Cap 6 - BANKRUPTCY ORDINANCE 1

Chapter: 6 BANKRUPTCY ORDINANCE Gazette Number Version Date

Long title 30/06/1997


BANKRUPTCY ORDINANCE*

To amend the law relating to bankruptcy.


[1 January 1932]

(Originally 10 of 1931 (Cap 6, 1950 Ed.))

__________________________________________________________________________________
Note:
*This Ordinance was amended by the Bankruptcy (Amendment) Ordinance 2005 (18 of 2005). The transitional

and savings provisions contained in s. 49 of that Amendment Ordinance are reproduced as follows:

"49. Transitional and savings provisions


(1) Notwithstanding anything contained in this Ordinance, the amendments effected under this
Ordinance (except sections 12, 19 and 32) shall not apply to any case in which the bankruptcy petition
was presented before the commencement date, and such case shall continue and be disposed of as if
this Ordinance had not been enacted.

(2) This section is in addition to and not in derogation of section 23 of the Interpretation and
General Clauses Ordinance (Cap 1).

(3) For the purpose of this section, #“commencement date” (生效日期) means the day appointed
by the Secretary for Financial Services and the Treasury under section 1(2) of this Ordinance.".


# Commencement date: 10 December 2007.


Part: I SHORT TITLE AND INTERPRETATION 30/06/1997




Section: 1 Short title 30/06/1997


This Ordinance may be cited as the Bankruptcy Ordinance.

Section: 2 Interpretation L.N. 185 of 2007 10/12/2007


In this Ordinance, unless the context otherwise requires-
"affidavit" (誓章) includes statutory declaration, affirmation and attestation on honour;
"bailiff" (執達主任) includes any officer charged with the execution of a writ or other process;
"bankruptcy debt" (破產債項), in relation to a bankrupt, means-

(a) any debt or liability to which he is subject at the commencement of the bankruptcy; and
(b) any debt or liability to which he may become subject after the commencement of the bankruptcy

(including after his discharge from bankruptcy) by reason of any obligation incurred before the
commencement of the bankruptcy; (Added 76 of 1996 s. 2)

"court" (法院、法庭) means the Court of First Instance sitting in its bankruptcy jurisdiction; (Amended 92 of 1975
s. 59; 25 of 1998 s. 2)

"debt provable in bankruptcy" (破產案中可證債權、破產案中可證債項) or "provable debt" (可證債權、可證
債項) includes any debt or liability by this Ordinance made provable in bankruptcy;

"goods" (貨品) includes all chattels personal;
"nominee" (代名人) means the Official Receiver or some person who by reason of his experience and qualifications



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is, in the opinion of the court, a suitable person to perform the duties of the nominee specified in sections 20A,
20D, 20E and 20G; (Added 76 of 1996 s. 2)

"oath" (誓言) includes affirmation, declaration and attestation on honour;
"Official Receiver" (破產管理署署長) means the Official Receiver appointed under section 75; (Added 47 of 1984

s. 2)
"ordinary resolution" (普通決議) means a resolution decided by a majority in value of the creditors present,

personally or by proxy, at a meeting of creditors and voting on the resolution;
"prescribed" (訂明) means prescribed by general rules within the meaning of this Ordinance;
"property" (財產) includes money, goods, things in action, land and every description of property, whether real or

personal and whether situate in Hong Kong or elsewhere, also obligations, easements and every description of
estate, interest and profit, present or future, vested or contingent, arising out of or incident to property as above
defined; (Amended 47 of 1984 s. 16)

"proposal" (建議) means a proposal for a voluntary arrangement made to his creditors by a debtor; (Added 76 of
1996 s. 2)

"provisional trustee" (暫行受託人), in relation to a bankrupt, means-
(a) where no person is appointed as provisional trustee of the property of the bankrupt under section

12(1A), the Official Receiver; or
(b) where any person is appointed as provisional trustee of the property of the bankrupt under section

12(1A), the person; (Added 18 of 2005 s. 2)
"Registrar" (司法常務官) means the Registrar of the High Court, and any Senior Deputy Registrar, Deputy Registrar

or Assistant Registrar of the High Court; (Replaced 47 of 1984 s. 2. Amended 25 of 1998 s. 2; 10 of 2005 s.
167)

"resolution" (決議) means ordinary resolution;
"secured creditor" (有抵押債權人) means a person holding a mortgage, charge or lien on the property of the debtor

or any part thereof, as a security for a debt due to him from the debtor;
"special resolution" (特別決議) means a resolution decided by a majority in number and three-fourths in value of the

creditors present, personally or by proxy, at a meeting of creditors and voting on the resolution;
"trustee" (受託人) means, subject to section 58(1B), the trustee in bankruptcy of a bankrupt's estate; (Amended 76 of

1996 s. 72; 18 of 2005 s. 2)
"voluntary arrangement" (自願安排) means a composition in satisfaction of a debtor's debts or a scheme of

arrangement of a debtor's affairs. (Added 76 of 1996 s. 2)
(Amended 76 of 1996 s. 2)
[cf. 1914 c. 59 s. 167 U.K.]


Part: II PROCEEDINGS FROM BANKRUPTCY PETITION TO

DISCHARGE*
L.N. 158 of 1998 01/04/1998


_____________________________________________________________________

Note:

* (Replaced 76 of 1996 s. 3)

Section: 3 Who may present a bankruptcy petition L.N. 158 of 1998 01/04/1998


(1) A petition for a bankruptcy order to be made against a debtor may be presented to the court-
(a) by one of the debtor's creditors or jointly by more than one of them;
(b) by the debtor himself;
(c) by the nominee of, or any person (other than the debtor) who is for the time being bound by, a

voluntary arrangement proposed by the debtor and approved by his creditors; or
(d) where a criminal bankruptcy order has been made against the debtor, by the Official Petitioner.

(2) Subject to the following provisions of this Part, the court may make a bankruptcy order on any such
petition.



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(Replaced 76 of 1996 s. 4)

Section: 4 Conditions to be satisfied in respect of debtor L.N. 158 of 1998 01/04/1998


(1) A bankruptcy petition shall not be presented to the court under section 3(1)(a) or (b) unless the debtor-
(a) is domiciled in Hong Kong;
(b) is personally present in Hong Kong on the day on which the petition is presented; or
(c) at any time in the period of 3 years ending with that day-

(i) has been ordinarily resident, or has had a place of residence, in Hong Kong; or
(ii) has carried on business in Hong Kong.

(2) The reference in subsection (1)(c) to a debtor carrying on business includes-
(a) the carrying on of business by a firm or partnership of which the debtor is a member; and
(b) the carrying on of business by an agent or manager for the debtor or for such a firm or partnership.

(Replaced 76 of 1996 s. 4)

Section: 5 Other preliminary conditions L.N. 158 of 1998 01/04/1998


(1) Where a bankruptcy petition relating to a debtor is presented by a person who is entitled to present a
petition under 2 or more paragraphs of section 3(1), the petition is to be treated for the purposes of this Part as a
petition under whichever of those paragraphs is specified in the petition.

(2) A bankruptcy petition shall not be withdrawn without the leave of the court.
(3) The court has a general power, if it appears to it appropriate to do so on the grounds that there has been a

contravention of rules or for any other reason, to dismiss a bankruptcy petition or to stay such a petition and, where it
stays such a petition, it may do so on such terms and conditions as it thinks fit.

(4) Without prejudice to subsection (3), where a petition under section 3(1)(a), (b) or (c) in respect of a debtor
is pending at a time when a criminal bankruptcy order is made against him, or is presented after such an order has
been so made, the court may on the application of the Official Receiver dismiss the petition if it appears to it
appropriate to do so.

(Replaced 76 of 1996 s. 4)

Section: 6 Grounds of creditor's petition L.N. 158 of 1998 01/04/1998


Expanded Cross Reference:

6A, 6B, 6C



(1) A creditor's petition must be in respect of one or more debts owed by the debtor, and the petitioning creditor
or each of the petitioning creditors must be a person to whom the debt or (as the case may be) at least one of the debts
is owed.

(2) Subject to sections 6A to 6C, a creditor's petition may be presented to the court in respect of a debt or debts
if, but only if, at the time the petition is presented-

(a) the amount of the debt, or the aggregate amount of the debts, is equal to or exceeds $10000 or a
prescribed amount;

(b) the debt, or each of the debts, is for a liquidated sum payable to the petitioning creditor, or one or more
of the petitioning creditors, either immediately or at some certain, future time, and is unsecured;

(c) the debt, or each of the debts, is a debt which the debtor appears either to be unable to pay or to have
no reasonable prospect of being able to pay; and

(d) there is no outstanding application to set aside a statutory demand served under section 6A in respect
of the debt or any of the debts.

(3) A debt is not to be regarded for the purposes of subsection (2) as a debt for a liquidated sum by reason only
that the amount of the debt is specified in a criminal bankruptcy order.

(4) Notwithstanding subsection (2)(c) and (d), a creditor's petition may be presented if there are reasonable
grounds for believing that the debtor intends to depart, or has departed, from Hong Kong and the debtor knows or
ought reasonably to know that his departure would result in defeat or delay for his creditors, and this subsection
applies irrespective of the reason for his departure.



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(5) The Financial Secretary may, by regulation, prescribe an amount greater than $10000 for the purposes of
subsection (2)(a).

(Replaced 76 of 1996 s. 4)

Section: 6A Definition of "inability to pay", etc.; the statutory demand L.N. 158 of 1998 01/04/1998


(1) For the purposes of section 6(2)(c), the debtor appears to be unable to pay a debt if, but only if, the debt is
payable immediately and either-

(a) the petitioning creditor to whom the debt is owed has served on the debtor a demand (known as "the
statutory demand") in the prescribed form requiring him to pay the debt or to secure or compound for it
to the satisfaction of the creditor, at least 3 weeks have elapsed since the demand was served and the
demand has been neither complied with nor set aside in accordance with the rules; or

(b) execution or other process issued in respect of the debt on a judgment or order of any court in favour
of the petitioning creditor, or one or more of the petitioning creditors to whom the debt is owed, has
been returned unsatisfied in whole or in part.

(2) For the purposes of section 6(2)(c) the debtor appears to have no reasonable prospect of being able to pay a
debt if, but only if, the debt is not immediately payable and-

(a) the petitioning creditor to whom it is owed has served on the debtor a demand (also known as "the
statutory demand") in the prescribed form requiring him to establish to the satisfaction of the creditor
that there is a reasonable prospect that the debtor will be able to pay the debt when it falls due;

(b) at least 3 weeks have elapsed since the demand was served; and
(c) the demand has been neither complied with nor set aside in accordance with the rules.

(Added 76 of 1996 s. 4)

Section: 6B Creditor with security L.N. 158 of 1998 01/04/1998


Expanded Cross Reference:

6, 6A, 6B, 6C



(1) A debt which is the debt, or one of the debts, in respect of which a creditor's petition is presented need not
be unsecured if either-

(a) the petition contains a statement by the person having the right to enforce the security that he is
willing, in the event of a bankruptcy order being made, to give up his security for the benefit of all the
bankrupt's creditors; or

(b) the petition is expressed not to be made in respect of the secured part of the debt and contains a
statement by that person of the estimated value at the date of the petition of the security for the secured
part of the debt.

(2) In a case falling within subsection (1)(b) the secured and unsecured parts of the debt are to be treated for the
purposes of sections 6 to 6C as separate debts.

(Added 76 of 1996 s. 4)

Section: 6C Expedited petition L.N. 158 of 1998 01/04/1998


In the case of a creditor's petition presented wholly or partly in respect of a debt which is the subject of a
statutory demand under section 6A, the petition may be presented before the end of the 3-week period there mentioned
if there is a serious possibility that the debtor's property or the value of any of his property will be significantly
diminished during that period and the petition contains a statement to that effect.

(Added 76 of 1996 s. 4)

Section: 6D Proceedings on creditor's petition L.N. 158 of 1998 01/04/1998


Expanded Cross Reference:

6, 6A, 6B, 6C





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(1) The court shall not make a bankruptcy order on a creditor's petition unless it is satisfied that the debt, or one
of the debts, in respect of which the petition was presented is either-

(a) a debt which, having been payable at the date of the petition or having since become payable, has been
neither paid nor secured nor compounded for; or

(b) a debt which the debtor has no reasonable prospect of being able to pay when it falls due.
(2) In a case in which the petition contains such a statement as is required by section 6C, the court shall not

make a bankruptcy order until at least 3 weeks have elapsed since the service of any statutory demand under section
6A.

(3) The court may dismiss the petition if it is satisfied that the debtor is able to pay all his debts or is satisfied-
(a) that the debtor has made an offer to secure or compound for a debt in respect of which the petition is

presented;
(b) that the acceptance of that offer would have required the dismissal of the petition; and
(c) that the offer has been unreasonably refused,

and, in determining for the purposes of this subsection whether the debtor is able to pay all his debts, the court shall
take into account his contingent and prospective liabilities.

(4) In determining for the purposes of this section what constitutes a reasonable prospect that a debtor will be
able to pay a debt when it falls due, it is to be assumed that the prospect given by the facts and other matters known to
the creditor at the time he entered into the transaction resulting in the debt was a reasonable prospect.

(5) Nothing in sections 6 to 6C or this section prejudices the power of the court, in accordance with the rules, to
authorize a creditor's petition to be amended by the omission of any creditor or debt and to be proceeded with as if
things done for the purposes of those sections had been done only by or in relation to the remaining creditors or debts.


(Added 76 of 1996 s. 4)

Section: 7 Liability of firm to have bankruptcy order made against it L.N. 158 of 1998 01/04/1998


(1) The following provisions shall have effect in the case of a firm carrying on business in Hong Kong-
(a) (Repealed 76 of 1996 s. 5)
(b) it shall be sufficient that a bankruptcy order against the firm be made in the firm name, without

mentioning the names of the partners, and such bankruptcy order shall affect the joint and separate
property of all the partners; (Amended 76 of 1996 s. 5)

(c) the right of a creditor to present a bankruptcy petition against the firm, and the jurisdiction of the court
to make a bankruptcy order against the firm, shall not be affected by the fact, if it is so, that all or any
of the partners of the firm are not resident or domiciled in Hong Kong. (Amended 76 of 1996 s. 5)

(2) The provisions of this section shall, so far as the nature of the case will permit, apply to any person carrying
on business in Hong Kong in a name or style other than his own name.

(3) A creditor may present a petition for a bankruptcy order against a firm in the same way as he may present
such a petition against a debtor provided that the conditions set out in sections 4(1)(c)(ii), 5, 6, 6A and 6B are met in
respect of the firm. (Added 76 of 1996 s. 5)

(Amended 47 of 1984 s. 16)

Section: 8 Powers of Official Receiver and duties of debtor on

petition being filed
30/06/1997



(1) Immediately on the filing of any petition the Official Receiver may, in cases where he has reason to believe
that any offence under this Ordinance or any fraud has been or is about to be perpetrated, by notice sent by messenger
or by ordinary post, summon the debtor to attend before him to give such information as he requires, and may, either
by himself or his agent authorized by him in writing, enter on any premises occupied by the debtor between the hours
of 8 a.m. and 6 p.m. for the purpose of inspecting his property, stock in trade and books of account.

(2) It shall be the duty of the debtor to furnish the Official Receiver with all such information as it is in the
debtor's power to give or to obtain.

(3) If the debtor fails without reasonable cause to attend on the Official Receiver as aforesaid or to furnish him
with such information as aforesaid, or if the debtor obstructs the search of the premises or the production of any book
or document required in connection therewith, or authorizes or permits any such obstruction, the debtor shall be liable
on summary conviction to imprisonment for any term not exceeding 6 months, and every person who takes any part in



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any such obstruction, whether authorized or permitted by the debtor or not, shall be liable to the like penalty.

Section: 9 Creditor's petition and order thereon L.N. 158 of 1998 01/04/1998


(1) A creditor's petition shall be verified by affidavit of the creditor or of some person on his behalf having
knowledge of the facts, and shall be served in the prescribed manner. (Amended 39 of 1987 s. 2)

(2) At the hearing the court shall require proof of the debt of the petitioning creditor and of the service of the
petition, and, if satisfied with the proof, may make a bankruptcy order in pursuance of the petition. (Amended 76 of
1996 s. 6)

(3) If the court is not satisfied with the proof of the petitioning creditor's debt or of the service of the petition,
or is satisfied by the debtor that he is able to pay his debts or has a reasonable prospect of being able to pay them, or
considers that for other sufficient cause no order ought to be made, the court may dismiss the petition. (Amended 45
of 1986 s. 2; 76 of 1996 s. 6)

(4) (Repealed 76 of 1996 s. 6)
(5) Where the debtor appears on the petition and denies that he is indebted to the petitioner, or that he is

indebted to such an amount as would justify the petitioner in presenting a petition against him, the court, on such
security (if any) being given as the court may require for payment to the petitioner of any debt which may be
established against him in due course of law, and of the costs of establishing the debt, may, instead of dismissing the
petition, stay all proceedings on the petition for such time as may be required for trial of the question relating to the
debt.

(6) Where proceedings are stayed the court may, if by reason of the delay caused by the stay of proceedings or
for any other cause it thinks just, make a bankruptcy order on the petition of some other creditor, and shall thereupon
dismiss, on such terms as it thinks just, the petition in which proceedings have been stayed as aforesaid. (Amended 76
of 1996 s. 6)

(7) (Repealed 76 of 1996 s. 6)
[cf. 1914 c. 59 s. 5 U.K.]


Section: 10 Grounds of debtor's petition L.N. 158 of 1998 01/04/1998


(1) A debtor's petition may be presented to the court only on the ground that the debtor is unable to pay his
debts.

(2) The petition shall be accompanied by a statement of the debtor's affairs containing-
(a) such particulars of the debtor's creditors and of his debts and other liabilities and of his assets as may

be prescribed; and
(b) such other information as may be prescribed.

(3) A debtor's petition may be presented whether or not the aggregate amount of indebtedness is equal to or
exceeds the amount provided for a creditor's petition under section 6(2)(a).

(Replaced 76 of 1996 s. 7)

Section: 11 Appearance of Official Receiver on petition L.N. 158 of 1998 01/04/1998


On the hearing of any creditor's or debtor's petition it shall be lawful for the Official Receiver to appear and to
call, examine and cross-examine any witness and, if he so thinks fit, to support or oppose the making of a bankruptcy
order.

(Amended 76 of 1996 s. 73)

Section: 12 Effect of bankruptcy order L.N. 185 of 2007 10/12/2007


(1) On the making of a bankruptcy order, the Official Receiver shall thereby become the provisional trustee of
the property of the bankrupt, and thereafter, except as directed by this Ordinance, no creditor to whom the bankrupt is
indebted in respect of any debt provable in bankruptcy shall have any remedy against the property or person of the
bankrupt in respect of the debt, nor shall proceed with or commence any action or other legal proceedings, unless with
the leave of the court and on such terms as the court may impose. (Amended 76 of 1996 ss. 8 and 72; 18 of 2005 s. 3)

(1A) In the case of a debtor's petition, the Official Receiver as the provisional trustee may at any time appoint



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any person to act as the provisional trustee of the property of the bankrupt in his place if he considers that—
(a) the value of the property of the bankrupt is unlikely to exceed $200000; and
(b) the person has the qualifications prescribed in Schedule 3. (Added 18 of 2005 s. 3)

(1B) The power of the Official Receiver to appoint a person as provisional trustee includes power to appoint 2 or
more persons as joint provisional trustees; but such an appointment must make provision as to the circumstances in
which the provisional trustees must act together and the circumstances in which one or more of them may act for the
others. (Added 18 of 2005 s. 3)

(1C) The Secretary for Financial Services and the Treasury may, by notice published in the Gazette, amend
Schedule 3. (Added 18 of 2005 s. 3)

(2) This section shall not affect the power of any secured creditor to realize or otherwise deal with his security.
[cf. 1914 c. 59 s. 7 U.K.]


Section: 13 Power to appoint interim trustee L.N. 185 of 2007 10/12/2007


The court may, if it is shown to be necessary for the protection of the estate, at any time after the presentation of
a bankruptcy petition and before a bankruptcy order is made, appoint the Official Receiver to be interim trustee of the
property of the debtor or of any part thereof, and direct him to take immediate possession thereof or of any part
thereof.

(Amended 76 of 1996 s. 9; 18 of 2005 s. 4)
[cf. 1914 c. 59 s. 8 U.K.]


Section: 14 Power to stay pending proceedings 30/06/1997


(1) The court may at any time after the presentation of a bankruptcy petition either stay any action, execution or
other legal process against the property or person of the debtor or allow it to continue on such terms as it may think
just.

(2) Where the court makes an order staying any action or proceedings or staying proceedings generally, the
order may be served by sending a copy thereof, under the seal of the court, by post to the address for service of the
plaintiff or other party prosecuting such proceeding or to the address of his solicitor.

(3) Without prejudice to the provisions of subsection (1), if the court orders the release of any debtor who is
under execution for a civil debt, it may impose such conditions as it thinks fit, and in particular it may require as a
condition of such release that the debtor find security to attend in the subsequent bankruptcy proceedings and to abide
by all orders of the court relating to the said proceedings.

[cf. 1914 c. 59 s. 9 U.K.]

Section: 15 Power to appoint special manager L.N. 185 of 2007 10/12/2007


(1) The court may, on the application of the Official Receiver or of any creditor or creditors, and if satisfied
that the nature of the debtor's estate or business or the interests of the creditors generally require the appointment of a
special manager of the estate or business other than the Official Receiver, appoint a manager thereof accordingly, who
shall have such powers (including any of the powers of a receiver) as may be entrusted to him by the Official
Receiver. (Amended 18 of 2005 s. 5)

(2) The special manager shall give security and account in such manner as the court may direct.
(3) The special manager shall receive such remuneration as may be fixed by the court. (Amended 76 of 1996 s.

10)
(4) The term of office of the special manager shall last until—

(a) in a case where a provisional trustee is appointed under section 12(1A), the appointment; or
(b) in any other case, a trustee is appointed or constituted under section 17, 100D(1), 112(4) or 112A(1)(i)

or paragraph 6 of Part II of Schedule 1. (Added 18 of 2005 s. 5)
[cf. 1914 c. 59 s. 10 U.K.]


Section: 16 Advertisement of bankruptcy order L.N. 158 of 1998 01/04/1998


Notice of every bankruptcy order, stating the name, address and description of the debtor, the date of the order,



Cap 6 - BANKRUPTCY ORDINANCE 8

and the date of the petition, shall be gazetted by the Official Receiver.
(Amended 76 of 1996 s. 73)

[cf. 1914 c. 59 s. 11 U.K.]

Section: 17 Power to make appointment of trustees L.N. 158 of 1998 01/04/1998


Proceedings consequent on order

(1) The power to appoint some fit person as trustee (whether the first such trustee or a trustee appointed to fill

any vacancy) is exercisable, except at a time when an order for the summary administration of the bankrupt's estate is
in force, by a general meeting of the bankrupt's creditors.

(2) Any power to appoint a person as trustee includes power to appoint 2 or more persons as joint trustees; but
such an appointment must make provision as to the circumstances in which the trustees must act together and the
circumstances in which one or more of them may act for the others.

(3) The appointment of any person as trustee takes effect at the time specified in the creditors' resolution or the
court order, as the case may be, appointing him.

(4) This section is without prejudice to the provisions of this Ordinance under which the Official Receiver is, in
certain circumstances, to be trustee.

(Replaced 76 of 1996 s. 11)

Section: 17A Summoning of meeting to appoint first trustee L.N. 185 of 2007 10/12/2007


(1) Where a bankruptcy order has been made and no order for the summary administration of the bankrupt's
estate has been made, it is the duty of the provisional trustee, as soon as practicable in the period of 12 weeks
beginning with the day on which the order was made, to decide whether to summon a general meeting of the
bankrupt's creditors for the purpose of appointing a trustee under section 17.

(2) This section does not apply where a criminal bankruptcy order was made and it is subject to the provision
made in section 17B(3).

(3) Subject to section 17B, if the provisional trustee decides not to summon such a meeting, he shall, before the
end of the period of 12 weeks referred to in subsection (1), give notice of his decision to the court and to every
creditor of the bankrupt who is known to the provisional trustee or is identified in the bankrupt's statement of affairs.

(4) On the date of the giving to the court of a notice under subsection (3) the provisional trustee is the trustee.
(Added 76 of 1996 s. 11. Amended 18 of 2005 s. 6)


Section: 17B Power of creditors to requisition meeting L.N. 185 of 2007 10/12/2007


(1) Where in the case of any bankruptcy, the provisional trustee has not yet summoned, or has decided not to
summon, a general meeting of the bankrupt's creditors for the purpose of appointing a trustee under section 17, any
creditor of the bankrupt may request the provisional trustee to summon such a meeting for that purpose.

(2) If such a request appears to the provisional trustee to be made with the concurrence of not less than 1/4 in
value of the bankrupt's creditors (including the creditor making the request), it is the duty of the provisional trustee to
summon the requested meeting.

(3) Where subsection (2) applies, the provisional trustee is required neither to reach a decision for the purposes
of section 17A nor (if he has reached one) to serve any notice under section 17A(3).

(Added 76 of 1996 s. 11. Amended 18 of 2005 s. 7)

Section: 18 Statement of affairs L.N. 185 of 2007 10/12/2007


(1) Where a bankruptcy order has been made otherwise than on a debtor's petition, the bankrupt shall submit a
statement of his affairs, which shall be verified by affidavit, to the trustee not more than 21 days after the day the order
was made.

(2) The statement of affairs shall contain-
(a) such particulars of the bankrupt's creditors and of his debts and other liabilities and of his assets as may

be prescribed; and



Cap 6 - BANKRUPTCY ORDINANCE 9

(b) such other information as may be prescribed.
(3) The trustee may, if he thinks fit- (Amended 18 of 2005 s. 8)

(a) release the bankrupt from his duty under subsection (1); or
(b) extend the period specified in that subsection,

and, where the trustee has refused to exercise a power conferred by this section, the court may, if it thinks fit, exercise
it.

(4) A bankrupt who, without reasonable excuse-
(a) fails to comply with the obligation imposed by this section; or
(b) submits a statement of affairs that does not comply with the prescribed requirements,

is guilty of a contempt of court and liable to be punished accordingly (in addition to any other punishment to which he
may be subject).

(5) Any person stating himself to be a creditor of the bankrupt may, on payment of the prescribed fee,
personally or by agent inspect the statement at all reasonable times and take any copy thereof or extract therefrom, but
any person untruthfully so stating himself to be a creditor is guilty of a contempt of court and liable to be punished
accordingly on the application of the trustee.

(Replaced 76 of 1996 s. 12. Amended 18 of 2005 s. 8)

Section: 19 Public examination of bankrupt L.N. 185 of 2007 10/12/2007


Public examination of debtor

(1) Where a bankruptcy order has been made, the Official Receiver or the trustee may at any time before the

discharge of the bankrupt apply to the court for the public examination of the bankrupt. (Amended 18 of 2005 s. 9)
(2) Unless the court otherwise orders, the trustee shall make an application under subsection (1) if notice

requiring him to do so is given to him, in accordance with the rules, by one of the bankrupt's creditors with the
concurrence of not less than 1/4 in value of such creditors (including the creditor giving notice). (Amended 18 of
2005 s. 9)

(3) Where one of the bankrupt's creditors, without the requisite concurrence under subsection (2), so requests,
the trustee shall make an application under subsection (1) but, notwithstanding subsection (4), the court may decline to
direct that a public examination of the bankrupt be held. (Amended 18 of 2005 s. 9)

(4) On an application under subsection (1), the court shall direct that a public examination of the bankrupt shall
be held on a day appointed by the court; and the bankrupt shall attend on that day and be publicly examined as to his
affairs, dealings and property.

(4A) The trustee may, before or at any time after making an application under subsection (1), in writing request
the creditor at whose instance the application is made to deposit with him within the specified time such sum or
further sum as he considers necessary to pay his costs and expenses in holding the public examination. (Added 18 of
2005 s. 9)

(4B) Notwithstanding anything in subsections (2) and (3), the trustee may refuse to make an application under
subsection (1) or discontinue the public examination concerned if the creditor to whom a request is made under
subsection (4A) fails to comply with the request. (Added 18 of 2005 s. 9)

(5) The following may take part in the public examination of the bankrupt and may question him concerning
his affairs, dealings and property and the causes of his failure-

(a) the Official Receiver and, in the case of a debtor adjudged bankrupt on a petition under section 3(1)(d),
the Official Petitioner;

(b) the trustee; (Amended 18 of 2005 s. 9)
(c) any person who has been appointed as special manager of the bankrupt's estate or business;
(d) any creditor of the bankrupt who has tendered a proof in the bankruptcy.

(6) The bankrupt may, but not at the expense of the estate, employ a solicitor with or without counsel, who may
put to him such questions as the court may allow for the purpose of enabling him to explain or qualify any answer
given by him, and may make representations on his behalf.

(7) There shall be made in writing such record of the examination as the court thinks proper and the record
shall be read over either to or by the bankrupt, signed by him, and verified by affidavit at a venue fixed by the court.

(8) (Repealed 18 of 2005 s. 9)
(9) It shall be the duty of a bankrupt examined under this section to answer all questions that the court may put

or allow to be put to him.



Cap 6 - BANKRUPTCY ORDINANCE 10

(10) Evidence given on oath under this section shall not be admissible in criminal proceedings other than for
perjury by the person who gave it.

(Replaced 76 of 1996 s. 13)

Section: 19A (Repealed 76 of 1996 s. 13) L.N. 158 of 1998 01/04/1998




Section: 20 Interim order L.N. 158 of 1998 01/04/1998


Voluntary arrangements

(1) In the circumstances specified in section 20A, the court may make an interim order under this section.
(2) An interim order has the effect that, during the period for which it is in force-

(a) no bankruptcy petition relating to the debtor may be presented or proceeded with; and
(b) no other proceedings, no execution or other legal process and no distress may be commenced or

continued against the debtor or his property except with the leave of the court.
(Replaced 76 of 1996 s. 13)


Section: 20A Application for interim order L.N. 158 of 1998 01/04/1998


(1) Application to the court for an interim order may be made where the debtor intends to make a proposal.
(2) The proposal must provide for a nominee to act in relation to the voluntary arrangement either as trustee or

otherwise for the purpose of supervising its implementation.
(3) The application may be made-

(a) if the debtor is an undischarged bankrupt, by the debtor, the trustee or the Official Receiver; and
(b) in any other case, by the debtor.

