Place of origin of bankruptcy and insolvency matters
	Matter	Place of origin
1	Bankruptcy that resulted from acceptance of a debtor’s petition	The District in which the debtor’s petition was accepted
2	Any other bankruptcy	The District in which the sequestration order was made
3	Control of a debtor’s property under section 50	The District in which the Court made an order directing a trustee to take control of the debtor’s property
4	Scheme of arrangement or composition under Division 6 of Part IV	The District in which there originated the bankruptcy that was annulled under section 74 on acceptance of the proposal for the scheme or composition
5	Matter relating to a debt agreement proposal	The District in which the debt agreement proposal was accepted for processing
6	Part X administration	The District in which the Official Receiver was given a copy of the authority under section 188 that relates to the administration
7	Administration under Part XI	The District in which the Court made the order for the administration

(2) For the purposes of item 6 of the table, an authority under section 188 relates to a deed of assignment, a deed of arrangement or a composition if a special resolution relating to the deed or composition was passed at a meeting of creditors called under the authority.

(3) In this section:

matter relating to a debt agreement proposal includes:

(a) a debt agreement; and

(b) an activity required or permitted by a debt agreement.

Part X administration means:

(a) an activity that a controlling trustee may or must carry out after consenting to exercise powers given by an authority under section 188 (including control of a debtor’s property under Division 2 of Part X); or

(b) a deed of assignment under Part X; or

(c) a deed of arrangement under Part X; or

(d) a composition under Part X.

22 Section 5B

Omit “, and only if,”.

23 At the end of paragraphs 5B(a) to (h)

Add “or”.

24 At the end of section 5B

Add:

(2) For the purposes of this Act, a company is also associated with a person if the company:

(a) holds property jointly with the person; or

(b) is dealing with the person’s property as an agent for the person; or

(c) is a trustee of a trust under which the person is capable of benefiting; or

(d) acquires or disposes of property as a result of dealing with the person.

(3) The circumstances set out in subsections (1) and (2) are the only circumstances in which a company is associated with a person for the purposes of this Act.

25 Section 5C

Omit “, and only if,”.

26 Paragraph 5C(a)

Repeal the paragraph, substitute:

(a) holds property jointly with the associate; or

27 At the end of paragraph 5C(b)

Add “or”.

28 After paragraph 5C(b)

Insert:

(ba) can benefit under a trust of which the associate is a trustee; or

29 At the end of paragraphs 5C(c) and (d)

Add “or”.

30 After paragraph 5C(d)

Insert:

(da) is a principal for whom the associate acts as an agent; or

31 At the end of paragraphs 5C(e) and (f)

Add “or”.

32 At the end of section 5C

Add:

(2) A natural person (the associate) is also associated with another person if the associate has acquired or disposed of property as a result of dealing with the other person.

(3) The circumstances set out in subsections (1) and (2) are the only circumstances in which a natural person is associated with another person for the purposes of this Act.

33 Subsection 6A(1)

Omit “and paragraphs 55(2)(b), 56(2)(a) and (b), 56(13)(a) and (b) and 57(2)(a) and (b)”, substitute “, paragraphs 55(2)(b), 56B(3)(a) and (b), 56F(1)(a) and (b), 57(2)(a) and (b) and sections 185D and 188A”.

Note: The heading to section 6A is replaced by the heading “Statement of affairs for purposes other than Part XI”.

34 Paragraph 6A(2)(b)

Repeal the paragraph.

35 Paragraph 6A(3)(a)

Omit “who was a bankrupt when the statement was filed, or has since become a bankrupt,”.

36 Subsection 6A(3)

Omit “the bankrupt” (wherever occurring), substitute “the person”.

37 Subsection 6A(4)

Repeal the subsection.

38 Subsection 6B(1)

Omit “subparagraph 188(2)(c)(i),”.

Note: The heading to section 6B is altered by omitting “Part X or XI” and substituting “Part XI”.

39 Paragraph 6B(2)(a)

Repeal the paragraph, substitute:

(a) is in a form that has been:

(i) approved by the Inspector-General for the purposes of the provision under which the statement is made; and

(ii) published in the Gazette; and

40 At the end of section 6B

Add:

(3) If the trustee administering the estate of a deceased person under Part XI has reasonable grounds to suspect that:

(a) any particulars set out in a statement of affairs that was filed by a person under subsection 246(1) or 247(1) are false or misleading in a material respect; or

(b) any material particulars have been omitted from that statement;

the trustee may give the person a written notice requiring the person to provide specified information or books within a specified period of at least 14 days to enable the trustee to decide whether the particulars set out in the statement are correct.

41 Subsection 7(1)

Omit “married women,”.

42 Subsection 7(3)

Omit “the prescribed modifications (if any)”, substitute “any modifications prescribed by the regulations”.

43 Subsection 11(2)

Repeal the subsection, substitute:

(2) The Inspector-General has:

(a) the general administration of this Act; and

(b) the other powers and other functions conferred or imposed on him or her by this Act.

(3) The Inspector-General may exercise any of the powers (including the power under section 18), and perform any of the functions, of an Official Receiver, in the same way as the Official Receiver.

(4) The Inspector-General may by signed instrument delegate to an officer of the Department all or any of the powers and functions of the Inspector-General under this Act.

