Division 1 — Official Assignee and Official Receiver
Appointment of Official Assignee
16.—(1) The Minister may appoint a person to be the Official Assignee of the estates of bankrupts and for the purposes of this Part and Parts 13 to 23.
(2) Judicial notice is to be taken of the appointment of the Official Assignee.
(3) The Official Assignee must act under the general authority and directions of the Minister, but is also an officer of the Court.
(4) The Minister may —(a)
appoint such number of Deputy Official Assignees, Senior Assistant Official Assignees and Assistant Official Assignees, and such other officers, either temporary or permanent, as the Minister thinks necessary, for carrying this Part and Parts 13 to 23 into effect; and[Act 3 of 2024 wef 26/02/2024]
(b)
assign to any Deputy Official Assignee, Senior Assistant Official Assignee, Assistant Official Assignee or other officer such duties as the Minister thinks fit.[Act 3 of 2024 wef 26/02/2024]
(5) Every Deputy Official Assignee, Senior Assistant Official Assignee and Assistant Official Assignee appointed under subsection (4) has, during his or her tenure of office, all the status, rights and powers (except the power of delegation under section 20(1)), and is subject to all the liabilities, of the Official Assignee.
Appointment of Official Receiver
17.—(1) The Minister may appoint a person to be the Official Receiver for the purposes of this Part and Parts 4 to 12, 22 and 23.
(2) Judicial notice is to be taken of the appointment of the Official Receiver.
(3) The Official Receiver must act under the general authority and directions of the Minister, but is also an officer of the Court.
(4) The Minister may —(a)
appoint such number of Deputy Official Receivers, Senior Assistant Official Receivers and Assistant Official Receivers, and such other officers, either temporary or permanent, as the Minister thinks necessary, for carrying this Part and Parts 4 to 12, 22 and 23 into effect; and[Act 3 of 2024 wef 26/02/2024]
(b)
assign to any Deputy Official Receiver, Senior Assistant Official Receiver, Assistant Official Receiver or other officer such duties as the Minister thinks fit.[Act 3 of 2024 wef 26/02/2024]
(5) Every Deputy Official Receiver, Senior Assistant Official Receiver and Assistant Official Receiver appointed under subsection (4) has, during his or her tenure of office, all the status, rights and powers (except the power of delegation under section 20(1)), and is subject to all the liabilities, of the Official Receiver.
Removal of Official Assignee or Official Receiver
18. When the Official Assignee or the Official Receiver is removed from office, notice of the order removing the Official Assignee or the Official Receiver (as the case may be) must be published in the Gazette.
Official names of Official Assignee and Official Receiver
19.—(1) The Official Assignee has the following official names:(a)
where the Official Assignee has been appointed as the interim receiver of a debtor’s property under section 324 — “The Official Assignee of the Property of (name of debtor), a Debtor”;
(b)
where the Official Assignee is acting as the receiver and trustee of the estate of a bankrupt under Part 17 — “The Official Assignee of the Estate of (name of bankrupt), a Bankrupt”;
(c)
where the Official Assignee is acting as the trustee of the estate of a deceased debtor in bankruptcy under section 419 — “The Official Assignee of the Estate of (name of deceased debtor), a Deceased Debtor”.
(2) Where the Official Receiver is acting in the Official Receiver’s capacity as a liquidator under this Act, the Official Receiver has the official name “The Official Receiver and liquidator of (name of corporation in respect of which the Official Receiver is appointed as liquidator)”.
(3) The Official Assignee and the Official Receiver may, by the applicable official names mentioned in subsections (1) and (2), respectively —(a)
sue and be sued;
(b)
hold property of every description;
(c)
enter into contracts or any engagements binding on the Official Assignee and the Official Receiver, respectively, and their respective successors in office; and
(d)
do all other acts necessary or expedient to be done in the execution of the offices of the Official Assignee and the Official Receiver, respectively.
Delegation of powers and functions by Official Assignee and Official Receiver
20.—(1) Subject to this Act, the Official Assignee and the Official Receiver may, by a written instrument of delegation under the hand of the Official Assignee and the Official Receiver, respectively, delegate to any person all or any of the powers or functions of the Official Assignee and the Official Receiver, respectively, under this Act (except the power of delegation under this section), so that such power or function may be exercised by the delegate with respect to any particular matter or class of matters specified in the instrument of delegation.
(2) Any delegation made under this section does not prevent the Official Assignee or the Official Receiver (as the case may be) from exercising the power or function delegated.
(3) The Official Assignee and the Official Receiver may at any time revoke any delegation made under this section by the Official Assignee and the Official Receiver, respectively.
Official Assignee and Official Receiver deemed to be public servants
21. The Official Assignee, the Official Receiver and every individual appointed by the Minister under section 16(4) or 17(4) are deemed to be public servants within the meaning of the Penal Code 1871.
General duties of Official Assignee as regards bankrupt’s conduct and affairs
22.—(1) The Official Assignee has the following duties as regards a bankrupt:(a)
to investigate the conduct and affairs of the bankrupt, and report to the Court as to whether there is reason to believe that the bankrupt has committed any act that constitutes an offence under this Act or under section 421, 422, 423 or 424 of the Penal Code 1871, or that would otherwise justify the Court in refusing, suspending or qualifying an order for the bankrupt’s discharge;
(b)
to make such other reports concerning the conduct of the bankrupt as the Court may direct or as are prescribed;
(c)
to take such part as may be directed by the Court or as is prescribed, in any examination of the bankrupt and other persons;
(d)
to take such part and give such assistance in relation to the prosecution of any fraudulent bankrupt or any other person charged with an offence under this Act, as the Court may direct or as is prescribed.
(2) A report by the Official Assignee under subsection (1) is, in any proceedings, prima facie evidence of the facts stated in the report.
(3) In this section, the conduct and affairs of a bankrupt include the bankrupt’s conduct and affairs before the making of the bankruptcy order against the bankrupt.