(4) An application shall not be made by an undischarged bankrupt unless he has given notice of the proposal to-
(a) the Official Receiver; and
(b) the trustee, if any.

(Added 76 of 1996 s. 13)

Section: 20B Effect of application L.N. 158 of 1998 01/04/1998


(1) At any time when an application under section 20A for an interim order is pending the court may stay any
action, execution or other legal process against the property or person of the debtor.

(2) Any court in which proceedings are pending against a debtor may, on proof that an application under that
section has been made in respect of that debtor, either stay the proceedings or allow them to continue on such terms as
it thinks fit.

(Added 76 of 1996 s. 13)

Section: 20C Cases in which interim order can be made L.N. 158 of 1998 01/04/1998


Expanded Cross Reference:

20A, 20B, 20C, 20D, 20E, 20F, 20G, 20H, 20I, 20J, 20K, 20L



(1) The court shall not make an interim order on an application under section 20A unless it is satisfied-
(a) that the debtor intends to make a proposal;
(b) that on the day of the making of the application the debtor was an undischarged bankrupt or was able

to petition for his own bankruptcy; and
(c) that no previous application has been made by the debtor for an interim order in the period of 12

months ending with that day.
(2) The court may make an order if it thinks that it would be appropriate to do so for the purpose of facilitating

the consideration and implementation of the debtor's proposal.
(3) Where the debtor is an undischarged bankrupt, the interim order may contain provision as to the conduct of



Cap 6 - BANKRUPTCY ORDINANCE 11

the bankruptcy, and the administration of the bankrupt's estate, during the period for which the order is in force.
(4) Subject to subsections (5) and (6), the provision contained in an interim order by virtue of subsection (3)

may include provision staying proceedings in the bankruptcy or modifying any provision of this Ordinance or the rules
in their application to the debtor's bankruptcy.

(5) An interim order shall not, in relation to a bankrupt, make provision relaxing or removing any of the
requirements of this Ordinance or the rules, unless the court is satisfied that that provision is unlikely to result in any
significant diminution in, or in the value of, the debtor's estate for the purposes of the bankruptcy.

(6) Subject to sections 20A to 20L, an interim order made on an application under section 20A ceases to have
effect at the end of the period of 14 days beginning with the day after the making of the order.

(Added 76 of 1996 s. 13)

Section: 20D Nominee's report on debtor's proposal L.N. 158 of 1998 01/04/1998


(1) Where an interim order has been made on an application under section 20A, the nominee shall, before the
order ceases to have effect, submit a report to the court stating-

(a) whether, in his opinion, a meeting of the debtor's creditors should be summoned to consider the
debtor's proposal; and

(b) if in his opinion such a meeting should be summoned, the date on which, and time and place at which,
he proposes the meeting should be held.

(2) For the purpose of enabling the nominee to prepare his report the debtor shall submit to the nominee-
(a) a document setting out the terms of the voluntary arrangement which the debtor is proposing; and
(b) a statement of his affairs containing-

(i) such particulars of his creditors and of his debts and other liabilities and of his assets as may be
prescribed; and

(ii) such other information as may be prescribed.
(3) The court may, on an application made by the debtor or the nominee in a case where the nominee has failed

to submit the report required by this section, direct that the interim order shall continue, or (if it has ceased to have
effect) be renewed, for such further period as the court may specify in the direction.

(4) If the court is satisfied on receiving the nominee's report that a meeting of the debtor's creditors would be
summoned to consider the debtor's proposal, the court shall direct that the period for which the interim order has effect
shall be extended, for such further period as it may specify in the direction, for the purpose of enabling the debtor's
proposal to be considered by his creditors.

(5) The court may discharge the interim order if it is satisfied, on the application of the nominee-
(a) that the debtor has failed to comply with his obligations under subsection (2); or
(b) that for any other reason it would be inappropriate for a meeting of the debtor's creditors to be

summoned to consider the debtor's proposal.
(Added 76 of 1996 s. 13)


Section: 20E Summoning of creditors' meeting L.N. 158 of 1998 01/04/1998


(1) Where it has been reported to the court under section 20D that a meeting of the debtor's creditors should be
summoned, the nominee shall, unless the court otherwise directs, summon that meeting for the time, date and place
proposed in his report.

(2) The persons to be summoned to the meeting are every creditor of the debtor of whose claim and address the
person summoning the meeting is aware.

(3) For this purpose the creditors of a debtor who is an undischarged bankrupt include-
(a) every person who is a creditor of the bankrupt in respect of a bankruptcy debt; and
(b) every person who would be such a creditor if the bankruptcy had commenced on the day on which

notice of the meeting is given.
(Added 76 of 1996 s. 13)


Section: 20F Decisions of creditors' meeting L.N. 158 of 1998 01/04/1998


(1) A creditors' meeting summoned under section 20E shall decide whether to approve the proposed voluntary



Cap 6 - BANKRUPTCY ORDINANCE 12

arrangement.
(2) The meeting may approve the proposed voluntary arrangement with modifications, but shall not do so

unless the debtor consents to each modification.
(3) The meeting shall not approve any proposal or modification which affects the right of a secured creditor of

the debtor to enforce his security, except with the concurrence of the creditor concerned.
(4) The meeting shall not approve any proposal or modification under which-

(a) any debt of the debtor that is given priority under section 38 is to be paid otherwise than in priority to
such of his debts as are not given such priority; or

(b) a creditor of the debtor in respect of a debt that is given priority under section 38 is to be paid an
amount that is less than he would be entitled to under the provisions of that section,

except with the concurrence of the creditor concerned.
(5) The meeting shall be conducted in accordance with the rules.

(Added 76 of 1996 s. 13)

Section: 20G Report of decisions to court L.N. 158 of 1998 01/04/1998


(1) After the conclusion in accordance with the rules of the meeting summoned under section 20E, the nominee
shall report the result of the meeting to the court and, immediately after so reporting, shall give notice of the result of
the meeting to such persons as may be prescribed.

(2) If the report is that the meeting has declined (with or without modifications) to approve the debtor's
proposal, the court may discharge any interim order which is in force in relation to the debtor.

(Added 76 of 1996 s. 13)

Section: 20H Effect of approval L.N. 158 of 1998 01/04/1998


(1) Where the meeting summoned under section 20E approves the proposed voluntary arrangement (with or
without modifications)-

(a) the approved arrangement-
(i) takes effect as if made by the debtor at the meeting; and
(ii) binds every person who in accordance with the rules had notice of, and was entitled to vote at,

the meeting (whether or not he was present or represented at it) as if he were a party to the
arrangement; and

(b) any interim order in force in relation to the debtor immediately before the end of the period of 28 days
beginning with the day on which the report with respect to the creditors' meeting was made to the court
under section 20G ceases to have effect at the end of that period.

(2) Subsection (1)(b) applies except to such extend as the court may direct for the purposes of any application
under section 20J.

(3) Where proceedings on a bankruptcy petition have been stayed by an interim order which ceases to have
effect under subsection (1)(b), that petition is deemed, unless the court otherwise orders, to have been dismissed.

(Added 76 of 1996 s. 13)

Section: 20I Effect where debtor an undischarged bankrupt L.N. 158 of 1998 01/04/1998


(1) Where the creditors' meeting summoned under section 20E approves the proposed voluntary arrangement
(with or without modifications) and the debtor is an undischarged bankrupt, the court may-

(a) annul the bankruptcy order by which he was adjudged bankrupt; or
(b) give such directions with respect to the conduct of the bankruptcy and the administration of the

bankrupt's estate as it thinks appropriate for facilitating the implementation of the approved voluntary
arrangement.

(2) The court shall not annul a bankruptcy order under subsection (1)-
(a) at any time before the end of the period of 28 days beginning with the day on which the report of the

creditors' meeting was made to the court under section 20G; or
(b) at any time when an application under section 20J, or an appeal in respect of such an application, is

pending or at any time in the period within which such an appeal may be brought.
(Added 76 of 1996 s. 13)



Cap 6 - BANKRUPTCY ORDINANCE 13


Section: 20J Challenge of meeting's decision L.N. 158 of 1998 01/04/1998


(1) Subject to this section, an application to the court may be made, by any of the persons specified in
subsection (2), on one or both of the following grounds-

(a) that a voluntary arrangement approved by a creditors' meeting summoned under section 20E unfairly
prejudices the interests of a creditor of the debtor;

(b) that there has been some material irregularity at or in relation to such a meeting.
(2) The persons who may apply under this section are-

(a) the debtor;
(b) a person entitled, in accordance with the rules, to vote at the creditors' meeting;
(c) the nominee (or his replacement under section 20K(3)); and
(d) if the debtor is an undischarged bankrupt, the trustee or the Official Receiver.

(3) An application under this section shall not be made after the end of the period of 28 days beginning with the
day on which the report of the creditors' meeting was made to the court under section 20G.

(4) Where on an application under this section the court is satisfied as to either of the grounds mentioned in
subsection (1), it may do one or both of the following-

(a) revoke or suspend any approval given by the meeting;
(b) give a direction to any person for the summoning of a further meeting of the debtor's creditors to

consider any revised proposal he may make or, in a case falling within subsection (1)(b), to reconsider
his original proposal.

(5) Where at any time after giving a direction under subsection (4)(b) for the summoning of a meeting to
consider a revised proposal the court is satisfied that the debtor does not intend to submit such a proposal, the court
shall revoke the direction and revoke or suspend any approval given at the previous meeting.

(6) Where the court gives a direction under subsection (4)(b), it may also give a direction continuing or, as the
case may require, renewing, for such period as may be specified in the direction, the effect in relation to the debtor of
any interim order.

(7) In any case where the court, on an application made under this section with respect to a creditors' meeting,
gives a direction under subsection (4)(b) or revokes or suspends an approval under subsection (4)(a) or (5), the court
may give such supplemental directions as it thinks fit and, in particular, directions with respect to-

(a) things done since the meeting under any voluntary arrangement approved by the meeting; and
(b) such things done since the meeting as could not have been done if an interim order had been in force in

relation to the debtor when they were done.
(8) Except in pursuance of the preceding provisions of this section, an approval given at a creditors' meeting

summoned under section 20E is not invalidated by any irregularity at or in relation to the meeting.
(Added 76 of 1996 s. 13)


Section: 20K Implementation and supervision of approved voluntary

arrangement
L.N. 158 of 1998 01/04/1998



(1) Where a voluntary arrangement approved by a creditors' meeting summoned under section 20E has taken
effect and the debtor, any of his creditors or any other interested person is dissatisfied by any act, omission or decision
of the nominee, he may apply to the court; and on such an application the court may-

(a) confirm, reverse or modify any act or decision of the nominee;
(b) give him directions; or
(c) make such other order as it thinks fit.

(2) The nominee may apply to the court for directions in relation to any particular matter arising under the
voluntary arrangement.

(3) The court may, whenever-
(a) it is expedient to appoint a person to carry out the functions of the nominee; and
(b) it is inexpedient, difficult or impracticable for an appointment to be made without the assistance of the

court,
make an order appointing a person who is experienced in insolvency matters, either in substitution for the existing
nominee or to fill a vacancy.

(Added 76 of 1996 s. 13)



Cap 6 - BANKRUPTCY ORDINANCE 14


Section: 20L Default in connection with voluntary arrangement L.N. 158 of 1998 01/04/1998


Expanded Cross Reference:

20, 20A, 20B, 20C, 20D, 20E, 20F, 20G, 20H, 20I, 20J, 20K



(1) The court shall not make a bankruptcy order on a petition under section 3(1)(c) (nominee of, or person
bound by, voluntary arrangement proposed and approved) unless it is satisfied-

(a) that the debtor has failed to comply with his obligations under the voluntary arrangement; or
(b) that information which was false or misleading in any material particular or which contained material

omissions-
(i) was contained in any statement of affairs or other document supplied by the debtor under

sections 20 to 20K to any person; or

(ii) was otherwise made available by the debtor to his creditors at or in connection with a meeting
summoned under those sections; or

(c) that the debtor has failed to do all such things as may for the purposes of the voluntary arrangement
have been reasonably required of him by the nominee of the arrangement.

(2) Where a bankruptcy order is made on a petition under section 3(1)(c), any expenses properly incurred as
expenses of the administration of the voluntary arrangement in question shall be a first charge on the bankrupt's estate.

(Added 76 of 1996 s. 13)

Section: 21 (Repealed 76 of 1996 s. 13) L.N. 158 of 1998 01/04/1998




Section: 22 (Repealed 76 of 1996 s. 13) L.N. 158 of 1998 01/04/1998




Section: 23 Provisions where person other than Official Receiver is
appointed trustee

L.N. 185 of 2007 10/12/2007



(1) Where in a bankruptcy a person other than the Official Receiver is appointed trustee, that person-
(a) shall not be capable of acting as trustee until he has notified his appointment to the Official Receiver

and given security as provided in subsection (2)(a) to the satisfaction of the Official Receiver;
(b) shall give the Official Receiver such information and such access to and facilities for inspecting the

books and documents of the bankrupt, and generally such aid as may be requisite for enabling the
Official Receiver to perform his duties under this Ordinance. (Amended 18 of 2005 s. 10)

(2) In the case of a trustee other than the Official Receiver, the following provisions as to security shall have
effect, namely-

(a) the security shall be given to the Official Receiver in such manner as he may from time to time direct;
(b) it shall not be necessary that security shall be given in each separate bankruptcy; but security may be

given either specially in a particular bankruptcy, or generally, to be available for any bankruptcy in
which the person giving security may be appointed, as trustee;

(c) the Official Receiver shall fix the amount and nature of such security, and may from time to time, as he
thinks fit, either increase or diminish the amount of special or general security which any person has
given;

(d) the cost of furnishing the required security by a trustee, including any premiums which he may pay to a
guarantee society, shall be borne by him personally, and shall not be charged against the assets of the
estate as an expense incurred in the bankruptcy.

(Replaced 76 of 1996 s. 14)

Section: 24 Creditors' committee L.N. 158 of 1998 01/04/1998


(1) The creditors qualified to vote may at their first or any subsequent meeting, by resolution, appoint a



Cap 6 - BANKRUPTCY ORDINANCE 15

creditors' committee to act with the trustee.
(2)-(9) (Repealed 76 of 1996 s. 15)
(10) If there be no creditors' committee any act or thing or any direction or permission by this Ordinance

authorized or required to be done or given by the committee may be done or given by the court on the application of
the trustee.

(Amended 76 of 1996 s. 15)
[cf. 1914 c. 59 s. 20 U.K.]


Section: 25 (Repealed 76 of 1996 s. 16) L.N. 158 of 1998 01/04/1998




Section: 26 Duties of debtor as to discovery and realization of property L.N. 158 of 1998 01/04/1998


Control over person and property of debtor


(1) Every debtor against whom a bankruptcy order is made shall, unless prevented by sickness or other
sufficient cause, attend the first meeting of his creditors, and shall submit to such examination and give such
information as the meeting may require. (Amended 76 of 1996 s. 73)

(2) He shall give such inventory of his property, such list of his creditors and debtors, and of the debts due to
and from them respectively, submit to such examination in respect of his property or his creditors, attend such other
meetings of his creditors, wait at such times on the Official Receiver, special manager or trustee, execute such powers
of attorney, conveyances, deeds and instruments, and generally do all such acts and things in relation to his property
and the distribution of the proceeds amongst his creditors, as may be reasonably required by the Official Receiver,
special manager or trustee or may be provided by this Ordinance, or be prescribed or be directed by the court by any
special order or orders made in reference to any particular case or made on the occasion of any special application by
the Official Receiver, special manager, trustee or any creditor or person interested.

(3) He shall aid to the utmost of his power in the realization of his property and the distribution of the proceeds
among his creditors. (Amended 76 of 1996 s. 17)

(4) If a bankrupt wilfully fails to perform the duties imposed on him by this section or to deliver up possession
of any part of his property, which is divisible amongst his creditors under this Ordinance and which is for the time
being in his possession or under his control, to the Official Receiver or to the trustee or to any person authorized by
the court to take possession of it, he shall, in addition to any other punishment to which he may be subject, be guilty of
a contempt of court and may be punished accordingly. (Amended 76 of 1996 s. 72)

[cf. 1914 c. 59 s. 22 U.K.]

Section: 27 Arrest of debtor under certain circumstances L.N. 158 of 1998 01/04/1998


(1) The court may, by warrant addressed to any person or persons named therein, cause a debtor to be arrested,
and any books, papers, money and goods in his possession or under his control or relating to his affairs to be seized,
and him and them to be safely kept as prescribed until such time as the court may order under the following
circumstances-

(a) if after presentation of a bankruptcy petition by or against him, it appears to the court that there is
probable cause for believing that he has absconded, or is about to abscond, with a view of avoiding
payment of a debt, or of avoiding service of a bankruptcy petition, or of avoiding appearance to any
such petition, or of avoiding examination in respect of his affairs, or of otherwise avoiding, delaying or
embarrassing proceedings in bankruptcy against him;

(b) if, after presentation of a bankruptcy petition by or against him, it appears to the court that there is
probable cause for believing that he is about to dispose of or remove his goods with a view to
preventing or delaying possession being taken of them by the Official Receiver or trustee, or that there
is probable ground for believing that he has concealed or is about to conceal or destroy any of his
goods or any books, documents or writings which might be of use to his creditors in the course of his
bankruptcy;

(c) if, after service of a bankruptcy petition on him or after a bankruptcy order is made against him he
removes any goods in his possession above the value of $50 without the leave of the Official Receiver
or trustee; (Amended 37 of 1950 Schedule)



Cap 6 - BANKRUPTCY ORDINANCE 16

(d) if without good cause shown he fails to attend any examination ordered by the court;
(e) if there is probable cause for believing that he has committed an offence punishable under this

Ordinance. (Amended 76 of 1996 s. 18)
(2) No payment or composition made or security given after arrest made under this section shall be exempt

from the provisions of this Ordinance relating to unfair preferences.
(Amended 76 of 1996 ss. 18 and 73)

[cf. 1914 c. 59 s. 23 U.K.]

Section: 28 Re-direction of debtor's telegrams and letters L.N. 158 of 1998 01/04/1998


Where a bankruptcy order is made against a bankrupt the court, on the application of the Official Receiver or
trustee, may from time to time order that for such time, not exceeding 3 months, as the court thinks fit telegrams and
post letters and other postal packets, addressed to the bankrupt at any place or places mentioned in the order for re-
direction, shall be re-directed, sent or delivered by the agent of the telegraph organization or the Post-master General,
or the officers acting under them, to the Official Receiver or the trustee or otherwise as the court directs, and the same
shall be done accordingly.

(Amended 76 of 1996 ss. 72 and 73)
[cf. 1914 c. 59 s. 24 U.K.]


Section: 29 Inquiry as to bankrupt's conduct, dealings and property L.N. 158 of 1998 01/04/1998


(1) The court may, on the application of the Official Receiver or trustee, at any time after a bankruptcy order
has been made against a bankrupt summon before it the bankrupt or his spouse, or any person known or suspected to
have in his possession any of the estate or effects belonging to the bankrupt or supposed to be indebted to the
bankrupt, or any person whom the court may deem capable of giving information respecting the bankrupt, his dealings
or property, and the court may require any such person to produce any documents in his custody or power relating to
the bankrupt, his dealings or property. (Amended 76 of 1996 ss. 71, 72 and 73)

(1A) The court may require a person referred to in subsection (1), other than the bankrupt, to submit an affidavit
to the court containing an account of his dealings with the bankrupt or to produce any documents in his possession or
under his control relating to the bankrupt or the bankrupt's dealings, affairs or property. (Added 76 of 1996 s. 19)

(2) If any person so summoned, after having been tendered a reasonable sum, refuses to come before the court
at the time appointed, or refuses to produce any such document, having no lawful impediment made known to the
court at the time of its sitting and allowed by it, the court may, by warrant, cause him to be apprehended and brought
up for examination.

(3) The court may, by itself or by a commissioner appointed for the purpose, examine on oath, either by word
of mouth or by written interrogatories, any person so brought before it concerning the bankrupt, his dealings or
property and any other matter the court considers relevant. (Amended 76 of 1996 ss. 19 and 72)

(3A) It shall be the duty of a person examined under subsection (3) to answer all questions that the court may put
or allow to be put to him. (Added 76 of 1996 s. 19)

(3B) Evidence given on oath under this section shall not be admissible in criminal proceedings other than for
perjury by the person who gave it. (Added 76 of 1996 s. 19)

(4) If on the examination of any person it appears to the court that he is indebted to the bankrupt, the court may,
on the application of the Official Receiver or trustee, order him to pay to the Official Receiver or trustee, at such time
and in such manner as to the court seems expedient, the amount admitted or any part thereof, either in full discharge of
the whole amount in question or not, as the court thinks fit, with or without costs of the examination. (Amended 76 of
1996 ss. 19 and 72)

(5) If on the examination of any person it appears to the court that he has in his possession any property
belonging to the bankrupt, the court may, on the application of the Official Receiver or trustee, order him to deliver to
the Official Receiver or trustee such property or any part thereof, at such time and in such manner and on such terms
as to the court may seem just. (Amended 76 of 1996 ss. 19 and 72)

(6) The court may, if it thinks fit, order that any person who if in Hong Kong would be liable to be brought
before it under this section shall be examined in any place out of Hong Kong by a commissioner appointed for the
purpose. (Amended 47 of 1984 s. 16)

(7) In the case of the death of the bankrupt or his spouse or of any other witness whose evidence has been duly
taken under this Ordinance, the deposition of the person so deceased purporting to be sealed with the seal of the court,



Cap 6 - BANKRUPTCY ORDINANCE 17

or a copy thereof purporting to be so sealed, shall in all legal proceedings be admitted as evidence of the matters
therein deposed to, saving all just exceptions. (Amended 76 of 1996 ss. 71 and 72)

[cf. 1914 c. 59 s. 25 U.K.]

Section: 30 Commencement and continuance of bankruptcy L.N. 158 of 1998 01/04/1998


The bankruptcy of a person against whom a bankruptcy order has been made-
(a) commences with the day on which the order is made; and
(b) continues until he is discharged under section 30A or 30B.

(Replaced 76 of 1996 s. 20)

Section: 30A Discharge from bankruptcy L.N. 158 of 1998 01/04/1998


Expanded Cross Reference:

131, 132, 133, 134, 135, 136



(1) Subject to this section, a bankrupt is discharged from bankruptcy by the expiration of the relevant period
under this section.

(2) The relevant period referred to in subsection (1) is as follows-
(a) where a person has not previously been adjudged bankrupt, the period of 4 years;
(b) where a person has been previously adjudged bankrupt, the period of 5 years,

beginning with the commencement of the bankruptcy.
(3) Where the court is satisfied on the application of the trustee or one of the bankrupt's creditors that a valid

objection based on one or more of the grounds set out in subsection (4) has been made, the court may order that the
relevant period under this section shall cease to run for such period, not exceeding, in the case of a person who-

(a) has not previously been adjudged bankrupt, 4 years; or
(b) has previously been adjudged bankrupt, 3 years,

as may be specified in the order.
(4) The grounds on which an objection can be made to the discharge of a bankrupt under this section are as

follows-
(a) in the case of a discharge to which subsection (2)(a) applies, that the bankrupt is likely within 5 years

of the commencement of the bankruptcy to be able to make a significant contribution to his estate;
(b) that the discharge of the bankrupt would prejudice the administration of his estate;
(c) that the bankrupt has failed to co-operate in the administration of his estate;
(d) that the conduct of the bankrupt, either in respect of the period before or the period after the

commencement of the bankruptcy, has been unsatisfactory;
(e) without limiting paragraph (c) or (d), that the bankrupt has departed from Hong Kong and has failed

forthwith to return to Hong Kong following a request to do so from the Official Receiver or the trustee;
(f) that the bankrupt has continued to trade after knowing himself to be insolvent;
(g) that the bankrupt has committed an offence under section 129 or any of sections 131 to 136;
(h) that the bankrupt has failed to prepare an annual report of his earnings and acquisitions for the trustee.

(5) Not less than 3 months before the end of the relevant period under this section, the trustee shall-
(a) send a notice by ordinary mail to the last known address of each proving creditor; or
(b) publish a notice in English and Chinese, respectively, in an English and a Chinese newspaper

circulating in Hong Kong,
advising the creditors that-

(i) the bankrupt will, in the absence of an objection, be discharged;
(ii) the trustee does or does not intend to object to the discharge and, where he does intend to do so, giving

the grounds of the objection;
(iii) each of them has a right to object to the discharge and giving the grounds on which an objection can be

based and the procedure for making an objection.
(6) Where the trustee or a creditor objects to the discharge of a bankrupt, he shall-

(a) notify the court; and
(b) in the case of a creditor, also notify the trustee,



Cap 6 - BANKRUPTCY ORDINANCE 18

not less than 14 days before the end of the relevant period under this section, stating the grounds of his objection and
applying for an order under subsection (3).

(7) Where the court has suspended the running of the relevant period under subsection (3), the bankrupt may, at
any time, apply to have the suspension lifted and the court may, having regard to the interests of all the parties, lift the
suspension or shorten the period during which it will operate.

(8) Where a bankrupt has been discharged, he shall, notwithstanding his discharge-
(a) continue to give such information respecting his affairs; and
(b) attend on the trustee at such times, and do such other things,

as the trustee requires for the purpose of completing the administration of the estate, and if a discharged bankrupt does
not comply with the requirements of this subsection, he shall be guilty of a contempt of court and may be punished
accordingly on the application of the trustee.

(9) Where the court grants a discharge under this section, it may, as a condition of granting the discharge, order
the bankrupt to continue to make contributions to his estate in such amount and for such period as it considers
appropriate but not exceeding a period of 8 years from the date the bankruptcy order was made.

(10) Notwithstanding subsections (1) to (3), where a bankrupt-
(a) has, before the commencement of the bankruptcy, left Hong Kong and has not returned to Hong Kong,

the relevant period under subsection (1) shall not commence to run until such time as he returns to
Hong Kong and notifies the trustee of his return;

(b) after the commencement of his bankruptcy-
(i) leaves Hong Kong without notifying the trustee of his itinerary and where he can be contacted; or
(ii) fails to return to Hong Kong on a date or within a period specified by the trustee,
the relevant period under subsection (1) shall not continue to run during the period he is absent from
Hong Kong and until he notifies the trustee of his return.

(11) This section is without prejudice to any power of the court to annul a bankruptcy order.
(Added 76 of 1996 s. 20)


Section: 30B Early discharge of bankrupt L.N. 163 of 2013 03/03/2014


(1) Notwithstanding that the relevant period under section 30A has not yet expired, a bankrupt who-
(a) has not previously been adjudged bankrupt may, at any time; or
(b) has been previously adjudged bankrupt may, not less than 3 years after the date of the bankruptcy

order,
apply to the court for an order discharging him from bankruptcy.

(2) The court shall not make an order under this section if the bankrupt-
(a) has previously entered into-

(i) a composition or scheme of arrangement under this Ordinance, as it existed before the
Bankruptcy (Amendment) Ordinance 1996 (76 of 1996) came into operation; or

(ii) a voluntary arrangement;
(b) has unsecured liabilities that exceed 150% of the income that the trustee determines was derived by the

bankrupt during the year immediately before the date of the bankruptcy order;
(c) has failed to disclose a beneficial interest in any property;
(d) has failed to disclose any liability that existed at the date of the bankruptcy order;
(e) has failed to disclose in his statement of affairs income that he expected in the 12 months following the

filing of the statement;
(f) has engaged, after the date of the bankruptcy order, in misleading conduct in relation to a person in

respect of an amount or amounts exceeding $15000;
(g) has after the date of the bankruptcy order continued to act as a director or taken part in the

management of a company, except with the leave of the court, contrary to section 156 of the
Companies Ordinance (Cap 32) as in force from time to time before the commencement date* of
section 2 of Schedule 9 to the Companies Ordinance (Cap 622) or to section 480 of the Companies
Ordinance (Cap 622); (Amended 28 of 2012 ss. 912 & 920)

(h) has failed or refused to give his passport or other travel document to the trustee when requested to do
so;

(i) has failed to co-operate with the trustee.
(3) A bankrupt shall give notice to the trustee of an application under this section at least 28 days before the



Cap 6 - BANKRUPTCY ORDINANCE 19

date of the hearing and the trustee shall advise each creditor of the application.
(4) The trustee or a creditor may object to the discharge of the bankrupt on one or more of the grounds set out

in section 30A(4) and the court may decline to make an order discharging the bankrupt if it is satisfied that the
objection is valid.

(5) Section 30A(8) and (9) applies to a discharge under this section.
(Added 76 of 1996 s. 20)

___________________________________________________________________
Note:
* Commencement date: 3 March 2014.

Section: 30C Bankruptcy order made before sections 30 to 30B come

into operation
L.N. 158 of 1998;
L.N. 164 of 1998

01/04/1998



Expanded Cross Reference:

30, 30A, 30B



(1) Subject to subsection (2), sections 30 to 30B apply to a bankruptcy order made before those sections come
into operation in respect of which no order to discharge the bankrupt has been made.

(2) Where a bankrupt-
(a) has not previously been adjudged bankrupt and the bankruptcy order was made not less than 42

months; or (Amended 80 of 1997 s. 101)
(b) has previously been adjudged bankrupt and the current bankruptcy order was made not less than 54

months, (Amended 80 of 1997 s. 101)
before sections 30 to 30B came into operation, he shall be deemed to be discharged from bankruptcy 12 months after
the day this section comes into operation unless, during that 12 month period, the trustee or a creditor files an
objection on a ground set forth in section 30A(4)(a) to (h), in which case section 30A applies and the court shall deal
with the matter as it sees fit.

(Added 76 of 1996 s. 20)

Section: 30D Order for production of documents by Commissioner of

Inland Revenue
23 of 2004 08/09/2004



(1) For the purposes of an examination under section 29, the court may, on the application of the trustee where
the trustee is-

(a) the Official Receiver; or
(b) a certified public accountant as defined in the Professional Accountants Ordinance (Cap 50) or a

solicitor, (Amended 23 of 2004 s. 56)
order the Commissioner of Inland Revenue to produce to the court-

(i) any return, account or accounts submitted (whether before or after the commencement of the
bankruptcy) by the bankrupt to any inland revenue official;

(ii) any assessment or determination made (whether before or after the commencement of the bankruptcy)
in relation to the bankrupt by any inland revenue official; or

(iii) any correspondence (whether before or after the commencement of the bankruptcy) between the
bankrupt and any inland revenue official.