44 At the end of paragraph 12(1)(a)

Add “and”.

45 At the end of subparagraphs 12(1)(b)(i), (ii) and (iii)

Add “or”.

46 At the end of paragraph 12(1)(b)

Add:

or (vi) property in relation to which the trustee is the controlling trustee under an authority given under section 188; and

47 At the end of subparagraph 12(1)(ba)(i)

Add “or”.

48 After subparagraph 12(1)(ba)(ii)

Insert:

(iia) a debtor under a debt agreement proposal or debt agreement under Part IX; or

(iib) a debtor whose property is subject to control under Division 2 of Part X; or

49 Paragraph 12(1)(c)

Omit “Registrars,”.

50 At the end of subsection 12(1)

Add:

; and (d) must give the Minister, after the end of each financial year, a report on the operation of this Act during that financial year for presentation by the Minister to the Parliament.

51 Subsection 12(1B)

Omit “shall file with the Registrar a report setting out the results of the inquiry or investigation and may file such supplementary reports as the Inspector-General thinks fit”, substitute “may give a copy of the report of the results of the inquiry or investigation to any person the Inspector-General thinks fit”.

52 Paragraphs 12(2)(a) and (b)

Repeal the paragraphs, substitute:

(a) require the production of any books kept by an Official Receiver or by a trustee; and

(b) require a trustee to answer an inquiry made to him or her in relation to any of the following matters in which the trustee is, or has been, engaged:

(i) a bankruptcy;

(ii) the control of property under an authority given under section 188;

(iii) an administration under Part XI;

(iv) a deed of assignment, deed of arrangement, scheme of arrangement or composition; and

53 Paragraph 12(2)(c)

Omit “and”.

54 Paragraph 12(2)(d)

Repeal the paragraph.

55 Subsection 12(3)

Repeal the subsection.

56 Subsection 12(4)

Omit “, or a person authorised in writing by the Inspector-General to exercise the powers of the Inspector-General under this subsection”.

57 Sections 13, 14 and 14A

Repeal the sections, substitute:

13 Bankruptcy Districts

The Inspector-General, by notice in the Gazette, may declare any part, or any parts, of Australia to be a Bankruptcy District for the purposes of this Act.

58 Subsection 15(2)

Repeal the subsection.

59 Subsections 15(4) and (5)

Repeal the subsections, substitute:

(4) An Official Receiver may by signed instrument delegate to an officer of the Department all or any of the powers and functions of the Official Receiver under this Act.

(5) The Court may review an act done by an Official Receiver.

Note: Section 303 explains who may apply to the Court for review of an Official Receiver’s action.

60 Section 16

Omit “, each Registrar and Deputy Registrar”.

Note: The heading to section 16 is replaced by the heading “Appointment of Inspector-General and Official Receivers”.

61 Sections 17A and 17AA

Repeal the sections.

62 Subsection 18(1)

Repeal the subsection, substitute:

(1) The corporation sole known as the Official Trustee in Bankruptcy, that existed immediately before this subsection commenced, continues in existence as a body corporate with the same name.

63 Subsection 18(3)

Repeal the subsection.

64 Subsection 18(8)

Repeal the subsection, substitute:

(8) The Official Receiver for a District may exercise the powers, and perform the functions, of the Official Trustee that relate to a matter that is determined under section 5AA to have originated in that District.

(8AA) In exercising powers or performing functions under subsection (8), an Official Receiver must act in the name of, and on behalf of, the Official Trustee.

65 Subsection 18(8A)

Omit “, or under the authority of,”.

66 Subsections 18(8B) and (8C)

Repeal the subsections, substitute:

(8B) The Inspector-General may exercise any of the powers, and perform any of the functions, of the Official Trustee that are not mentioned in subsection (8).

(8C) In exercising powers or performing functions under subsection (8B), the Inspector-General must act in the name of, and on behalf of, the Official Trustee.

(8D) Anything done by the Inspector-General in the name of, or on behalf of, the Official Trustee is taken to have been done by the Official Trustee.

67 Subsection 18(9)

Omit “or of the repealed Act in its continued application by virtue of this Act”.

68 Paragraph 18(9)(a)

Omit “, or with the authority of, any Official Receiver”, substitute “a person who may exercise the power or perform the function under subsection (8) or (8B)”.

69 Paragraph 18(9)(b)

Omit “by, or with the authority of, any Official Receiver, in the exercise of such a power, or performance of such a function,”.

70 At the end of paragraphs 18A(1)(a), (b), (c) and (d)

Add “or”.

71 Paragraph 18A(1)(e)

Omit “or” (last occurring).

72 Paragraph 18A(1)(f)

Repeal the paragraph.

73 At the end of subsection 18A(2)

Add:

; or (c) for any act done, or omitted to be done, by the Official Trustee:

(i) under Part IX; or

(ii) under the authority contained in a debt agreement to deal with the property of the person who is a party (as debtor) to the agreement.