General duties of Official Assignee as regards estate of bankrupt
23.—(1) The Official Assignee has the following duties as regards the estate of a bankrupt administered by the Official Assignee:(a)
to act as the receiver of the bankrupt’s estate and, where a special manager has not been appointed under section 379, as the manager of the estate;
(b)
to raise money or make advances for the purposes of the estate, and to authorise the special manager (if any) to raise money or make advances for the like purposes, in any case where it appears necessary to do so in the interests of the creditors;
(c)
to summon and preside at all meetings of creditors held under this Part or Parts 13 to 21;
(d)
to issue forms of proxy for use at the meetings of creditors;
(e)
to report to the creditors as to any proposal that the Official Assignee makes with respect to the mode of liquidating the bankrupt’s affairs;
(f)
to advertise the bankruptcy order, the date of any public examination and such other matters as may be necessary to advertise.
(2) For the purpose of carrying out the Official Assignee’s duties as receiver or manager, the Official Assignee has the same powers as if the Official Assignee were a receiver and manager appointed by the Court.
(3) The Official Assignee must, as far as practicable, consult the creditors with respect to the management of the bankrupt’s estate, and may for that purpose, if the Official Assignee thinks it advisable, summon meetings of the persons claiming to be creditors.
(4) The Official Assignee must account to the Court and pay over all moneys and deal with all securities in such manner as the Court may, subject to this Act, direct.
Discretion of Official Assignee in administration of estate of bankrupt
24.—(1) Subject to this Part and Parts 13 to 22, the Official Assignee has discretion as to the administration of the property of a bankrupt.
(2) Subject to this Part and Parts 13 to 22, the Official Assignee must, in the administration of the estate of a bankrupt, have regard to any direction that is given by resolution of the creditors at any general meeting and to any advice given by the creditors’ committee.
(3) Where any direction given to the Official Assignee by the creditors of a bankrupt at any general meeting is in conflict with any advice given to the Official Assignee by the creditors’ committee, the direction given by the general meeting of creditors prevails.
Power to administer oaths
25. The Official Assignee may administer oaths for the purposes of any matters or proceedings under this Act or for the purpose of taking affidavits.
Official Assignee’s accounts
26.—(1) The Official Assignee must, for such period as may be prescribed, keep in such form and manner as the Official Assignee determines —(a)
an account of the Official Assignee’s receipts and payments in respect of the Official Assignee’s administration of the estate of a bankrupt; and
(b)
an account of the Official Assignee’s receipts and payments in respect of the Official Assignee’s administration of a debt repayment scheme under Part 15.
(2) The Official Assignee must, upon payment of the prescribed fee, permit —(a)
the inspection of an account mentioned in subsection (1)(a) by the bankrupt, any creditor who has proved the creditor’s debt in the bankruptcy or any other interested person; and
(b)
the inspection of an account mentioned in subsection (1)(b) by the debtor to whom the debt repayment scheme relates, any creditor who has proved the creditor’s debt under the debt repayment scheme or any other interested person.
(3) Every account mentioned in subsection (1) must be audited at least once in each year by such officer as the Minister may appoint.
(4) For the purposes of the audit under subsection (3), the Official Assignee must —(a)
produce to the auditing officer such books; and
(b)
furnish the auditing officer with such vouchers and information,
as the auditing officer may require.
Records to be kept by Official Assignee
27.—(1) The Official Assignee must, for such period as may be prescribed, keep records containing entries or minutes of proceedings at any meeting held under this Part or Parts 13 to 22 and of such other matters as may be prescribed.
(2) Any creditor of —(a)
a bankrupt; or
(b)
a debtor mentioned in Part 15,
may, upon payment of the prescribed fee and subject to the control of the Court, personally or by the creditor’s agent, inspect any record kept by the Official Assignee under subsection (1) that pertains to that bankrupt or debtor, as the case may be.
Bankruptcy Estates Account and Debt Repayment Schemes Account
28.—(1) The Official Assignee must keep with such bank as the Official Assignee thinks fit —(a)
an account, to be called the Bankruptcy Estates Account, into which all moneys received by the Official Assignee under this Part, Part 13 or 14 or Parts 16 to 22 must, subject to this Act, be paid; and
(b)
an account, to be called the Debt Repayment Schemes Account, into which all moneys received by the Official Assignee under Part 15 must, subject to this Act, be paid.
(2) All payments out of moneys standing to the credit of the Official Assignee in the Bankruptcy Estates Account or the Debt Repayment Schemes Account are to be made by the bank with which the Bankruptcy Estates Account or the Debt Repayment Schemes Account (as the case may be) is kept, in such manner as the Official Assignee thinks fit.
Investment of surplus funds in Bankruptcy Estates Account and Debt Repayment Schemes Account
29.—(1) Whenever the cash balance standing to the credit of the Bankruptcy Estates Account or the Debt Repayment Schemes Account is in excess of the amount that, in the opinion of the Official Assignee, is required for the time being to meet demands in respect of insolvent estates or debt repayment schemes administered under Part 15 (as the case may be) the Official Assignee must —(a)
notify the excess to the Accountant-General; and
(b)
pay over the whole or any part of the excess, as the Accountant‑General may require, to such account as the Accountant‑General may direct.
(2) The Accountant-General may invest the sums paid over under subsection (1)(b), or any part of those sums, in trustee securities to be placed to the credit of the account mentioned in subsection (1)(b).
(3) Where, in the opinion of the Official Assignee, any part of the money paid over from the Bankruptcy Estates Account or the Debt Repayment Schemes Account under subsection (1)(b) and invested under subsection (2) is required to meet any demand in respect of insolvent estates or debt repayment schemes administered under Part 15 (as the case may be) the Official Assignee must notify the Accountant‑General of the amount so required.
