s 72K Restraint of proceedings and disposition of property, etc., during moratorium period
72K.—(1) During the moratorium period in respect of a company that has entered into the simplified debt restructuring programme under section 72E —(a) no order may be made, and no resolution may be passed, for the winding up of the company; (b) no receiver or manager may be appointed over any property or undertaking of the company; (c) no proceedings may be commenced or continued against the company, except with the permission of the Court and subject to any terms as the Court may impose; [Act 25 of 2021 wef 01/04/2022] [Act 3 of 2025 wef 29/01/2026] (d) no enforcement order or other legal process may be issued, continued or executed, and no distress may be levied, against any property of the company, except with the permission of the Court and subject to any terms as the Court may impose;[Act 25 of 2021 wef 01/04/2022] (e) no step may be taken to enforce any security over any property of the company, or to repossess any goods under any chattels leasing agreement, hire-purchase agreement or retention of title agreement, except with the permission of the Court and subject to any terms as the Court may impose; and[Act 25 of 2021 wef 01/04/2022] (f) despite sections 18 and 18A of the Conveyancing and Law of Property Act 1886, no right of re‑entry or forfeiture under any lease in respect of any premises occupied by the company may be enforced, except with the permission of the Court and subject to any terms as the Court may impose.[39/2020] [Act 25 of 2021 wef 01/04/2022] [Act 3 of 2025 wef 29/01/2026] (2) Subsection (1) does not affect —(a) the exercise of any legal right under any arrangement (including a set‑off arrangement or a netting arrangement) that may be prescribed by regulations made under section 72V; or (b) the commencement or continuation of any proceedings that may be so prescribed.[39/2020] (3) A company (in simplified debt restructuring) that intentionally or knowingly disposes of the property of the company during the moratorium period in respect of the company, other than in good faith and in the ordinary course of business of the company, shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $10,000. [39/2020] [Act 3 of 2025 wef 29/01/2026] (4) An officer of a company mentioned in subsection (3) who —(a) consented or connived, or conspired with others, to effect the disposal of the property of the company; (b) is in any other way, whether by act or omission, knowingly concerned in, or party to, the disposal of the property of the company; or (c) knew or ought reasonably to have known that the property would be or is being disposed of and failed to take all reasonable steps to prevent or stop the disposal of the property of the company, 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 2 years, whether or not the company is convicted of an offence under subsection (3). [39/2020] (5) In this section, “officer”, in relation to a company, means a director or secretary of the company or a person employed in an executive capacity by the company.[39/2020] [Act 3 of 2025 wef 29/01/2026]