74 Subsections 19(1) to (1D)

Repeal the subsections, substitute:

(1) The duties of the trustee of the estate of a bankrupt include the following:

(a) notifying the bankrupt’s creditors of the bankruptcy;

(b) determining whether the estate includes property that can be realised to pay a dividend to creditors;

(c) reporting to creditors within 3 months of the date of the bankruptcy on the likelihood of creditors receiving a dividend before the end of the bankruptcy;

(d) giving information about the administration of the estate to a creditor who reasonably requests it;

(e) determining whether the bankrupt has made a transfer of property that is void against the trustee;

(f) taking appropriate steps to recover property for the benefit of the estate;

(g) taking whatever action is practicable to try to ensure that the bankrupt discharges all of the bankrupt’s duties under this Act;

(h) considering whether the bankrupt has committed an offence against this Act;

(i) referring to relevant law enforcement authorities any evidence of an offence by the bankrupt against this Act;

(j) administering the estate as efficiently as possible by avoiding unnecessary expense;

(k) exercising powers and performing functions in a commercially sound way.

75 Section 19AA

Repeal the section, substitute:

19AA Power of investigation of bankrupt’s affairs

(1) A registered trustee who is the trustee of the estate of a bankrupt may investigate:

(a) the bankrupt’s conduct and examinable affairs; and

(b) books, accounts and records kept by the bankrupt;

so far as they relate to the bankruptcy.

(2) An Official Receiver may investigate:

(a) any bankrupt’s conduct and examinable affairs; and

(b) books, accounts and records kept by the bankrupt;

so far as they relate to the bankruptcy.

76 Subsection 19A(1)

Omit “or under the Bankruptcy Act 1924-1965 in its continued application by virtue of this Act” (wherever occurring).

77 Subsection 19A(2)

Omit “or the Bankruptcy Act 1924-1965 in its continued application by virtue of this Act”.

78 Subsection 19A(3)

Omit “, a Deputy Registrar” (wherever occurring).

Note: The heading to section 19A is altered by omitting “Registrars, Deputy Registrars,”.

79 Sections 19B and 20

Repeal the sections.

80 Subsection 20B(7)

Omit “or of the Bankruptcy Act 1924-1965 in its continued application by virtue of this Act”.

81 Subsection 20D(5)

Repeal the subsection.

82 At the end of subparagraph 20J(1)(b)(i)

Add “or”.

83 Subparagraph 20J(1)(b)(ii)

Omit “or” (last occurring).

84 Subparagraph 20J(1)(b)(iii)

Repeal the subparagraph.

85 Subsection 20J(2)

Omit “Registrar”, substitute “Inspector-General”.

86 Subsection 20J(2)

After “prescribed”, insert “by the regulations”.

87 Subsection 20J(4)

After “prescribed”, insert “by the regulations”.

88 Sections 23 and 24

Repeal the sections.

89 Subsection 27(1)

Repeal the subsection, substitute:

(1) The Federal Court has jurisdiction in bankruptcy, and that jurisdiction is exclusive of the jurisdiction of courts other than the jurisdiction of:

(a) the Federal Court of Bankruptcy under subsection (1A); and

(b) the High Court under section 75 of the Constitution.

90 Subsections 27(2) and (3)

Repeal the subsections.

91 Subsections 28(1), (2) and (3)

Repeal the subsections.

Note: The heading to section 28 is replaced by the heading “Powers of the Federal Court of Bankruptcy”.

92 Subsection 28(4)

Omit “and the Supreme Court of the Northern Territory of Australia each”.

93 Paragraph 29(5)(b)

After “prescribed”, insert “by the regulations”.

Note: The heading to section 29 is replaced by the heading “Courts to help each other”.

94 Paragraph 30(1)(a)

Omit “X or Part”, substitute “IX, X or”.

95 Subsection 30(4)

Repeal the subsection.

96 Paragraph 31(1)(h)

Repeal the paragraph.

97 Section 31A

Repeal the section

98 Subsection 33(2)

Repeal the subsection.

99 Section 35

Repeal the section.

100 Subparagraph 35A(3)(f)(iv)

Omit “in Bankruptcy, a Deputy Registrar in Bankruptcy or a Registrar of the Federal Court”.

101 Subsection 36(2)

Omit “the hand of the Registrar and”.

102 Section 38

Omit “by a State Court exercising jurisdiction in bankruptcy, by the Supreme Court of the Northern Territory exercising jurisdiction in bankruptcy or”.

103 Paragraph 40(1)(da)

Omit “Registrar”, substitute “Official Receiver”.

104 Subparagraph 40(1)(g)(i)

Omit “fixed by the Registrar by whom the notice was issued”, substitute “specified in the notice”.

105 After paragraph 40(1)(h)

Insert:

(ha) if the debtor gives the Official Trustee a debt agreement proposal;

(hb) if a debt agreement proposal given by the debtor to the Official Trustee is accepted by the debtor’s creditors;

(hc) if the debtor breaches a debt agreement;

(hd) if a debt agreement to which the debtor was a party (as a debtor) is terminated under section 185P or 185Q;

106 Paragraph 40(1)(l)

Repeal the paragraph, substitute:

(l) if creditors at a meeting called under an authority given under section 188 pass a special resolution that the debtor should become a bankrupt;

(la) if the debtor fails, without sufficient cause, to comply with the requirements of this Act relating to executing a deed of assignment or a deed of arrangement after a special resolution of creditors at a meeting called under an authority given under section 188 requires the debtor to execute such a deed;

107 Paragraph 40(1)(m)

Omit “or” (last occurring).