(4) The Accountant-General must repay the Official Assignee such sum as may be required under subsection (3) to the credit of the Bankruptcy Estates Account or the Debt Repayment Schemes Account (as the case may be) and for that purpose, the Accountant‑General may direct the sale of such part of the securities as may be necessary.
(5) The income derived from any investment under subsection (2) forms part of the Consolidated Fund, and regard is to be had to the amount thus derived in fixing the fees payable in respect of proceedings in bankruptcy and the administration of debt repayment schemes under Part 15.
(6) Any profits on the sale of any of the securities placed to the credit of the Bankruptcy Estates Account or the Debt Repayment Schemes Account are to be credited to the Consolidated Fund, and that Fund is liable to make good any loss arising out of the sale of those securities.
Official Assignee to furnish list of creditors
30. The Official Assignee must, whenever required by any creditor of a bankrupt to do so, and on payment by the creditor of the prescribed fee, furnish and transmit to the creditor a list of the creditors of the bankrupt, showing in the list the amount of the debt due from the bankrupt to each of the creditors.
Control of Court over Official Assignee
31.—(1) The Court is to take cognizance of the conduct of the Official Assignee in the Official Assignee’s administration of the estate of a bankrupt.
(2) If the Official Assignee does not faithfully perform the Official Assignee’s duties or duly observe all the requirements imposed on the Official Assignee by this Act or any other written law with respect to the performance of the Official Assignee’s duties, or if any complaint is made to the Court by any creditor in relation to the Official Assignee’s conduct in the Official Assignee’s administration of the estate of the bankrupt, the Court is to inquire into the matter and take such action on the matter as the Court considers expedient.
(3) The Court may —(a)
at any time require the Official Assignee to answer any inquiry made by the Court in relation to the Official Assignee’s administration of the estate of a bankrupt; and
(b)
direct an investigation to be made of the books and vouchers of the Official Assignee, or examine the Official Assignee on oath concerning the Official Assignee’s administration of the estate of a bankrupt.
Control of Official Receiver by Minister
32. The Minister is to take cognizance of the conduct of the Official Receiver in the liquidation of companies, and if —(a)
the Official Receiver does not faithfully perform the Official Receiver’s duties or duly observe all the requirements imposed on the Official Receiver by any written law or otherwise with respect to the performance of the Official Receiver’s duties; or
(b)
any complaint is made to the Minister by any creditor or contributory in relation to the conduct of the Official Receiver in the liquidation of any company,
the Minister is to inquire into the matter, and take such action on the matter as the Minister thinks expedient, and may direct an investigation to be made of the books and vouchers of the Official Receiver.
Review by Court of Official Assignee’s act, omission or decision
33.—(1) A bankrupt, any creditor of the bankrupt or any other person who is dissatisfied with any act, omission or decision of the Official Assignee, in relation to the Official Assignee’s administration of the bankrupt’s estate, may apply to the Court to review that act, omission or decision.
(2) The Official Assignee may apply to the Court —(a)
for directions in relation to any particular matter arising under the bankruptcy; or
(b)
to reverse or modify any previous act or decision of the Official Assignee.
(3) On hearing an application under subsection (1) or (2), the Court may —(a)
confirm, reverse or modify any act or decision of the Official Assignee; or
(b)
give such directions to the Official Assignee, or make such other order, as the Court thinks fit.
(4) This section applies despite the discharge of the bankrupt or the annulment of the bankruptcy order.
Liability of Official Assignee, etc.
34.—(1) All sums required to discharge any liability that the Official Assignee may be personally liable to discharge are to be charged on the Consolidated Fund.
(2) Neither the Official Assignee nor any officer of the Official Assignee is to be personally liable for any act that the Official Assignee or officer (as the case may be) did not contribute to in any way or could not by the exercise of reasonable diligence have averted.
(3) No liability is to lie personally against the Official Assignee, or any officer of the Official Assignee acting under the direction of the Official Assignee, who, acting in good faith and with reasonable care, does or omits to do anything in the course of or in connection with —(a)
the exercise or purported exercise of any power; or
(b)
the performance or purported performance of any function or duty,
under section 20, 25, 334, 358, 370, 379, 382, 393, 395, 403, 433 or 436(3).
(4) Any liability that but for subsection (3) would lie against the Official Assignee, or any officer of the Official Assignee, is to lie instead against the Government.
Liability of Official Receiver, etc.
35.—(1) All sums required to discharge any liability that the Official Receiver may be personally liable to discharge are to be charged on the Consolidated Fund.
(2) Neither the Official Receiver nor any officer of the Official Receiver is to be personally liable for any act that the Official Receiver or officer (as the case may be) did not contribute to in any way or could not by the exercise of reasonable diligence have averted.
(3) No liability is to lie personally against the Official Receiver, or any officer of the Official Receiver acting under the direction of the Official Receiver, who, acting in good faith and with reasonable care, does or omits to do anything in the course of or in connection with —(a)
the exercise or purported exercise of any power; or
(b)
the performance or purported performance of any function or duty,
under section 71, 72E, 72F, 72G, 72M, 72Q, 134(b), 137, 188, 189, 192, 197, 199, 212, 213, 214, 241, 250D, 250F, 250G, 250O or 250P, or under section 197 or 199 (as modified by section 250L), or under section 149, 210, 215, 215K or 390 of the Companies Act 1967.
[39/2020]
(4) Any liability that but for subsection (3) would lie against the Official Receiver, or any officer of the Official Receiver, is to lie instead against the Government.
