Insolvency Act
Defines interpretation and key terms used throughout the Act.
AI-assisted research synopsis — verify against the official legal text below.
- Jurisdiction
- Uganda
- Instrument
- Act or statute
- Citation
- Chapter 108
- Version
- 31 Dec 2023
- Language
- en
- Official source
- View official record ↗
Source attribution: Source: Uganda Legal Information Institute
Statute overview
About this statute
Defines interpretation and key terms used throughout the Act. A debtor is presumed unable to pay debts in specified circumstances; a contingent or prospective creditor may petition for liquidation only with the court's leave, and the court may grant leave only if satisfied a prima facie case exists. A creditor must make a statutory demand for a debt at least the prescribed amount, in the prescribed form, verified by statutory declaration unless it is a judgment debt, served on the debtor, and requiring payment or other security within twenty working days or a longer period as ordered by the court. The court may set aside a statutory demand on application by the debtor; the debtor must apply within ten working days, support the application by affidavit and serve it on the creditor within ten working days; the court may extend time, set conditions, order payment within a specified period, or dismiss and make insolvency orders. A debtor may petition the court for bankruptcy; if the debtor fails to satisfy a statutory demand a creditor or the debtor must present a petition; the court may make a bankruptcy order subject to sections 21 and 22; the Official Receiver has powers to sell or dispose of perishable or diminishing-value goods unless the court limits those powers; bankruptcy commences on the date the order is made.
Search within this statute
Search all stored provisions in this version.
Legal text
Provisions of Insolvency Act
Showing 50 of 50
Part I
Interpretation
- 1 Verify source ↗
Interpretation - Interpretation
AI-assisted research summary: Defines interpretation and key terms used throughout the Act.
Section Interpretation Section In this Act, unless the context otherwise requires— “ administrative receiver ” means— (a) a receiver appointed over the whole or substantially the whole of the property and undertaking of a grantor ; or (b) a person who would be a receiver but for the appointment of some other person as the receiver of part of a grantor ’s property ; “ administrator ” means a person specified as administrator in an administration deed under section 151 ; “ admissible ”, with respect to a claim , means a claim that may be admitted in liquidation or bankruptcy; “ appointing document ” means the writing by or under which an appointment is made and includes a court order; “ arrangement ” means a composition in satisfaction of an individual ’s debts or a scheme of arrangement of an individual ’s affairs or other arrangement in respect of which an arrangement order is made under section 124 ; “ arrangement order ” means an order made to give effect to an arrangement ; “ asset ” means an asset of a company in liquidation or in the estate of a bankrupt ; “ associated company ” means a company or other business organisation in which the insolvent company holds majority or controlling shares; “ bankrupt ” means an individual in respect of whom a bankruptcy has been made under section 20 ; “ bankruptcy debt ”, means any of the following— (a) a debt or liability to which the bankrupt is subject after the commencement of the bankruptcy; (b) a debt or liability to which the bankrupt may become subject after the commencement of the bankruptcy by reason any obligation incurred before the commencement bankruptcy and includes after discharge from bankruptcy or (c) any interest that may be claimed in the bankruptcy, and in determining for the purposes of this Act, whether a liability in tort is a bankruptcy debt, the bankrupt is deemed to be subject to that liability by reason of an obligation incurred time when the cause of action arose; “ bankruptcy’s estate ” has the meaning under section 31 ; “ bankruptcy order ” means an order adjudicating an individual bankrupt ; “ charge ” means an interest in— (a) a chattel paper; (b) a document of title; (c) goods; (d) an intangible; (e) money; (f) a negotiable instrument; or (g) a security, created or provided by a transaction that in substance se payment or performance of an obligation, without regard form of the transaction or the identity of the person who has title to the collateral and includes a mortgage or lien; “ claim ” means a claim in a liquidation or bankruptcy; “ committee of inspection ” means a committee of inspection appt under section 47 , 71 or 116 ; “ company ” has the meaning assigned to it in the Companies Act “court” means the High Court or a court presided over by a magistrate; “ currency point ” has the value assigned to it in Schedule 1 to this Act; “ debt ” means a debt or liability, present or future, certain or contingent and includes an ascertained debt or liability for damages; “ director ” means— (a) in relation to a company , any person occupying the position of director under any title; (b) in respect of a foreign company , includes an agent, officer or employee responsible for the business of the foreign company in Uganda; or (c) in respect of any other body corporate, means a person with functions similar to those of a director, but does not include a receiver , provisional administrator or administrator ; “ document ” includes an invoice, order, letter, record, summons, notice, other legal process, register, index, report, certificate or accounts, in any form, including any writing, material and information stored by means of any mechanical or electronic device and any material derived from the device; “ foreign company ” means a foreign company registered under the Companies Act; “ grantor ” means a person in respect of whose property a receiver is or may be appointed; “ individual ” with respect to Parts II, III and V of this Act, means a debtor in respect of whom a bankruptcy order is subsequently made; “ insolvency ” includes bankruptcy; “ insolvency practitioner ” means a person who is not an Official Receiver who is qualified to act as an insolvency practitioner within the meaning of section 207 ; “ instrument of incorporation ” means the documents used to incorporate a company under the Companies Act; “ lifting the veil ” means