108 Paragraph 40(1)(n)

Omit “and, before the annulment, the debtor’s bankruptcy has been annulled”.

109 Paragraph 40(3)(c)

Repeal the paragraph.

110 Paragraph 40(3)(f)

Omit “, being maintenance that was:”.

111 Subparagraphs 40(3)(f)(i) and (ii)

Repeal the subparagraphs.

112 Subsection 40(4)

Omit “by post to the creditors in accordance with section 194”, substitute “to the creditors”.

113 Subsection 40(5)

Repeal the subsection, substitute:

(5) The act of bankruptcy specified in paragraph (1)(la) is committed on the day immediately after the end of the period within which the special resolution requires the debtor to execute the deed.

114 Subsections 41(1) to (2C)

Repeal the subsections, substitute:

(1) An Official Receiver may issue a bankruptcy notice on the application of a creditor who has obtained against a debtor a final judgment or final order that:

(a) is described in paragraph 40(1)(g); and

(b) is for an amount of at least $2,000.

(2) The notice must be in accordance with the form prescribed by the regulations.

115 Subsection 41(4)

Repeal the subsection.

116 Subsection 41(6A)

Omit “by the Court or the Registrar”.

117 Paragraph 41(6A)(b)

Repeal the paragraph, substitute:

(b) an application has been made to the Court to set aside the bankruptcy notice;

118 Subsection 41(6B)

Repeal the subsection.

119 Paragraph 41(6C)(a)

Omit “or the Registrar”.

120 Subsection 41(6C)

Omit “or the Registrar, as the case may be,” (wherever occurring).

121 Subsection 41(7)

Omit “filed with the Registrar an affidavit to the effect that he”, substitute “applied to the Court for an order setting aside the bankruptcy notice on the ground that the debtor”.

122 Subsections 41(8) and (9)

Repeal the subsections.

123 Paragraph 44(1)(a)

Omit “$1,500” (wherever occurring), substitute “$2,000”.

124 Subsection 44(5)

Omit “the prescribed time”, substitute “3 months”.

125 Subsection 47(1)

Repeal the subsection, substitute:

(1) A creditor’s petition must be verified by an affidavit of a person who knows the relevant facts.

(1A) If the rules of court prescribe a form for the purposes of this subsection, the petition must be in the form prescribed.

126 Subsection 50(1)

Repeal the subsection, substitute:

(1) At any time after a bankruptcy notice is issued in relation to a debtor, but before the debtor becomes a bankrupt, the Court may:

(a) direct the Official Trustee or a specified registered trustee to take control of the debtor’s property; and

(b) make any other orders in relation to the property.

(1A) The Court may give a direction or make an order only if:

(a) a creditor has applied for the Court to make a direction; and

(b) the Court is satisfied that it is in the interests of the creditors to do so; and

(c) the debtor has not complied with the bankruptcy notice.

(1B) If the Court directs a trustee to take control of the debtor’s property, the Court must specify when the control is to end.

127 Subsection 50(5)

Omit “the prescribed modifications (if any)”, substitute “any modifications prescribed by the regulations”.

128 After subsection 52(1)

Insert:

(1A) If the Court makes a sequestration order, the creditor who obtained the order must give a copy of it to the Official Receiver for the District in which the order was made.

129 Paragraph 54(1)(a)

Omit “Registrar”, substitute “Official Receiver”.

130 At the end of subsection 54(1)

Add:

Penalty: 5 Penalty units.

131 Paragraph 54(2)(a)

Omit “Registrar”, substitute “Official Receiver”.

132 At the end of subsection 54(2)

Add:

Penalty: 5 penalty units.

133 Subsections 54(3) and (3A)

Repeal the subsections.

134 Subsection 54(4)

Omit “prescribed fee”, substitute “fee prescribed by the regulations”.

135 Section 54A

Omit “Registrar a declaration, in accordance with the prescribed”, substitute “Official Receiver a declaration, in the approved”.

136 Section 54C

Omit “Registrar” (wherever occurring), substitute “Official Receiver”.

137 Paragraph 54C(a)

Omit “prescribed”, substitute “approved”.

138 Subparagraph 54C(a)(ii)

Omit “and seal”.

139 Subsection 54D(1)

Repeal the subsection, substitute:

(1) Before accepting a declaration presented by a debtor under section 54A, the Official Receiver must give the debtor the information prescribed by the regulations.

Note: The heading to section 54D is replaced by the heading “Official Receiver to give information to debtor”.

140 Subsection 54D(2)

Omit “Registrar’s”, substitute “Official Receiver’s”.

141 Subsection 54E(1)

Omit “sealed copy of the declaration”, substitute “copy of the declaration signed by the Official Receiver who accepted it”.

142 Subsection 54F(1)

Omit “sealed copy of the declaration”, substitute “copy of the declaration signed by the Official Receiver who accepted it”.

143 Section 54G

Omit “sealed copy of the declaration”, substitute “copy of the declaration signed by the Official Receiver who accepted it”.