Division 2 — Trustee in bankruptcy
Appointment of person other than Official Assignee as trustee in bankruptcy
36.—(1) The Court may, in the following circumstances, appoint a person other than the Official Assignee to be the trustee of a bankrupt’s estate:(a)
when making a bankruptcy order, and on the application under subsection (2) of the person who applied for the bankruptcy order;[Act 1 of 2023 wef 01/11/2023]
(b)
at any time after the making of a bankruptcy order that has not been discharged or annulled, and on the application of any creditor, the bankrupt, the Official Assignee or any existing trustee of the bankrupt’s estate.[Act 1 of 2023 wef 01/11/2023]
(2) A person applying for a bankruptcy order must apply to the Court for the appointment of a person other than the Official Assignee to be the trustee of the bankrupt’s estate, unless the Official Assignee has consented to be the trustee of the bankrupt’s estate.[Act 1 of 2023 wef 01/11/2023]
(3) The official name of the trustee is —(a)
“the Trustee of the Estate of (name of bankrupt), a Bankrupt”; or
(b)
“the Trustee in Bankruptcy of (name of bankrupt), a Bankrupt”.
(4) [Deleted by Act 1 of 2023 wef 01/11/2023]
Qualifications for appointment as trustee in bankruptcy
37. A person must not be appointed as a trustee in bankruptcy unless the person satisfies the Court that —(a)
the person is a licensed insolvency practitioner; and
(b)
the person has consented in writing to being appointed as a trustee in bankruptcy.
Person appointed as trustee in bankruptcy to furnish security before acting
38.—(1) A person appointed as a trustee in bankruptcy —(a)
must not commence acting as such trustee until the person has given security in accordance with subsection (2); and
(b)
where the trustee’s security has been forfeited under section 42(8), must not continue acting as such trustee until the person has given fresh security in accordance with subsection (2).
(2) The trustee in bankruptcy must give security in such manner as the Official Assignee may specify, and to the satisfaction of the Official Assignee that the trustee will faithfully perform the trustee’s duties and duly observe all the requirements imposed on the trustee by this Act or any other written law with respect to the performance of the trustee’s duties.
(3) Any person who contravenes subsection (1) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $10,000.
General functions, duties and powers of trustee in bankruptcy
39.—(1) Subject to subsection (3) and section 42, a trustee in bankruptcy —(a)
has all the functions and duties of the Official Assignee in relation to the conduct of the bankrupt in question and the administration of the bankrupt’s estate as provided in this Act; and
(b)
may exercise all or any of the powers of the Official Assignee in relation to the bankrupt and the bankrupt’s estate.
(2) Unless the context otherwise requires, any reference in this Act to the Official Assignee includes a reference to a trustee in bankruptcy.
(3) Sections 20, 25, 34(3) and (4), 334, 358, 379, 382, 384, 393, 395, 403 and 436 do not apply to a trustee in bankruptcy, and section 378(a), (c), (f), (h) and (i) does not apply to a trustee in bankruptcy except with the consent of the Court, the creditors’ committee or, if there is no creditors’ committee, the Official Assignee.
Trustee in bankruptcy to pay moneys received into prescribed bank account
40.—(1) Every trustee in bankruptcy must, in the manner and at the times prescribed by regulations, pay all moneys received as trustee into such bank account as is prescribed by those regulations or as may be specified by the Court.
(2) Any trustee in bankruptcy who pays any moneys received as trustee into any bank account other than the bank account prescribed or specified under subsection (1) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $10,000 or to imprisonment for a term not exceeding 12 months or to both.
Remuneration of trustee in bankruptcy
41.—(1) A trustee in bankruptcy is entitled to receive such salary or remuneration as is determined in the following manner:(a)
by agreement between the trustee in bankruptcy and the creditors’ committee, if any;
(b)
where there is no agreement with the creditors’ committee or where there is no such committee —(i)
by a special resolution of the creditors whose debts have been admitted for the purpose of voting and who are present (in person or by proxy) and voting at a meeting to be convened by the trustee by a notice to each creditor in accordance with subsection (2); or
(ii)
by agreement between the trustee in bankruptcy and all the creditors;[Act 1 of 2023 wef 01/11/2023]
(c)
where there is no determination in the manner mentioned in paragraph (a) or (b), by the Court.
(2) The trustee in bankruptcy must attach to every notice under subsection (1)(b) a statement of all receipts and expenditure by the trustee and the amount of remuneration sought by the trustee.
(3) In this section, “special resolution” has the meaning given by section 273(1).
(4) For the purposes of subsection (1)(b)(ii), a creditor is deemed to have agreed with the trustee in bankruptcy if —(a)
the trustee has notified the creditor in the prescribed manner of the remuneration sought by the trustee; and
(b)
the creditor has not objected to the remuneration sought by the trustee in the prescribed manner and within the prescribed time.[Act 1 of 2023 wef 01/11/2023]
Control of trustee in bankruptcy by Official Assignee
42.—(1) The Official Assignee is to take cognizance of the conduct of a trustee in bankruptcy in the administration of the estate of a bankrupt.
(2) If the trustee in bankruptcy does not faithfully perform the trustee’s duties or duly observe all the requirements imposed on the trustee by this Act or any other written law with respect to the performance of the trustee’s duties, or if any complaint is made to the Official Assignee by any creditor or bankrupt in relation to the trustee’s conduct in the administration of the estate, the Official Assignee must inquire into the matter and take such action on the matter as the Official Assignee thinks expedient.
(3) The Official Assignee may —(a)
at any time require the trustee in bankruptcy to answer any inquiry in relation to the trustee’s administration of the estate of a bankrupt; and
(b)
direct an investigation to be made of the books and vouchers of the trustee.
(4) It is the duty of the trustee in bankruptcy —(a)
to furnish the Official Assignee with such information;
(b)
to produce to the Official Assignee, and permit inspection by the Official Assignee of, such books, papers and other records; and
(c)
to give the Official Assignee such other assistance,
as the Official Assignee may reasonably require for the purpose of enabling the Official Assignee to carry out the Official Assignee’s functions in relation to the bankruptcy.
(5) The Official Assignee may, having regard to the results of any inquiry or investigation made under this section, apply to the Court for the removal of the trustee in bankruptcy.