the power which the court has where the shareholders or directors of the company in question or a person in a similar position have used their business to defraud creditors of the business or to do some other wrongful or illegal act, and the court ignores the protection from liability offered by the corporation or limited liability status of the business and makes the shareholders or directors or other person personally liable for debts, liabilities and obligations of the company ; “ liquidator ” means a liquidator of a company appointed under section 62 or 70 ; and includes a provisional liquidator ; “ Minister ” means the Minister responsible for justice; “ Official Receiver ” means a person appointed under section 202 ; “ preferential debts ” means the debts referred to in section 11(3) and (5) ; “ prescribed amount ” means the amount specified in Schedule 2 to this Act; “ property ” includes money, goods, things in action, proceeds , and includes every description of property wherever situ; obligations, interest, whether present, future, vested or contingent arising out of or incidental to property; “ proceeds ” means identifiable or traceable personal property in form derived directly or indirectly from any dealing with the collateral or proceeds of the collateral, and includes— (a) a right to an insurance payment or any other payment as indemnity or compensation for loss or damage to the collateral or proceeds; and (b) a payment made in total or partial discharge or redemption of an intangible, a negotiable instrument, a security or chattel paper; “ property in receivership ” means property in respect of which a receiver is appointed; “ provisional administrator ” means a provisional administrator appointed under section 141 ; “ provisional liquidator ” means a provisional liquidator appointed under section 94 ; “ public notice ” means notice given in accordance with section 247 ; “ receiver ” means a receiver or a manager and includes a receiver manager or administrative receiver in respect of any property any person appointed as receiver— (a) by or under any document ; or (b) by the court in the exercise of a power to make sue appointment given by any Act or any rule of court or in the exercise of its inherent jurisdiction, whether or not the person appointed is empowered to sell any the property in receivership ; “ registrar ” has the meaning assigned to it in the Companies Act; “ secretary ” in relation to a company means a person appointed to perform the duties of secretary under the Companies Act; “ secured creditor ” means a creditor who holds in respect of a debt or obligation a charge over property ; “ security interest ” means a right that is enforceable against per generally, arising out of an interest in a chattel paper, a document of title, goods, an intangible, money, or a negotiable instrument and includes— (a) a fixed charge ; (b) a floating charge ; (c) an interest created or provided for by— (i) a chattel mortgage; (ii) a conditional sale agreement including an agreement to sell subject to retention of title; (iii) a hire purchase agreement; (iv) a pledge; (v) a security trust deed; (vi) a trust receipt; (vii) an assignment; (viii) a consignment; (ix) a lease; or (x) a transfer of chattel paper, which secures payment or performance of an obligation; without regard to the form of the transaction and without regard to the identity of the person who has title to the collateral, including where title to the collateral is in the secured party; “ shareholder ” has the meaning assigned to it in the Companies Act; “ special resolution ” has the meaning as in the Companies Act; “ statutory demand ” means a demand made in accordance with section 3 ; “ transaction ” includes a gift, settlement, agreement or arrangement and references to entering into a transaction are construed accordingly; “ transferee company ” means a company to which a transfer is being made; “ transferor company ” means the company effecting a transfer; “ trustee ”, in relation to bankruptcy, means the trustee of the bankrupt ’s estate; “ working day ” means any day other than a Saturday, Sunday or a public holiday.
Part II
Inability to pay debts, creditors’ claims and voidable transactions
- 2 Verify source ↗
Inability to pay debts, creditors’ claims and voidable transactions - Inability to pay debts
AI-assisted research summary: A debtor is presumed unable to pay debts in specified circumstances; a contingent or prospective creditor may petition for liquidation only with the court's leave, and the court may grant leave only if satisfied a prima facie case exists.
Section Inability to pay debts Section Subject to subsection (2) and unless the contrary is proved a debtor is presumed to be unable to pay the debtor’s debts if— the debtor has failed to comply with a statutory demand ; the execution issued against the debtor in respect of a judgement debt has been returned unsatisfied in whole or in part; or all or substantially all the property of the debtor is in the possession or control of a receiver or some other person enforcing a charge over that property . On a petition to the court for the liquidation of a company bankruptcy order , evidence of failure to comply with a statutory den by the creditor, shall not be admissible as evidence of inability to pay debts unless the application is made within thirty working days after the last for compliance with the demand. Subsection (1) does not prevent proof of inability to pay by other means. In determining whether a debtor is unable to pay the debtor's debts, contingent or prospective debts may be taken into account. A petition to the court for the liquidation of a company bankruptcy order on the ground of inability to pay debts, may be made contingent or prospective creditor only with the leave of the court; and court may give such leave, with or without conditions, only if it is satisfied that a prima facie case of inability to pay debts has been made out. - 3 Verify source ↗
Inability to pay debts, creditors’ claims and voidable transactions - Statutory demand
AI-assisted research summary: A creditor must make a statutory demand for a debt at least the prescribed amount, in the prescribed form, verified by statutory declaration unless it is a judgment debt, served on the debtor, and requiring payment or other security within twenty working days or a longer period as ordered by the court.