(2) Notwithstanding any other Ordinance, the Commissioner of Inland Revenue shall, within 21 days of the
order being made by the court-

(a) produce the document in such form as is acceptable to the court; or
(b) apply to the court for the discharge or variation of the order.

(3) Where the court has made an order under subsection (1) for the purposes of any examination or
proceedings, the court may, at any time after the document to which the order relates is produced to it, by order
authorize the disclosure of the document, or of any part of its contents, to the trustee.

(4) The trustee shall not disclose to any other person the contents of a document disclosed to him by order of
the court under this section unless they are disclosed as part of an examination under section 29.

(5) For the avoidance of doubt, no creditor or member of a creditors' committee is entitled to see the contents of



Cap 6 - BANKRUPTCY ORDINANCE 20

a document disclosed to a trustee under this section.
(Added 76 of 1996 s. 21)


Section: 30E Supplies of gas, water, electricity, etc. 36 of 2000 16/06/2000


(1) This section applies where on any day ("the relevant day")-
(a) a bankruptcy order is made against a debtor; or
(b) a voluntary arrangement proposed by a debtor is approved at a meeting summoned under section 20E,

and in this section "the office-holder" (負責人) means the Official Receiver or the trustee, as the case may be, or, in
the case of a voluntary arrangement, the nominee.

(2) If a request falling within subsection (3) is made for the giving after the relevant day of any of the supplies
mentioned in subsection (4), the supplier may make it a condition of the giving of the supply that the office-holder
personally guarantees the payment of any charges in respect of the supply, but the supplier shall not, directly or
indirectly, make it a condition of the giving of the supply that any outstanding charges in respect of a supply given to
the debtor before the relevant day are paid.

(3) A request falls within this subsection if it is made-
(a) by or with the concurrence of the office-holder; and
(b) for the purposes of any business which is or has been carried on by the debtor, by a firm or partnership

of which the debtor is or was a member, or by an agent or manager for the debtor or for such a firm or
partnership.

(4) The supplies referred to in subsection (2) are-
(a) a public supply of gas;
(b) a public supply of electricity;
(c) a supply of water under the Waterworks Ordinance (Cap 102);
(d) a supply of telecommunications services by a public telecommunications operator licensed under the

Telecommunications Ordinance (Cap 106). (Amended 36 of 2000 s. 28)
(Added 76 of 1996 s. 21)


Section: 31 (Repealed 76 of 1996 s. 22) L.N. 158 of 1998 01/04/1998




Section: 32 Effect of order of discharge L.N. 158 of 1998 01/04/1998


(1) An order of discharge shall not release the bankrupt-
(a) (Repealed 76 of 1996 s. 23)
(aa) from any liability to pay any amount under a confiscation order made under the Drug Trafficking

(Recovery of Proceeds) Ordinance (Cap 405) or under an external confiscation order registered under
that Ordinance; or (Added 35 of 1989 s. 32. Amended L.N. 19 of 1991)

(b) (Repealed 76 of 1996 s. 23)
(2) Subject to subsections (1) and (3) to (8), where a bankrupt is discharged, the discharge releases him from all

the bankruptcy debts, but has no effect-
(a) on the functions (so far as they remain to be carried out) of the trustee and the operation of the

provisions of this Ordinance for the purposes of carrying out those functions; or
(b) on the liability of the discharged bankrupt to make continuing contributions to his estate pursuant to an

order made under section 30A(9). (Replaced 76 of 1996 s. 23)
(3) Discharge does not affect the right of any secured creditor of the bankrupt to enforce his security for the

payment of a debt from which the bankrupt is released. (Replaced 76 of 1996 s. 23)
(4) An order of discharge shall not release the bankrupt from any debt or liability incurred by means of any

fraud or fraudulent breach of trust to which he was a party, or from any debt or liability whereof he has obtained
forbearance by any fraud to which he was a party. (Replaced 76 of 1996 s. 23)

(5) Discharge does not release the bankrupt from any liability in respect of a fine imposed for an offence or
from any liability under a recognizance except, in the case of a penalty imposed for an offence under an enactment
relating to the public revenue or of a recognizance, with the consent of the Financial Secretary. (Added 76 of 1996 s.
23)



Cap 6 - BANKRUPTCY ORDINANCE 21

(6) Discharge does not, except to such extent and on such conditions as the court may direct, release the
bankrupt from any bankruptcy debt which consists in a liability to pay damages for negligence, nuisance or breach of
a statutory, contractual or other duty being damages in respect of personal injuries to any person. (Added 76 of 1996
s. 23)

(7) Discharge does not release the bankrupt from such other bankruptcy debts, not being debts provable in his
bankruptcy, as may be prescribed. (Added 76 of 1996 s. 23)

(8) Discharge does not release any person other than the bankrupt from any liability (whether as partner or co-
trustee of the bankrupt or otherwise) from which the bankrupt is released by the discharge, or from any liability as
surety for the bankrupt or as a person in the nature of such a surety. (Added 76 of 1996 s. 23)

[cf. 1914 c. 59 s. 28 U.K.]

Section: 33 Court's power to annul bankruptcy order L.N. 158 of 1998 01/04/1998


(1) The court may annul a bankruptcy order if it at any time appears to the court that-
(a) on any grounds existing at the time the order was made, the order ought not to have been made; or
(b) to the extent required by the rules, the provable debts and the expenses of the bankruptcy have all,

since the making of the order, been either paid or secured to the satisfaction of the court.
(2) The court may annul a bankruptcy order made against a debtor on a petition under section 3(1)(a), (b) or (c)

if it at any time appears to the court, on an application by the Official Receiver-
(a) that the petition was pending at a time when a criminal bankruptcy order was made against the debtor

or was presented after such an order was so made; and
(b) that no appeal is pending against the debtor's conviction of any offence by virtue of which the criminal

bankruptcy order was made,
and the court shall annul a bankruptcy order made on a petition under section 3(1)(d) if it at any time appears to the
court that the criminal bankruptcy order on which the petition was based has been rescinded in consequence of an
appeal.

(3) The court may annul a bankruptcy order whether or not the bankrupt has been discharged from the
bankruptcy.

(4) Where the court annuls a bankruptcy order under this section or section 20I, any sale or other disposition of
property, payment made or other thing duly done by or under the authority of the Official Receiver, a nominee or a
trustee or by the court is valid, but if any of the bankrupt's estate is then vested in such a trustee, it shall vest in such
person as the court may appoint or, in default of any such appointment, revert to the bankrupt on such terms (if any) as
the court may direct, and the court may include in its order such supplemental provisions as may be authorized by the
rules.

(5) Where the court annuls a bankruptcy order under this section or section 20I, the court may make such order
as it thinks fit respecting advertising or gazetting of the notice of the annulment and for the costs thereof.

(6) Any interested person may apply for annulment of a bankruptcy order with leave of the court.
(Replaced 76 of 1996 s. 24)


Part: III Administration of Property E.R. 2 of 2012 02/08/2012


(*Format changes—E.R. 2 of 2012)
_________________________________________________________________________________
Note:
* The format of Part III has been updated to the current legislative styles.

Section: 34 Description of debts provable in bankruptcy E.R. 2 of 2012 02/08/2012


Proof of debts

(1) Demands in the nature of unliquidated damages arising otherwise than by reason of a contract, tort, promise or

breach of trust shall not be provable in bankruptcy. (Amended 76 of 1996 s. 25)
(2) Subject to section 42(5), a person having notice of a petition in bankruptcy shall not prove in bankruptcy for any

debt or liability contracted by the bankrupt after the date of his so having notice. (Replaced 76 of 1996 s. 25)
(3) Save as aforesaid, all debts and liabilities, present or future, certain or contingent, to which the bankrupt is



Cap 6 - BANKRUPTCY ORDINANCE 22

subject at the date of the bankruptcy order, or to which he may become subject before his discharge by reason of
any obligation incurred before the date of the bankruptcy order, including a liability to pay further damages as
provided for in section 56A(2)(b) of the High Court Ordinance (Cap 4) (following an award of provisional
damages), shall be deemed to be debts provable in bankruptcy. (Amended 40 of 1986 s. 5; 76 of 1996 ss. 72 and
73; 25 of 1998 s. 2)

(3A) Notwithstanding subsection (3), a debt owing to the Government in respect of a fine or monetary penalty
imposed under an Ordinance shall not be provable in bankruptcy. (Added 76 of 1996 s. 25)

(3B) Where a debt provable in bankruptcy is payable in a currency other than Hong Kong dollars, the trustee or, in the
case of a voluntary arrangement, the nominee or his replacement under section 20K(3), shall convert the amount
of the debt from the foreign currency into Hong Kong dollars at the midpoint between the selling and buying
telegraphic transfer rates of exchange quoted by The Hong Kong Association of Banks on the day the
bankruptcy order is made or, where no such rates are quoted, at an exchange rate determined by the court.
(Added 76 of 1996 s. 25)

(3C) The trustee may pay a dividend in respect of a foreign currency claim either in Hong Kong dollars or in the
foreign currency equivalent of Hong Kong dollars, and in the latter case he shall determine the foreign currency
equivalent using the same conversion method as in subsection (3B) but as of the day of the payment of the
dividend. (Added 76 of 1996 s. 25)

(4) An estimate shall be made by the trustee of the value of any debt or liability provable as aforesaid which by
reason of its being subject to any contingency or contingencies, or for any other reason, does not bear a certain
value or, alternatively, the trustee may refer such debt or liability to the court for valuation in which case the
court shall establish a value in accordance with subsection (7). (Amended 76 of 1996 s. 25)

(5) Any person aggrieved by any estimate made by the trustee as aforesaid may appeal to the court.
(6) (Repealed 76 of 1996 s. 25)
(7) Where the trustee has referred the question of valuation to it under subsection (4), the court may direct the value

to be assessed before the court itself without the intervention of a jury and may give all necessary directions for
this purpose. (Amended 76 of 1996 s. 25)

(7A) The trustee shall make a decision to-
(a) accept; or
(b) reject in whole or in part,

a proof of debt within-
(i) a period, prescribed by the rules, after the proof is filed with him; or
(ii) such longer period as the court may on application allow,

but this subsection does not apply if there is no reasonable prospect of a dividend being paid to the class of
creditor to which the proof of debt relates. (Added 76 of 1996 s. 25)

(8) For the purposes of this Ordinance, liability (債務) includes-
(a) any compensation for work or labour done;
(b) any obligation or possibility of an obligation to pay money or money's worth on the breach of any express

or implied covenant, contract, agreement or undertaking, whether the breach does or does not occur, or is or
is not likely to occur or capable of occurring, before the discharge of the bankrupt; (Amended 76 of 1996 s.
72)

(c) generally, any express or implied engagement, agreement or undertaking to pay or capable of resulting in
the payment of money or money's worth, whether the payment is, as respects amount, fixed or unliquidated,
as respects time, present or future, certain or dependent on any one contingency or on 2 or more
contingencies, or, as to mode of valuation, capable of being ascertained by fixed rules or as matter of
opinion.

[cf. 1914 c. 59 s. 30 U.K.]

Section: 35 Mutual credit and set-off E.R. 2 of 2012 02/08/2012


Where there have been mutual credits, mutual debts or other mutual dealings between a bankrupt against whom a
bankruptcy order is made under this Ordinance and any other person proving or claiming to prove a debt under the
bankruptcy order, an account shall be taken of what is due from the one party to the other in respect of such mutual
dealings and the sum due from the one party shall be set off against any sum due from the other party and the balance
of the account, and no more, shall be claimed or paid on either side respectively; but a person shall not be entitled
under this section to claim the benefit of any set-off against the property of a bankrupt in any case where he had, at the



Cap 6 - BANKRUPTCY ORDINANCE 23

time of giving credit to the bankrupt, notice that the petition had been presented.
(Amended 33 of 1939; G.N. 840 of 1940 Supp. Schedule; 76 of 1996 ss. 26, 72 and 73)

[cf. 1914 c. 59 s. 31 U.K.]

Section: 36 Rules as to proof of debts E.R. 2 of 2012 02/08/2012


The Chief Justice may, with the approval of the Legislative Council, make rules providing for the mode of proving
debts, the right of proof by secured and other creditors, the admission and rejection of proofs, and other matters.

(Replaced 33 of 1939; G.N. 840 of 1940 Supp. Schedule)
[cf. 1914 c. 59 s. 32 U.K.]


Section: 37 Priority of costs and charges E.R. 2 of 2012 02/08/2012


(1) The assets remaining after payment of the expenses properly incurred in preserving, getting in or realizing any of
the assets of the bankrupt shall, subject to any order of the court, first be liable to the following payments, which
shall be made in the following order of priority, namely- (Amended 18 of 2005 s. 11)
(a) the fees, charges and percentages prescribed in the Bankruptcy (Fees and Percentages) Order (Cap 6 sub.

leg. C) and payable to the Official Receiver, and costs, charges and expenses incurred or authorized by, the
Official Receiver, whether acting as trustee or otherwise, including the costs of any person properly
employed by him; (Replaced 18 of 2005 s. 11)

(b) the taxed costs of the petition, including the taxed costs of any person appearing at the hearing of the
petition whose costs are allowed by the court but excluding the interest on such costs; (Replaced 18 of
2005 s. 11)

(c) the remuneration of, and fees, disbursements and expenses properly incurred by the special manager, if any;
(Replaced 18 of 2005 s. 11)

(d) the costs and expenses of any person who makes the bankrupt’s statement of affairs; (Replaced 18 of
2005 s. 11)

(e) the taxed charges of any shorthand writer appointed to take any examination under this Ordinance, except
expenses properly incurred in preserving, getting in or realizing the assets of the bankrupt; (Added 18 of
2005 s. 11)

(f) the necessary disbursements of any trustee other than the Official Receiver, except expenses properly
incurred in preserving, getting in or realizing the assets of the bankrupt; (Added 18 of 2005 s. 11)

(g) the costs of any person properly employed by any trustee other than the Official Receiver; (Added 18 of
2005 s. 11)

(h) the remuneration of any trustee other than the Official Receiver; and (Added 18 of 2005 s. 11)
(i) the actual out-of-pocket expenses necessarily incurred by the creditors’ committee subject to the approval

of the trustee. (Added 18 of 2005 s. 11)
(2) Whenever the court is satisfied that property of a bankrupt in respect of whose estate a bankruptcy order has

been made has been preserved for the benefit of the creditors by means of legal proceedings brought by a
creditor against the bankrupt without notice of presentation of the petition, the court may in its discretion order
the payment of the costs of such legal proceedings or any part of them (taxed as between party and party) out of
the estate, with the same priority as to payment as is herein provided in respect of the taxed costs of the
petitioner. (Amended 76 of 1996 s. 27)

(3) For the purposes of subsection (1)(e), if the shorthand writer is appointed or authorized by the Official Receiver,
the cost of the shorthand notes shall be regarded as an expense properly incurred in getting in or realizing the
assets of the bankrupt. (Added 18 of 2005 s. 11)

(Amended 76 of 1996 ss. 72 & 73)

Section: 38 Priority of debts E.R. 2 of 2012 02/08/2012


(1) In the distribution of the property of a bankrupt there shall be paid in priority to all other debts-
(a) (Repealed 47 of 1984 s. 5)
(b) any-

(i) payment from the Protection of Wages on Insolvency Fund under section 18 of the Protection of



Cap 6 - BANKRUPTCY ORDINANCE 24

Wages on Insolvency Ordinance (Cap 380) to any clerk or servant in respect of wages or salary or both
in respect of services rendered to the bankrupt if such payment was made during a period of 4 months
before the date of the filing of the petition; and (Amended 48 of 1987 s. 8)

(ii) wages and salary (including commission provided that the amount thereof is fixed or ascertainable at
the relevant date) of any clerk or servant in respect of services rendered to the bankrupt during a
period-
(A) beginning 4 months next before the date of the filing of the petition and ending on the making of

the bankruptcy order; or (Amended 76 of 1996 s. 73)
(B) beginning 4 months next before the last day of service within the meaning of section 16(4) of the

Protection of Wages on Insolvency Ordinance (Cap 380) of any clerk or servant who has made
an application for an ex gratia payment under section 15(1) of that Ordinance, and ending on that
last day of service, (Replaced 68 of 1996 s. 4)

whichever is the earlier, not exceeding, together with any payment under sub-paragraph (i), $300;
(Replaced 12 of 1985 s. 29(4). Amended 48 of 1987 s. 8)

(c) any-
(i) payment from the Protection of Wages on Insolvency Fund under section 18 of the Protection of

Wages on Insolvency Ordinance (Cap 380) to any labourer or workman in respect of wages, whether
payable for time or for piece work, in respect of services rendered to the bankrupt if such payment was
made during a period of 4 months before the date of the filing of the petition; and

(ii) wages of any labourer or workman, whether payable for time or for piece work, in respect of services
rendered to the bankrupt during the period-
(A) beginning 4 months next before the date of the filing of the petition and ending on the making of

a bankruptcy order; or (Amended 76 of 1996 s. 73)
(B) beginning 4 months next before the last day of service within the meaning of section 16(4) of the

Protection of Wages on Insolvency Ordinance (Cap 380) of any labourer or workman who has
made an application for an ex gratia payment under section 15(1) of that Ordinance, and ending
on that last day of service, (Replaced 68 of 1996 s. 4)

whichever is the earlier, not exceeding, together with any payment under sub-paragraph (i), $100;
(Replaced 12 of 1985 s. 29(4). Amended 48 of 1987 s. 8)

(ca) any severance payment payable to an employee under the Employment Ordinance (Cap 57), not exceeding
in respect of each employee $6000; (Added 54 of 1974 s. 2)

(caa) any long service payment payable to an employee under the Employment Ordinance (Cap 57), not
exceeding in respect of each employee $8000; (Added 78 of 1985 s. 2)

(cb) any amount due in respect of compensation or liability for compensation under the Employees'
Compensation Ordinance (Cap 282) accrued before the date of the bankruptcy order and, where the
compensation is a periodical payment, the amount due in respect thereof shall be taken to be the amount of
the lump sum for which the periodical payment could, if redeemable, be redeemed on an application being
made for that purpose under the Employees' Compensation Ordinance (Cap 282), but this paragraph shall
not apply to any amount due in respect of compensation or liability for compensation where the bankrupt
has entered into a contract with a person carrying on accident insurance business in Hong Kong in respect
of his liability under the Employees' Compensation Ordinance (Cap 282) for personal injury by accident to
the employee to whom the compensation or liability for compensation is due; (Added 5 of 1977 s. 2.
Amended 47 of 1984 s. 16; 76 of 1996 s. 73)

(cc) any wages in lieu of notice payable to an employee under the Employment Ordinance (Cap 57), not
exceeding in respect of each employee one month's wages or $2000 whichever is the lesser; (Added 5 of
1977 s. 2)

(cd) all accrued holiday remuneration becoming payable to any clerk, servant, workman or labourer (or in the
case of his death to any other person in his right) on the termination of his employment before or as a
consequence of the bankruptcy order; (Added 47 of 1984 s. 5. Amended 76 of 1996 s. 73)

(ce) any payment from the Employees Compensation Assistance Fund under Part IV of the Employees
Compensation Assistance Ordinance 1991 (54 of 1991) representing an amount due by the bankrupt in
respect of compensation or liability for compensation under the Employees' Compensation Ordinance (Cap
282) accrued before the date of the bankruptcy order; (Added 54 of 1991 s. 47. Amended 76 of 1996 s. 73)

(cf) any amount of unpaid contribution or any amount deemed to be unpaid contribution calculated in
accordance with rules made under section 73(1)(n) of the Occupational Retirement Schemes Ordinance



Cap 6 - BANKRUPTCY ORDINANCE 25

(Cap 426) which should have been paid by the bankrupt in accordance with the terms of an occupational
retirement scheme within the meaning of that Ordinance before the commencement of the bankruptcy:
Provided that where such amount exceeds $50000 in respect of an employee, 50% of such part of the
amount that exceeds $50000 shall not be paid in priority to all other debts under this subsection; (Added 88
of 1992 s. 83)

(cg) (without prejudice to any right or liability under a trust) any amount of salaries deducted by the bankrupt
from his employees' salaries for the purpose of making contributions in respect of such employees to the
funds of an occupational retirement scheme within the meaning of the Occupational Retirement Schemes
Ordinance (Cap 426) which have not been paid into such funds; (Added 88 of 1992 s. 83)

(ch) any amount of unpaid contribution under, or any amount of unpaid contribution calculated in accordance
with, the Mandatory Provident Fund Schemes Ordinance (Cap 485) which should have been paid by the
bankrupt in accordance with the provisions of that Ordinance before the commencement of the bankruptcy:
Provided that where such amount exceeds $50000 in respect of an employee, 50% of such part of the
amount that exceeds $50000 shall not be paid in priority to all other debts under this subsection; (Added 80
of 1995 s. 49)

(ci) any amount deducted by the bankrupt from the relevant income of his relevant employees for the purpose of
making contributions in respect of such relevant employees to the approved trustee of a registered scheme
within the meaning of the Mandatory Provident Fund Schemes Ordinance (Cap 485) which have not been
paid to that approved trustee; (Added 80 of 1995 s. 49)

(cj) any sum and interest thereon payable to the Mandatory Provident Fund Schemes Authority under section
17(7) of the Mandatory Provident Fund Schemes Ordinance (Cap 485); (Added 80 of 1995 s. 49)

(d) all statutory debts due from the bankrupt to the Crown at the date of the bankruptcy order and which
became due and payable within 12 months next before that date. (Replaced 47 of 1984 s. 5. Amended 76 of
1996 s. 73)

(2)-(2A) (Repealed 76 of 1996 s. 28)
(2B) Where-

(a) the date of the receiving order is on or after 1 April 1977; or
(b) a bankruptcy order is made on or after the day the Bankruptcy (Amendment) Ordinance 1996 (76 of 1996)

comes into operation,
the sum of $8000 shall be deemed to be substituted in each case for the sums of $300 and $100 referred to in
paragraphs (b) and (c) respectively, and for the sum of $6000 referred to in paragraph (ca), of subsection (1).
(Added 5 of 1977 s. 2. Amended 76 of 1996 s. 28)

(3) The debts specified in subsection (1)(b), (c), (ca), (caa), (cb), (cc), (cd), (ce), (cf), (cg), (ch), (ci) and (cj)-
(Amended 47 of 1984 s. 5; 78 of 1985 s. 2; 54 of 1991 s. 47; 88 of 1992 s. 83; 80 of 1995 s. 49)
(a) shall have priority over the debts specified in subsection (1)(d);
(b) shall rank equally among themselves; and
(c) shall be paid in full unless the property of the bankrupt is insufficient to meet them, in which case they shall

abate in equal proportions among themselves. (Replaced 42 of 1970 s. 2. Amended 54 of 1974 s. 2; 5 of
1977 s. 2)

(3A) (Repealed 47 of 1984 s. 5)
(4) Subject to the provisions contained in section 37 and to the retention of such sums as may be necessary for the

costs of administration or otherwise, the foregoing debts shall be discharged forthwith so far as the property of
the debtor is sufficient to meet them.

(5) In the event of a landlord or other person distraining or having distrained on any goods or effects of a bankrupt
within 3 months next before the date of the bankruptcy order the debts to which priority is given by this section
shall be a first charge on the goods or effects so distrained on or the proceeds of the sale thereof. (Amended 42
of 1970 s. 2; 76 of 1996 s. 73)

(5A) Any money paid under a charge under subsection (5) shall be a debt due from the estate of the bankrupt to the
landlord or other person distraining or having distrained, and such debt shall be discharged so far as the property
of the bankrupt is sufficient to meet it after payment of the debts specified in subsection (1) but before payment
of the other debts proved in the bankruptcy. (Added 42 of 1970 s. 2)

(5B) Where any assets have been recovered under an indemnity for costs of litigation given by certain creditors, or
have been protected or preserved by the payment of moneys or the giving of indemnity by creditors, or where
expenses in relation to which a creditor has indemnified a trustee have been recovered, the court may, on the
application of the Official Receiver or the trustee or any such creditor, make such order as it deems just with



Cap 6 - BANKRUPTCY ORDINANCE 26

respect to the distribution of those assets and the amount of those expenses so recovered with a view to giving
those creditors an advantage over others in consideration of the risk run by them in so doing. (Added 47 of 1984
s. 5)

(5C) Any remuneration in respect of a period of holiday or of absence from work through sickness or other good
cause shall be deemed to be wages in respect of services rendered to the bankrupt during that period. (Added 47
of 1984 s. 5)

(6) This section shall apply in the case of a deceased person who dies insolvent as if he were a bankrupt and as if the
date of his death were substituted for the date of the bankruptcy order. (Amended 76 of 1996 s. 73)

(7) In the case of partners the joint estate shall be applicable in the first instance in payment of their joint debts and
the separate estate of each partner shall be applicable in the first instance in payment of his separate debts. If
there is a surplus of the separate estates, it shall be dealt with as part of the joint estate. If there is a surplus of the
joint estate, it shall be dealt with as part of the respective separate estates in proportion to the right and interest of
each partner in the joint estate. (See Rule 195)

(8) Subject to the provisions of this Ordinance, all debts proved in the bankruptcy shall be paid pari passu.
(9) If there is any surplus after payment of the foregoing debts, it shall be applied in payment of interest from the

date of the bankruptcy order at the rate specified in section 71(3) on all debts proved in the bankruptcy.
(Amended 76 of 1996 ss. 28 & 73)

(10) In this section-
accrued holiday remuneration (累算的假日薪酬) includes, in relation to any person, all sums which, by virtue either

of his contract of employment or of any enactment (including any order made or direction given under any
Ordinance), are payable on account of the remuneration which would, in the ordinary course, have become
payable to him in respect of a period of holiday had his employment with the bankrupt continued until he
became entitled to be allowed the holiday, and, without limitation, includes any pay for untaken statutory
holidays and pay for untaken annual leave; (Amended 7 of 2012 s. 9)

Employees Compensation Assistance Fund (僱員補償援助基金) means the fund established by section 7 of the
Employees Compensation Assistance Ordinance 1991 (54 of 1991); (Added 54 of 1991 s. 47)

pay for untaken annual leave (未放年假薪酬), in relation to any person, means any sum which, by virtue either of
the person's contract of employment or of any enactment (including any order made or direction given under any
Ordinance), is payable-
(a) in respect of annual leave to which the person has become entitled to be allowed but which the person has

not taken; or
(b) on account of the remuneration in respect of annual leave that would have become payable to the person if

the person's employment had continued until the person became entitled to be allowed the annual leave,
and, without limitation, includes any sum payable under section 41D of the Employment Ordinance (Cap 57);
(Added 7 of 2012 s. 9)

pay for untaken statutory holidays (未放法定假日薪酬) means any sum payable under the Employment Ordinance
(Cap 57) or a contract of employment in respect of a statutory holiday (within the meaning of that Ordinance)
that has not been taken as a holiday (within the meaning of that Ordinance); (Added 7 of 2012 s. 9)

Protection of Wages on Insolvency Fund (破產欠薪保障基金) means the fund deemed to be established and
continued in existence under section 6 of the Protection of Wages on Insolvency Ordinance (Cap 380); (Added
12 of 1985 s. 29(4))

statutory debt (法定債項) means a debt the liability for which and the amount of which are determined by or under
any provision in any Ordinance; (Amended 18 of 2005 s. 12)

wages (工資) includes, in relation to any person, any sum which, by virtue of his contract of employment, is payable
to him as a Lunar New Year bonus, but does not include any accrued holiday remuneration. (Replaced 47 of
1984 s. 5)

(11) The Bankruptcy (Amendment) Ordinance 1984 (47 of 1984) shall not apply in the case of a bankruptcy where
the date of the receiving order occurred before the commencement* of that Ordinance, and, in such a case, the
provisions relating to priority of debts which would have applied if that Ordinance had not been enacted shall be
deemed to remain in full force. (Added 47 of 1984 s. 5)

(12) The Fifth Schedule to the Protection of Wages on Insolvency Ordinance 1985 (12 of 1985) shall not apply in the
case of a bankruptcy where the date of the filing of a petition occurred before the commencement of that
Ordinance, and, in such case, the provisions relating to priority of debts which would have applied if that



Cap 6 - BANKRUPTCY ORDINANCE 27

Ordinance has not been enacted shall deemed to remain in full force. (Added 12 of 1985 s. 29(4))
(13) Section 4(a) and (b) of the Protection of Wages on Insolvency (Amendment) Ordinance 1996 (68 of 1996) (the

amending Ordinance) shall not apply in the case of a bankruptcy to which an application under section 15(1) of
the Protection of Wages on Insolvency Ordinance (Cap 380) relates where such application is made before the
commencement of the amending Ordinance, and, in such case, the provisions relating to priority of debts which
would have applied if the amending Ordinance had not been enacted shall be deemed to remain in full force.
(Added 68 of 1996 s. 4)

[cf. 1914 c. 59 s. 33 U.K.]
______________________________________________________________________________
Note:
* Commencement date: 31 August 1984.

Section: 39 Preferential claims in case of apprenticeship E.R. 2 of 2012 02/08/2012


(1) Where at the time of the presentation of the bankruptcy petition any person is apprenticed or is a trainee solicitor
to the bankrupt, the adjudication of bankruptcy shall, if either the bankrupt or the apprentice or trainee solicitor
gives notice in writing to the trustee to that effect, be a complete discharge of the indenture of apprenticeship or
trainee solicitor contract; and if any money has been paid by or on behalf of the apprentice or trainee solicitor to
the bankrupt as a fee, the trustee may, on the application of the apprentice or trainee solicitor or of some person
on his behalf, pay such sum as the trustee, subject to an appeal to the court, thinks reasonable, out of the
bankrupt's property, to or for the use of the apprentice or trainee solicitor, regard being had to the amount paid
by him or on his behalf and to the time during which he served with the bankrupt under the indenture or trainee
solicitor contract before the commencement of the bankruptcy and to the other circumstances of the case.