(6) The Official Assignee may forfeit the security furnished by the trustee in bankruptcy under section 38 if —(a)
the trustee fails to comply with section 332(9) or 339(1) as it applies to the trustee;
(b)
the trustee fails to submit the report of the administration of the bankruptcy in accordance with section 344; or
(c)
the trustee fails to perform any other duty, or to duly observe any other requirement imposed on the trustee by this Act (other than as mentioned in paragraph (a) or (b)) or any other written law with respect to the performance of the trustee’s duties.
(7) The Official Assignee must not forfeit any security until the Official Assignee has given the trustee in bankruptcy concerned an opportunity to show cause why the security furnished by the trustee under section 38 should not be forfeited.
(8) If, after giving the trustee an opportunity to show cause, the Official Assignee is satisfied that the trustee in bankruptcy had no reasonable excuse for the failure mentioned in subsection (6)(a) or (b), the Official Assignee must forfeit all or part of the security furnished by the trustee under section 38.
(9) In determining whether to forfeit any, all or part of the security furnished by the trustee in bankruptcy under section 38, the Official Assignee is to have regard to the circumstances surrounding the trustee’s failure mentioned in subsection (6)(a) or (b) (including whether the trustee had a reasonable excuse for the failure), and to any mitigating circumstances.
Review by Court of trustee in bankruptcy’s act, omission or decision
43.—(1) The Official Assignee, a bankrupt, any creditor of the bankrupt, or any other person, who is dissatisfied with any act, omission or decision of a trustee in bankruptcy in relation to the trustee’s administration of the bankrupt’s estate, may apply to the Court to review such act, omission or decision, and on hearing such an application the Court may —(a)
confirm, reverse or modify any act or decision of the trustee; or
(b)
give such directions to the trustee or make such other order as the Court thinks fit.
(2) A trustee in bankruptcy may apply to the Court for directions in relation to any particular matter arising under the bankruptcy.
Removal of trustee in bankruptcy
44.—(1) A trustee in bankruptcy may be removed from office only by an order of the Court or by a general meeting of the bankrupt’s creditors summoned especially for that purpose in accordance with the regulations.
(2) A trustee in bankruptcy vacates that office if the trustee in bankruptcy ceases to be a licensed insolvency practitioner.
(3) Subject to subsection (4), a trustee in bankruptcy may resign from that office —(a)
by giving 2 months’ notice of the trustee’s resignation to the Court and the Official Assignee; and
(b)
by filing an application to the Court for the appointment of the Official Assignee or another person to act as trustee of the bankrupt’s estate.
(4) A trustee in bankruptcy cannot resign from that office unless the trustee —(a)
has submitted to the Official Assignee a report on the work done in relation to the bankrupt’s estate, containing such particulars as may be prescribed;
(b)
has nominated to act as trustee of the bankrupt’s estate —(i)
another person who consents to act as trustee; or
(ii)
the Official Assignee, if the Official Assignee consents in writing to the appointment; and
(c)
has given the bankrupt’s creditors notice of the trustee’s intention to resign and of the identity of the person nominated under paragraph (b).
(5) A trustee in bankruptcy vacates that office if the bankruptcy order is annulled.
(6) A trustee in bankruptcy must, not later than 2 months after vacating that office under subsection (2) or such further period as the Official Assignee may allow, submit to the Official Assignee a report on the work done in relation to the bankrupt’s estate, containing such particulars as may be prescribed.
(7) A trustee in bankruptcy who, without reasonable excuse, fails to comply with subsection (6) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $10,000.
Vacancy in office of trustee in bankruptcy
45. Where the appointment of any person as trustee in bankruptcy fails to take effect, or where a vacancy arises in the office of a trustee in bankruptcy whose appointment has taken effect, the Official Assignee —(a)
is to act as the trustee of the bankrupt’s estate until the vacancy is filled; and
(b)
may summon a general meeting of the bankrupt’s creditors for the purpose of filling the vacancy.
Liability of trustee in bankruptcy
46.—(1) Where —(a)
a trustee in bankruptcy has misapplied or retained, or become accountable for, any money or other property comprised in the bankrupt’s estate; or
(b)
the estate of a bankrupt has suffered any loss in consequence of any misfeasance or breach of fiduciary or other duty by a trustee in bankruptcy in the carrying out of the trustee’s functions,
the Official Assignee, the bankrupt or any creditor of the bankrupt may apply to the Court for any order specified in subsection (2).
(2) Upon hearing an application made under subsection (1), the Court may, for the benefit of the estate, order the trustee in bankruptcy to —(a)
repay, restore or account for any money or other property (together with interest at such rate as the Court may think just); or
(b)
pay such sum by way of compensation in respect of the misfeasance or breach of fiduciary or other duty as the Court may think just.
(3) Any order made by the Court under subsection (2) is without prejudice to any liability on the part of the trustee in bankruptcy arising apart from this section.
(4) Where a trustee in bankruptcy seizes or disposes of any property that is not comprised in the bankrupt’s estate, and at the time of the seizure or disposal the trustee believes, and has reasonable grounds for believing, that the trustee is entitled (whether pursuant to an order of the Court or otherwise) to seize or dispose of that property, the trustee —(a)
is not liable to any person (whether under this section or otherwise) in respect of any loss or damage resulting from the seizure or disposal, except insofar as the loss or damage is caused by the negligence of the trustee; and
(b)
has a lien on the property or the proceeds of its sale for such of the expenses of the bankruptcy as were incurred in connection with the seizure or disposal.
Division 3 — Regulation of insolvency practitioners
Acting as insolvency practitioner
47.—(1) For the purposes of this Division, a person —(a)
acts as an insolvency practitioner in relation to a corporation, if the person acts as —(i)
the liquidator or provisional liquidator of the corporation;
(ii)
the judicial manager or interim judicial manager of the corporation; or
(iii)
a receiver or manager of the property of the corporation (being a company), or a receiver or manager of the property in Singapore of the corporation (not being a company); and
(b)
acts as an insolvency practitioner in relation to an individual, if the person acts as —(i)
the trustee of a bankrupt’s estate; or
(ii)
where a voluntary arrangement is proposed or approved under Part 14, the nominee under such voluntary arrangement.