144 Subsection 54H(1)

Omit “sealed copy of the declaration”, substitute “copy of the declaration signed by the Official Receiver who accepted it”.

145 Paragraph 54H(2)(b)

Omit “sealed”, substitute “signed”.

146 Subsection 54H(4)

Repeal the subsection.

147 Subsection 55(1)

Omit “Registrar”, substitute “Official Receiver”.

148 Paragraph 55(2)(a)

Omit “prescribed”, substitute “approved”.

149 Subsections 55(3), (3A) and (4)

Repeal the subsections, substitute:

(3) The Official Receiver may reject a debtor’s petition if:

(a) the petition does not comply substantially with the approved form; or

(b) the petition is not accompanied by a statement of affairs; or

(c) the Official Receiver thinks that the statement of affairs accompanying the petition is inadequate.

(3A) Before accepting a debtor’s petition the Official Receiver must give the debtor the information prescribed by the regulations.

(3B) The Official Receiver must refer a debtor’s petition to the Court for a direction to accept or reject it if there is a creditor’s petition pending against a group of debtors (whether they are joint debtors or members of a partnership) that includes the debtor against whom the debtor’s petition is presented.

Example 1: When Anna presents a debtor’s petition against herself, there is a creditor’s petition pending against Anna and Tim as joint debtors. The Official Receiver must refer the debtor’s petition to the Court.

Example 2: When Peter presents a debtor’s petition against himself, there are 2 creditor’s petitions pending against him alone. The Official Receiver is not required to refer the debtor’s petition to the Court, because Peter does not form a group by himself.

(3C) If the Court directs the Official Receiver to accept the debtor’s petition, the Court must specify the time of the commencement of the bankruptcy that results from acceptance of the debtor’s petition.

(4) The Official Receiver must accept a debtor’s petition, unless the Official Receiver rejects it under subsection (3) or is directed by the Court to reject it.

150 Subsection 55(4A)

Omit “Registrar” (wherever occurring), substitute “Official Receiver”.

151 Subsection 55(5)

Repeal the subsection, substitute:

(5) If a registered trustee is the trustee of the estate of a debtor who becomes a bankrupt under this section, the Official Receiver must:

(a) notify the trustee of the bankruptcy; and

(b) give the trustee a copy of the statement of affairs that accompanied the debtor’s petition.

(5A) A debtor who is a party (as debtor) to a debt agreement must not present a debtor’s petition unless the Court gives the debtor permission to do so.

152 After subsection 55(6)

Insert:

(6AA) A debtor must not present a debtor’s petition if:

(a) the debtor’s creditors have passed a special resolution under Part X stating that the debtor should become a bankrupt; and

(b) the debtor has not been given the Court’s permission to present a debtor’s petition.

153 Subsection 55(7)

Omit “(6)”, substitute “(5A), (6), (6AA)”.

154 Subsection 55(9)

Omit “prescribed fee”, substitute “fee prescribed by the regulations”.

155 Section 56

Repeal the section, substitute:

56A Persons who may present a debtor’s petition against a partnership

(1) A debtor’s petition against a partnership may be presented by:

(a) all the partners; or

(b) a majority of the partners who are resident in Australia.

(2) A member of a partnership who is a party (as debtor) to a debt agreement must not join in presenting a debtor’s petition against the partnership unless the Court gives the member permission to do so.

(3) A member of a partnership who has executed a deed of assignment under Part X must not join in presenting a petition against the partnership unless the deed has been declared void, the final dividend has been paid under the deed or the Court gives permission for the member to join in presenting a petition against the partnership.

(4) A member of a partnership who has executed a deed of arrangement under Part X must not join in presenting a petition against the partnership unless the deed has been declared void or has been terminated or the Court gives permission for the member to join in presenting a petition against the partnership.

(5) A member of a partnership whose creditors have accepted a composition under Part X must not join in presenting a petition against the partnership unless the composition has been declared void, has been set aside or terminated, the final payment has been made under the composition or the Court gives permission for the member to join in presenting a petition against the partnership.

(6) A member of a partnership must not join in presenting a debtor’s petition against the partnership if:

(a) the member’s creditors have passed a special resolution under Part X stating that the member should become a bankrupt; and

(b) the member has not been given the Court’s permission to join in presenting the debtor’s petition.

(7) A member of a partnership in relation to whom a stay under a proclaimed law applies must not join in presenting a petition against the partnership unless the Court gives the member permission to do so.

(8) If a member of a partnership contravenes subsection (2), (3), (4), (5), (6) or (7) by joining in the presentation of a petition, the petition does not have any effect.

56B Presentation of a debtor’s petition against a partnership

(1) Any debtor’s petition against a partnership must be presented to the Official Receiver.

(2) A petition must be in accordance with the approved form.

(3) A petition must be accompanied by:

(a) a statement of affairs of each member of the partnership by whom the petition is presented; and

(b) a statement of the partnership affairs; and

(c) a copy of each of those statements.

(4) The Official Receiver may reject a petition if:

(a) the petition does not comply substantially with the approved form; or

(b) the petition is not accompanied by the statements of affairs of each petitioning partner and of the partnership; or

(c) the Official Receiver thinks that any of the statements of affairs accompanying the petition is inadequate.