(2) Where it appears expedient to a trustee, he may, on the application of any apprentice or trainee solicitor to the
bankrupt or any person acting on behalf of such apprentice or trainee solicitor, instead of acting under the
provisions of subsection (1), transfer the indenture of apprenticeship or trainee solicitor contract to some other
person.

(Amended 70 of 1991 s. 14)
[cf. 1914 c. 59 s. 34 U.K.]


Section: 40 Landlord's power of distress E.R. 2 of 2012 02/08/2012


The Landlord or other person to whom any rent is due from the bankrupt may, subject to the provisions of Part III of
the Landlord and Tenant (Consolidation) Ordinance (Cap 7), at any time either before or after the commencement of
the bankruptcy, distrain upon the goods or effects of the bankrupt for the rent due to him from the bankrupt, with this
limitation, that if such distress for rent be levied after the commencement of the bankruptcy, it shall be available only
for 6 months' rent accrued due prior to the date of the order of adjudication and shall not be available for rent payable
in respect of any period subsequent to the date when the distress was levied, but the landlord or other person to whom
the rent may be due from the bankrupt may prove under the bankruptcy for the surplus due for which the distress may
not have been available.

[cf. 1914 c. 59 s. 35 U.K.]

Section: 41 Spouse's claim postponed E.R. 2 of 2012 02/08/2012


A bankrupt's spouse shall not be entitled to claim any dividend as a creditor in respect of any money or other estate,
lent or entrusted to the bankrupt until all claims of the other creditors of the bankrupt for valuable consideration in
money or monies worth have been satisfied.

(Replaced 76 of 1996 s. 29)

Section: 42 Restrictions on dispositions of property E.R. 2 of 2012 02/08/2012


Property available for payment of debts


(1) Where a person is adjudged bankrupt, any disposition of property made by that person in the period to which this
section applies is void except to the extent that it is or was made with the consent of the court, or is or was



Cap 6 - BANKRUPTCY ORDINANCE 28

subsequently ratified by the court.
(2) Subsection (1) applies to a payment (whether in cash or otherwise) as it applies to a disposition of property and,

accordingly, where any payment is void by virtue of that subsection, the person paid shall hold the sum paid for
the bankrupt as part of his estate.

(3) This section applies to the period beginning with the day of the presentation of the petition for the bankruptcy
order and ending with the vesting of the bankrupt's estate in a trustee.

(4) This section does not give a remedy against any person-
(a) in respect of any property or payment which he received before the commencement of the bankruptcy in

good faith, for value and without notice that the petition had been presented; or
(b) in respect of any interest in property which derives from an interest in property referred to in paragraph (a).

(5) Where after the commencement of the bankruptcy the bankrupt has incurred a debt to any person by reason of
the making of a payment which is void under this section, that debt is deemed for the purposes of this Ordinance
to have been incurred before the commencement of the bankruptcy unless-
(a) that person had notice of the bankruptcy before the debt was incurred; or
(b) it is not reasonably practicable for the amount of the payment to be recovered from the person to whom it

was made.
(6) A disposition of property is void under this section notwithstanding that the property is not or, as the case may

be, would not be comprised in the bankrupt's estate; but nothing in this section affects any disposition made by a
person of property held by him on trust for any other person.

(Replaced 76 of 1996 s. 30)

Section: 43 Definition of bankrupt's estate E.R. 2 of 2012 02/08/2012


Expanded Cross Reference:

43A, 43B, 43C, 43D, 43E



(1) Subject to this section and sections 43A to 43E, a bankrupt's estate comprises-
(a) all property belonging to or vested in the bankrupt at the commencement of the bankruptcy; and
(b) any property which by virtue of any of the provisions of this Ordinance is comprised in that estate or is

treated as falling within paragraph (a).
(2) Subsection (1) does not apply to-

(a) such tools, books, vehicles and other items of equipment as are necessary to the bankrupt for use personally
by him in his employment, business or vocation;

(b) such clothing, bedding, furniture, household equipment and provisions as are necessary for satisfying the
basic domestic needs of the bankrupt and his family.

(3) Subsection (1) does not apply to property held by the bankrupt on trust for any other person.
(4) References in this Ordinance to property, in relation to a bankrupt, include references to any power exercisable

by him over or in respect of property except in so far as the power is exercisable over or in respect of property
not for the time being comprised in the bankrupt's estate and cannot be so exercised for the benefit of the
bankrupt; and a power exercisable over or in respect of property is deemed to vest in the person entitled to
exercise it at the time of the transaction or event by virtue of which it is exercisable by that person (whether or
not it becomes so exercisable at that time).

(5) For the purposes of any provision in this Ordinance, property comprised in a bankrupt's estate is so comprised
subject to the rights of any person other than the bankrupt (whether as a secured creditor of the bankrupt or
otherwise) in relation thereto, but disregarding-
(a) any rights in relation to which a statement such as is required by section 6B(1)(a) was made in the petition

on which the bankrupt was adjudged bankrupt; and
(b) any rights which have been otherwise given up in accordance with the rules.

(6) This section has effect subject to the provisions of any enactment not contained in this Ordinance under which
any property is to be excluded from a bankrupt's estate.

(Replaced 76 of 1996 s. 31)




Cap 6 - BANKRUPTCY ORDINANCE 29

Section: 43A After-acquired property E.R. 2 of 2012 02/08/2012


(1) Subject to this section, the trustee may by notice in writing claim for the bankrupt's estate any property which
has been acquired by, or has devolved upon, the bankrupt since the commencement of the bankruptcy.

(2) A notice under this section shall not be served in respect of-
(a) any property falling within section 43(2) or (3); or
(b) any property which is acquired by, or devolves upon, the bankrupt after his discharge.

(3) Subject to subsection (4), upon the service on the bankrupt of a notice under this section the property to which
the notice relates shall vest in the trustee as part of the bankrupt's estate; and the trustee's title to that property has
relation back to the time at which the property was acquired by, or devolved upon, the bankrupt.

(4) Where, whether before or after service of a notice under this section-
(a) a person acquires property in good faith, for value and without notice of the bankruptcy; or
(b) a banker enters into a transaction in good faith and without such notice,

the trustee is not in respect of that property or transaction entitled by virtue of this section to any remedy against
that person or banker, or any person whose title to any property derives from that person or banker.

(5) References in this section to property do not include any property which, as part of the bankrupt's income, may
be the subject of an income payments order under section 43E.

(6) For the purposes of this section, an undischarged bankrupt shall submit to the trustee on each anniversary of the
making of the bankruptcy order against him, a statement of his earnings during the preceding year and details of
any property he acquired during that period.

(7) A bankrupt who fails or refuses to comply with subsection (6) is guilty of an offence and is liable to
imprisonment for 6 months.

(8) The court may refuse to discharge a bankrupt who has not complied with subsection (6).
(Added 76 of 1996 s. 31)


Section: 43B Vesting in trustee of certain items of excess value E.R. 2 of 2012 02/08/2012


(1) Where-
(a) property is excluded by virtue of section 43(2) from the bankrupt's estate; and
(b) it appears to the trustee that the realisable value of the whole or any part of that property exceeds the cost of

a reasonable replacement for that property or that part of it,
the trustee may by notice in writing claim that property or, as the case may be, that part of it for the bankrupt's

estate.
(2) Upon the service on the bankrupt of a notice under this section, the property to which the notice relates vests in

the trustee as part of the bankrupt's estate; and, except against a purchaser in good faith, for value and without
notice of the bankruptcy, the trustee's title to that property has relation back to the commencement of the
bankruptcy.

(3) The trustee shall apply funds comprised in the estate to the purchase by or on behalf of the bankrupt of a
reasonable replacement for any property vested in the trustee under this section; and the duty imposed by this
subsection has priority over the obligation of the trustee to distribute the estate.

(4) For the purposes of this section, property is a reasonable replacement for other property if it is reasonably
adequate for meeting the needs met by the other property.

(Added 76 of 1996 s. 31)

Section: 43C Time-limit for notice under section 43A or 43B E.R. 2 of 2012 02/08/2012


(1) Except with the leave of the court, a notice shall not be served-
(a) under section 43A, after the end of the period of 42 days beginning with the day on which it first came to

the knowledge of the trustee that the property in question had been acquired by, or had devolved upon, the
bankrupt;

(b) under section 43B, after the end of the period of 42 days beginning with the day on which the property in
question first came to the knowledge of the trustee.

(2) For the purposes of this section-
(a) anything which comes to the knowledge of the trustee is deemed in relation to any successor of his as

trustee to have come to the knowledge of the successor at the same time; and



Cap 6 - BANKRUPTCY ORDINANCE 30

(b) anything which comes, otherwise than under paragraph (a), to the knowledge of a person before he is the
trustee is deemed to come to his knowledge on his appointment taking effect or, in the case of the Official
Receiver, on his becoming trustee.

(Added 76 of 1996 s. 31)

Section: 43D Application by bankrupt or creditor to include or exclude

items from the bankrupt's estate
E.R. 2 of 2012 02/08/2012



Expanded Cross Reference:

43, 43A, 43B



(1) Notwithstanding sections 43 to 43B-
(a) the bankrupt; or
(b) one of the creditors,

may apply to the trustee for the inclusion in or exclusion from the estate of a particular item and the trustee may
grant the application or refuse it.

(2) Where the bankrupt or any of the creditors objects to the trustee's decision under subsection (1), he may apply to
the court and the court may affirm the trustee's decision or reverse it or attach conditions to the original decision.

(Added 76 of 1996 s. 31)

Section: 43E Income payments orders E.R. 2 of 2012 02/08/2012


(1) The court may, on the application of the trustee, make an order (an income payments order) claiming for the
bankrupt's estate so much of the income of the bankrupt during the period for which the order is in force as may
be specified in the order.

(2) The court shall not make an income payments order the effect of which would be to reduce the income of the
bankrupt below what appears to the court to be necessary for meeting the reasonable domestic needs of the
bankrupt and his family.

(3) An income payments order shall, in respect of any payment of income to which it is to apply, either-
(a) require the bankrupt to pay the trustee an amount equal to so much of that payment as is claimed by the

order; or
(b) require the person making the payment to pay so much of it as is so claimed to the trustee, instead of to the

bankrupt.
(4) Where the court makes an income payments order it may, if it thinks fit, discharge or vary any attachment of

earnings order that is for the time being in force to secure payments by the bankrupt.
(5) Sums received by the trustee under an income payments order form part of the bankrupt's estate.
(6) For the purposes of this section the income of the bankrupt comprises every payment in the nature of income

which is from time to time made to him or to which he from time to time becomes entitled, including any
payment in respect of the carrying on of any business or in respect of any office or employment.

(Added 76 of 1996 s. 31)

Section: 43F Continuing occupation of family home E.R. 2 of 2012 02/08/2012


(1) Notwithstanding anything in this Ordinance, where a bankrupt normally resides in premises which comprise part
of his estate, he shall be entitled to continue residing in such premises for a period of 6 months after the making
of the bankruptcy order and the court may, on application before the expiry of the 6 month period, make an order
extending the entitlement for a further period not exceeding 6 months.

(2) Where the bankrupt makes an application for an extension, the court shall assume, unless the circumstances of
the case are exceptional, that the interests of the bankrupt's creditors outweigh all other considerations.

(Added 76 of 1996 s. 31)

Section: 44 Provisions as to second bankruptcy E.R. 2 of 2012 02/08/2012


(1) Where a second or subsequent bankruptcy order is made against a bankrupt, or where an order is made for the



Cap 6 - BANKRUPTCY ORDINANCE 31

administration in bankruptcy of the estate of a deceased bankrupt, then for the purposes of any proceedings
consequent upon any such order the trustee in the last preceding bankruptcy shall be deemed to be a creditor in
respect of any unsatisfied balance of the debts provable against the property of the bankrupt in that bankruptcy.
(Amended 76 of 1996 s. 73)

(2) In the event of a second or subsequent bankruptcy order being made against a bankrupt, or in the event of an
order being made for the administration in bankruptcy of the estate of a deceased bankrupt, any property
acquired by him since he was last adjudged bankrupt, which at the date when the subsequent petition was
presented had not been distributed amongst the creditors in such last preceding bankruptcy, shall subject to any
disposition thereof made by the Official Receiver or trustee in that bankruptcy, without knowledge of the
presentation of the subsequent petition, and subject to the provisions of section 52, vest in the trustee in the
subsequent bankruptcy or administration in bankruptcy as the case may be. (Amended 76 of 1996 ss. 32 and 73)

(3) Where the trustee in any bankruptcy receives notice of a subsequent petition in bankruptcy against the bankrupt
or after his decease of a petition for the administration of his estate in bankruptcy, the trustee shall hold any
property then in his possession which has been acquired by the bankrupt since he was adjudged bankrupt until
the subsequent petition has been disposed of, and if on the subsequent petition an order of adjudication or an
order for the administration of the estate in bankruptcy is made, he shall transfer all such property or the
proceeds thereof (after deducting his costs and expenses) to the trustee in the subsequent bankruptcy or
administration in bankruptcy, as the case may be.

[cf. 1926 c. 7 s. 3 U.K.]

Section: 45 Restriction of rights of creditor under execution or

attachment
E.R. 2 of 2012 02/08/2012



Effect of bankruptcy on antecedent and other transactions

(1) Where a creditor has issued execution against the property of a bankrupt or has attached any debt due to him, he

shall not be entitled to retain the benefit of the execution or attachment against the trustee of the bankrupt unless
he had completed the execution or attachment before the date of the bankruptcy order and before notice of the
presentation of any bankruptcy petition by or against the bankrupt. (Amended 76 of 1996 ss. 33 and 73; 18 of
2005 s. 13)

(2) For the purposes of this Ordinance-
(a) an execution against goods is completed by seizure and sale or by the making of a charging order under

section 20 of the High Court Ordinance (Cap 4); (Amended 25 of 1998 s. 2)
(b) an attachment of a debt is completed by the receipt of the debt; and
(c) an execution against land is completed by seizure, by the appointment of a receiver, or by the making of a

charging order under the said section 20. (Replaced 52 of 1987 s. 44)
(3) (Repealed 76 of 1996 s. 33)
(4) The rights conferred by this section on the trustee in relation to executions against the property of the bankrupt

and attachment of debts due to the bankrupt may be set aside by the court in favour of the creditor to such extent
and subject to such terms as the court may think fit. (Added 47 of 1984 s. 6. Amended 76 of 1996 s. 33)

[cf. 1914 c. 59 s. 40 U.K.]

Section: 46 Duties of bailiff as to goods taken in execution E.R. 2 of 2012 02/08/2012


(1) Where any movable property or negotiable instruments or money of a debtor are taken in execution, and before
the receipt or recovery by the judgment creditor of the full amount of the levy, notice is served on the bailiff that
a bankruptcy order has been made against the debtor, the bailiff shall on request deliver the movable property,
negotiable instruments or money, or any money received in satisfaction or part satisfaction of the execution, to
the trustee, but the costs of the execution shall be a fist charge on the property so delivered and the trustee may
sell the movable property or negotiable instruments, or an adequate part thereof, or apply the money, for the
purpose of satisfying the charge. (Amended 76 of 1996 s. 73)

(2) Where, under an execution in respect of a judgment for a sum exceeding $100, the property of a debtor is sold or
money is paid in order to avoid sale, the bailiff shall deduct his costs of the execution from the proceeds of sale
or the money paid and pay the balance into court, and if within 14 clear days of such sale or payment as
aforesaid a bankruptcy petition is presented by or against the debtor, the said balance shall remain in court and if



Cap 6 - BANKRUPTCY ORDINANCE 32

the debtor is adjudged bankrupt the balance shall be paid out to the trustee in the bankruptcy, who shall be
entitled to retain the same as against the execution creditor, but otherwise it shall be dealt with as if no
bankruptcy petition had been presented.

(3) The rights conferred by this section on the trustee in relation to executions against any movable property or
negotiable instruments or money of the debtor may be set aside by the court in favour of the creditor to such
extent and subject to such terms as the court may think fit. (Added 47 of 1984 s. 7)

(Amended 18 of 2005 s. 14)
[cf. 1914 c. 59 s. 41(1) U.K.]


Section: 47 (Repealed 76 of 1996 s. 34) L.N. 158 of 1998 01/04/1998




Section: 48 Avoidance of general assignments of book debts unless
registered

E.R. 2 of 2012 02/08/2012



(1) Where a person engaged in any trade or business makes an assignment to any other person of his existing or
future book debts or any class thereof and is subsequently adjudicated bankrupt, the assignment shall be void
against the trustee as regards any book debts which have not been paid before the date of the bankruptcy order,
unless the assignment has been registered with the Registrar in a register to be kept by him for that purpose:
(Amended 76 of 1996 s. 35)

Provided that nothing in this section shall have effect so as to render void any assignment of book debts due at
the date of the assignment from specified debtors, or of debts growing due under specified contracts, or any
assignment of book debts included in a transfer of a business made bona fide and for value, or in any assignment
of assets for the benefit of creditors generally.

(2) For the purposes of this section, assignment (轉讓) includes assignment by way of security and other charges
on book debts.

[cf. 1914 c. 59 s. 43 U.K.]

Section: 49 Transactions at an undervalue E.R. 2 of 2012 02/08/2012


(1) Subject to this section and sections 51 and 51A, where a debtor is adjudged bankrupt and he has at a relevant
time (defined in section 51) entered into a transaction with any person at an undervalue, the trustee may apply to
the court for an order under this section.

(2) The court shall, on such an application, make such order as it thinks fit for restoring the position to what it would
have been if that debtor had not entered into that transaction.

(3) For the purposes of this section and sections 51 and 51A, a debtor enters into a transaction with a person at an
undervalue if-
(a) he makes a gift to that person or he otherwise enters into a transaction with that person on terms that

provide for him to receive no consideration;
(b) he enters into a transaction with that person in consideration of marriage; or
(c) he enters into a transaction with that person for a consideration the value of which, in money or money's

worth, is significantly less than the value, in money or money's worth, of the consideration provided by the
debtor.

(Replaced 76 of 1996 s. 36)

Section: 49A (Repealed 76 of 1996 s. 36) L.N. 158 of 1998 01/04/1998




Section: 50 Unfair preferences E.R. 2 of 2012 02/08/2012


(1) Subject to this section and sections 51 and 51A, where a debtor is adjudged bankrupt and he has at a relevant
time (defined in section 51) given an unfair preference to any person, the trustee may apply to the court for an
order under this section.

(2) The court shall, on such an application, make such order as it thinks fit for restoring the position to what it would



Cap 6 - BANKRUPTCY ORDINANCE 33

have been if that debtor had not given that unfair preference.
(3) For the purposes of this section and sections 51 and 51A, a debtor gives an unfair preference to a person if-

(a) that person is one of the debtor's creditors or a surety or guarantor for any of his debts or other liabilities;
and

(b) the debtor does anything or suffers anything to be done which (in either case) has the effect of putting that
person into a position which, in the event of the debtor's bankruptcy, will be better than the position he
would have been in if that thing had not been done.

(4) The court shall not make an order under this section in respect of an unfair preference given to any person unless
the debtor who gave the unfair preference was influenced in deciding to give it by a desire to produce in relation
to that person the effect mentioned in subsection (3)(b).

(5) A debtor who has given an unfair preference to a person who, at the time the unfair preference was given, was
an associate of his (otherwise than by reason only of being his employee) is presumed, unless the contrary is
shown, to have been influenced in deciding to give it by such a desire as is mentioned in subsection (4).

(6) The fact that something has been done in pursuance of the order of a court does not, without more, prevent the
doing or suffering of that thing from constituting the giving of an unfair preference.

(Replaced 76 of 1996 s. 36)

Section: 51 "Relevant time" under sections 49 and 50 E.R. 2 of 2012 02/08/2012


(1) Subject to subsections (2) and (3), the time at which a debtor enters into a transaction at an undervalue or gives
an unfair preference is a relevant time if the transaction is entered into or the unfair preference given-
(a) in the case of a transaction at an undervalue, at a time in the period of 5 years ending with the day of the

presentation of the bankruptcy petition on which the debtor is adjudged bankrupt;
(b) in the case of an unfair preference which is not a transaction at an undervalue and is given to a person who

is an associate of the debtor (otherwise than by reason only of being his employee), at a time in the period
of 2 years ending with that day; and

(c) in any other case of an unfair preference which is not a transaction at an undervalue, at a time in the period
of 6 months ending with that day.

(2) Where a debtor enters into a transaction at an undervalue or gives an unfair preference at a time mentioned in
subsection (1)(a), (b) or (c) (not being, in the case of a transaction at an undervalue, a time less than 2 years
before the end of the period mentioned in subsection (1)(a)), that time is not a relevant time for the purposes of
sections 49 and 50 unless the debtor-
(a) is insolvent at that time; or
(b) becomes insolvent in consequence of the transaction or preference,

but the requirements of this subsection are presumed to be satisfied, unless the contrary is shown, in relation to
any transaction at an undervalue which is entered into by a debtor with a person who is an associate of his
(otherwise than by reason only of being his employee).

(3) For the purposes of subsection (2), a debtor is insolvent if-
(a) he is unable to pay his debts as they fall due; or
(b) the value of his assets is less than the amount of his liabilities, taking into account his contingent and

prospective liabilities.
(Replaced 76 of 1996 s. 36)


Section: 51A Orders under sections 49 and 50 E.R. 2 of 2012 02/08/2012


(1) Without prejudice to the generality of section 49(2) or 50(2), an order under either of those sections with respect
to a transaction or unfair preference entered into or given by a debtor who is subsequently adjudged bankrupt
may (subject as follows)-
(a) require any property transferred as part of the transaction, or in connection with the giving of the unfair

preference, to be vested in the trustee as part of the estate;
(b) require any property to be so vested if it represents in any person's hands the application either of the

proceeds of sale of property so transferred or of money so transferred;
(c) release or discharge (in whole or in part) any security given by the debtor;
(d) require any person to pay, in respect of benefits received by him from the debtor, such sums to the trustee as

the court may direct;



Cap 6 - BANKRUPTCY ORDINANCE 34

(e) provide for any surety or guarantor whose obligations to any person were released or discharged (in whole
or in part) under the transaction or by the giving of the unfair preference to be under such new or revived
obligations to the person as the court thinks appropriate;

(f) provide for security to be provided for the discharge of any obligation imposed by or arising under the
order, for such an obligation to be charged on any property and for the security or charge to have the same
priority as a security or charge released or discharged (in whole or in part) under the transaction or by the
giving of the unfair preference; and

(g) provide for the extent to which any person whose property is vested by the order in the trustee, or on whom
obligations are imposed by the order, is to be able to prove in the bankruptcy for debts or other liabilities
which arose from, or were released or discharged (in whole or in part) under or by, the transaction or the
giving of the unfair preference.

(2) An order under section 49 or 50 may affect the property of, or impose an obligation on, any person whether or
not he is the person with whom the debtor in question entered into the transaction or, as the case may be, the
person to whom the unfair preference was given; but such an order-
(a) shall not prejudice any interest in property which was acquired from a person other than that debtor and was

acquired in good faith and for value, or prejudice any interest deriving from such an interest; and
(b) shall not require a person who received a benefit from the transaction or unfair preference in good faith and

for value to pay a sum to the trustee, except where he was a party to the transaction or the payment is to be
in respect of an unfair preference given to that person at a time when he was a creditor of that debtor.

(3) Where a person has acquired an interest in property from a person other than the debtor in question, or has
received a benefit from the transaction or unfair preference, and at the time of that acquisition or receipt-
(a) he had notice of the relevant surrounding circumstances and of the relevant proceedings; or
(b) he was an associate of either the debtor in question or the person with whom that debtor entered into the

transaction or to whom that debtor gave the unfair preference,
then, unless the contrary is shown, it shall be presumed for the purposes of subsection (2)(a) or (b) that the

interest was acquired or the benefit was received otherwise than in good faith.
(4) Any sums required to be paid to the trustee in accordance with an order under section 49 or 50 shall be

comprised in the bankrupt's estate.
(5) For the purposes of subsection (3)(a), the relevant surrounding circumstances are (as the case may require)-

(a) the fact that the debtor in question entered into the transaction at an undervalue; or
(b) the circumstances which amounted to the giving of the unfair preference by the debtor in question.

(6) For the purposes of subsection (3)(a), a person has notice of the relevant proceedings if he has notice-
(a) of the fact that the petition on which the debtor in question is adjudged bankrupt has been presented; or
(b) of the fact that the debtor in question has been adjudged bankrupt.

(Added 76 of 1996 s. 36)

Section: 51B Meaning of "associate" E.R. 2 of 2012 02/08/2012


Expanded Cross Reference:

49, 49A, 50, 51, 51A



(1) For the purposes of sections 49 to 51A, any question whether a person is an associate of another person shall be
determined in accordance with this section.

(2) A person is an associate of a debtor if that person is the debtor's spouse, or is a relative, or the spouse of a
relative of the debtor or his spouse.

(3) A person is an associate of a debtor with whom he is in partnership, and of the spouse or a relative of any debtor
with whom he is in partnership.

(4) A person is an associate of a debtor whom he employs or by whom he is employed and for this purpose, any
director or other officer of a company shall be treated as employed by that company.

(5) A person in his capacity as trustee of a trust is an associate of a debtor if the beneficiaries of the trust include, or
the terms of the trust confer a power that may be exercised for the benefit of, that debtor or an associate of that
debtor.

(6) A company is an associate of a debtor if that debtor has control of it or if that debtor and persons who are his
associates together have control of it.

(7) For the purposes of this section, a person is a relative of a debtor if he is that debtor's brother, sister, uncle, aunt,



Cap 6 - BANKRUPTCY ORDINANCE 35

nephew, niece, lineal ancestor or lineal descendant, treating-
(a) any relationship of the half blood as a relationship of the whole blood and the step child or adopted child of

any person as his child; and
(b) an illegitimate child as the legitimate child of his mother and reputed father,

and references in this section to a spouse shall include a former spouse.
(8) For the purposes of this section, a debtor shall be taken to have control of a company if-

(a) the directors of the company or of another company which has control of it (or any of them) are accustomed
to act in accordance with his directions or instructions, but a debtor shall not be considered to have control
of a company by reason only that the directors act on advice given by him in a professional capacity; or

(b) he is entitled to exercise, or control the exercise of, 1/3 or more of the voting power at any general meeting
of the company or of another company which has control of it,

and where 2 or more persons together satisfy either of the above conditions, they shall be taken to have control
of the company.

(9) In this section, company (公司 ) includes any body corporate (whether incorporated in Hong Kong or
elsewhere); and references to directors and other officers of a company and to voting power at any general
meeting of a company shall have effect with any necessary modifications.

(Added 76 of 1996 s. 36)

Section: 52 Dealings with undischarged bankrupt E.R. 2 of 2012 02/08/2012


(1) (Repealed 76 of 1996 s. 37)
(2) Where any individual, company or firm has ascertained that a person having a deposit, whether a deposit in

respect of capital or not, or a credit balance, with such individual, company or firm is an undischarged bankrupt,
then it shall be the duty of such individual, company or firm forthwith to inform the Official Receiver and the
trustee in the bankruptcy of the existence of the deposit or credit balance, and such individual, company or firm
shall not make any payment out of or in respect of the deposit or credit balance except under an order of the
court or in accordance with instructions from the Official Receiver or the trustee in the bankruptcy.

(3) In case of any contravention of the provisions of subsection (2) the individual, or the directors and officers of the
company, or the partners and manager of the firm, as the case may be, shall be liable on summary conviction to a
fine of $1000 and to imprisonment for 6 months.

[cf. 1914 c. 59 s. 47 U.K.]

Section: 53 Possession of property by trustee E.R. 2 of 2012 02/08/2012


Realization of property

(1) The trustee shall as soon as may be take possession of the deeds, books and documents of the bankrupt and all

other parts of his property capable of manual delivery.
(2) The trustee shall, in relation to and for the purpose of acquiring or retaining possession of the property of the

bankrupt, be in the same position as if he were a receiver of the property appointed by the court, and the court
may on his application enforce such acquisition or retention accordingly.

(3) Where any part of the property of the bankrupt consists of stock, shares in ships, shares, or any other property
transferable in the books of any company, office or person, the trustee may exercise the right to transfer the
property to the same extent as the bankrupt might have exercised it if he had not become bankrupt.

(4) Where any part of the property of the bankrupt consists of things in action, such things shall be deemed to have
been duly assigned to the trustee.

(5) Subject to the provisions of this Ordinance with respect to property acquired by a bankrupt after adjudication,
any treasurer or other officer, or any banker, attorney, clerk, servant, comprador, employer or agent, of a
bankrupt, shall pay and deliver to the trustee all money and securities in his possession or power, which he is not
by law entitled to retain as against the bankrupt or the trustee. If he does not, he shall be guilty of a contempt of
court and may be punished accordingly on the application of the trustee.

[cf. 1914 c. 59 s. 48 U.K.]




Cap 6 - BANKRUPTCY ORDINANCE 36

Section: 54 Seizure of property of bankrupt E.R. 2 of 2012 02/08/2012


Any person acting under warrant of the court may seize any part of the property of a bankrupt in the custody or
possession of the bankrupt or of any other person, and with a view to such seizure may break open any house, building
or room of the bankrupt where the bankrupt is supposed to be, or any building or receptacle of the bankrupt where any
of his property is supposed to be; and where the court is satisfied that there is reason to believe that property of a
bankrupt is concealed in a house or place not belonging to him, the court may if it thinks fit grant a search warrant to
any constable or officer of the court, who may execute it according to its tenor.

(Amended 76 of 1996 s. 38)
[cf. 1914 c. 59 s. 49 U.K.]


Section: 55 Sale of property out of Hong Kong E.R. 2 of 2012 02/08/2012


Where the bankrupt is possessed of any property out of Hong Kong, the trustee shall require him to join in selling the
same for the benefit of the creditors and to sign all necessary authorities, powers, deeds and documents for the
purpose, and if and so often as the bankrupt refuses to do so he may be punished for a contempt of court.