(2) Subsection (1) does not apply to anything done by —(a)
the Official Receiver or Official Assignee;
(b)
a liquidator appointed in a members’ voluntary winding up under Division 3 of Part 8; or
(c)
a scheme manager appointed in relation to a scheme of arrangement under Part 5 of this Act or Part 7 of the Companies Act 1967.
(3) A person who is appointed as a liquidator in a members’ voluntary winding up under Division 3 of Part 8, or as a scheme manager in relation to a scheme of arrangement under Part 5 of this Act or Part 7 of the Companies Act 1967, must give to the Official Receiver written notice in the prescribed form of the person’s appointment.
(4) In this section, “scheme manager” and “scheme of arrangement” have the meanings given by section 61(1).
Person not to act as insolvency practitioner without licence
48.—(1) Except under and in accordance with an insolvency practitioner’s licence granted or renewed under section 51, a person must not —(a)
act as an insolvency practitioner in relation to a corporation or an individual; or
(b)
advertise, or in any way hold out, that the person is willing to act as an insolvency practitioner in relation to a corporation or an individual.
(2) Any person who contravenes subsection (1) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $10,000 or to imprisonment for a term not exceeding 12 months or to both.
(3) No fee, commission or reward is recoverable in any action, suit or matter by any person for anything done by a person that gives rise to an offence under this section.
Licensing officer and assistant licensing officers
49.—(1) The Minister may appoint one or more public officers by name or office to be the licensing officer or licensing officers responsible for the administration of this Division.
(2) A licensing officer may appoint such number of public officers as assistant licensing officers as is necessary to assist the licensing officer in carrying out the licensing officer’s functions and duties under this Division.
(3) The functions and duties conferred on a licensing officer by this Division may be performed by any assistant licensing officer, and such performance is subject to the direction and control of the licensing officer.
(4) The Minister may from time to time give to any licensing officer such directions, not inconsistent with the provisions of this Division, as the Minister considers necessary for carrying out the provisions of this Division, and the licensing officer must comply with every direction so given.
Eligibility of individual to hold insolvency practitioner’s licence
50.—(1) An individual is not eligible to be granted, or to hold or continue to hold, an insolvency practitioner’s licence unless the individual is a qualified person or is for the time being exempted under subsection (2).[39/2020]
(2) The Minister may exempt, for such period as the Minister may specify, any individual from the requirement of being a qualified person in order to be granted, or to hold or continue to hold, an insolvency practitioner’s licence.[39/2020]
(3) In this section, “qualified person” means any person who —(a)
is a solicitor;
(b)
is a public accountant;
(c)
is a chartered accountant within the meaning given by section 2(1) of the Accounting and Corporate Regulatory Authority Act 2004; or[Act 36 of 2022 wef 01/04/2023]
(d)
possesses such other qualifications as the Minister may prescribe by order in the Gazette.
Grant and renewal of licence
51.—(1) An application for the grant or renewal of a licence must be —(a)
made to the licensing officer in such form and manner as may be prescribed;
(b)
accompanied by the prescribed fee (if any); and
(c)
in the case of an application for the renewal of a licence, made before the start of the renewal period.
(2) An applicant for the grant or renewal of a licence must, at the request of the licensing officer, provide such further information or evidence that the licensing officer may require to decide the application.
(3) Upon receipt of an application under subsection (1), the licensing officer may —(a)
grant or renew the licence applied for; or
(b)
refuse the application.
(4) Subject to the provisions of this Division, a person who makes an application under subsection (1) is eligible for the grant or renewal of the licence if, and only if —(a)
the person has paid the prescribed fee (if any); and
(b)
the person satisfies such other requirements as may be prescribed for the grant or renewal of the licence.
(5) Without affecting subsection (4), the licensing officer may refuse to grant a licence to a person, or to renew the licence of a person, if, in the opinion of the licensing officer —(a)
the person is not a fit and proper person to hold or continue to hold the licence; or
(b)
it is not in the public interest to grant or renew the licence, or the grant or renewal of the licence may pose a threat to national security.
(6) Where a person submits an application for the renewal of the person’s licence before the start of the renewal period, the licence continues in force until the date on which the licence is renewed or the application for its renewal is refused, as the case may be.
(7) Any person who, in making an application for the grant or renewal of a licence —(a)
makes any statement or furnishes any particulars, information or document that the person knows to be false or does not believe to be true; or
(b)
furnishes any information that the person knows or has reason to believe is misleading in a material particular,
shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $10,000 or to imprisonment for a term not exceeding 12 months or to both.
(8) In deciding for the purposes of this section whether an individual is a fit and proper person to hold or continue to hold a licence, the licensing officer may take into account any matter the licensing officer considers relevant, including any of the following:(a)
whether the individual has been convicted in Singapore or elsewhere of any offence involving fraud, dishonesty or moral turpitude;
(b)
whether the individual has had a judgment entered against the individual in civil proceedings that involves a finding of fraud, dishonesty or breach of fiduciary duty on the part of the individual;
(c)
whether the individual is or was suffering from a mental disorder;
(d)
whether the individual is an undischarged bankrupt or has entered into a composition or scheme of arrangement with the creditors of the individual;
(e)
whether the individual has had a licence revoked by the licensing officer previously.
(9) In this section, “renewal period”, in relation to an application for the renewal of a licence, means such period, immediately before the date of expiry of the licence, as may be prescribed.
Conditions of licence
52.—(1) In granting or renewing a licence, the licensing officer may impose such conditions, not inconsistent with the provisions of this Act and any prescribed condition of the licence, as the licensing officer considers requisite or expedient.
(2) For the purpose of subsection (1), the licensing officer may specify —(a)
conditions applicable to all licensees;
(b)
conditions applicable to a specified class of licensees; or
(c)
conditions applicable to a specified licensee only.