(5) Before accepting a debtor’s petition against a partnership, the Official Receiver must give the information prescribed by the regulations to each member of the partnership who joined in presenting the petition.

56C Referral to the Court of a debtor’s petition against a partnership

(1) The Official Receiver must refer a debtor’s petition against a partnership to the Court for a direction to accept or reject the petition if either or both of the following conditions are met:

(a) the petition was presented against the partnership by some, but not all, members of the partnership;

(b) there is at least one creditor’s petition pending against at least one of the members of the partnership (not counting a creditor’s petition against all the members of the partnership and no-one else).

Example 1: Edith, Lindsay and Bertha are the members of a partnership. When Edith and Lindsay present a debtor’s petition against the partnership there is a creditor’s petition pending against Bertha. The Official Receiver must refer the debtor’s petition to the Court.

Example 2: Keith, Leigh and Judith are the members of a partnership. When they all present a debtor’s petition against the partnership, there are 2 creditor’s petitions pending: one against Keith, Leigh and Judith, the other against Judith alone. The Official Receiver must refer the debtor’s petition to the Court.

Example 3: Meredith, Ramsay and Wilson are the members of a partnership. When they all present a debtor’s petition against the partnership, there are 2 creditor’s petitions pending. Both of the creditor’s petitions are against Meredith, Ramsay and Wilson (and no-one else). There is no requirement for the Official Receiver to refer the debtor’s petition to the Court.

(2) If the Official Receiver refers a petition to the Court because the petition was presented by some, but not all, of the members of the partnership, the Official Receiver must give notice in accordance with the regulations to the members who did not present the petition.

(3) After a petition has been referred to the Court, the Court must direct the Official Receiver:

(a) to accept the petition in the form in which it was referred to the Court; or

(b) to accept the petition after amending it as directed by the Court; or

(c) to reject the petition.

(4) If:

(a) a debtor’s petition is presented against a partnership that includes a person to whom a stay applies under a proclaimed law; and

(b) the person is not one of the petitioning partners;

the Court must not give a direction in relation to the petition until the person administering the proclaimed law has had an opportunity to be heard.

(5) If the Court directs the Official Receiver to accept (either with or without amendments) a petition referred to the Court, the Court must specify the time of the commencement of the bankruptcy of each of the persons who becomes a bankrupt as a result of the acceptance of the petition.

56D Acceptance of a debtor’s petition against a partnership by the Official Receiver

(1) The Official Receiver must accept a debtor’s petition against a partnership unless the Official Receiver rejects it under section 56B or is directed by the Court to reject the petition.

(2) When the Official Receiver accepts the petition, the Official Receiver must note on it the fact that it has been accepted.

56E Effects of acceptance of a debtor’s petition against a partnership

(1) When the Official Receiver notes the fact of acceptance on a petition that has not been amended under a direction of the Court, each member of the partnership becomes a bankrupt by force of this section.

(2) When the Official Receiver notes the fact of acceptance on a petition that has been amended under a direction of the Court, each member of the partnership to whom the petition applies becomes a bankrupt by force of this section.

(3) A person who becomes a bankrupt by force of this section continues to be a bankrupt until:

(a) he or she is discharged by force of subsection 149(1) or in accordance with Division 3 of Part VII; or

(b) his or her bankruptcy is annulled by force of subsection 74(5) or 153A(1) or under section 153B.

(4) If a registered trustee is the trustee of the estate of a person who becomes a bankrupt under this section, the Official Receiver must:

(a) notify the trustee of the bankruptcy; and

(b) give the trustee a copy of each statement of affairs that accompanied the debtor’s petition.

56F Extra duties of non-petitioning partners who become bankrupts

(1) A member of a partnership who did not join in presenting a debtor’s petition against the partnership but became a bankrupt as a result of the acceptance of the petition must give the Official Receiver:

(a) a statement of the member’s affairs; and

(b) a statement of the affairs of the partnership;

within 14 days after the day that the member was notified of his or her bankruptcy, unless the member has a reasonable excuse.

Penalty: 5 Penalty units.

(2) A member of a partnership complies with paragraph (1)(b) if the member and at least one other member of the partnership who did not join in presenting the petition against the partnership jointly give the Official Receiver a statement of the affairs of the partnership.

(3) A member of a partnership who must give statements of affairs to the Official Receiver under subsection (1) must give copies of the statements to the trustee in the member’s bankruptcy if the trustee is a registered trustee.

56G Inspection of statements of affairs of partners and partnerships

(1) A person may inspect, copy, or take extracts from, any statement of affairs that was given to the Official Receiver in connection with a debtor’s petition against a partnership.

(2) Before inspecting, copying or taking extracts from a statement, the person must pay the fee prescribed by the regulations, unless:

(a) the person states in writing that he or she is a creditor of the partnership or of a member of the partnership who became a bankrupt as a result of the petition; or

(b) the person is an agent of a person described in paragraph (a).

156 Subsection 57(1)

Omit “Registrar”, substitute “Official Receiver”.

157 Subsection 57(2)

Omit “prescribed”, substitute “approved”.