Section Statutory demand Section A statutory demand shall— be made in respect of a debt that is not less than the prescribed amount referred to in Schedule 2 to this Act and in the case of a debt owed by— A demand by a creditor in respect of a debt made in accord with this section, shall be a demand notice and shall constitute a state demand. an individual is a judgment debtor; or a company is an ascertained debt , but need not be a judgment debt ; be in the prescribed form; except where the debt is a judgment debt , be verified by a statutory declaration attached to the demand; be served on the debtor; and require the debtor, to pay the debt or compound with the creditor or give a charge over property to secure payment of the debt , to the reasonable satisfaction of the creditor, within twenty working days after the date of service or a longer period as the court may order. - 4 Verify source ↗
Inability to pay debts, creditors’ claims and voidable transactions - Setting aside statutory demand
AI-assisted research summary: The court may set aside a statutory demand on application by the debtor; the debtor must apply within ten working days, support the application by affidavit and serve it on the creditor within ten working days; the court may extend time, set conditions, order payment within a specified period, or dismiss and make insolvency orders.
Section Setting aside statutory demand Section An application under subsection (1) shall— The court may grant an application to set aside a statutory demand if it is satisfied that— On the hearing of the application, where the court is satisfied that there is a debt due by the debtor to the creditor, that is not the subject of a substantial dispute or is not subject to a counterclaim, set-off or demand, the court may— The court may, on the application of the debtor, set aside a statutory demand . be made within ten working days after the date of service of the demand; be supported by an affidavit; and be served on the creditor with the affidavit, within ten working days after the date of service of the demand. The court may, for sufficient cause, extend the time for making or serving an application to set aside a statutory demand and at the hearing of the application, extend the time for compliance with the statutory demand . there is a substantial dispute whether the debt is owing or is due; the debtor appears to have a counterclaim, set-off or cross demand and the amount specified in the demand less the amount of the counterclaim, set-off or cross-demand is less than the prescribed amount ; the creditor holds some property in respect of the debt claimed by the debtor and that the value of the security is equivalent or exceeds the full amount of the debt ; or the demand ought to be set aside on such grounds as the considers fit. order that the debtor pay the debt within a specified period that, in default of payment, the creditor may immediately petition for a liquidation or bankruptcy order ; or dismiss the application and immediately make an order section 20 or 92 , on the ground of inability to pay debts. Where the court makes an order under subsection (5)(a) , failure by the debtor to pay the debt within the specified period shall, be presumed to be inability to pay debts. A statutory demand shall not be set aside by reason only of a defect or irregularity, unless the court considers that substantial injustice would be caused if it were not set aside. For the purposes of subsection (7) , “defect” includes a material misstatement of the amount due to the creditor and a material misdescription of the debt referred to in the demand. An order under this section may be made subject to conditions set by court.
Part III
Individual insolvency
- 20 Verify source ↗
Individual insolvency - Petition for bankruptcy
AI-assisted research summary: A debtor may petition the court for bankruptcy; if the debtor fails to satisfy a statutory demand a creditor or the debtor must present a petition; the court may make a bankruptcy order subject to sections 21 and 22; the Official Receiver has powers to sell or dispose of perishable or diminishing-value goods unless the court limits those powers; bankruptcy commences on the date the order is made.
Section Petition for bankruptcy Section A debtor may petition court for bankruptcy alleging that the debtor is unable to pay his or her debts and the court may, subject to sections 21 and 22 make a bankruptcy order in respect of the debtor. Upon failure by the debtor to satisfy the statutory demand made under section 3 , a petition for bankruptcy shall be presented by a creditor or a debtor and the court may subject to sections 21 and 22 make a bankruptcy order in respect of the debtor. The bankruptcy order made under subsection (1) or (2) , shall declare the debtor bankrupt and shall appoint the Official Receiver as interim receiver of the estate, for the preservation of the estate of the bankrupt . The Official Receiver shall have the powers to sell or otherwise dispose of any perishable and any other goods, the value of which is likely to diminish if they are not disposed of unless court limits the powers or places conditions on the exercise. The bankruptcy shall commence on the date on which the bankruptcy order is made. - 21 Verify source ↗
Individual insolvency - Statement of affairs
AI-assisted research summary: The court must require a debtor (in respect of whom a petition under section 20 has been presented) to file a verified statement of affairs; failure is an offence punishable by a fine not exceeding twenty-four currency points or imprisonment not exceeding one year, or both.