(3) The licensing officer may at any time add to, vary or revoke any condition of a licence imposed under subsection (1).
(4) Before making any modification to the conditions of a licence, the licensing officer must give notice to the licensee concerned —(a)
stating that the licensing officer proposes to make the modification in the manner specified in the notice; and
(b)
specifying the time (being not less than 14 days after the date of service of the notice) within which the licensee may make written representations to the licensing officer with respect to the proposed modification.
(5) Upon receipt of any written representation mentioned in subsection (4)(b), the licensing officer must consider the representation and may —(a)
reject the representation;
(b)
amend the proposed modification in such manner as the licensing officer thinks fit, having regard to the representation; or
(c)
withdraw the proposed modification.
(6) Where —(a)
the licensing officer rejects any written representation under subsection (5)(a);
(b)
the licensing officer amends any proposed modification to the conditions of the licence under subsection (5)(b); or
(c)
no written representation is received by the licensing officer within the time specified by the licensing officer under subsection (4)(b), or any written representation made by the licensee is withdrawn, and the licensee has not given immediate effect to the modification,
the licensing officer must issue a direction in writing to the licensee requiring the licensee to give effect, within the time specified by the licensing officer, to the modification as specified in the notice given under subsection (4), or as amended by the licensing officer under subsection (5)(b), as the case may be.
Form and validity of licence
53.—(1) A licence must —(a)
be in such form as the licensing officer may determine; and
(b)
contain the conditions subject to which it is granted.
(2) A licence is to remain in force until 30 June in the third year following the year in which the licence was granted.
(3) A licence that is renewed continues in force for a further period of 3 years, starting on the date immediately following that on which the licence would (but for its renewal) have expired.
Register of licensed insolvency practitioners
54.—(1) Upon the grant or renewal of a licence, the licensing officer must cause to be entered, in a register of licensed insolvency practitioners, the following particulars of the licensee:(a)
the licensee’s full name;
(b)
the name of the licensee’s employer or, where the licensee is self‑employed, the name of the licensee’s business;
(c)
the principal address in which the licensee will be practising.
(2) Any person may inspect the register of licensed insolvency practitioners during office hours without payment.
(3) If there is any change in the particulars mentioned in subsection (1) of any licensee, that licensee must within one week after the change notify the licensing officer of that change, and the licensing officer must then cause the entry in respect of that licensee in the register of licensed insolvency practitioners to be amended to reflect that change.
(4) If the licensing officer revokes, cancels or suspends the licence of any licensee, the licensing officer must cause the entry in respect of that licensee in the register of licensed insolvency practitioners to be amended to reflect the revocation, cancellation or suspension.
Licensed insolvency practitioner not to act under certain circumstances
55. A licensed insolvency practitioner must not act as an insolvency practitioner at any time when the licensee —(a)
has been adjudged a bankrupt and has not been discharged from bankruptcy;
(b)
is subject to a disqualification order made under section 149 of the Companies Act 1967;
(c)
is subject to a debt repayment scheme under Part 15;
(d)
is subject to a voluntary arrangement under Part 14; or
(e)
is subject to any procedure, order, scheme or arrangement under the laws of any foreign country similar to those mentioned in paragraphs (a) to (d).
Revocation, cancellation or suspension of licence, etc.
56.—(1) Subject to subsection (3), the licensing officer may by order revoke any licence if the licensing officer is satisfied that —(a)
the licensee has failed to comply with —(i)
any condition to which the licence is subject; or
(ii)
any provision of this Act that is applicable to the licensee, and the contravention of which is not an offence;
(b)
the licence had been obtained by fraud or misrepresentation;
(c)
at the time the licence was granted or renewed, the licensing officer was unaware of an existing circumstance that would have required or permitted the licensing officer to refuse to grant or renew the licensee’s licence;
(d)
the licensee is no longer eligible to hold a licence under section 50;
(e)
the licensee has been adjudged a bankrupt in Singapore or elsewhere;
(f)
the licensee is subject to a debt repayment scheme under Part 15 or a voluntary arrangement under Part 14 or is subject to a similar scheme or arrangement outside Singapore;
(g)
the licensee is subject to a disqualification order made under section 149 of the Companies Act 1967 or a similar order under the laws of any foreign country;
(h)
the licensee has been convicted of an offence under this Act;
(i)
the licensee has been convicted in Singapore or elsewhere of an offence involving fraud, dishonesty or moral turpitude;
(j)
the licensee is no longer a fit and proper person to continue to hold the licence;
(k)
it is undesirable in the public interest for the licensee to continue as a licensee; or
(l)
the licensee has died.
(2) Subject to subsection (3), the licensing officer may, in any case in which the licensing officer considers that no cause of sufficient gravity for revoking any licence exists, by order —(a)
suspend the licence for a period not exceeding 6 months;
(b)
direct the licensee to pay a penalty of not more than $100,000;
(c)
censure the licensee concerned; or
(d)
modify any condition of the licence, or impose such other conditions, as the licensing officer considers appropriate.
(3) The licensing officer must give the licensee written notice of —(a)
the licensing officer’s intention to exercise any power under subsection (1) or (2), and the ground for the exercise of such power; and
(b)
the date on which the licensing officer intends to exercise the power.
(4) The licensing officer must not, during a period of 30 days after the licensing officer informs the licensee of such intention, exercise any power under subsection (1) or (2), unless the licensee concerned is given an opportunity to be heard, whether in person or by a representative and whether in writing or otherwise.
(5) Where the licensing officer has by order revoked a licence under subsection (1) or made any order under subsection (2) in respect of a licensee, the licensing officer must serve on the licensee concerned a notice of the order.
(6) An order under subsection (1) or (2) revoking or suspending a licence takes effect at the end of 14 days after the service of the notice of the order on the licensee under subsection (5).
(7) In any proceedings under this section consequent upon the conviction of a licensee for a criminal offence, the licensing officer must accept the licensee’s conviction as final and conclusive.