158 Subsections 57(3), (3A) and (4)

Repeal the subsections, substitute:

(3) The Official Receiver may reject a debtor’s petition if:

(a) the petition does not comply substantially with the approved form; or

(b) the petition is not accompanied by all the statements of affairs required by subsection (2); or

(c) the Official Receiver thinks that any of the statements of affairs accompanying the petition is inadequate.

(3A) Before accepting a debtor’s petition against joint debtors, the Official Receiver must give each petitioning debtor the information prescribed by the regulations.

(3B) The Official Receiver must refer a debtor’s petition to the Court for a direction to accept or reject it if there is at least one creditor’s petition that:

(a) is pending against at least one of the debtors (whether or not the creditor’s petition also relates to other persons); and

(b) does not relate only to all the joint debtors who presented the debtor’s petition.

Example 1: Peta and Abdul are joint debtors. When they present a debtor’s petition against themselves, there is a creditor’s petition pending against Abdul. The Official Receiver must refer the debtor’s petition to the Court, because the creditor’s petition does not relate to both Peta and Abdul.

Example 2: Joan and Craig are joint debtors. When they present a debtor’s petition against themselves, there is a creditor’s petition pending against Joan, Craig and Paul. The Official Receiver must refer the debtor’s petition to the Court.

Example 3: Kim, Robin and Jane are joint debtors. When they present a debtor’s petition against themselves, there is a creditor’s petition pending against Kim, Robin and Jane, and no-one else. The Official Receiver is not required to refer the debtor’s petition to the Court.

(3C) If the Court directs the Official Receiver to accept the debtor’s petition, the Court must specify the time of the commencement of each bankruptcy that results from acceptance of the debtor’s petition.

(4) The Official Receiver must accept a debtor’s petition, unless the Official Receiver rejects it under subsection (3) or is directed by the Court to reject it.

159 Subsection 57(5)

Omit “Registrar” (wherever occurring), substitute “Official Receiver”.

160 Subsection 57(6)

Repeal the subsection, substitute:

(6) If a registered trustee is the trustee of the estate of a person who becomes a bankrupt under this section, the Official Receiver must:

(a) notify the trustee of the bankruptcy; and

(b) give the trustee a copy of each statement of affairs that accompanied the debtor’s petition.

(6A) A debtor who is a party (as debtor) to a debt agreement must not present a debtor’s petition unless the Court gives the debtor permission to do so.

161 After subsection 57(7)

Insert:

(7A) A debtor must not present a debtor’s petition if:

(a) the debtor’s creditors have passed a special resolution under Part X stating that the debtor should become a bankrupt; and

(b) the debtor has not been given the Court’s permission to present a debtor’s petition.

162 Subsection 57(9)

Omit “(7)”, substitute “(6A), (7), (7A)”.

163 Subsection 57(11)

Omit “prescribed fee”, substitute “fee prescribed by the regulations”.

164 Section 57A

Omit “Registrar”, substitute “Official Receiver”.

165 Subsection 63A(1) (paragraph (b) of the definition of joint bankruptcy)

Omit “56”, substitute “56E”.

166 After paragraph 64D(a)

Insert:

(aa) if the creditor has been assigned a debt that the bankrupt owes to the creditor—the value of the consideration that the creditor gave for the assignment of the debt; and

167 Paragraph 64G(l)

Omit “his or her remuneration to be fixed by the Registrar”, substitute “to be remunerated as prescribed by the regulations”.

168 Subsection 64U(2)

Omit “his or her remuneration to be fixed by the Registrar under subsection 162(4)”, substitute “to be remunerated as prescribed by the regulations”.

169 Paragraph 64Z(5)(d)

Omit “file the certificate with the Registrar”, substitute “keep it and allow the bankrupt, a creditor or an officer of the Department to inspect it at any reasonable time”.

170 At the end of section 64ZB

Add:

(8) For the purposes of determining whether a motion proposed at the meeting is resolved, the value of a creditor who:

(a) has been assigned a debt; and

(b) is present at the meeting personally, by telephone, by attorney or by proxy; and

(c) is voting on the motion;

is to be worked out by taking the value of the assigned debt to be equal to the value of the consideration that the creditor gave for the assignment of the debt.

171 After subsection 73(2)

Insert:

(2A) The report must indicate whether the proposal would benefit the bankrupt’s creditors generally.

172 Subsection 74(5A)

Omit “to the Registrar a written certificate”, substitute “the Official Receiver a written notice”.

173 Subsection 74(5B)

Repeal the subsection.

174 Subsection 76(1)

Omit “the prescribed modifications (if any)”, substitute “any modifications prescribed by the regulations”.

175 Subsection 76(2)

Omit “prescribed modifications”, substitute “modifications prescribed by the regulations”.

176 Section 76A

Omit “rules”, substitute “regulations”.

177 Subsection 77AA(1)

Omit “and for that purpose may make copies of, or take extracts from, any such book.”, substitute:

and for that purpose:

(a) may make copies of, or take extracts from, books; and

(b) may remove from premises any books that the Official Receiver or officer reasonably considers may be relevant to the examinable affairs of:

(i) a bankrupt whose affairs are being administered under Part IV; or

(ii) a person who is a party (as debtor) to a debt agreement; or

(iii) a debtor whose affairs are being administered under Part X; or

(iv) a deceased debtor whose affairs are being administered under Part XI or are subject to a debt agreement.

