) by omitting the words “of all the creditors who have proved Forms 35 and

their debts”; and

 (b) by omitting the words “Creditors who prove their debts, and whose votes are admitted, and who do not vote on the debtor's proposal, will be reckoned as voting against it.”

Repeal and substitution of Form 85.

 14.  Form 85 in the First Schedule is repealed and the following Form inserted in its stead:—

“No. 85.
COMMONWEALTH OF AUSTRALIA.
The Bankruptcy Act 19241933.
ORDER ON APPLICATION TO APPROVE COMPOSITION OR SCHEME.
(Title.)

On the application of   , and on reading the report of the Official Receiver filed on the                            day of                                          and hearing the Official Receiver and                                          , and the Court being satisfied that the creditors in the above matter have duly accepted a composition (or scheme) in the following terms, namely (here insert terms if short; if not, insert, ‘in the terms contained in the paper writing marked A annexed hereto’)”, And being satisfied

 (a)  That the said terms are reasonable and calculated to benefit the general body of creditors; and

 (b)  That no facts have been proved which would justify the Court in refusing, qualifying, or suspending an order of discharge; or

 (c)  That facts have been proved which would justify the Court in refus­ing, qualifying, or suspending an order of discharge, but. that, having regard to the nature of such facts, and the composition (or scheme) providing reasonable security for payment of not less than              shillings in the pound on all the unsecured debts provable against the debtor's estate,

the said composition (or scheme) is hereby approved; and it is ordered—

 That the order of sequestration of the bankrupt's estate made on the

day of  , 19    , be and the same is hereby annulled.

(If the composition or scheme is not approved, after .* insert ‘and being satisfied—

 (a)  That the said terms are not reasonable or calculated to benefit the general body of creditors;

 (b)  That the case is one in which the Court would be required to refuse his discharge; or

 (c)  That facts have been proved which would under the Act justify the Court in refusing, qualifying, or suspending the bankrupt’s discharge,

the Court doth refuse to approve the said composition (or scheme).’).

   Dated this   day of    , 19    .

  By the Court,

         Registrar.”.

Amendment of Form 99.

 15.  Form 99 in the First Schedule is amended by omitting the word “to” (second occurring) and inserting in its stead the word “do”.

Amendment of Form 114

 16.  Form 114 in the First Schedule is amended by inserting, after the word  “first”, the words “(or final)”.             

Amendment of Form 116

 17.  Form 116 in the First Schedule is amended by omitting the words “Dated this(b)                                          day of                                          19               “and inserting in their stead the following words :—

 “The date of(b)    was                  .

  Dated this  day of   , 19   ”.

Amendment of Form 118

 18.  Form 118 in the First Schedule is amended by omitting the words  “Dated this(a)              day of

19 ”.  and inserting in their stead the following words :—

 " The date of(a)    was                  .

  Dated this day of   , 19   ”.

 

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Amendment of Scale of Solicitors’ Costs.

 19.  The Second Schedule is amended by omitting from Item 60 in the Scale of Solicitors’ Costs the figures “56” and inserting in their stead the figures “55”.

Amendment of the Third Schedule

 20.  The Third Schedule is amended—

 (a)  by omitting from Item 15 in the Scale of Official Fees and Percentages the figures and word “12 or 14” and inserting in their stead the figures and word “12, 14, 28 or 31”;

 (b)  by adding at the end of paragraph (a) of Item 1 in Table B the words “by the Official Receiver”; and

 (c)  by omitting from paragraph (b) of Item 1 in Table B the words “not exceeding” and inserting in their stead the word “of”.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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By Authority: L. F. JOHNSTON, Commonwealth Government Printer, Canberra.

Overview

The Statutory Rules 1935, No. 122, titled "Rules Under the Bankruptcy Act 1924-1933," was enacted to amend the Bankruptcy Rules of 1924-1933. This legislation was introduced by the Governor-General in Council, reflecting the intent to streamline and update the procedural aspects of bankruptcy law in Australia during the mid-1930s. The amendments aimed to address practical issues and enhance the efficiency of the bankruptcy process by clarifying certain procedures and updating forms and notices used in bankruptcy matters. The rules introduced in this legislative instrument sought to ensure that the administration of bankruptcy remained fair, transparent, and effective for all parties involved.

Scope and Application

The Bankruptcy Rules 1935, as amended, apply to individuals and entities subject to bankruptcy proceedings in Australia, providing a comprehensive framework for the administration of bankruptcy cases. These rules govern the conduct of insolvency practitioners, Official Receivers, creditors, and the bankrupt individuals themselves, ensuring a standardised approach to bankruptcy proceedings across the Commonwealth. The rules extend to all states and territories within Australia, reflecting a uniform approach to bankruptcy regulation. While the primary focus is on the procedural aspects of bankruptcy, certain exclusions and exemptions may apply based on specific circumstances, such as the nature of the debtor's assets or the existence of preferential claims. The application and interpretation of these rules can be further refined through subordinate instruments, allowing for adjustments in response to evolving legal and economic conditions.

Key Provisions

The primary sections of these Rules, as noted, focus on amending various provisions of the Bankruptcy Rules, which were originally established under the Bankruptcy Act 1924-1933. These amendments are designed to refine the procedures and requirements for the administration of bankruptcy cases. For instance, Rule 2 amends the service of a bankruptcy notice to ensure it is served in the city where the Court issuing the notice is located, instead of a capital city situated in any district. Similarly, Rule 3 mandates that specific documents be annexed to a bankruptcy petition, such as a warrant of execution endorsed by the Sheriff. Rule 4 provides flexibility in the timing of hearings by allowing the Court to set the time unless otherwise directed. Additionally, Rule 5 introduces a new Rule 386A, empowering the Inspector-General to issue special or general directions to any Official Receiver in bankruptcy matters. These amendments impose various obligations on the parties involved in bankruptcy proceedings. For example, Rule 6 requires judicial notice to be taken of any directions given by the Inspector-General in accordance with section thirteen of the Act. Rule 7 allows any officer who has been directed by the Inspector-General to represent the Official Receiver in court or other matters, subject to the Inspector-General’s or the Court’s directions. Furthermore, several forms have been amended to include additional details or clarifications. For instance, Form 6 now requires the deponent to state the source of their knowledge regarding the person served, and Form 10 and Form 11 require similar disclosures. These changes are intended to ensure clarity and accountability in the documentation submitted during bankruptcy proceedings. Breach of these amended rules could have serious consequences. While the specific penalties for non-compliance are not detailed in the text, breaches of statutory rules generally may result in civil or criminal penalties depending on the nature and severity of the breach. Under the broader Bankruptcy Act, penalties for offences can include fines and imprisonment. For instance, providing false information in a bankruptcy document can lead to penalties that may include substantial fines and imprisonment terms. The specific penalties would depend on the exact nature of the breach and would be determined by the Court based on the circumstances of each case.

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