(8) In deciding for the purposes of this section whether a licensee is a fit and proper person to continue to hold a licence, the licensing officer may take into account any matter the licensing officer considers relevant, including any matter mentioned in section 51(8).
(9) Subsections (4), (5) and (6) do not apply where the licensing officer revokes a licence on the ground mentioned in subsection (1)(l).
(10) If a licensee submits a request in writing to the licensing officer to cancel the licensee’s licence and to have the licensee’s name removed from the register of licensed insolvency practitioners, the licensing officer may (subject to such conditions or directions which the licensing officer may impose or give) cancel the licence and remove the licensee’s name from the register.
Power to require documents or information
57.—(1) For the purposes of investigating whether any licensee has breached or contravened any requirement under this Act or condition of the licence, the licensing officer may, by notice in writing to any licensee, require that licensee to produce any document, or to provide any information, that —(a)
is specified or described in the notice, or falls within a category of documents or information that is specified or described in the notice; and
(b)
the licensing officer considers to be relevant to the investigation.
(2) A notice under subsection (1) must —(a)
indicate the subject matter and purpose of the investigation; and
(b)
provide information on the offences under subsections (5), (9) and (10).
(3) The licensing officer may specify in the notice —(a)
the time and place at which any document is to be produced or any information is to be provided; and
(b)
the manner and form in which that document is to be produced or that information is to be provided.
(4) The power under this section to require a licensee to produce a document includes the power —(a)
if the document is produced —(i)
to take copies of or extracts from the document; and
(ii)
to require that licensee, or any present or past employee of that licensee, to provide an explanation of the document; or
(b)
if the document is not produced, to require that licensee to state, to the best of that licensee’s knowledge and belief, where the document is.
(5) Any person who fails to comply with a requirement imposed on the person under subsection (1) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $5,000 or to imprisonment for a term not exceeding 12 months or to both.
(6) If a person is charged with an offence under subsection (5) in respect of a requirement to produce a document, it is a defence for the person to prove that —(a)
the document was not in the person’s possession or under the person’s control; and
(b)
the person had a reasonable excuse for failing to comply with the requirement.
(7) If a person is charged with an offence under subsection (5) in respect of a requirement —(a)
to provide information;
(b)
to provide an explanation of a document; or
(c)
to state where a document is to be found,
it is a defence for the person to prove that the person had a reasonable excuse for failing to comply with the requirement.
(8) Failure to comply with a requirement imposed under subsection (1) is not an offence if the licensing officer imposing the requirement has failed to act in accordance with subsections (1) and (2).
(9) Any person who, having been required to produce a document under subsection (1) —(a)
intentionally or recklessly destroys or otherwise disposes of the document;
(b)
falsifies or conceals the document; or
(c)
causes or permits the destruction, disposal, falsification or concealment of the document,
shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $10,000 or to imprisonment for a term not exceeding 12 months or to both.
(10) Any person who, pursuant to a notice under subsection (1), provides information or produces any document to the licensing officer knowing the information or document to be false or misleading in a material particular or being reckless as to whether the information or document is false or misleading in a material particular, shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $10,000 or to imprisonment for a term not exceeding 12 months or to both.
Power to issue written directions
58.—(1) Where any licensee contravenes, or is likely to contravene, any provision of this Division or any condition of the licence, the licensing officer may, if the licensing officer thinks it necessary or expedient for the purposes of administration of this Division, issue a written direction to the licensee to require the licensee to do either or both of the following:(a)
to comply with, or cease the contravention of, that provision or condition;
(b)
to make good any default arising from the contravention.
(2) The licensing officer may at any time vary, rescind or revoke any written direction issued under subsection (1).
(3) Any licensee who fails to comply with any requirement specified in a written direction issued under subsection (1) shall be guilty of an offence and shall be liable on conviction —(a)
to a fine not exceeding $10,000 or to imprisonment for a term not exceeding 12 months or to both; and
(b)
in the case of a continuing offence, to a further fine not exceeding $1,000 for every day or part of a day during which the offence continues after conviction.
Appeal to Minister
59.—(1) Any person whose application for a licence, or for the renewal of a licence, has been refused by the licensing officer may, within the appeal period after being notified of such refusal, appeal against the refusal in the prescribed manner to the Minister.
(2) Where a licence is granted or renewed by the licensing officer subject to conditions, or where any condition is added or varied under section 52(3), the licensee concerned may, within the appeal period after being notified of such conditions, addition or variation, appeal against the conditions in the prescribed manner to the Minister.
(3) If the licensing officer has made any order under section 56(1) or (2) in respect of any licensee, the licensee may, within the appeal period after being served with the notice of the order, appeal against the order in the prescribed manner to the Minister.
(4) In any appeal under this section against any decision or order of the licensing officer made consequent upon the conviction of the licensee for a criminal offence, the Minister must accept the licensee’s conviction as final and conclusive.
(5) An appeal under this section against any decision or order of the licensing officer (except an order mentioned in section 56(6)) does not stay the decision or order appealed against or prevent the taking of action to implement the decision or order, and the decision or order appealed against must be complied with until the determination of the appeal.
(6) The Minister’s decision on an appeal under this section is final.
(7) In this section, “appeal period” means 30 days or such longer period as the Minister allows in a particular case, whether allowed before or after the end of the 30 days.
Composition of offences
60.—(1) The licensing officer may compound any offence under this Division which is prescribed as a compoundable offence by collecting from the person reasonably suspected of having committed the offence a sum not exceeding the lower of the following:(a)
one half of the amount of the maximum fine that is prescribed for the offence;
(b)
$5,000.
(2) On payment of the sum of money under subsection (1), no further proceedings are to be taken against that person in respect of the offence.
(3) All sums collected under this section must be paid into the Consolidated Fund.
Source: Singapore Statutes Online (Attorney-General's Chambers), © Government of Singapore.