178 After subsection 77AA(1)

Insert:

(1A) A registered trustee may accompany and assist the Official Receiver or an officer exercising powers under subsection (1) if:

(a) the Official Receiver has given written authority for the registered trustee to do so; and

(b) the exercise of the powers under subsection (1) relates to a bankrupt, debtor or deceased debtor whose affairs the registered trustee is administering.

(1B) The registered trustee may be accompanied by a person nominated by the registered trustee.

(1C) The Official Receiver or officer may remove books from premises only if the Official Receiver or officer reasonably considers that:

(a) it is not reasonably practicable to make copies of, or take extracts from, the books on the premises; or

(b) it would be an unreasonable intrusion on the affairs of the occupier of the premises to remain on the premises to make copies of, or take extracts from, the books.

(1D) If the Official Receiver or officer reasonably believes that any books are, or may be, relevant to the examinable affairs of a bankrupt, a person who is a party (as debtor) to a debt agreement, a debtor whose affairs are being administered under Part X or a deceased debtor whose affairs are being administered under Part XI, the Official Receiver or officer may keep the books until he or she decides that:

(a) he or she no longer needs the books; or

(b) the books are not relevant to the examinable affairs of any bankrupt, person who is a party (as debtor) to a debt agreement, debtor or deceased debtor.

(1E) While the Official Receiver or officer is keeping books, a person whose books they are, or from whose premises the books were taken, may inspect the books at any reasonable time.

Note: The heading to section 77AA is altered by inserting “and others” after “Official Receiver”.

179 Subsections 77E(3), (4) and (5)

Omit “rules” (wherever occurring), substitute “regulations”.

180 Section 79

Repeal the section.

181 Subsection 80(1)

Omit “the Registrar and”.

182 Subsection 80(4)

Repeal the subsection.

183 Subsection 81(1)

Omit “the Registrar”, substitute “a Registrar”.

184 Subsection 81(16)

Repeal the subsection.

185 Subsection 81(17)

Omit “(being a transcript certified, or certified, signed and sealed, in pursuance of section 255)”.

186 Paragraph 81(17)(b)

Omit “prescribed fee”, substitute “fee prescribed by the regulations”.

187 Subsection 82(1A)

Repeal the subsection, substitute:

(1A) Without limiting subsection (1), debts referred to in that subsection include a debt consisting of all or part of a sum that became payable by the bankrupt under a maintenance agreement or maintenance order before the date of the bankruptcy.

188 Paragraph 84(2)(b)

Omit “prescribed”, substitute “approved”.

189 Subsection 84(3)

Omit “notice, in accordance with the prescribed form,”, substitute “written notice”.

190 Subsection 84(4)

Repeal the subsection, substitute:

(4) A statutory declaration verifying matters in a proof of debt lodged by a creditor may be made by:

(a) the creditor; or

(b) a person whose own knowledge includes the facts set out in the statutory declaration and the proof of debt, and who is authorised by the creditor to make the declaration.

191 Subsection 85(2)

Omit “prescribed”, substitute “approved”.

192 Subsection 85(2A)

Omit “notice, in accordance with the prescribed form,”, substitute “written notice”.

193 Subsection 85(2B)

Repeal the subsection, substitute:

(2B) A statutory declaration verifying matters in a proof of debt lodged by a person (the creditor) under this section may be made by:

(a) the creditor; or

(b) another person whose own knowledge includes the facts set out in the statutory declaration and the proof of debt, and who is authorised by the creditor to make the declaration.

194 Subsection 91(2)

Omit “or, in default of agreement, as the Registrar directs”.

195 Subsection 99(2)

After “rules”, insert “of court”.

196 Paragraph 109(1)(a)

Omit “rules”, substitute “regulations”.

197 Paragraph 109(1)(a)

Omit “, not being an audit carried out by the Auditor-General”.

198 Paragraph 109(1)(b)

Repeal the paragraph, substitute:

(b) second, if the bankrupt had signed an authority under section 188 before the date of the bankruptcy, in payment of:

(i) the remuneration of the controlling trustee (as defined in section 187); and

(ii) the costs, charges and expenses properly and reasonably incurred by the controlling trustee while the authority was in force (including any debts incurred by the controlling trustee that are provable in the bankruptcy);

199 Paragraph 109(1)(e)

After “prescribed”, insert “by the regulations”.

200 After subsection 109(7)

Insert:

(7A) The trustee must keep the minutes of the meeting, and a written record of the terms of a special resolution, referred to in paragraph (1)(j).

(7B) The trustee must allow a creditor or an officer of the Department to inspect the minutes and record at any reasonable time.

201 Subsection 109(8)

Repeal the subsection, substitute:

(8) A payment must not be made under paragraph (1)(j) until 28 days after the day on which the special resolution referred to in that paragraph was passed.

202 Subsection 114(2) (definitions of composition, deed of arrangement, deed of assignment and scheme of arrangement)

Repeal the definitions.

203 Subsection 115(2)

Repeal the subsection, substitute:

(2) The bankruptcy of a person who becomes a bankrupt as a result of the acceptance of a debtor’s petition is taken to have relation back to, and to have commenced at, the time indicated in the following table.