(Amended 47 of 1984 s. 16)

Section: 56 (Repealed 76 of 1996 s. 39) L.N. 158 of 1998 01/04/1998




Section: 57 (Repealed 27 of 1971 s. 15) 30/06/1997




Section: 58 Vesting and transfer of property E.R. 2 of 2012 02/08/2012


(1) On the making of a bankruptcy order, the property of the bankrupt shall vest in the Official Receiver. (Replaced
18 of 2005 s. 15)

(1A) On the appointment of a person other than the Official Receiver as provisional trustee, the property shall
forthwith pass to and vest in the provisional trustee appointed. (Added 18 of 2005 s. 15)

(1B) Save in sections 15(4), 17, 17A, 17B, 42(3), 58(2), 60, 79, 80, 81, 85, 85A, 96(1) and 112A, the provisional
trustee shall, unless the context otherwise requires, be regarded as the trustee for the purposes of this Ordinance.
(Added 18 of 2005 s. 15)

(2) On the appointment of a trustee the property shall forthwith pass to and vest in the trustee appointed.
(3) The property of the bankrupt shall pass from trustee to trustee, including under that term the Official Receiver

when he fills the office of trustee, and shall vest in the trustee for the time being during his continuance in office,
without any conveyance, assignment or transfer whatever.

[cf. 1914 c. 59 s. 53 U.K.]

Section: 59 Disclaimer of onerous property E.R. 2 of 2012 02/08/2012


(1) Where any part of the property of the bankrupt consists of land of any tenure burdened with onerous covenants,
of shares or stock in companies, of unprofitable contracts, or of any other property that is unsaleable, or not
readily saleable, by reason of its binding the possessor thereof to the performance of any onerous act or to the
payment of any sum of money, the trustee, notwithstanding that he has endeavoured to sell or has taken
possession of the property or exercised any act of ownership in relation thereto, but subject to the provisions of
this section, may, by writing signed by him, at any time within 12 months after the first appointment of a trustee
or such extended period as may be allowed by the court, disclaim the property:

Provided that, where any such property has not come to the knowledge of the trustee within 1 month after such
appointment, he may disclaim such property at any time within 12 months after he has become aware thereof or
such extended period as may be allowed by the court.

(2) The disclaimer shall operate to determine, as from the date of disclaimer, the rights, interests and liabilities of
the bankrupt and his property in or in respect of the property disclaimed, and shall also discharge the trustee
from all personal liability in respect of the property disclaimed as from the date when the property vested in him,



Cap 6 - BANKRUPTCY ORDINANCE 37

but shall not, except so far as is necessary for the purpose of releasing the bankrupt and his property and the
trustee from liability, affect the rights or liabilities of any other person.

(3) A trustee shall not be entitled to disclaim a lease without the leave of the court, except in any cases which may
be prescribed by general rules, and the court may, before or on granting such leave, require such notices to be
given to persons interested, and impose such terms as a condition of granting leave, and make such orders with
respect to fixtures, tenant's improvements and other matters arising out of the tenancy, as the court thinks just.

(4) The trustee shall not be entitled to disclaim any property in pursuance of this section in any case where an
application in writing has been made to the trustee by any person interested in the property requiring him to
decide whether he will disclaim or not and the trustee has for a period of 28 days after the receipt of the
application, or such extended period as may be allowed by the court, declined or neglected to give notice
whether he disclaims the property or not; and in the case of a contract, if the trustee after such application as
aforesaid does not within the said period or extended period disclaim the contract, he shall be deemed to have
adopted it.

(5) The court may, on the application of any person who is, as against the trustee, entitled to the benefit or subject to
the burden of a contract made with the bankrupt, make an order rescinding the contract on such terms as to
payment by or to either party of damages for the non-performance of the contract, or otherwise, as to the court
may seem equitable, and any damages payable under the order to any such person may be proved by him as a
debt under the bankruptcy.

(6) The court may, on application by any person claiming either to have any interest in any disclaimed property or to
be under any liability not discharged by this Ordinance in respect of any disclaimed property, and on hearing
such persons as it thinks fit, make an order for the vesting of the property in or delivery thereof to any person
entitled thereto, or to whom it may seem just that the same should be delivered by way of compensation for such
liability as aforesaid, or a trustee for him, and on such terms as the court thinks just; and on any such vesting
order being made, the property comprised therein shall vest accordingly in the person therein named in that
behalf without any conveyance or assignment for the purpose:

Provided that where the property disclaimed is of a leasehold nature the court shall not make a vesting order in
favour of any person claiming under the bankrupt, whether as under-lessee or as a person entitled to a mortgage
except upon the terms of making that person-
(a) subject to the same liabilities and obligations as the bankrupt was subject to under the lease in respect of the

property at the date when the bankruptcy petition was filed; or
(b) if the court thinks fit, subject only to the same liabilities and obligations as if the lease had been assigned to

that person at that date,
and in either event (if the case so requires) subject only to the same liabilities and obligations as if the lease had

comprised only the property comprised in the vesting order; and any under-lessee or person entitled to a
mortgage who declines to accept a vesting order upon such terms shall be excluded from all interest in and
security upon the property, and if there is no person claiming under the bankrupt who is willing to accept an
order upon such terms, the court shall have power to vest the bankrupt's estate and interest in the property in any
person liable either personally or in a representative character and either alone or jointly with the bankrupt to
perform the lessee's covenants in the lease, freed and discharged from all estates, incumbrances and interests
created therein by the bankrupt. (Amended 47 of 1984 s. 10)

(7) Where on the release, removal, resignation or death of a trustee the Official Receiver is acting as trustee, he may
disclaim any property which might be disclaimed by a trustee under the foregoing provisions, notwithstanding
that the time prescribed by this section for such disclaimer has expired, but such power of disclaimer shall be
exercisable only within 12 months after the Official Receiver has become trustee in the circumstances aforesaid
or has become aware of the existence of such property, whichever period may last expire. (Amended 18 of 2005
s. 16)

(8) Any person injured by the operation of a disclaimer under this section shall be deemed to be a creditor of the
bankrupt to the extent of the injury and may accordingly prove the same as a debt under the bankruptcy.

[cf. 1914 c. 59 s. 54 U.K.]

Section: 60 Powers of provisional trustee and trustee to deal with

property of the bankrupt
E.R. 2 of 2012 02/08/2012



(1) Subject to the provisions of this Ordinance and to any order of the court, a trustee or the Official Receiver when
acting as provisional trustee may do all or any of the following things- (Amended 18 of 2005 s. 17)



Cap 6 - BANKRUPTCY ORDINANCE 38

(aa) take into his custody or under his control all the property to which the bankrupt is or appears to be entitled;
(Added 18 of 2005 s. 17)

(a) sell all or any part of the property of the bankrupt (including the goodwill of the business, if any, and the
book debts due or growing due to the bankrupt), by public auction or private contract, with power to
transfer the whole thereof to any person or company, or to sell the same in parcels, and any transfer of a
business of a bankrupt by the trustee or the Official Receiver when acting as provisional trustee shall be
deemed to be exempted from the provisions of the Transfer of Businesses (Protection of Creditors)
Ordinance (Cap 49); (Amended 18 of 2005 s. 17)

(b) give receipts for any money received by him, which receipts shall effectually discharge the person paying
the money from all responsibility in respect of the application thereof;

(c) prove, rank, claim and draw a dividend in respect of any debt due to the bankrupt;
(d) exercise any powers the capacity to exercise which is vested in the trustee under this Ordinance and execute

any powers of attorney, deeds and other instruments for the purpose of carrying into effect the provisions of
this Ordinance;

(e) subject to section 61, do all such other things as may be necessary for administering the estate and
distributing its assets. (Added 76 of 1996 s. 40)

(Amended 33 of 1939; G.N. 840 of 1940 Supp. Schedule; 20 of 1948 s. 4)
(2) Notwithstanding any other provisions of this Ordinance but subject to subsections (3) and (4), a provisional

trustee other than the Official Receiver may do all or any of the following things-
(a) take into his custody or under his control all the property to which the bankrupt is or appears to be entitled;
(b) sell or dispose of perishable goods, or any property (other than derivatives, warrants, options, shares or

choses in action) the estimated value of which is less than $100000 and is likely to significantly diminish if
such property is not immediately sold or disposed of;

(c) subject to section 61, do all such other things as may be necessary for protecting or preserving the
bankrupt’s property;

(d) exercise any power the capacity to exercise which is vested in the provisional trustee under this Ordinance
and execute any powers of attorney, deeds and other instruments for the purpose of carrying into effect the
provisions of this Ordinance;

(e) subject to section 61, do all such other things as may be necessary for administering the estate pending the
appointment of a trustee. (Added 18 of 2005 s. 17)

(3) A provisional trustee other than the Official Receiver may also exercise a power under subsection (1) if the
power is exercised under an order of the court or with the prior approval of the Official Receiver. (Added 18 of
2005 s. 17)

(4) A provisional trustee other than the Official Receiver shall not sell or dispose of anything under subsection
(2)(b) to a person who is an associate of the bankrupt, unless the sale or disposal is under an order of the court or
with the prior approval of the Official Receiver. (Added 18 of 2005 s. 17)

(5) For the purposes of subsection (4), any question whether a person is an associate of another person shall be
determined in accordance with section 51B as if-
(a) that section were applicable also for the purposes of such determination; and
(b) references to the “debtor” in that section were references to the “bankrupt” in subsection (4). (Added

18 of 2005 s. 17)
(6) The Official Receiver shall not be personally liable for any costs and charges incurred by any person as a result

of any refusal to grant approval under subsection (3) or (4). (Added 18 of 2005 s. 17)
[cf. 1914 c. 59 s. 55 U.K.]


Section: 61 Powers exercisable by trustee with permission of creditors'

committee
E.R. 2 of 2012 02/08/2012



The trustee may, with the permission of the creditors' committee, do all or any of the following things- (Amended 76
of 1996 s. 74)

(a) carry on the business of the bankrupt so far as may be necessary for the beneficial winding up of the same
or allow the bankrupt to restructure the business in accordance with conditions determined by the trustee
where such restructuring is in the interests of the creditors and, for the purpose of such restructuring, the
trustee may permit the debtor to retain any leasehold interest in property in which his business is situated;



Cap 6 - BANKRUPTCY ORDINANCE 39

(Amended 76 of 1996 s. 41)
(b) bring, institute or defend any action or other legal proceeding relating to the property of the bankrupt;
(c) employ a solicitor or other agent to take any proceedings or do any business which may be sanctioned by

the creditors' committee; (Amended 76 of 1996 s. 74)
(d) accept as the consideration for the sale of any property of the bankrupt a sum of money payable at a future

time subject to such stipulations as to security and otherwise as the committee think fit;
(e) mortgage or pledge any part of the property of the bankrupt for the purpose of raising money for the

payment of his debts;
(f) refer any dispute to arbitration, or compromise any debts, claims and liabilities, whether present or future,

certain or contingent, liquidated or unliquidated, subsisting or supposed to subsist between the bankrupt and
any person who may have incurred any liability to the bankrupt, on the receipt of such sums, payable at
such times and generally on such terms as may be agreed on;

(g) make such compromise or other arrangement as may be thought expedient with creditors or persons
claiming to be creditors in respect of any debts provable under the bankruptcy;

(h) make such compromise or other arrangement as may be thought expedient with respect to any claim arising
out of or incidental to the property of the bankrupt, made or capable of being made on the trustee by any
person or by the trustee on any person;

(i) divide in its existing form amongst the creditors, according to its estimated value, any property which from
its peculiar nature or other special circumstances cannot be readily or advantageously sold;

(j) where any right, option or other power forms part of the bankrupt's estate, make payments or incur
liabilities for the purpose of obtaining any property which is the subject of the right, option or power;
(Added 76 of 1996 s. 41)

(k) if, after taking expert advice, he considers it to be in the interest of the estate to delay conversion of foreign
currency into Hong Kong dollars, delay such conversion for the period he considers appropriate, and, where
there is no committee, may do so with the concurrence of the court. (Added 76 of 1996 s. 41)

The permission given for the purposes of this section shall not be general permission to do all or any of the above-
mentioned things but shall only be a permission to do the particular thing or things for which permission is sought in
the specified case or cases.

(Amended 33 of 1939; G.N. 840 of 1940 Supp. Schedule; 20 of 1948 s. 4)
[cf. 1914 c. 59 s. 56 U.K.]


Section: 61A Control of trustee by court E.R. 2 of 2012 02/08/2012


The exercise by the trustee of the powers conferred by sections 60 and 61 shall be subject to the control of the court,
and any creditor may apply to the court with respect to any exercise or proposed exercise of any of those powers.

(Added 76 of 1996 s. 42)

Section: 62 Power to allow bankrupt to manage property E.R. 2 of 2012 02/08/2012


The trustee, with the permission of the creditors' committee, may appoint the bankrupt himself to superintend the
management of the property of the bankrupt or of any part thereof, or to carry on the trade (if any) of the bankrupt for
the benefit of his creditors, and in any other respect to aid in administering the property, in such manner and on such
terms as the trustee may direct.

(Amended 76 of 1996 s. 74)
[cf. 1914 c. 59 s. 57 U.K.]


Section: 63 Allowance to bankrupt for maintenance or service E.R. 2 of 2012 02/08/2012


The trustee may from time to time, with the permission of the creditors' committee, make such allowance as he may
think just to the bankrupt out of his property for the support of the bankrupt and his family, or in consideration of his
services if he is engaged in winding up his estate, but any such allowance may be reduced by the court.

(Amended 76 of 1996 s. 74)
[cf. 1914 c. 59 s. 58 U.K.]





Cap 6 - BANKRUPTCY ORDINANCE 40

Section: 64 Right of trustee to inspect goods pawned, etc. E.R. 2 of 2012 02/08/2012


Where any goods of a debtor against whom a bankruptcy order has been made are held by any person by way of
pledge, pawn or other security, it shall be lawful for the trustee, after giving notice in writing of his intention to do so,
to inspect the goods, and where such notice has been given, such person as aforesaid shall not be entitled to realize his
security until he has given the trustee a reasonable opportunity of inspecting the goods and of exercising his right of
redemption if he thinks fit to do so.

(Amended 76 of 1996 s. 73; 18 of 2005 s. 18)
[cf. 1914 c. 59 s. 59 U.K.]


Section: 65 Limitation of trustee's powers in relation to copyright E.R. 2 of 2012 02/08/2012


Where the property of a bankrupt comprises the copyright in any work or any interest in such copyright and he is
liable to pay to the author of the work royalties or a share of the profits in respect thereof, the trustee shall not be
entitled to sell or authorize the sale of any copies of the work, or to perform or authorize the performance of the work,
except on the terms of paying to the author such sums by way of royalty or share of the profits as would have been
payable by the bankrupt, nor shall he, without the consent of the author or of the court, be entitled to assign the right
or transfer the interest or to grant any interest in the right by licence, except upon terms which will secure to the author
payments by way of royalty or share of the profits at a rate not less than that which the bankrupt was liable to pay.

[cf. 1914 c. 59 s. 60 U.K.]

Section: 66 Protection of Official Receiver and trustee from personal

liability in certain cases
E.R. 2 of 2012 02/08/2012



Where the Official Receiver or trustee has seized or disposed of any goods, chattels, property or other effects in the
possession or on the premises or under the control of a debtor against whom a bankruptcy order has been made and it
is thereafter made to appear that the said goods, chattels, property or other effects were not at the date of the
bankruptcy order the property of the debtor, the Official Receiver or trustee shall not be personally liable for any loss
or damage arising from such seizure or disposal sustained by any person claiming such property nor for the costs of
any proceedings taken to establish a claim thereto, unless the court is of opinion that the Official Receiver or trustee
has been guilty of mala fides or of gross negligence in respect of the same.

(Amended 76 of 1996 s. 73)
[cf. 1914 c. 59 s. 61 U.K.]


Section: 67 Declaration and distribution of dividends E.R. 2 of 2012 02/08/2012


Distribution of property

(1) Whenever the trustee has sufficient funds in hand for the purpose he shall, subject to the retention of such sums

as may be necessary for the expenses of the bankruptcy, declare and distribute dividends among the creditors in
respect of the bankruptcy debts which they have respectively proved. (Replaced 76 of 1996 s. 43)

(2)-(3) (Repealed 76 of 1996 s. 43)
(4) Before declaring a dividend, the trustee shall cause notice of his intention to do so to be gazetted and shall also

send reasonable notice thereof to each creditor mentioned in the bankrupt's statement who has not proved his
debt.

(5) When the trustee has declared a dividend he shall cause to be gazetted and shall send to each creditor who has
proved a notice showing the amount of the dividend and when and how it is payable.

[cf. 1914 c. 59 s. 62 U.K.]

Section: 68 Joint and separate dividends E.R. 2 of 2012 02/08/2012


(1) Where one partner of a firm is adjudged bankrupt, a creditor to whom the bankrupt is indebted jointly with the
other partners of the firm, or any of them, shall not receive any dividend out of the separate property of the
bankrupt until all the separate creditors have received the full amount of their respective debts.



Cap 6 - BANKRUPTCY ORDINANCE 41

(2) Where joint and separate properties are being administered, dividends of the joint and separate properties shall,
unless otherwise directed by the court on the application of any person interested, be declared together and the
expenses of and incidental to such dividends shall be fairly apportioned by the trustee between the joint and
separate properties, regard being had to the work done for and the benefit received by each property.

[cf. 1914 c. 59 s. 63 U.K.]

Section: 69 Provision for creditors residing at a distance, etc. E.R. 2 of 2012 02/08/2012


(1) In the calculation and distribution of a dividend the trustee shall make provision for debts provable in
bankruptcy appearing from the bankrupt's statements, or otherwise, to be due to persons resident in places so
distant from Hong Kong that in the ordinary course of communication they have not had sufficient time to tender
their proofs or to establish them if disputed, and also for debts provable in bankruptcy the subject of claims not
yet determined. (Amended 47 of 1984 s. 16)

(2) He shall also make provision for any disputed proofs or claims, and for the expenses necessary for the
administration of the estate or otherwise.

(3) Subject to the foregoing provisions, he shall distribute as dividend all money in hand.
[cf. 1914 c. 59 s. 64 U.K.]


Section: 70 Right of creditor who has not proved debt before

declaration of a dividend
E.R. 2 of 2012 02/08/2012



Any creditor who has not proved his debt before the declaration of any dividend or dividends shall be entitled to be
paid out of any money for the time being in the hands of the trustee any dividend or dividends he may have failed to
receive before that money is applied to the payment of any future dividend or dividends, but he shall not be entitled to
disturb the distribution of any dividend declared before his debt was proved by reason that he has not participated
therein.

[cf. 1914 c. 59 s. 65 U.K.]

Section: 71 Interest on debts E.R. 2 of 2012 02/08/2012


(1) Where a bankruptcy debt bears interest, that interest is provable as part of the debt except in so far as it is
payable in respect of any period after the commencement of the bankruptcy.

(2) Any surplus remaining after the payment of debts that are proved in bankruptcy shall, before being applied for
any other purpose, be applied in paying interest on those debts in respect of the periods during which they have
been outstanding since the commencement of the bankruptcy; and interest on preferential debts ranks equally
with interest on debts other than preferential debts.

(3) The rate of interest payable under subsection (2) in respect of any debt is whichever is the greater of the
following-
(a) the rate specified under section 49 of the Supreme Court Ordinance (Cap 4) at the commencement of the

bankruptcy; and
(b) the rate applicable to that debt apart from the bankruptcy.

(4) On any debt or sum certain, payable at a certain time or otherwise, whereon interest is not reserved or agreed for,
and which is overdue at the date of the commencement of the bankruptcy, the creditor may prove for interest, at
a rate not exceeding the rate specified under section 49 of the Supreme Court Ordinance (Cap 4), to that date
from the time when the debt or sum has become payable, if the debt or sum is payable by virtue of a written
instrument at a certain time, and if payable otherwise, then from the time when a demand in writing has been
made, giving notice that interest will be claimed from the date of the demand until the time of payment.

(Replaced 76 of 1996 s. 44)

Section: 71A Extortionate credit transactions E.R. 2 of 2012 02/08/2012


(1) This section applies where a person is adjudged bankrupt who is or has been a party to a transaction for, or
involving, the provision to him of credit.

(2) The court may, on the application of the trustee, make an order with respect to the transaction if the transaction



Cap 6 - BANKRUPTCY ORDINANCE 42

is or was extortionate and was not entered into more than 3 years before the commencement of the bankruptcy.
(3) For the purposes of this section a transaction is extortionate if, having regard to the risk accepted by the person

providing the credit-
(a) the terms of it are or were such as to require grossly exorbitant payments to be made (whether

unconditionally or in certain contingencies) in respect of the provision of the credit; or
(b) it otherwise grossly contravened ordinary principles of fair dealing,

and it shall be presumed, unless the contrary is proved, that a transaction with respect to which an application is
made under this section is or, as the case may be, was extortionate.

(4) An order under this section with respect to any transaction may contain such one or more of the following as the
court thinks fit-
(a) provision setting aside the whole or part of any obligation created by the transaction;
(b) provision otherwise varying the terms of the transaction or varying the terms on which any security for the

purposes of the transaction is held;
(c) provision requiring any person who is or was party to the transaction to pay to the trustee any sums paid to

that person, by virtue of the transaction, by the bankrupt;
(d) provision requiring any person to surrender to the trustee any property held by him as security for the

purposes of the transaction;
(e) provision directing accounts to be taken between any persons.

(5) Any sums or property required to be paid or surrendered to the trustee in accordance with an order under this
section shall be comprised in the bankrupt's estate.

(Added 76 of 1996 s. 44)

Section: 72 Final dividend E.R. 2 of 2012 02/08/2012


(1) When the trustee has realized all the property of the bankrupt, or so much thereof as can be realized without
needlessly protracting the trusteeship, he shall declare a final dividend, but before so doing he shall give notice
in manner prescribed to the persons whose claims to be creditors have been notified to him, but not established
to his satisfaction, that if they do not establish their claims to the satisfaction of the court within a time limited
by the notice, he will proceed to make a final dividend without regard to their claims.

(2) After the expiration of the time so limited or if the court on application by any such claimant grants him further
time for establishing his claim, then on the expiration of such further time, the property of the bankrupt shall be
divided among the creditors who have proved their debts, without regard to the claims of any other persons.

[cf. 1914 c. 59 s. 67 U.K.]

Section: 73 No action for dividend E.R. 2 of 2012 02/08/2012


No action for a dividend shall lie against the trustee, but if the trustee refuses to pay any dividend the court may, if it
thinks fit, order him to pay it and also to pay out of his own money interest thereon for the time that it is withheld and
the costs of the application.

[cf. 1914 c. 59 s. 68 U.K.]

Section: 74 Right of bankrupt to surplus E.R. 2 of 2012 02/08/2012


The bankrupt shall be entitled to any surplus remaining after payment in full of his creditors, with interest, as by this
Ordinance provided, and of the costs, charges and expenses of the proceedings under the bankruptcy petition.

[cf. 1914 c. 59 s. 69 U.K.]

Part: IIIA CRIMINAL BANKRUPTCY 30/06/1997


(Part IIIA added 21 of 1979 s. 2)

Section: 74A Interpretation 30/06/1997


Interpretation



Cap 6 - BANKRUPTCY ORDINANCE 43


In this Part and in Schedule 1-

"criminal bankruptcy administration petition" (刑事破產管理呈請) means a petition under section 112 presented by
virtue of Schedule 1;

"criminal bankruptcy order" (刑事破產令) means an order made under section 84A of the Criminal Procedure
Ordinance (Cap 221);

"criminal bankruptcy petition" (刑事破產呈請) means a bankruptcy petition presented by virtue of Schedule 1.
(Amended 39 of 1992 s. 2)


Section: 74B Office and functions of Official Petitioner L.N. 362 of 1997 01/07/1997


Official Petitioner


(1) For the purposes of discharging, in relation to cases in which a criminal bankruptcy order is made, the
functions mentioned in subsection (2), there shall be an officer known as the Official Petitioner; and the Secretary for
Justice shall, by virtue of his office, be the Official Petitioner. (Amended L.N. 362 of 1997)

(2) The functions of the Official Petitioner shall be-
(a) to consider whether, in a case where a criminal bankruptcy order is made, it is in the public interest

that he should himself present a criminal bankruptcy petition;
(b) to present a criminal bankruptcy petition in any such case where he determines it is in the public

interest for him to do so;
(c) to make payments, in such cases as he may determine, towards expenses incurred by other persons in

connection with proceedings pursuant to a criminal bankruptcy petition or a criminal bankruptcy
administration petition;

(d) to exercise, so far as he considers it to be in the public interest to do so, any of the powers conferred on
him by Schedule 1. (Amended 39 of 1992 s. 2)

(3) Neither the Official Petitioner nor any person acting under his authority shall be liable to any action or
proceeding in respect of anything done or omitted in the discharge, or purported discharge, of the functions of the
Official Petitioner under or by virtue of this Ordinance.

(4) Any functions of the Official Petitioner under this Ordinance may be discharged on his behalf by any
person acting with his authority.

[cf. 1972 c. 71 s. 9 U.K.]

Section: 74C Effect of criminal bankruptcy order 30/06/1997


General


Schedule 1 shall apply to give effect to the operation of this Ordinance in a case where a criminal bankruptcy
order has been made and to supplement this Ordinance in relation to dispositions made by a person against whom such
an order has been made.

(Amended 39 of 1992 s. 2)

Part: IV OFFICIAL RECEIVER 30/06/1997




Section: 75 Appointment of Official Receiver and other officers L.N. 87 of 2003 28/03/2003


Remarks:
Adaptation amendments retroactively made - see 18 of 2005 s. 19


(1) The Chief Executive may appoint an Official Receiver and such other officers to hold any of the offices
specified in Schedule 2 as may be required to assist the Official Receiver in the performance of his duties. (Amended
18 of 2005 s. 19)

(2) No person shall be appointed Official Receiver or to any of the offices specified in Part I of Schedule 2



Cap 6 - BANKRUPTCY ORDINANCE 44

unless on the date of such appointment he is qualified to practise as a legal practitioner in Hong Kong, the United
Kingdom or in a jurisdiction listed in Schedule 2 to the Legal Officers Ordinance (Cap 87). (Amended 42 of 2000 s.
21)

(3) The Official Receiver and the holder of an office specified in Part I of Schedule 2 shall be deemed to be
legal officers for the purpose of the Legal Officers Ordinance (Cap 87) and shall have all rights conferred upon legal
officers by that Ordinance.

(4) The holder of an office specified in Schedule 2 may, subject to subsection (5) and any instructions of the
Official Receiver, exercise the powers or perform the duties of the office of the Official Receiver.

(5) The holder of an office specified in Part II of Schedule 2 shall not exercise any right conferred by
subsection (3) on the holder of an office specified in Part I of Schedule 2.

(6) The Official Receiver shall act under the general authority and direction of the Chief Executive and shall
also be an officer of the court. (Amended 18 of 2005 s. 19)

(7) The Chief Executive may, by order published in the Gazette, amend Schedule 2. (Amended 18 of 2005 s.
19)

(Replaced 39 of 1992 s. 3)

Section: 76 Status of Official Receiver 30/06/1997


(1) The duties of the Official Receiver shall have relation both to the conduct of the debtor and to the
administration of his estate.

(2) The Official Receiver and the holder of an office specified in Schedule 2 may take any affidavit required by
any Ordinance to be made before or produced or delivered to or filed with the Official Receiver or the holder of an
office specified in Schedule 2 notwithstanding any Ordinance requiring the taking of such affidavit by or before any
other person. (Replaced 39 of 1992 s. 4)

(3) All provisions in this or any other Ordinance referring to the trustee in a bankruptcy shall, unless the
context otherwise requires or the Ordinance otherwise provides, include the Official Receiver when acting as trustee.

(4) The trustee shall supply the Official Receiver with such information, and give him such access to and
facilities for inspecting the bankrupt's books and documents, and generally shall give him such aid, as may be requisite
for enabling the Official Receiver to perform his duties under this Ordinance.

[cf. 1914 c. 59 s. 72 U.K.]

Section: 76A Transitional provision 30/06/1997


(1) Any thing done before the commencement* of the Bankruptcy (Amendment) Ordinance 1992 (39 of 1992)
by the Registrar General in the capacity of Official Receiver shall be regarded as having been done by the Official
Receiver at the time when the thing was done.

(2) Any document which contains a reference to the Registrar General in the capacity of Official Receiver shall
have effect on and after the commencement* of the Bankruptcy (Amendment) Ordinance 1992 (39 of 1992) with the
substitution for such reference of a reference to the Official Receiver.

(3) In any legal proceedings pending on the commencement* of the Bankruptcy (Amendment) Ordinance 1992
(39 of 1992) to which the Registrar General in the capacity of Official Receiver is a party, the Official Receiver shall
as from such commencement be substituted as a party thereto in lieu of the Registrar General and the proceedings
shall continue as if the Official Receiver had always been that party.

(4) In this section, "Registrar General" (註冊總署署長) means the Registrar General appointed under section
2(1) of the Registrar General (Establishment) Ordinance (Cap 100)+.

(Added 39 of 1992 s. 5)
___________________________________________________________________
Note:
* Commencement date: 1 June 1992.
+ The Registrar General (Establishment) Ordinance was repealed by s. 14 of the Registrar General

(Establishment) (Transfer of Functions and Repeal) Ordinance (Cap 439).




Cap 6 - BANKRUPTCY ORDINANCE 45

Section: 77 Duties of Official Receiver as regards the bankrupt's
conduct

L.N. 185 of 2007 10/12/2007



As regards the conduct of a bankrupt, it shall be the duty of the Official Receiver- (Amended 18 of 2005 s. 20)
(a) to consider any report submitted to him under section 86A and take such action on the report as he

considers appropriate; (Replaced 18 of 2005 s. 20)
(b) (Repealed 18 of 2005 s. 20)
(c) to take such part and give such assistance in relation to the prosecution of any bankrupt as the

Secretary for Justice may direct. (Amended L.N. 362 of 1997; 18 of 2005 s. 20)
(Amended 33 of 1939; G.N. 840 of 1940 Supp. Schedule; 20 of 1948 s. 4; 76 of 1996 s. 72)

[cf. 1914 c. 59 s. 73 U.K.]

Section: 78 Duties of Official Receiver as to bankrupt's estate L.N. 185 of 2007 10/12/2007


(1) As regards the estate of a bankrupt, it shall be the duty of the Official Receiver- (Amended 76 of 1996 s.
72)

(a) to act as interim trustee if so appointed by the court; (Replaced 18 of 2005 s. 21)
(b)-(e) (Repealed 18 of 2005 s. 21)
(f) to advertise the bankruptcy order; (Amended 76 of 1996 ss. 72 and 73)
(g) to act as trustee during any vacancy in the office of trustee.
(h) (Repealed 18 of 2005 s. 21)

(2) For the purpose of his duties as interim trustee, the Official Receiver shall have the same powers as if he
were a receiver appointed by the court, but shall, as far as practicable, consult the wishes of the creditors with respect
to the management of the bankrupt's property, and may for that purpose, if he thinks it advisable, summon meetings of
the persons claiming to be creditors, and shall not, unless the court otherwise orders, incur any expense beyond such
as is requisite for the protection of the bankrupt's property or the disposing of perishable goods. (Amended 76 of 1996
s. 72)

(3) (Repealed 18 of 2005 s. 21)
(Amended 18 of 2005 s.

21)
[cf. 1914 c. 59 s. 74 U.K.]


Part: V TRUSTEES AND PROVISIONAL TRUSTEES* L.N. 185 of 2007 10/12/2007

___________________________________________________________________

Note:

* (Replaced 18 of 2005 s. 22)

Section: 79 Official name of trustee and provisional trustee L.N. 185 of 2007 10/12/2007


Official name


(1) The official name of a provisional trustee shall be “the provisional trustee of the property of a
bankrupt” (inserting the name of the bankrupt).

(2) The official name of a trustee shall be “the trustee of the property of a bankrupt” (inserting
the name of the bankrupt).

(3) By his official name, a provisional trustee or trustee may do all acts that are required or authorized to be
done by him in the execution of his office.

(Replaced 18 of 2005 s. 23)

Section: 79A Disqualification for appointment as trustee 30/06/1997


Appointment



Cap 6 - BANKRUPTCY ORDINANCE 46


No person being an undischarged bankrupt and no body corporate shall be qualified for appointment to the

office of trustee, and-
(a) any appointment made in contravention of this section shall be void; and
(b) where any such person or any body corporate acts as trustee, such person or body corporate shall be

liable to a fine of $5000.
(Added 47 of 1984 s. 11)


Section: 79B Corrupt inducement affecting appointment as trustee 30/06/1997


Any person who gives or agrees or offers to give to any creditor of a debtor or bankrupt any valuable
consideration with a view to securing his own appointment or nomination, or to securing or preventing the
appointment or nomination of some person other than himself, as the trustee shall be liable to a fine of $5000.

(Added 47 of 1984 s. 11)

Section: 80 Power to appoint joint or successive trustees and

provisional trustees
L.N. 185 of 2007 10/12/2007



(1) When 2 or more persons are appointed as provisional trustees, the appointment shall state whether any act
required or authorized to be done by a provisional trustee is to be done by all or any one or more of such persons, but
all such persons are in this Ordinance included under the term “provisional trustee”, and shall be joint tenants of the
property of the bankrupt. (Replaced 18 of 2005 s. 24)

(1A) When 2 or more persons are appointed as trustees, the appointment shall state whether any act required or
authorized to be done by a trustee is to be done by all or any one or more of such persons, but all such persons are in
this Ordinance included under the term “trustee”, and shall be joint tenants of the property of the bankrupt. (Added
18 of 2005 s. 24)

(2) The creditors may also appoint persons to act as trustees in succession in the event of one or more of the
persons first named declining to accept the office of trustee or failing to give security, or of the appointment of any
such person not being approved by the court.

[cf. 1914 c. 59 s. 77 U.K.]

Section: 81 Proceedings in case of vacancy in office of trustee 30/06/1997


(1) If a vacancy occurs in the office of a trustee the creditors in general meeting may appoint a person to fill the
vacancy and the thereupon the same proceedings shall be taken as in the case of a first appointment.

(2) The Official Receiver shall, on the requisition of any creditor, summon a meeting for the purpose of filling
any such vacancy.

(3) If the creditors do not within 3 weeks after the occurrence of a vacancy appoint a person to fill the vacancy,
the Official Receiver shall report the matter to the court, and the court may appoint a trustee.

(4) During any vacancy in the office of trustee the Official Receiver shall act as trustee.
[cf. 1914 c. 59 s. 78 U.K.]


Section: 81A Vacancy in office of provisional trustee L.N. 185 of 2007 10/12/2007


(1) If a vacancy occurs in the office of a provisional trustee, the Official Receiver shall—
(a) in a case where the Official Receiver considers that the value of the property of the bankrupt is

unlikely to exceed $200000, either appoint another person to fill the vacancy or act as the provisional
trustee; or

(b) in any other case, act as the provisional trustee.
(2) The power of the Official Receiver to appoint another person to fill a vacancy may be exercised without a

creditors’ meeting, and it includes power to appoint 2 or more persons as joint provisional trustees; but such an
appointment must make provision as to the circumstances in which the provisional trustees must act together and the
circumstances in which one or more of them may act for the others.

(Added 18 of 2005 s. 25)



Cap 6 - BANKRUPTCY ORDINANCE 47


Section: 82 Discretionary powers of trustee and control thereof L.N. 185 of 2007 10/12/2007


Control over trustee


(1) Subject to the provisions of this Ordinance, the trustee shall, in the administration of the property of the
bankrupt and in the distribution thereof amongst his creditors, have regard to any directions that may be given by
resolution of the creditors at any general meeting or by the creditors' committee, and any directions so given by the
creditors at any general meeting shall, in case of conflict, be deemed to override any directions given by the creditors'
committee. (Amended 76 of 1996 s. 74)

(2) The trustee may from time to time summon general meeting of the creditors for the purpose of ascertaining
their wishes, and it shall be his duty to summon meetings at such times as the creditors, by resolution, either at the
meeting appointing the trustee or otherwise may direct, and it shall be lawful for any creditor, with the concurrence of
one-fourth in value of the creditors (including himself), at any time to request the trustee to call a meeting of the
creditors, and the trustee shall call such meeting accordingly within 14 days:

Provided that the person at whose instance the meeting is summoned shall, if so required, deposit with the
trustee a sum sufficient to pay the costs of summoning the meeting, such sum to be repaid to him out of the estate if
the court so directs. (Amended 18 of 2005 s. 26)

(3) The trustee may apply to the court in manner prescribed for directions in relation to any particular matter
arising under the bankruptcy.

(4) Subject to the provisions of this Ordinance the trustee shall use his discretion in the management of the
estate and its distribution among the creditors.

[cf. 1914 c. 59 s. 79 U.K.]

Section: 83 Appeal to court against trustee 30/06/1997


If the bankrupt or any of the creditors or any other person is aggrieved by any act or decision of the trustee, he
may apply to the court, and the court may confirm, reverse or modify the act or decision complained of, and make
such order in the premises as it thinks just.

[cf. 1914 c. 59 s. 80 U.K.]

Section: 84 Control of court over trustee L.N. 158 of 1998 01/04/1998


(1) The court shall take cognizance of the conduct of trustees, who shall act in a fiduciary capacity and deal
with property under their control honestly, in good faith, with proper skill and competence and in a reasonable
manner, and in the event of any trustee not faithfully performing his duties and duly observing all the requirements
imposed on him by Ordinance, rules or otherwise with respect to the performance of his duties, or in the event of any
complaint being made to the court by any creditor, the Official Receiver, the bankrupt or any other person in regard
thereto by notice duly served on the trustee at least 8 clear days before the date of hearing, the court shall inquire into
the matter and take such action thereon as may be deemed expedient. (Amended 76 of 1996 s. 46)

(1A) Without limiting the generality of the duties imposed on a trustee by subsection (1), in realizing the assets
of a bankrupt's estate it shall be the duty of a trustee to take all reasonable care to realize the best price reasonably
obtainable in the circumstances. (Added 76 of 1996 s. 46)

(2) The court may either of its own motion or on the application of the Official Receiver at any time require
any trustee to answer any inquiry made by it or him in relation to any bankruptcy in which the trustee is engaged and
may examine on oath the trustee or any other person concerning the bankruptcy.

(3) The court may also direct an investigation to be made of the books and vouchers of the trustee.
(4) Where on an application under this section the court is satisfied-

(a) that the trustee has misapplied or retained, or become accountable for, any money or other property
comprised in the bankrupt's estate; or

(b) that a bankrupt's estate has suffered any loss in consequence of any misfeasance or breach of fiduciary
or other duty by a trustee in the carrying out of his functions,

the court may order the trustee, for the benefit of the estate, to repay, restore or account for money or other property
(together with interest at such rate as the court thinks just) or, as the case may require, to pay such sum by way of
compensation in respect of the misfeasance or breach of fiduciary or other duty as the court thinks just, and liability



Cap 6 - BANKRUPTCY ORDINANCE 48

under this section is without prejudice to any liability arising apart from this section. (Added 76 of 1996 s. 46)
[cf. 1914 c. 59 s. 81 U.K.]


Section: 85 Remuneration of trustee L.N. 158 of 1998 01/04/1998


Remuneration and costs


(1) Where the creditors appoint any person to be trustee of a bankrupt's estate, his remuneration (if any) shall
be fixed by an ordinary resolution of the creditors, or, if the creditors so resolve, by the creditors' committee.
(Amended 76 of 1996 ss. 72 and 74)

(2) Where the remuneration of the trustee is to be a commission upon the amount received by the trustee, then
one part shall be payable on the amount realized by the trustee, after deducting any sums paid to secured creditors out
of the proceeds of their securities, and the other part on the amount distributed in dividend.

(3) If one-fourth in number or value of the creditors apply to the Official Receiver or the Official Receiver is of
the opinion that the remuneration of a trustee should be reviewed, the Official Receiver may apply to the court and
thereupon the court may confirm, increase or reduce the remuneration of the trustee.

(4) The resolution or the creditors' committee, as the case may be, shall specify the expenses which the
remuneration is to cover, and no liability shall attach to the bankrupt's estate, or to the creditors, in respect of any such
expenses. (Amended 76 of 1996 s. 74)

(5) Where a trustee acts without remuneration he shall be allowed out of the bankrupt's estate such proper
expenses incurred by him in or about the proceedings of the bankruptcy as the court may approve.

(6) A trustee shall not under any circumstances whatever make any arrangement for or accept from the
bankrupt, or any solicitor, auctioneer or any other person who may be employed about a bankruptcy, any gift,
remuneration or pecuniary or other consideration or benefit whatever beyond his said remuneration payable out of the
estate, nor shall he make any arrangement for giving up, or give up, any part of his remuneration, whether as receiver,
manager or trustee, to the bankrupt or any solicitor or other person who may be employed about a bankruptcy.

(Replaced 26 of 1985 s. 2)

Section: 85A Remuneration of provisional trustee and the first trustee

constituted under section 112A
L.N. 185 of 2007 10/12/2007



(1) The remuneration of the following persons shall be fixed by the Official Receiver in accordance with a scale
of fees or on such other basis as the Official Receiver may from time to time approve in writing—

(a) a provisional trustee other than the Official Receiver;
(b) in a case where section 112A applies and the first trustee constituted under subsection (1)(i) of that

section is not the Official Receiver, that first trustee.
(2) If one-fourth in number or value of the creditors apply to the Official Receiver or the Official Receiver is of

the opinion that the remuneration of the provisional trustee or first trustee referred to in subsection (1) should be
reviewed, the Official Receiver may apply to the court and thereupon the court may confirm, increase or reduce such
remuneration.

(3) Where the provisional trustee or first trustee referred to in subsection (1) has not received any remuneration,
the court may, on application, order the payment out of the bankrupt’s estate to him of such amount as the court
considers sufficient to reimburse him for any necessary disbursements incurred by him in the course of the
administration of the estate. Such application may be made by the trustee or the Official Receiver.

(4) The provisional trustee or first trustee referred to in subsection (1) shall not under any circumstances
whatever make any arrangement for, or accept from the bankrupt, or any solicitor, auctioneer or any other person who
may be employed in relation to the bankruptcy, any gift, remuneration or pecuniary or other consideration or benefit
whatever to be made or payable to him beyond his said remuneration payable out of the estate, and he shall not make
any arrangement for giving up, or give up, any part of his remuneration, whether as receiver, manager or trustee, to the
bankrupt or any solicitor, auctioneer or any other person who may be employed in relation to the bankruptcy.

(Added 18 of 2005 s. 27)




Cap 6 - BANKRUPTCY ORDINANCE 49

Section: 86 Allowance and taxation of costs 30/06/1997


(1) Where a trustee or manager receives remuneration for his services as such, no payment shall be allowed in
his accounts in respect of the performance by any other person of the ordinary duties which are required by Ordinance
or rules to be performed by himself.

(2) Where the trustee is a solicitor he may contract that the remuneration for his services as trustee shall include
all professional services.

(3) All bills and charges of solicitors, managers, accountants, auctioneers, brokers and other persons, not being
trustees, shall be taxed by the Registrar and no payments in respect thereof shall be allowed in the trustee's accounts
without proof of such taxation having been made. The Registrar shall satisfy himself before passing such bills and
charges that the employment of such solicitors and other persons, in respect of the particular matters out of which such
charges arise, has been duly sanctioned. The sanction must be obtained before the employment, except in cases of
urgency, and in such cases it must be shown that no undue delay took place in obtaining the sanction.

(4) Every such person shall, on request by the trustee (which request the trustee shall make a sufficient time
before declaring a dividend), deliver his bill of costs or charges to the Registrar for taxation, and if he fails to do so
within 7 days after receipt of the request or such further time as the court on application may grant, the trustee shall
declare and distribute the dividend without regard to any claim by him, and thereupon any such claim shall be
forfeited as well against the trustee personally as against the estate.

[cf. 1914 c. 59 s. 83 U.K.]

Section: 86A Duties of trustee as regards the bankrupt's conduct L.N. 185 of 2007 10/12/2007


Duties of trustee as regards the bankrupt’s conduct and estate
(Added 18 of 2005 s. 28)


(1) It shall be the duty of the trustee—

(a) to investigate the conduct of the bankrupt; and
(b) to report to the court on any conduct that justifies the court in refusing, suspending or qualifying an

order for the bankrupt's discharge.
(2) In the case of a trustee other than the Official Receiver, it shall also be the duty of the trustee—

(a) to investigate the conduct of the bankrupt and to immediately report to the Official Receiver when
there is reason to believe that the bankrupt has committed an act that constitutes an offence under this
Ordinance; and

(b) to take such part and give such assistance in relation to the prosecution of the bankrupt as the Secretary
for Justice or the Official Receiver may direct.

(Added 18 of 2005 s. 28)

Section: 86B Duties of trustee as regards the bankrupt's estate L.N. 185 of 2007 10/12/2007


(1) As regards the estate of a bankrupt, it shall be the duty of the trustee—
(a) to raise money in any case where in the interests of the creditors it appears necessary so to do;
(b) to preside at the first meeting of creditors if it is summoned;
(c) to issue forms of proxy for use at the meetings of creditors;
(d) to report to the creditors as to any proposal which the bankrupt may have made with respect to the

mode of liquidating his affairs;
(e) to advertise the date of the first meeting of creditors and of the bankrupt's public examination, and such

other matters as it may be necessary to advertise;
(f) to assist the bankrupt in preparing his statement of affairs in case the bankrupt has no solicitor acting

for him and is unable properly to prepare it himself, and for this purpose to employ at the expense of
the estate any person or persons to assist in its preparation.

(2) The trustee shall account to the court and pay over all moneys and deal with all securities in such manner as
the court from time to time directs.

(Added 18 of 2005 s. 28)




Cap 6 - BANKRUPTCY ORDINANCE 50

Section: 87 Trustee to provide list of creditors L.N. 185 of 2007 10/12/2007


Receipts, payments, accounts, audit


The trustee shall, whenever required by any creditor so to do, provide the creditor with a list of the creditors
showing the amount of the debt due to each creditor, and the creditor requiring such list shall pay a fee at the
prescribed rate.

(Amended 76 of 1996 s. 47; 18 of 2005 s. 29)
[cf. 1914 c. 59 s. 84 U.K.]


Section: 88 Trustee to provide statement of accounts L.N. 185 of 2007 10/12/2007


It shall be lawful for any creditor, with the concurrence of one-fourth of the creditors (including himself), at any
time to call upon the trustee to provide the creditors with a statement of the accounts up to the date of such notice, and
the trustee shall upon receipt of such notice provide the statement of the accounts:

Provided that the person at whose instance the accounts are provided shall, if so required, deposit with the
trustee a sum sufficient to pay the costs of providing the accounts, which sum shall be repaid to him out of the estate if
the court so directs.

(Amended 18 of 2005 s. 30)
[cf. 1914 c. 59 s. 85 U.K.]


Section: 89 Annual statement of proceedings L.N. 185 of 2007 10/12/2007


(1) Every trustee in a bankruptcy shall from time to time, as may be prescribed, and not less than once in every
year during the continuance of the bankruptcy, provide the Official Receiver with a statement showing the
proceedings in the bankruptcy up to the date of the statement, containing the prescribed particulars and made out in
the prescribed form.

(2) The Official Receiver shall cause the statements so provided to be examined, and shall call the trustee to
account for any misfeasance, neglect or omission which may appear on the said statements or in his accounts or
otherwise, and may apply to the court for an order that the trustee do make good any loss which the estate of the
bankrupt may have sustained by the misfeasance, neglect or omission.

(Amended 18 of 2005 s. 31)
[cf. 1914 c. 59 s. 87 U.K.]


Section: 90 Trustee not to pay into private account L.N. 158 of 1998 01/04/1998


No trustee in a bankruptcy or nominee under a voluntary arrangement shall pay any sums received by him as
trustee into his private banking account or use them otherwise than in the administration of the estate.

(Amended 76 of 1996 s. 48)
[cf. 1914 c. 59 s. 88 U.K.]


Section: 91 Payment of moneys into bank L.N. 158 of 1998 01/04/1998


Remarks:
Adaptation amendments retroactively made - see 18 of 2005 s. 32


(1) The Official Receiver shall open in his name as Official Receiver an account at a bank approved by the
Chief Executive and shall pay to the credit thereof all sums received by him as such Official Receiver or as trustee,
and every trustee in a bankruptcy, other than the Official Receiver, receiving money as such trustee shall open an
account at such bank in the name of the bankrupt's estate and shall pay to the credit of such account all sums which
may from time to time be received by him as such trustee: (Amended 47 of 1984 s. 12; 76 of 1996 s. 72; 18 of 2005 s.
32)

Provided that the Official Receiver may, on the application of the creditors' committee, authorize any other
trustee to make his payments into and out of any other bank specified by the committee in such application, and those
payments shall be made in the prescribed manner. (Added 47 of 1984 s. 12. Amended 76 of 1996 s. 74)



Cap 6 - BANKRUPTCY ORDINANCE 51

(2) If a trustee at any time retains for more than 10 days a sum exceeding $2000, or such other amount as the
Official Receiver in any particular case may authorize him to retain, then unless he explains the retention to the
satisfaction of the Official Receiver, he shall pay interest on the amount so retained in excess at the rate of 20 per cent
per annum, and shall have no claim to remuneration, and may be removed from his office by the Official Receiver and
shall be liable to pay any expenses occasioned by reason of his default. (Amended 47 of 1984 s. 12) [cf. 1914 c. 59 s.
89(5) U.K.]

(3) Any trustee paying money into his private banking account or using it otherwise than in the administration
of the estate may without prejudice to any other liability be dismissed from office without remuneration and may be
ordered by the court to make good all losses and expenses which the creditors may suffer in consequence of his
conduct.

Section: 92 Record and account to be kept by trustee L.N. 185 of 2007 10/12/2007


(1) The trustee shall keep a record in writing in which he shall enter a minute of all proceedings had and
resolutions passed at any meeting of creditors or of the creditors' committee and a statement of all negotiations and
proceedings necessary to give a correct view of the management of the bankrupt's property. Such record shall be
produced for inspection to the Official Receiver at any time on demand. (Amended 18 of 2005 s. 33)

(2) The trustee shall also keep an account, to be called the estate account, in the form of an ordinary debtor and
creditor account, in which he shall enter from day to day all his receipts and payments as trustee.

(3) The trustee shall produce at every meeting of creditors and at every meeting of the creditors' committee the
record and account above-mentioned and also the pass-book of the estate's bank account, and such documents shall be
open to the inspection of any creditor at all reasonable times.

(Amended 76 of 1996 s. 74)

Section: 93 Audit of trustee's accounts L.N. 185 of 2007 10/12/2007


(1) A trustee other than the Official Receiver shall keep an account of his receipts and payments as such
trustee. (Replaced 18 of 2005 s. 34)

(1A) The Official Receiver may at any time require the trustee to provide him with the account, and the trustee
shall comply with the requirement within the specified time. (Added 18 of 2005 s. 34)

(2) The account shall be in a prescribed form, shall be made in duplicate and shall be verified by an affidavit in
the prescribed form. (Amended 13 of 1966 Schedule)

(3) The trustee shall provide the Official Receiver with such vouchers and information relating to the account
as he requires, and the Official Receiver may at any time require the production of, and inspect, any books or accounts
kept by the trustee. (Replaced 39 of 1987 s. 3. Amended 18 of 2005 s. 34)

(3A) The Official Receiver may at any time cause the account to be audited. (Added 39 of 1987 s. 3)
(4) When any such account has been audited (or, as the case may be, forthwith if the Official Receiver decides

that the account need not be audited) one copy thereof shall be filed and kept by the Official Receiver, and the other
copy shall be delivered to the court for filing, and each copy shall be open on payment of the prescribed fee to the
inspection of any creditor or of the bankrupt or of any person interested. (Amended 39 of 1987 s. 3)

(4A) Notwithstanding the fact that unaudited copies of an account have already been filed, the Official Receiver
may subsequently cause that account to be audited, and in that event a copy of the audited account shall be filed and
kept by the Official Receiver, and a further copy shall be delivered to the court for filing, and each copy shall be open,
upon payment of the prescribed fee, to the inspection of any creditor or of the bankrupt or of any person interested.
(Added 39 of 1987 s. 3)

(5) The court may if it so desires examine the trustee and, after hearing the explanation, if any, of the trustee,
make such order as it may think just for compelling the trustee to make good any loss to the estate which may appear
to the court to have been occasioned by any misfeasance, neglect or improper conduct or omission of the trustee.
(Amended 39 of 1987 s. 3)

[cf. 1914 c. 59 s. 92 U.K.]

Section: 94 Release of trustee L.N. 158 of 1998 01/04/1998


Vacation of office by trustee




Cap 6 - BANKRUPTCY ORDINANCE 52

(1) When the trustee has realized all the property of the bankrupt or so much thereof as can, in his opinion, be
realized without needlessly protracting the trusteeship, and distributed a final dividend, if any, or has ceased to act by
reason of a voluntary arrangement having been approved, or has resigned or has been removed from his office, he
shall apply to the court for his release, and if all the requirements of the court with respect to accounts and with respect
to any order of the court against the trustee have been fulfilled, the court may make an order for release accordingly.
(Amended 76 of 1996 s. 49)

(2) Where the release of a trustee is withheld the court may, on the application of any creditor or person
interested, make such order as it thinks just, charging the trustee with the consequences of any act or default he may
have done or made contrary to his duty.

(3) An order of the court releasing the trustee shall discharge him from all liability in respect of any act done or
default made by him in the administration of the affairs of the bankrupt, or otherwise in relation to his conduct as
trustee, but any such order may be revoked on proof that it was obtained by fraud or by suppression or concealment of
any material fact.

(4) The provisions of subsections (1), (2) and (3) shall apply to the Official Receiver when he is or is acting as
trustee, and when the Official Receiver has been released under this section or any previous similar enactment he shall
continue to act as trustee for any subsequent purposes of the administration of the bankrupt's estate but no liability
shall attach to him personally by reason of his so continuing in respect of any act done, default made or liability
incurred before his release. (Amended 76 of 1996 s. 72)

(5) Where the trustee has not previously resigned or been removed, his release shall operate as a removal of
him from his office, and thereupon the Official Receiver shall be the trustee.

(6) Where on the release of a trustee the Official Receiver is or is acting as trustee, no liability shall attach to
him personally in respect of any act done or default made or liability incurred by any prior trustee.

[cf. 1914 c. 59 s. 93 U.K.]

Section: 95 Office of trustee vacated by insolvency L.N. 158 of 1998 01/04/1998


If a bankruptcy order is made against a trustee he shall thereby vacate his office of trustee.
(Amended 76 of 1996 s. 73)

[cf. 1914 c. 59 s. 94 U.K.]

Section: 96 Removal of trustee L.N. 185 of 2007 10/12/2007


(1) The creditors may by ordinary resolution, at a meeting specially called for that purpose of which 7 days'
notice has been given, remove a trustee, other than the Official Receiver, appointed by them, and may at the same or
any subsequent meeting appoint another person to fill the vacancy as provided in case of a vacancy in the office of
trustee.

(2) If the court is of opinion-
(a) that a trustee, other than the Official Receiver, is guilty of misconduct or fails to perform his duties

under this Ordinance; or (Amended 18 of 2005 s. 35)
(b) that his trusteeship is being needlessly protracted without any probable advantage to the creditors; or
(c) that he is by reason of lunacy or continued sickness or absence incapable of performing his duties; or
(d) that his connection with or relation to the bankrupt or his estate or any particular creditor might make it

difficult for him to act with impartiality in the interest of the creditors generally; or
(e) that the interests of the creditors require it,

the court may remove him from his office and appoint another person in his place.
[cf. 1914 c. 59 s. 95 U.K.]


Part: VI CONSTITUTION, PROCEDURE AND POWERS OF

COURT
30/06/1997





Section: 97 General power of court L.N. 158 of 1998 01/04/1998


Jurisdiction



Cap 6 - BANKRUPTCY ORDINANCE 53


(1) Subject to the provisions of this Ordinance, the court shall have full power to decide all questions of

priorities and all other questions whatsoever, whether of law or fact, which may arise in any case of bankruptcy
coming within the cognizance of the court or which the court may deem it expedient or necessary to decide for the
purpose of doing complete justice or making a complete distribution of property in any such case.

(2) (Repealed 76 of 1996 s. 50)
[cf. 1914 c. 59 s. 105 U.K.]


Section: 98 Review and appeals in bankruptcy L.N. 185 of 2007 10/12/2007


Review and appeals


(1) The court or the Registrar may review, rescind or vary any order made by it or him, as the case may be,
under its or his bankruptcy jurisdiction. (Replaced 78 of 1991 s. 2)

(2) Every order of the court or the Registrar shall be subject to appeal to the Court of Appeal. The notice of
appeal shall be served within the time for appealing against an order made in the matter of any bankruptcy as specified
in Order 59, rule 4(1)(b) of the Rules of the High Court (Cap 4 sub. leg. A). (Amended 92 of 1975 s. 59; 78 of 1991 s.
2; 18 of 2005 s. 36)

[cf. 1914 c. 59 s. 108 U.K.]

Section: 99 General rules of procedure L.N. 185 of 2007 10/12/2007


Procedure


(1) The rules and practice of the High Court for the time being for regulating the ordinary civil procedure of the
court shall, so far as the same may be applicable and not inconsistent with the provisions of this Ordinance, be applied
to bankruptcy proceedings, and every order of the court made in connection with bankruptcy proceedings may be
enforced in the same way as a judgment of the court made in respect of any other civil proceedings may be enforced.
(Amended 25 of 1998 s. 2)

(2) The Registrar shall in cases of urgency have power to make interim orders and to hear and determine
unopposed or ex parte applications and any order so made shall, subject to an appeal to the court, be deemed to be an
order of the court.

(3) Subject to rules made under section 113 limiting the power conferred by this subsection, the Registrar
sitting in open court shall have power to hear and determine-

(a) unopposed bankruptcy petitions and to make bankruptcy orders thereon; (Amended 37 of 1998 s. 2)
(b) applications to annul bankruptcy orders; (Amended 37 of 1998 s. 2; 18 of 2005 s. 37)
(c) applications for an interim order in respect of a voluntary arrangement; and (Replaced 37 of 1998 s. 2)
(d) applications for discharge from bankruptcy. (Replaced 78 of 1991 s. 3. Amended 18 of 2005 s. 37)


Section: 99A Jurisdiction of Registrar 10 of 2005 08/07/2005


(1) Unless otherwise ordered by the court in a particular case, the Registrar may exercise and perform the
powers and duties conferred or imposed upon the court by sections 19 and 29.

(2) The Registrar may, if he exercises the jurisdiction conferred on him by subsection (1) or section 99(3)-
(Amended 78 of 1991 s. 4)

(a) refer any matter for the decision or direction of a judge; and
(b) at any time adjourn an examination for further hearing before a judge.

(3) A judge may, if a matter is referred to him under subsection (2)(a), dispose of it himself or refer it back to
the Registrar with such directions as he thinks fit.

(4) A judge may, if an examination is adjourned under subsection (2)(b) for further hearing before a judge-
(a) continue the examination;
(b) at any time direct that the examination be continued before the Registrar; and
(c) make such other order and give such directions as he may consider proper.

(5) Any reference in this Ordinance to the court shall include a reference to the Registrar exercising the
jurisdiction conferred on him by this section.



Cap 6 - BANKRUPTCY ORDINANCE 54

(6) Notwithstanding subsection (5), the Registrar, when exercising the jurisdiction conferred by this section,
shall not have power to make an order for the committal of a person for contempt of court.

(7) In this section-
"Registrar" (司法常務官) means-

(a) the Registrar of the High Court;
(aa) any Senior Deputy Registrar of the High Court; (Added 10 of 2005 s. 168)
(b) any Deputy Registrar of the High Court; and
(c) any Assistant Registrar of the High Court appointed by the Chief Justice for the purposes of this

section. (Amended 25 of 1998 s. 2)
(Added 50 of 1970 s. 2)


Section: 100 Discretionary powers of court L.N. 158 of 1998 01/04/1998


(1) Subject to the provisions of this Ordinance and to general rules, the costs of and incidental to any
proceeding in court under this Ordinance shall be in the discretion of the court. (Amended 76 of 1996 s. 51)

(2) The court may at any time adjourn any proceedings before it upon terms, if any, as it may think fit to
impose.

(3) The court may at any time amend any written process or proceeding under this Ordinance upon such terms,
if any, as it may think fit to impose.

(4) Where by this Ordinance or by general rules the time for doing any act or thing is limited, the court may
extend the time either before or after the expiration thereof upon such terms, if any, as the court may think fit to
impose.

(5) Subject to general rules, the court may in any matter take the whole or any part of the evidence viva voce or
by interrogatories or upon affidavit or, out of Hong Kong, by commission. (Amended 47 of 1984 s. 16)

[cf. 1914 c. 59 s. 109 U.K.]

Section: 100A Court may make a regulating order L.N. 185 of 2007 10/12/2007


Expanded Cross Reference:

100B, 100C, 100D, 100E, 100F, 100G, 100H



(1) Where it appears to the court on application being made by the Official Receiver, the trustee or any creditor
at any time after the presentation of a bankruptcy petition, that by reason of the large number of creditors or for any
other reason the interest of the creditors so requires, it may, on or after the making of a bankruptcy order, order that
the bankruptcy proceedings shall be regulated specially by the court, and such order shall be known as a regulating
order. (Amended 76 of 1996 s. 73; 18 of 2005 s. 38)

(2) A regulating order shall be published in such manner as the court may direct, and sections 100B to 100H
inclusive shall apply to the bankruptcy proceedings where a regulating order has been made but not otherwise.

(3) Where a regulating order is made the Bankruptcy Rules (Cap 6 sub. leg. A) shall apply mutatis mutandis to
the Official Receiver, trustee and creditors' committee appointed or acting after the making of a regulating order, and
to the conduct of any ballot or other proceedings ordered by the court under section 100B or 100F. (Amended 76 of
1996 s. 74)

(4) Where any order made under sections 100B to 100G inclusive prescribes any procedure it shall be deemed
to be in substitution for the procedure which would be required by this Ordinance but for the making of such order,
and in particular where any such order prescribes a procedure for doing something which would otherwise be done at
a meeting of creditors no such meeting shall be required to be held.

(Added 21 of 1965 s. 2)

Section: 100B First meeting and composition L.N. 158 of 1998 01/04/1998


Expanded Cross Reference:

20, 20A, 20B, 20C, 20D, 20E, 20F, 20G, 20H, 20I, 20J, 20K



Cap 6 - BANKRUPTCY ORDINANCE 55



(1) (Repealed 76 of 1996 s. 52)
(2) The court may order that the wishes of creditors be ascertained for the purpose of accepting or rejecting any

proposal in such manner as it may direct without the holding of meetings under section 20E, and for such purpose may
direct the manner in which any proposal be communicated to such creditors. (Amended 76 of 1996 s. 52)

(3) Without derogating from the generality of subsection (2) the court may direct the holding of a ballot and the
use of voting letters.

(4) Notwithstanding anything in sections 20 to 20K, where a majority in number and three-fourths in value of
all the creditors who have proved their debt, or who by virtue of section 100H are deemed for voting purposes to have
proved a debt exceeding $100, agree to accept a proposal, the proposal shall be deemed to be duly accepted by the
creditors, and when approved by the court shall be binding on all the creditors. (Amended 76 of 1996 s. 52)

(5) (Repealed 76 of 1996 s. 52)
(Added 21 of 1965 s. 2)


Section: 100C (Repealed 76 of 1996 s. 53) L.N. 158 of 1998 01/04/1998




Section: 100D Appointment and removal of trustee after the making of
regulating order

L.N. 185 of 2007 10/12/2007



(1) The court may, on application being made by the Official Receiver or the trustee appointed or acting before
the making of the regulating order under section 100A, by order appoint the person who makes the application or any
other person recommended by him as trustee of the property of the bankrupt under the regulating order. (Replaced 18
of 2005 s. 39)

(1A) The court may, on application being made by the Official Receiver, by order remove any trustee appointed
under subsection (1) and fill any vacancy. (Added 18 of 2005 s. 39)

(1B) On the making of an order under subsection (1) or (1A), section 81(1), (2) and (3) or 96(1) shall cease to
apply to the bankruptcy and any action taken under such provisions before the making of the regulating order in
respect of the appointment or removal of a trustee or filling of any vacancy shall cease to have effect. (Added 18 of
2005 s. 39)

(2) The court may by order give such directions to a trustee as it shall think fit. Such directions shall be deemed
to be the directions of creditors for the purposes of section 82. Neither a trustee nor the Official Receiver shall be
required to summon any meetings of creditors save where the court so orders.

(Added 21 of 1965 s. 2)

Section: 100E Creditors' committee L.N. 158 of 1998 01/04/1998


(1) The court may on application being made by the Official Receiver or trustee by order appoint such qualified
persons as it thinks fit as a creditors' committee for the purpose of superintending the administration of the property of
the bankrupt by the trustee, remove any member thereof and fill any vacancy therein. (Amended 76 of 1996 s. 74)

(2) The continuing members of the committee, provided there be not less than 2 such continuing members, may
act notwithstanding any vacancy in their body.

(3) Upon the making of any order for such appointment, removal or filling of a vacancy the provisions of
section 24(1) and any applicable rules related thereto shall cease to apply to the bankruptcy and any action taken under
such provisions in respect of any appointment of a creditors' committee, any removal of any member thereof or the
filling of any vacancy therein shall cease to have effect. (Amended 76 of 1996 ss. 55 & 74)

(Added 21 of 1965 s. 2)

Section: 100F Informing creditors and ascertaining their wishes 30/06/1997


The court may by order give such directions to the Official Receiver or trustee as it shall think fit for the purpose
of keeping creditors informed of any matter relating to the bankruptcy and for ascertaining their wishes, and may
require the Official Receiver or trustee to make such reports to the court as it may specify.



Cap 6 - BANKRUPTCY ORDINANCE 56

(Added 21 of 1965 s. 2)

Section: 100G Creditors to give notice of intention to take part in public

examination
L.N. 185 of 2007 10/12/2007



(1) The court may order that any creditor wishing to exercise his right to question the bankrupt on his public
examination under section 19(5) shall give notice in writing of such intention to- (Amended 18 of 2005 s. 40)

(a) in a case where the Official Receiver is the applicant for the public examination, the Official Receiver;
or

(b) in a case where the trustee is the applicant for the public examination, the trustee. (Amended 76 of
1996 s. 56; 18 of 2005 s. 40)

(1A) The court may also direct that no creditor may exercise his right to question the bankrupt on his public
examination under section 19(5) unless the notice under subsection (1) is received by the Official Receiver or the
trustee, as the case may be, within such time as may be specified by the court. (Added 18 of 2005 s. 40)

(2) For the purpose of this section the court may direct that notice of the public examination of a bankrupt shall
be published in such manner as it may specify, and notice of such examination or of adjourned hearings thereof shall
not be required to be sent to creditors individually.

(Added 21 of 1965 s. 2. Amended 76 of 1996 s. 72)

Section: 100H Proof of debts in the case of banks L.N. 185 of 2007 10/12/2007


Expanded Cross Reference:

20, 20A, 20B, 20C, 20D, 20E, 20F, 20G, 20H, 20I, 20J, 20K



(1) Where the bankrupt was carrying on the business of a bank, any creditor who is a depositor, whether on
current, savings, deposit, fixed deposit or other account, shall, unless and until the Official Receiver or trustee by
notice in writing requires him to make a formal proof of debt, be deemed to have proved his debt- (Amended 18 of
2005 s. 41)

(a) for voting purposes, for the net balance to his credit in the books of the bank on all his accounts taken
together, at the date of the bankruptcy order: (Amended 76 of 1996 s. 73)

Provided that if the said balance does not exceed $100 he shall not be deemed to have proved his
debt for the purposes of sections 20 to 20K and 100B(4); and (Amended 76 of 1996 s. 57)

(b) for dividend purposes, for the said balance plus or minus, as the case may be, the net amount of
interest accrued due by or to the bank on the said accounts at the date of the bankruptcy order.
(Amended 76 of 1996 s. 73)

(2) Any debt which is deemed to have been proved by virtue of subsection (1) shall be treated as if a proof
thereof had been duly lodged in due time with the Official Receiver or trustee and had been admitted for voting and
dividend purposes respectively for the said amounts stated in subsection (1).

(Added 21 of 1965 s. 2)

Section: 101 Consolidation of petitions 30/06/1997


Where 2 or more bankruptcy petitions are presented against the same debtor or against joint debtors the court
may consolidate the proceedings or any of them on such terms as the court thinks fit.

[cf. 1914 c. 59 s. 110 U.K.]

Section: 102 Power to change carriage of proceedings 30/06/1997


Where the petitioner does not proceed with due diligence on his petition the court may either dismiss the petition
or substitute as petitioner any other creditor to whom the debtor may be indebted in the amount required by this
Ordinance in the place of the petitioning creditor.

[cf. 1914 c. 59 s. 111 U.K.]




Cap 6 - BANKRUPTCY ORDINANCE 57

Section: 103 Continuance of proceedings on death of debtor 30/06/1997


If a debtor by or against whom a bankruptcy petition has been presented dies, the proceedings in the matter shall,
unless the court otherwise orders, be continued as if he were alive.

[cf. 1914 c. 59 s. 112 U.K.]

Section: 104 Power to stay proceedings 30/06/1997


The court may at any time, for sufficient reason, make an order staying the proceedings under a bankruptcy
petition, either altogether or for a limited time, on such terms and subject to such conditions as the court may think
just.

[cf. 1914 c. 59 s. 113 U.K.]

Section: 105 Power to present petition against one partner L.N. 158 of 1998 01/04/1998


Any creditor whose debt is sufficient to entitle him to present a bankruptcy petition against all the partners of a
firm may present a petition against any one or more partners of the firm without including the others.

(Amended 76 of 1996 s. 58)
[cf. 1914 c. 59 s. 114 U.K.]


Section: 106 Power to dismiss petition against some respondents only 30/06/1997


Where there are more respondents than one to a petition the court may dismiss the petition as to one or more of
them without prejudice to the effect of the petition as against the other or others of them.

[cf. 1914 c. 59 s. 115 U.K.]

Section: 107 Actions by trustee and bankrupt's partners 30/06/1997


Where a member of a partnership is adjudged bankrupt the court may authorize the trustee to commence and
prosecute any action in the names of the trustee and of the bankrupt's partner; and any release by such partner of the
debt or demand to which the action relates shall be void; but notice of the application for authority to commence the
action shall be given to him, and he may show cause against it, and on his application the court may, if it thinks fit,
direct that he shall receive his proper share of the proceeds of the action, and if he does not claim any benefit
therefrom he shall be indemnified against costs in respect thereof as the court directs.

[cf. 1914 c. 59 s. 117 U.K.]

Section: 108 Actions on joint contracts 30/06/1997


Where a bankrupt is a contractor in respect of any contract jointly with any person or persons, such person or
persons may sue or be sued in respect of the contract without the joinder of the bankrupt.

[cf. 1914 c. 59 s. 118 U.K.]

Section: 109 Proceedings in partnership name 30/06/1997


Any 2 or more persons, being partners, or any person carrying on business under a partnership name, may take
proceedings or be proceeded against under this Ordinance in the name of the firm, but in such case the court may, on
application by any person interested, order the names of the persons who are partners in such firm or the name of such
person to be disclosed in such manner, and verified on oath or otherwise, as the court may direct.

[cf. 1914 c. 59 s. 119 U.K.]

Part: VII SUPPLEMENTAL PROVISIONS 30/06/1997






Cap 6 - BANKRUPTCY ORDINANCE 58

Section: 110 Disobedience to order of court L.N. 158 of 1998 01/04/1998


Disobedience to order of court


Where default is made by a trustee, bankrupt or other person in obeying any order or direction made or given by
the court under this Ordinance, the court may make an immediate order for the committal of such trustee, bankrupt or
other person for contempt of court:

Provided that the power given by this section shall be deemed to be in addition to and not in substitution for any
other right, remedy or liability in respect of such default.

(Amended 76 of 1996 s. 72)
[cf. 1914 c. 59 s. 105(5) U.K.]


Section: 111 Exclusion of corporations, companies and limited

partnerships
L.N. 163 of 2013 03/03/2014



Application of Ordinance
(Amended 33 of 1939; G.N. 840 of 1940 Supp. Schedule)


A bankruptcy order shall not be made against— (Amended 28 of 2012 ss. 912 & 920)

(a) any corporation;
(b) any association or company registered under—

(i) a former Companies Ordinance as defined by section 2(1) of the Companies Ordinance (Cap
622); or

(ii) the Companies Ordinance (Cap 622); or
(c) any partnership registered under the Limited Partnerships Ordinance (Cap 37).

(Amended 76 of 1996 s. 73; 28 of 2012 ss. 912 & 920)
[cf. 1914 c. 59 s. 126 U.K.]


Section: 112 Administration in bankruptcy of estate of person dying

insolvent
E.R. 2 of 2014 10/04/2014



(1) Any creditor of a deceased debtor whose debt would have been sufficient to support a bankruptcy petition
against the debtor, had he been alive, may present to the court a petition in the prescribed form praying for an order for
the administration in bankruptcy of the estate of the deceased debtor, according to the law of bankruptcy.

(2) The petition shall be served on the legal personal representative of the deceased debtor or, if there is none in
Hong Kong, on the Official Administrator, and the court may in the prescribed manner, upon proof of the petitioner's
debt, unless the court is satisfied that there is a reasonable probability that the estate will be sufficient for the payment
of the debts owing by the deceased, make an order for the administration in bankruptcy of the deceased debtor's estate
or may upon cause shown dismiss the petition with or without costs. (Amended 47 of 1984 s. 16)

(3) A petition for administration in bankruptcy under this section shall not be presented to the court after
proceedings have been commenced under the Rules of the High Court (Cap 4 sub. leg. A) for the administration of the
deceased debtor's estate but the court may, when satisfied that the estate is insufficient to pay its debts, make an order
for the administration in bankruptcy of the estate of the deceased debtor and the like consequences shall ensue as
under an administration order made on the petition of a creditor. (Amended 25 of 1998 s. 2)

(4) Upon an order being made for the administration in bankruptcy of a deceased debtor's estate the property of
the debtor shall vest in the Official Receiver as trustee thereof and he shall forthwith proceed to realize and distribute
it in accordance with the provisions of this Ordinance:

Provided that the creditors shall have the same powers as to appointment of trustees and creditors' committees as
they have in other cases where the estate of a debtor is being administered or dealt with in bankruptcy, and the
provisions of this Ordinance relating to trustees and creditors' committees shall apply to trustees and creditors'
committees appointed under the power so conferred. If no creditors' committee is appointed any act or thing or any
direction or permission which might have been done or given by a creditors' committee may be done or given by the
court. (Amended 76 of 1996 s. 74)

(5) With the modifications hereinafter mentioned, all the provisions of Part III (relating to the administration of



Cap 6 - BANKRUPTCY ORDINANCE 59

the property of a bankrupt) and, subject to any modification that may be made therein by general rules under
subsection (10) the following provisions, namely section 29 (which relates to inquiries as to the debtor's conduct,
dealings and property) and section 86 (which relates to the costs of trustees, managers and other persons) shall, so far
as the same are applicable, apply to the case of an administration order under this section in like manner as to an order
of adjudication under this Ordinance, and section 40 shall apply as if for the reference to an order of adjudication there
were substituted a reference to an administration order under this section.

(6) In the administration of the property of the deceased debtor under an order of administration the Official
Receiver or trustee shall have regard to any claim by the legal personal representative of the deceased debtor to
payment of the proper funeral and testamentary expenses incurred by him in and about the debtor's estate, and such
claims shall be deemed a preferential debt under the order and shall, notwithstanding anything to the contrary in the
provisions of this Ordinance relating to the priority of other debts, be payable in full out of the debtor's estate in
priority to all other debts.

(7) If on the administration of a deceased debtor's estate any surplus remains in the hands of the Official
Receiver or trustee, after payment in full of all the debts due from the debtor together with the costs of the
administration and interest as provided by this Ordinance in case of bankruptcy, such surplus shall be paid over to the
legal personal representative of the deceased debtor's estate, or failing such representative, to the Official
Administrator.

(8) (Repealed 76 of 1996 s. 59)
(9) A petition for the administration of the estate of a deceased debtor under this section may be presented by

the legal personal representative of the debtor or by the Official Administrator; and where a petition is so presented by
such a representative or by the Official Administrator this section shall apply subject to such modifications as may be
prescribed by general rules made under subsection (10).

(10) General rules for carrying into effect the provisions of this section may be made in the same manner and to
the like effect and extent as in bankruptcy.

(Amended E.R. 2 of 2014)
[cf. 1914 c. 59 s. 130 U.K.]


Section: 112A Application of Ordinance to small bankruptcies L.N. 185 of 2007 10/12/2007


(1) Subject to subsection (2), where a bankruptcy order is made against a debtor and- (Amended 76 of 1996 s.
60)

(a) the court receives proof to its satisfaction; or
(b) the provisional trustee reports to the court,

that the property of the debtor is not likely to exceed in value $200000, the court may make an order that the debtor's
estate be administered in a summary manner, and thereupon the provisions of this Ordinance shall apply subject to the
following modifications- (Amended 26 of 1985 s. 3)

(ia) the first meeting of creditors shall be dispensed with; (Replaced 76 of 1996 s. 60)
(i) the provisional trustee shall be the trustee in the bankruptcy; (Amended 76 of 1996 s. 60)
(ii) there shall be no creditors' committee, and the trustee may do all things which may be done by a

trustee with the permission of a creditors' committee; (Amended 76 of 1996 s. 74)
(iii) such other modifications as may be prescribed with a view to saving expense and simplifying

procedure, but nothing in this section shall permit the modification of the provisions of this Ordinance
relating to the examination or discharge of the bankrupt. (Amended 76 of 1996 s. 72)

(2) The court may, upon the application of the trustee, at any time before the discharge of the bankrupt rescind
an order made under subsection (1) and thereupon the administration shall proceed as if the order had not been made.
(Amended 76 of 1996 s. 72)

(Added 1 of 1976 s. 6. Amended 18 of 2005 s. 42)
[cf. 1914 c. 47 s. 129 U.K.]


Section: 113 Power to make general rules 30/06/1997


General rules


The Chief Justice may, with the approval of the Legislative Council, make rules providing for, generally, the
carrying into effect the objects of this Ordinance.



Cap 6 - BANKRUPTCY ORDINANCE 60

[cf. 1914 c. 59 s. 132(1) U.K.]

Section: 114 Fees and remuneration L.N. 158 of 1998 01/04/1998


Fees and remuneration


(1) The Chief Justice may, with the approval of the Legislative Council, by order prescribe a scale of fees and
percentages to be charged for or in respect of proceedings under this Ordinance. (Amended 39 of 1987 s. 4)

(2) The court may remit the payment of any particular fee or fees due from any bankrupt, or any part thereof,
either absolutely or on such terms as it may think fit. (Amended 76 of 1996 s. 72)

(3) The amount of any fees prescribed under this section shall not be limited by reference to the amount of
administrative or other costs incurred or likely to be incurred by the Official Receiver in proceedings in bankruptcy or
in any particular bankruptcy. (Added 39 of 1987 s. 4)

(4) Orders made under this section may authorize the court to fix any fee or to vary the amount of any fee
otherwise prescribed. (Added 39 of 1987 s. 4)

(5) No fee prescribed under this section shall be invalid by reason only of the amount of that fee. (Added 39 of
1987 s. 4)

(6) Fees required to be paid under orders made under this section shall be recoverable as a debt. (Added 39 of
1987 s. 4)

(7) Orders made under this section before the commencement of the Bankruptcy (Amendment) Ordinance 1987
(39 of 1987) and in force immediately before such commencement, shall have effect as from the commencement of
that Ordinance as if made under this section as amended by that Ordinance. (Added 39 of 1987 s. 4)

[cf. 1914 c. 59 s. 133(1) U.K.]

Section: 115 Disposal of Official Receiver's fees L.N. 185 of 2007 10/12/2007


All fees and commissions received by or payable to the Official Receiver on the appointment of a trustee other
than himself or for acting as trustee, and any remuneration received by the Official Receiver as an interim trustee or
otherwise, shall be paid by such officer forthwith into the general revenue.

(Amended 47 of 1984 s. 13; 18 of 2005 s. 43)

Section: 116 Evidence of proceedings at meetings of creditors 30/06/1997


Evidence


(1) A minute of proceedings at a meeting of creditors under this Ordinance, signed by a person describing
himself as or appearing to be chairman of the meeting, shall be received in evidence without further proof.

(2) Until the contrary is proved every meeting of creditors in respect of the proceedings whereof a minute has
been so signed shall be deemed to have been duly convened and held and all resolutions passed or proceedings had
thereat to have been duly passed or had.

[cf. 1914 c. 59 s. 138 U.K.]

Section: 117 Evidence of proceedings in bankruptcy 30/06/1997


Any petition or copy of a petition in bankruptcy, any order or certificate or copy of an order or certificate made
by the court, any instrument or copy of an instrument, affidavit or document made or used in the course of any
bankruptcy proceedings or other proceedings had under this Ordinance shall, if it appears to be sealed with the seal of
the court or purports to be signed by the Registrar, or is certified as a true copy by the Registrar, be receivable in
evidence in all legal proceedings whatsoever.

[cf. 1914 c. 59 s. 139 U.K.]

Section: 118 Swearing of affidavits 25 of 1998 01/07/1997


Remarks:



Cap 6 - BANKRUPTCY ORDINANCE 61

Adaptation amendments retroactively made - see 25 of 1998 s. 2


Subject to general rules, any affidavit to be used in a bankruptcy court may be sworn before any person
authorized to administer oaths, or in the case of a person who is out of Hong Kong, before a person qualified to
administer oaths in the country where he resides.

(Amended 47 of 1984 s. 16; 25 of 1998 s. 2)
[cf. 1914 c. 59 s. 140 U.K.]


Section: 119 Death of debtor or witness L.N. 158 of 1998 01/04/1998


In the case of the death of the bankrupt or his spouse, or of a witness whose evidence has been received by the
court in any proceeding under this Ordinance, the deposition of the person so deceased, purporting to be sealed with
the seal of the court, or a copy thereof purporting to be so sealed, shall be admitted as evidence of the matters therein
deposed to.

(Amended 76 of 1996 ss. 71 & 72)
[cf. 1914 c. 59 s. 141 U.K.]


Section: 120 Statements made to Official Receiver or trustee through an

interpreter
L.N. 158 of 1998 01/04/1998



Any statement made by a bankrupt or creditor in any bankruptcy to the Official Receiver or trustee through an
interpreter shall be deemed to have been made to the Official Receiver or trustee as the case may be respectively, and
evidence thereof shall be receivable from the Official Receiver or trustee, on it being proved either that the interpreter
employed was a sworn interpreter or that he held the substantive or acting appointment of interpreter, or of clerk and
interpreter, to the Official Receiver.

(Amended 76 of 1996 s. 72)

Section: 121 Certificate of appointment of trustee 30/06/1997


A certificate of the Official Receiver that a person has been appointed trustee under this Ordinance shall be
conclusive evidence of his appointment.

[cf. 1914 c. 59 s. 143 U.K.]

Section: 122 Computation of time 35 of 1998 18/09/1998


Miscellaneous


(1) Where by this Ordinance any limited time from or after any date or event is appointed or allowed for the
doing of any act or the taking of any proceeding, then in the computation of that limited time the same shall be taken
as exclusive of the day of that date or of the happening of that event, and as commencing at the beginning of the next
following day; and the act or proceeding shall be done or taken at latest on the last day of that limited time as so
computed.

(2) Where the limited time so appointed or allowed is less than 6 days, general holidays as defined by the
General Holidays Ordinance (Cap 149) shall not be reckoned in the computation of such time. (Amended 35 of 1998
s. 5)

(3) Where the limited time so appointed or allowed expires on one of the days in this section specified, the act
or proceeding shall be considered as done or taken in due time if it is done or taken on the next day afterwards which
is not one of the days in this section specified.

(4) The provisions of this section shall take effect notwithstanding anything contained in sections 29, 30 and 31
of the High Court Ordinance (Cap 4). (Amended 92 of 1975 s. 58; 25 of 1998 s. 2)

[cf. 1914 c. 59 s. 145 U.K.]

Section: 123 Service of notices 30/06/1997


All notices and other documents for the service of which no special mode is directed may be sent by post to the



Cap 6 - BANKRUPTCY ORDINANCE 62

last known address of the person to be served therewith.
[cf. 1914 c. 59 s. 146 U.K.]


Section: 124 Formal defect not to invalidate proceedings L.N. 185 of 2007 10/12/2007


(1) No proceeding in bankruptcy shall be invalidated by any formal defect or by any irregularity unless the
court is of opinion that substantial injustice has been caused by the defect or irregularity and that the injustice cannot
be remedied by any order of the court.

(2) No defect or irregularity in the appointment or election of a trustee or member of a creditors' committee
shall vitiate any act done by him in good faith. (Amended 76 of 1996 s. 74; 18 of 2005 s. 44)

[cf. 1914 c. 59 s. 147 U.K.]

Section: 125 Exemption of documents from stamp duty 30/06/1997


(1) Stamp duty shall not be payable in respect of-
(a) any assurance relating solely to immovable property or personal property which is part of the estate of

any bankrupt, and which, after the execution of the assurance, either at law or in equity, is or remains
the estate of the bankrupt or of the trustee under the bankruptcy; or

(b) any other instrument relating solely to the property of any bankrupt.
(2) In this section "assurance" (轉易書) includes deed, conveyance, assignment and surrender.

(Replaced 31 of 1981 s. 65)

Section: 126 Acting of corporations, partners, etc. 30/06/1997


For all or any of the purposes of this Ordinance a corporation may act by any of its officers authorized in that
behalf under the seal of the corporation, a firm may act by any of its members and a lunatic may act by his committee
or curator bonis.

[cf. 1914 c. 59 s. 149 U.K.]

Section: 127 Certain provisions to bind Crown L.N. 158 of 1998 01/04/1998


Save as provided in this Ordinance, the provisions of this Ordinance relating to the remedies against the property
of a bankrupt, the priorities of debts, the effect of a voluntary arrangement, and the effect of a discharge, shall bind the
Crown.

(Amended 76 of 1996 ss. 61 & 72)
[cf. 1914 c. 59 s. 151 U.K.]


Section: 128 Unclaimed and undistributed dividends or funds L.N. 158 of 1998 01/04/1998


Unclaimed funds or dividends


(1) Where-
(a) a trustee, other than the Official Receiver, under any bankruptcy; or
(b) a nominee under any voluntary arrangement,

pursuant to this Ordinance has under his control any unclaimed dividend which has remained unclaimed for more than
6 months, or any money held in trust by the bankrupt for another person, or where, after making a final dividend, he
has in his hands or under his control any unclaimed or undistributed money arising from the property of the bankrupt,
he shall forthwith pay it to the Official Receiver who shall carry the same to an account to be termed the Bankruptcy
Estate Account. The Official Receiver's receipt for the money so paid shall be a sufficient discharge to the trustee in
respect thereof. (Amended 1 of 1976 s. 7; 47 of 1984 s. 14; 76 of 1996 ss. 62 and 72)

(1A) Where the Official Receiver is the trustee under any bankruptcy or the nominee under any voluntary
arrangement, and, pursuant to this Ordinance has under his control any unclaimed dividend which has remained
unclaimed for more than 6 months or where after making a final dividend, he has in his hands or under his control any
unclaimed or undistributed money arising from the property of the bankrupt, he shall forthwith transfer the same to the



Cap 6 - BANKRUPTCY ORDINANCE 63

Bankruptcy Estates Account. (Added 1 of 1976 s. 7. Amended 76 of 1996 ss. 62 and 72)
(2) The trustee, whether he has obtained his release or not, may be called upon by the court to account for any

unclaimed funds or dividends and any failure to comply with the requisitions of the court in this behalf may be dealt
with as a contempt of court.

(3) Any person claiming to be entitled to any moneys paid into the Bankruptcy Estate Account under this
Ordinance may, within 5 years of the date when the same was so paid in, apply to the Official Receiver for payment to
him of the same, and the Official Receiver, if satisfied that the person claiming is entitled, shall make an order for the
payment to such person of the sum due. Any person dissatisfied with the decision of the Official Receiver may appeal
to the court. (Amended 33 of 1939; G.N. 840 of 1940 Supp. Schedule; 1 of 1976 s. 7)

(4) After any money has remained unclaimed in the Bankruptcy Estates Account for a period of 5 years the
Official Receiver may transfer such money to the general revenue of Hong Kong. (Replaced 1 of 1976 s. 7)

(5) Before transferring any money under subsection (4) the Official Receiver may give such notice as he thinks
necessary to such parties as he may think fit. (Replaced 1 of 1976 s. 7)

[cf. 1914 c. 59 s. 153(1) U.K.]

Section: 128A Deposit of surplus cash balances 30/06/1997


(1) Whenever the cash balance standing to the credit of-
(a) the Bankruptcy Estates Account referred to in section 128; or
(b) any account operated by the Official Receiver under section 9l,

is in excess of the amount which, in the opinion of the Official Receiver, is required for the time being to answer
demands in respect of debtor's estates, the Official Receiver may deposit the whole or any part of that excess with a
bank. (Amended 47 of 1984 s. 15)

(2) The Official Receiver shall on or after 31 March in each year transfer to the general revenue any interest
paid in respect of deposits under subsection (1).

(Added 65 of 1976 s. 5)

Part: VIII BANKRUPTCY OFFENCES 30/06/1997




Section: 129 Fraudulent debtors L.N. 185 of 2007 10/12/2007


(1) Any person who has been adjudged bankrupt shall in each of the cases following be guilty of an offence-
(Amended 76 of 1996 s. 63)

(a) if he does not to the best of his knowledge and belief fully and truly discover to the trustee all his
property, real and personal, and how and to whom and for what consideration and when he disposed of
any part thereof, except such part as has been disposed of in the ordinary way of his trade (if any) or
laid out in the ordinary expenses of his family, unless he proves that he had no intent to defraud;

(b) if he does not deliver up to the trustee, or as he directs, all such part of his movable or immovable
property as is in his custody or under his control and which he is required by law to deliver up, unless
he proves that he had no intent to defraud;

(c) if he does not deliver up to the trustee, or as he directs, all books, documents, papers and writings in
his custody or under his control relating to his property or affairs, unless he proves that he had no
intent to defraud;

(d) if, after the presentation of a bankruptcy petition by or against him or within 12 months next before
such presentation, he conceals any part of his property to the value of $50 or upwards or conceals any
debt due to or from him, unless he proves that he had no intent to defraud;

(e) if, after the presentation of a bankruptcy petition by or against him or within 12 months next before
such presentation, he fraudulently removes any part of his property to the value of $50 or upwards;

(f) if he makes any material omission or misstatement in any statement relating to his affairs, unless he
proves that he had no intent to defraud;

(g) if, knowing or having any reason to believe that a false debt has been proved by any person under the
bankruptcy, he fails for the period of a month to inform the trustee thereof;

(h) if, after the presentation of a bankruptcy petition by or against him, he prevents or is party or privy to
preventing the production of any book, document, paper or writing affecting or relating to his property



Cap 6 - BANKRUPTCY ORDINANCE 64

or affairs, unless he proves that he had no intent to conceal the state of his affairs or to defeat the law;
(i) if, after the presentation of a bankruptcy petition by or against him or within 12 months next before

such presentation, he removes, conceals, destroys, mutilates or falsifies or is privy to the removal,
concealment, destruction, mutilation or falsification of any book or document affecting or relating to
his property or affairs, unless he proves that he had no intent to conceal the state of his affairs or to
defeat the law;

(j) if, after the presentation of a bankruptcy petition by or against him or within 12 months next before
such presentation, he makes or is privy to the making of any false entry in any book or document
affecting or relating to his property or affairs, unless he proves that he had no intent to conceal the state
of his affairs or to defeat the law;

(k) if, after the presentation of a bankruptcy petition by or against him or within 12 months next before
such presentation, he fraudulently parts with, alters or makes any omission in, or is privy to the
fraudulently parting with, altering or making any omission in, any document affecting or relating to his
property or affairs;

(l) if, after the presentation of a bankruptcy petition by or against him or at any meeting of his creditors
within 12 months next before such presentation, he attempts to account for any part of his property by
fictitious losses or expenses;

(m)-(n) (Repealed 21 of 1970 s. 35)
(o) if, within 12 months next before the presentation of a bankruptcy petition by or against him or after the

presentation of a bankruptcy petition and before the making of a bankruptcy order, he pawns, pledges
or disposes of any property which he has obtained on credit and has not paid for, unless, in the case of
a trader, such pawning, pledging or disposing is in the ordinary way of his trade, and unless in any case
he proves that he had no intent to defraud; (Amended 76 of 1996 s. 73)

(p) if he is guilty of any false representation or other fraud for the purpose of obtaining the consent of his
creditors or any of them to an agreement with reference to his affairs or to his bankruptcy.

(Amended 33 of 1939; G.N. 840 of 1940 Supp. Schedule; 50 of 1991 s. 4)
(2) A person who has sent out of Hong Kong any property which he has obtained on credit and has not paid for

shall until the contrary is proved be deemed to have disposed of the same otherwise than in the ordinary way of his
trade if, such property not having been paid or accounted for at the date of the bankruptcy order by the person to
whom the same was sent, such last-mentioned person does not pay or account for the same within a reasonable time
after being called upon to do so by the trustee or cannot be found within a reasonable time. (Amended 47 of 1984 s.
16; 76 of 1996 s. 73)

(3) In any prosecution under subsection (1)(i) the absence of any such book or document as is referred to in the
said paragraph shall be prima facie evidence that such book or document was removed by the bankrupt contrary to the
provisions of the said paragraph or that he was privy to its removal contrary to those provisions, and thereupon the
onus shall be upon the bankrupt to prove that he did not so remove such book or document and that he was not privy
to such removal. (Amended 33 of 1939; G.N. 840 of 1940 Supp. Schedule; 76 of 1996 s. 72)

(4) In any prosecution under subsection (1)(i) the mutilation or falsification of any such book or document as is
referred to in the said paragraph shall be prima facie evidence that such book or document was mutilated or falsified
by the bankrupt in contravention of the provisions of the said paragraph or that he was privy to its mutilation or
falsification contrary to those provisions, and thereupon the onus shall be upon the bankrupt to prove that he did not so
mutilate or falsify the said book or document and that he was not privy to such mutilation or falsification. (Amended
33 of 1939; G.N. 840 of 1940 Supp. Schedule; 76 of 1996 s. 72)

(5) Any person guilty of an offence in the cases mentioned in subsection (1)(o) shall be liable on summary
conviction to imprisonment for 1 year or upon conviction on indictment to imprisonment for 5 years. (Amended 33 of
1939; G.N. 840 of 1940 Supp. Schedule; 50 of 1991 s. 4)

(6) For the purposes of this section, "trustee" (受託人) includes a provisional trustee and the Official Receiver,
whether acting as Official Receiver or as a trustee. (Amended 18 of 2005 s. 45)

[cf. 1914 c. 59 s. 154 U.K. 1926 c. 7 s. 5 U.K.]

Section: 130 Certain offences by persons other than the bankrupt L.N. 158 of 1998 01/04/1998


(1) If any manager, accountant or book-keeper in the employment of the bankrupt does any act which if
committed by the bankrupt would be a contravention of any of the provisions of section 129(1)(i) or (j), or is privy to
any such act whether committed by the bankrupt or by any other person, such manager, accountant or book-keeper



Cap 6 - BANKRUPTCY ORDINANCE 65

shall be deemed to be guilty of an offence. (Amended 33 of 1939; G.N. 840 of 1940 Supp. Schedule; 50 of 1991 s. 4;
76 of 1996 s. 72)

(2) Where any person pawns, pledges or disposes of any property in circumstances which amount to an offence
under section 129(1)(o), every person who takes in pawn or pledge or otherwise receives the property, knowing it to
be pawned, pledged or disposed of in such circumstances as aforesaid, shall be guilty of an offence and shall b e liable
on summary conviction to imprisonment for 1 year or upon conviction on indictment to imprisonment for 5 years.
(Amended 33 of 1939; G.N. 840 of 1940 Supp. Schedule; 50 of 1991 s. 4) [cf. 1926 c. 7 s. 5(2) U.K.]

(3) A person who knowingly makes a false statement when proving a debt in bankruptcy or knowingly makes a
false statement in an affidavit required under this Ordinance is guilty of an offence and is liable to a fine at level 5 and
to imprisonment for 6 months. (Added 76 of 1996 s. 64)

Section: 131 Undischarged bankrupt obtaining credit 30/06/1997


Any undischarged bankrupt shall in each of the cases following be guilty of an offence-
(a) if either alone or jointly with any other person he obtains credit to the extent of $100 or upwards from

any person without first informing that person that he is an undischarged bankrupt; or
(b) if he engages in any trade or business under a name or names other than that or those under which he

was adjudicated bankrupt and in the course of such trade or business obtains credit from any person
without first disclosing to such person the name or names under which he was adjudicated bankrupt; or

(c) if he engages in any trade or business under a name or names other than that or those under which he
was adjudicated bankrupt without first publishing, once in the Gazette, and in 3 successive issues of 2
local newspapers one of which shall be Chinese, a notice containing the following particulars-
(i) the name or names under which he was adjudicated bankrupt;
(ii) the last address at which he carried on any trade or business prior to the adjudication;
(iii) the name or names under which he intends to carry on the trade or business;
(iv) the nature of the trade or business which he intends to carry on; and
(v) the address or addresses at which he intends to carry it on.

(Amended 33 of 1939; G.N. 840 of 1940 Supp. Schedule; 20 of 1948 s. 4; 50 of 1991 s. 4)
[cf. 1914 c. 59 s. 155 U.K.]


Section: 132 Frauds by bankrupts, etc. L.N. 158 of 1998 01/04/1998


Any person who has been adjudged bankrupt shall in each of the cases following be guilty of an offence-
(Amended 76 of 1996 s. 63)

(a) (Repealed 21 of 1970 s. 35)
(b) if with intent to defraud his creditors or any of them he has made or caused to be made any gift or

transfer of or charge on his property; or
(c) if with intent to defraud his creditors he had concealed or removed any part of his property since or

within 2 months before the date of any unsatisfied judgment or order for payment of money obtained
against him; or

(d) if with intent to defraud his creditors or any of them he has caused or connived at the levying of any
execution against his property. [cf. 1926 c. 7 s. 6 U.K.]

(Amended 33 of 1939; G.N. 840 of 1940 Supp. Schedule; 20 of 1948 s. 4; 50 of 1991 s. 4)
[cf. 1914 c. 59 s. 156 U.K.]


Section: 133 Bankrupt guilty of gambling, etc. L.N. 158 of 1998 01/04/1998


(1) Any person who has been adjudged bankrupt shall be guilty of an offence if, having been engaged in any
trade or business and having outstanding at the date of the bankruptcy order any debts contracted in the course and for
the purposes of such trade or business- (Amended 50 of 1991 s. 4)

(a) he has within 2 years prior to the presentation of the bankruptcy petition materially contributed to or
increased the extent of his insolvency by gambling or by rash and hazardous speculations and such
gambling or speculations are unconnected with his trade or business; or

(b) he has between the date of the presentation of the petition and the date of the bankruptcy order lost any
part of his estate by such gambling or rash and hazardous speculations as aforesaid; or



Cap 6 - BANKRUPTCY ORDINANCE 66

(c) on being required by the Official Receiver at any time, or in the course of his public examination by
the court, to account for the loss of any substantial part of his estate incurred within a period of a year
next preceding the date of the presentation of the bankruptcy petition or between that date and the date
of the bankruptcy order, he fails to give a satisfactory explanation of the manner in which such loss
was incurred:

Provided that, in determining for the purposes of this section whether any speculations were rash and hazardous,
the financial position of the accused person at the time when he entered into the speculations shall be taken into
consideration. (Amended 76 of 1996 s. 65)

(2) A prosecution shall not be instituted against any person under this section except by order of the court.
(Amended 33 of 1939; G.N. 840 of 1940 Supp. Schedule)

[cf. 1914 c. 59 s. 157 U.K.]

Section: 134 Bankrupt failing to keep proper accounts L.N. 158 of 1998 01/04/1998


(1) Any person who has been adjudged bankrupt shall be guilty of an offence if, having been engaged in any
trade or business during any period in the 2 years immediately preceding the date of the presentation of the bankruptcy
petition, he has not kept proper books of account throughout that period and throughout any further period in which he
was so engaged between the date of the presentation of the petition and the date of the bankruptcy order, or has not
preserved all books of account so kept: (Amended 50 of 1991 s. 4; 76 of 1996 s. 66)

Provided that a person who has not kept or has not preserved such books of account shall not be convicted of an
offence under this section-

(a) if his unsecured liabilities at the date of the bankruptcy order did not exceed, in the case of a person
who has not on any previous occasion in Hong Kong or elsewhere been adjudged bankrupt or entered
into a voluntary arrangement with his creditors, $5000 or in any other case $1000; or (Amended 47 of
1984 s. 16; 76 of 1996 s. 66)

(b) if he proves that in the circumstances in which he traded or carried on business the omission was
honest and excusable.

(2) A prosecution shall not be instituted against any person under this section except by order of the court.
(Amended 33 of 1939; G.N. 840 of 1940 Supp. Schedule)

(3) For the purposes of this section, a person shall be deemed not to have kept proper books of account if he has
not kept such books or accounts as are necessary to exhibit or explain his transactions and financial position in his
trade or business, including a book or books containing entries from day to day in sufficient detail of all cash received
and cash paid, and where the trade or business has involved dealings in goods, statements of annual stock-takings, and
(except in the case of goods sold by way of retail trade to the actual consumer) accounts of all goods sold and
purchased showing the buyers and sellers thereof in sufficient detail to enable the goods and the buyers and sellers
thereof to be identified. In the case of books or accounts kept in the Chinese language a person shall, for the purposes
of this section, be deemed not to have kept proper books of account if he has not kept such books or accounts as may
be proved to be usual and necessary, for the purposes aforesaid, in the particular trade or business carried on by the
bankrupt. (Amended 76 of 1996 s. 72)

[cf. 1914 c. 59 s. 158 U.K.; 1926 c. 7 s. 7 U.K.]

Section: 135 Bankrupt absconding with property L.N. 158 of 1998 01/04/1998


If any person who is adjudged bankrupt after the presentation of a bankruptcy petition by or against him, or
within 6 months before such presentation, quits Hong Kong and takes with him, or attempts or makes preparation to
quit Hong Kong and take with him, any part of his property to the amount of $100 or upwards, which ought by law to
be divided amongst his creditors, he shall (unless he proves that he had no intent to defraud) be guilty of an offence.

(Amended 47 of 1984 s. 16; 50 of 1991 s. 4; 76 of 1996 s. 67)
[cf. 1914 c. 59 s. 159 U.K.]


Section: 136 Debtor concealing himself to avoid service, etc. L.N. 158 of 1998 01/04/1998


If any person against whom a bankruptcy order is made conceals himself or absents himself from his usual or
last known place of abode or business or quits Hong Kong, with intent to avoid service of any process in bankruptcy
or to avoid examination in respect of his affairs or otherwise to defeat, embarrass or delay any proceedings against



Cap 6 - BANKRUPTCY ORDINANCE 67

him in bankruptcy, he shall be guilty of an offence. A person who, after the presentation of a bankruptcy petition by or
against him or within 3 months next before such presentation, conceals or absents himself as aforesaid or quits Hong
Kong shall until the contrary is proved be deemed to have concealed or absented himself or quitted Hong Kong with
such intent as is mentioned in this section.

(Amended 47 of 1984 s. 16; 50 of 1991 s. 4; 76 of 1996 s. 73)

Section: 137 (Repealed 21 of 1970 s. 35) 30/06/1997




Section: 138 Order by court for prosecution on report of trustee L.N. 158 of 1998 01/04/1998


Where the Official Receiver or a trustee in a bankruptcy reports to the court that in his opinion a bankrupt who
has been adjudged bankrupt has been guilty of any offence under this Ordinance, or where the court is satisfied upon
the representation of any creditor or member of the creditors' committee that there is ground to believe that the
bankrupt has been guilty of any such offence, the court shall, if it appears to the court that there is a reasonable
probability that the bankrupt will be convicted and that the circumstances are such as to render a prosecution desirable,
order that the bankrupt be prosecuted for such offence, but no such order shall be a condition antecedent to any
prosecution under this Ordinance.

(Amended 33 of 1939; G.N. 840 of 1940 Supp. Schedule; 76 of 1996 ss. 63, 72 and 74)
[cf. 1914 c. 59 s. 161 U.K.; cf. 1926 c. 7 s. 8 U.K.]


Section: 139 Criminal liability after discharge or composition L.N. 158 of 1998 01/04/1998


Where a bankrupt has been guilty of any criminal offence he shall not be exempt from being proceeded against
therefor by reason that he has obtained his discharge or that a voluntary arrangement has been approved.

(Amended 76 of 1996 ss. 68 & 72)
[cf. 1914 c. 59 s. 162 U.K.]


Section: 140 Trial and punishment of offences L.N. 158 of 1998 01/04/1998


(1) A person guilty of an offence under this Ordinance in respect of which no special penalty is imposed by
this Ordinance shall be guilty of an offence triable either summarily or upon indictment, and shall be liable to
imprisonment for 2 years. (Amended 33 of 1939; G.N. 840 of 1940 Supp. Schedule; 22 of 1950 s. 3; 50 of 1991 s. 4)

(2) Summary proceedings in respect of any such offence shall not be instituted after 1 year from the first
discovery thereof either by the Official Receiver or by the trustee in the bankruptcy, or in the case of proceedings
instituted by a creditor, by the creditor, nor in any case shall they be instituted after 3 years from the commission of
the offence.

(3) In an indictment for an offence under this Ordinance it shall be sufficient to set forth the substance of the
offence charged in the words of this Ordinance specifying the offence, or as near thereto as circumstances admit,
without alleging or setting forth any debt, trading, adjudication, or any proceedings in, or order, warrant or document
of, the court acting under this Ordinance. (Amended 33 of 1939; G.N. 840 of 1940 Supp. Schedule; 76 of 1996 s. 69)

[cf. 1914 c. 59 s. 164 U.K.; 1926 c. 7 s. 10 U.K.]

Section: 141 Evidence as to frauds by agents L.N. 158 of 1998 01/04/1998


A statement or admission made by any person in any compulsory examination or deposition before the court on
the hearing of any matter in bankruptcy shall not be admissible as evidence against that person or (unless they married
after the making of the statement or admission) against the spouse of that person in any proceeding in respect of an
offence under the Theft Ordinance (Cap 210).

(Amended 33 of 1939; G.N. 840 of 1940 Supp. Schedule; 21 of 1970 s. 35; 76 of 1996 s. 71)
[cf. 1914 c. 59 s. 166 U.K.]





Cap 6 - BANKRUPTCY ORDINANCE 68

Section: 142 Summary prosecution 30/06/1997


Any offence under this Ordinance may be dealt with summarily by a magistrate.
(Amended 23 of 1933 s. 2; 33 of 1939; G.N. 840 of 1940 Supp. Schedule)


Part: IX MISCELLANEOUS 30/06/1997




Section: 143 (Omitted as spent) 30/06/1997




Schedule: 1 CRIMINAL BANKRUPTCY ORDERS L.N. 185 of 2007 10/12/2007


Expanded Cross Reference:

20, 20A, 20B, 20C, 20D, 20E, 20F, 20G, 20H, 20I, 20J, 20K



[sections 74A, 74B & 74C]


PART I


GENERAL

1. Interpretation

In this Schedule-
"criminal bankruptcy debt" (刑事破產債項) means a debt deemed to be due to any person by virtue of paragraph 3.

2. Entitlement to present

bankruptcy petition
Subject to the provisions of this Schedule, where a criminal bankruptcy order is made against any person he

shall be treated as a debtor against whom grounds exist for a creditor to present a bankruptcy petition. (Added 37 of
1998 s. 2)

3. Creditors and criminal bankruptcy debts

A person specified in a criminal bankruptcy order as having suffered loss or damage of any amount shall be
treated for the purpose of any ensuing proceedings pursuant to-

(a) a bankruptcy petition presented by virtue of paragraph 2; or
(b) a petition under section 112 (administration in bankruptcy of estate of person dying insolvent)

presented by virtue of this Schedule,
as a creditor for a debt of that amount provable in the bankruptcy of the person against whom the order was made.


PART II


APPLICATION OF THE ORDINANCE IN PROCEEDINGS BASED ON A
CRIMINAL BANKRUPTCY ORDER



4. Criminal bankruptcy petition

No criminal bankruptcy petition shall be presented by the person who under paragraph 2 is the bankrupt; and, in
relation to such a petition presented by a creditor, sections 4, 6 and 6B shall have effect with the following
modifications- (Amended 76 of 1996 ss. 70 & 72)

(a) sections 6(2)(a) and (b) and 6B shall not apply to a criminal bankruptcy debt; (Replaced 76 of 1996 s.
70)

(b) section 4(1)(a) shall be omitted. (Replaced 76 of 1996 s. 70)




Cap 6 - BANKRUPTCY ORDINANCE 69

5. Bankruptcy order
For the purposes of section 9(2) and (3) (matters to be proved before bankruptcy order is made) any criminal

bankruptcy debt shall be treated as conclusively proved by the production of a copy of the criminal bankruptcy order
in question and the following provisions of that section shall not apply in relation to any debt- (Amended 76 of 1996
ss. 70 & 72)

(a) (Repealed 76 of 1996 s. 70)
(b) subsection (5);
(c) subsection (6).


6. Trustee of criminal bankrupt's property

Where a person is adjudged bankrupt in proceedings pursuant to a criminal bankruptcy petition the Official
Receiver shall in the bankruptcy be the trustee of the property of the bankrupt. (Amended 76 of 1996 s. 70)

7. Proof of criminal bankruptcy debt in bankruptcy proceedings

(1) For the purpose of proving a criminal bankruptcy debt in proceedings pursuant to a criminal bankruptcy
petition, a copy of the criminal bankruptcy order specifying the amount deemed by virtue of paragraph 3 to be due as a
debt shall, subject to paragraph 5, be treated as sufficient evidence of the debt unless it is shown by any party to the
proceedings that the amount of the relevant loss or damage is greater or less than the amount specified in the order or
that the loss or damage did not in fact result from any offence specified in the order, and if it is shown by any party to
the proceedings that the amount of the relevant loss or damage is other than that specified in the order, paragraph 3
shall have effect as if that other amount had been specified in the order, but without prejudice to the validity of the
order if the amount of the relevant loss is shown not to exceed $150000 or such other amount as may be specified in
an order made under section 84A(5) of the Criminal Procedure Ordinance (Cap 221).

(2) Nothing in this paragraph or paragraph 3 shall be taken as prejudicing the proof in proceedings pursuant to
a criminal bankruptcy petition of debts other than criminal bankruptcy debts.

(3) Nothing in sub-paragraph (1) shall be construed as entitling any person to contend that the offence or
offences specified in a criminal bankruptcy order were not committed by the person against whom the order was
made.

8. Recovery of assets for benefit of criminal bankrupt's creditors

(1) Without prejudice to any other provision of this Ordinance, sub-paragraph (2) to (5) shall apply, where a
person is adjudged bankrupt in proceedings pursuant to a criminal bankruptcy petition, with respect to dispositions of
property or any interest in property made by the bankrupt on or after the relevant date, either by way of gift or for an
under-value.

In this sub-paragraph, "relevant date" (有關日期) means the date specified in the criminal bankruptcy order (in
accordance with section 84A(3)(d) of the Criminal Procedure Ordinance (Cap 221)) as the earliest date on which the
offence or, as the case may be, the earliest of the offences, was committed.

(2) On the application of the Official Receiver (in his capacity as trustee) the court may make orders requiring-
(a) the person taking under any such disposition; or
(b) subject to sub-paragraph (3), any other person who by virtue of any subsequent disposition acquired

(whether or not from the person taking under the bankrupt's disposition) the whole or any part of the
property or any interest therein,

to transfer the whole or any part of the property, or such interest as the order may specify, to the trustee, or to make
such payments to the trustee as the court thinks just with a view to making available to the creditors the full value of
the property or interest disposed of by the bankrupt (including any increase in its value since the disposition was
made).

(3) No order shall be made by virtue of sub-paragraph (2)(b) against a person appearing to the court to have
given full value for anything taken by him under a relevant disposition or to claim (directly or indirectly) through a
person who gave full value.

(4) An order of the court under this paragraph requiring a person to transfer any property or interest may
include such consequential directions for giving effect to the order, and be made on such terms (including in particular
terms allowing the person to retain or recover consideration given by him for any relevant disposition) as the court
thinks just in all the circumstances.

(5) In this paragraph, "disposition" (產權處置) includes any conveyance or assurance of property of any



Cap 6 - BANKRUPTCY ORDINANCE 70

description.

9. Administration in bankruptcy of deceased offender's estate

(1) Where an order for administration is made under section 112 on a criminal bankruptcy administration
petition, so much of subsection (4) of that section as enables the creditors to appoint a trustee of the property of the
bankrupt in place of the Official Receiver shall not apply. (Amended 76 of 1996 s. 72)

(2) Paragraph 7 shall apply in relation to proof of criminal bankruptcy debts in proceedings pursuant to a
criminal bankruptcy administration petition as it applies in relation to proof of such debts in proceedings pursuant to a
criminal bankruptcy petition.

10. Bankruptcy proceedings otherwise than by virtue of this Schedule

Where a criminal bankruptcy order has been made against any person and a bankruptcy petition has been
presented in respect of him before the order was made, or is presented in respect of him thereafter otherwise than by
virtue of paragraph 2, the court may, on the application of the Official Petitioner, dismiss the petition, rescind any
receiving order made in pursuance thereof or, if that person has been adjudged bankrupt, annul the adjudication on
such terms, if any, as the court thinks fit.

11. Effect of appeal against conviction

(1) Subject to the provisions of this paragraph, the fact that an appeal is pending against any conviction by
virtue of which a criminal bankruptcy order was made shall not preclude the taking of any proceedings by virtue of
this Schedule in consequence of the making of the order.

(2) Where a person is adjudged bankrupt in proceedings pursuant to criminal bankruptcy petition, no property
shall be distributed by his trustee and no order shall be made by the court under paragraph 8 so long as an appeal is
pending against his conviction of any offence by virtue of which the criminal bankruptcy order was made. (Amended
L.N. 65 of 1986; 18 of 2005 s. 46)

(3) For the purposes of this paragraph an appeal against a conviction is pending-
(a) in any case until the expiration of the time for giving notice of appeal or applying for leave to appeal

under section 83Q of the Criminal Procedure Ordinance (Cap 221) (disregarding any extension of
time which may be granted under subsection (3) of that section);

(b) if notice of appeal or of application for leave is given during that period and during that period the
appellant notifies the Official Receiver thereof, until the determination of the appeal and thereafter for
so long as an appeal to the Court of Final Appeal is pending within the meaning of section 84B(5) of
that Ordinance. (Amended 79 of 1995 s. 50)

(4) Where in consequence of an appeal a criminal bankruptcy order is rescinded-
(a) any bankruptcy petition bases on the order shall lapse and any adjudication of bankruptcy made in

consequence thereof shall cease to have effect, but without prejudice to anything previously done
thereunder; (Amended 76 of 1996 s. 70)

(b) where any such adjudication ceases to have effect, the property of the person who was adjudicated
bankrupt shall revert to him for all his estate or interest therein; and

(c) the court may, on his application or on the application of the Official Receiver, by order give such
directions, if any, as appear to the said court to be necessary or desirable in consequence of the
provisions of sub-paragraphs (a) and (b).

(5) Where in consequence of an appeal a criminal bankruptcy order is amended by the deletion of any amount
specified therein as the loss or damage suffered by any person, paragraph 3 shall not thereafter apply to that loss or
damage but without prejudice to anything done before the amendment takes effect.


PART III


FUNCTIONS OF OFFICIAL PETITIONER


12. Presentation of criminal bankruptcy petition by Official Petitioner

(1) The Official Petitioner may present a criminal bankruptcy petition, and a bankruptcy order may be made on
that petition. (Amended 76 of 1996 s. 73)

(2) Sections 4, 6 and 6B, as modified by paragraph 4 of this Schedule, shall apply to a criminal bankruptcy
petition presented by the Official Petitioner as it applies to a petition presented by a creditor. (Amended 76 of 1996 s.



Cap 6 - BANKRUPTCY ORDINANCE 71

70)
(3) The following provisions-

(a) section 9(2) (making of bankruptcy order on creditor's petition); (Amended 76 of 1996 s. 73)
(b) section 9(3) (dismissal of petition); and
(c) (Repealed 76 of 1996 s. 70)

shall apply in relation to a criminal bankruptcy petition presented by the Official Petitioner as if any reference to the
debt of the petitioning creditor were a reference to any criminal bankruptcy debt within the meaning of this Schedule;
and paragraph 5 shall have effect in relation to section 9(2) and (3) as they apply by virtue of this paragraph.

13. Presentation of criminal bankruptcy administration

petition by Official Petitioner
(1) The Official Petitioner may present a petition under section 112 in any case in which a creditor could do so

by virtue of this Schedule, and an order may be made under that section on that petition.
(2) Section 112(2) shall have effect in relation to a petition presented by the Official Petitioner as if the

reference to the petitioner's debt were a reference to any criminal bankruptcy debt within the meaning of this
Schedule.

14. Participation of Official Petitioner in proceedings brought by virtue of this

Schedule (whether by the Official Petitioner or by a creditor)
(1) In the case of proceedings pursuant to a criminal bankruptcy petition or a criminal bankruptcy

administration petition, the Official Petitioner shall be entitled-
(a) to attend any meeting of creditors and, before the meeting, to receive any notice or other document

required to be sent before such a meeting to any creditor;
(b) to be a member of any creditors' committee appointed under section 24; (Amended 76 of 1996 ss. 70

& 74)
(c) to be a party to any such proceedings before the court.

(2) In the case of proceedings pursuant to-
(a) a criminal bankruptcy petition or a criminal bankruptcy administration petition, the provisions of the

Ordinance mentioned in sub-paragraph (3) shall have effect as if any reference to a creditor, or to a
creditor who has proved or tendered a proof, included a reference to the Official Petitioner; and

(b) a criminal bankruptcy administration petition, the expression "a petition under this section" (本條所
指的呈請書) in section 112(8) shall include a reference to a petition by the Official Petitioner.

(3) The provisions referred to in sub-paragraph (2) are-
(a) section 15 (power to appoint special manager);
(b) section 18(1) and (5) (statement of affairs); (Amended 76 of 1996 s. 70)
(c) section 19(5) and (10) (public examination of bankrupt); (Amended 76 of 1996 ss. 70 & 72; 18 of

2005 s. 46)
(d) sections 20 to 20K (interim orders and voluntary arrangements); (Replaced 76 of 1996 s. 70)
(e)-(f) (Repealed 76 of 1996 s. 70)
(g) section 86B(1)(d) (report to creditors of bankrupt's proposal); (Amended 76 of 1996 s. 72; 18 of 2005

s. 46)
(h) section 83 (appeal to court against act or decision of trustee). (Amended 76 of 1996 s. 70; 80 of 1997

s. 102)
(Schedule 1 added 21 of 1979 s. 3. Amended 39 of 1992 s. 6)

[cf. 1973 c. 62 Schedule 2 U.K.]

Schedule: 2 30/06/1997


[sections 75 & 76]


PART I

Assistant Official Receiver (Legal)



Cap 6 - BANKRUPTCY ORDINANCE 72

Assistant Principal Solicitor
Senior Solicitor
Solicitor


PART II

Assistant Director of Accounting Services
Chief Insolvency Officer
Senior Insolvency Officer
Insolvency Officer
Senior Treasury Accountant
Treasury Accountant
Accounting Officer I
Accounting Officer II
Assistant Official Receiver (Case Management)

(Schedule 2 replaced L.N. 465 of 1994)

Schedule: 3 QUALIFICATIONS FOR APPOINTMENT UNDER

SECTION 12(1A)
L.N. 102 of 2007;
L.N. 185 of 2007

10/12/2007



[section 12(1A) & (1C)]

To qualify for appointment under section 12(1A) of this Ordinance, a person shall—

(a) be—
(i) a certified public accountant within the meaning of section 2 of the Professional Accountants

Ordinance (Cap 50);
(ii) a solicitor within the meaning of section 2(1) of the Legal Practitioners Ordinance (Cap 159); or
(iii) a current member of The Hong Kong Institute of Chartered Secretaries; and (Amended L.N. 102

of 2007)
(b) satisfy any reasonable conditions that the Official Receiver may impose and has made accessible to the

public.
(Schedule 3 added 18 of 2005 s. 47)