Section Statement of affairs Section The statement referred to in subsection (1) shall include— The court shall require a debtor in respect of whom a petition has been presented under section 20 , to file a statement of his or her affairs verified by an affidavit. particulars of the debtor’s creditors, debts and assets; and such other information as may be prescribed. A debtor who contravenes subsection (1) commits an offence and is liable, on conviction, to a fine not exceeding twenty-four currency points or to imprisonment for a term not exceeding one year, or both. - 22 Verify source ↗
Individual insolvency - Public examination of debtor
AI-assisted research summary: When a bankruptcy petition is presented the court must order a public examination; the debtor must attend and be examined on affairs, dealings and property, answer on oath, and certain persons (creditors, Official Receiver, trustee) may take part or question the debtor; the court may make directions including dispensing with the examination for unfit debtors.
Section Public examination of debtor Section Where a petition for a bankruptcy order is presented to the court under section 20 , the court shall direct that a public examination be held on a day appointed by the court and the debtor shall attend on that day and be publicly examined on his or her affairs, dealings and property . The examination shall be held as soon as conveniently practicable after the expiration of the time given by the court for the submission of the debtor’s statement of affairs under section 21 . A creditor who has tendered proof, or his or her representative authorised in writing, may question the debtor concerning his or her affairs and the causes of his or her failure. The Official Receiver shall take part in the examination of the debtor, and for the purpose may employ an advocate if he or she so desires. If a trustee is appointed before the conclusion of the examination, he or she may take part in the examination. The court may put such questions to the debtor as the court may consider appropriate. The debtor shall, be examined upon oath, and it shall be his or her duty to answer all such questions as the court may put or allow to be put to him or her. Such notes of the examination as the court considers proper shall be taken down in writing, and shall be read over either to or by the debtor and signed by him or her, and may thereafter, except as in this Act provided, be used in evidence against him or her; they shall be open to the inspection of any creditor at all reasonable times. When the court is of the opinion that the affairs of the debtor have been sufficiently investigated, it shall by order declare that his or her examination is concluded, but that order shall not be made until after the day appointed for the first meeting of creditors. Where the debtor suffers from any such mental or physical affliction or disability as in the opinion of the court make him or her unfit to attend his or her public examination, the court may make an order dispensing with the examination or directing that the debtor be examined on such terms, in such manner and at such place as the court considers expedient. - 23 Verify source ↗
Individual insolvency - Inquiry into debtor’s dealings and property
AI-assisted research summary: The court may require certain persons to submit an affidavit about their dealings with the debtor or to produce documents relating to the debtor’s dealings, affairs or property.
Section Inquiry into debtor’s dealings and property Section This section applies to— The court may require any person referred to in subsection (2) , to submit an affidavit to the court containing an account of his or her dealings with the debtor or to produce any documents in his or her possession, or under his or her control relating to the debtor or the debtor’s dealings, affairs or property . a person known or believed to have any property comprised in the debtor’s estate in his or her possession or to be indebted to the debtor; or a person appearing before court to give information concerning the debtor or the debtor’s dealings, affairs or property . - 24 Verify source ↗
Individual insolvency - Official Receiver’s notice of commencement of bankruptcy and creditor’s first meeting
AI-assisted research summary: The Official Receiver must, within fourteen days after the commencement of the bankruptcy, give public notice of the date of commencement and call the creditors' first meeting.
Section Official Receiver’s notice of commencement of bankruptcy and creditor’s first meeting Section The Official Receiver shall, within fourteen days after the commencement of the bankruptcy— give public notice of the date of commencement of the bankruptcy; and call the creditors’ first meeting. - 25 Verify source ↗
Individual insolvency - Appointment of trustee
AI-assisted research summary: The creditors' first meeting must appoint a trustee and vest the bankrupt's estate in the trustee.
Section Appointment of trustee Section The creditors’ first meeting shall, appoint a trustee and vest the bankrupt ’s estate in the trustee . - 26 Verify source ↗
Individual insolvency - Trustee’s notice of bankruptcy and particulars
AI-assisted research summary: The trustee must, within five working days after appointment, give public notice containing their full name, office address, daytime telephone number, electronic address, and the date the bankruptcy commenced.
Section Trustee’s notice of bankruptcy and particulars Section The trustee shall, within five working days after his or her appointment, give public notice of— the trustee ’s full name; the trustee ’s physical office address, daytime telephone number and electronic address; and the date of commencement of the bankruptcy. - 27 Verify source ↗
Individual insolvency - Effect of bankruptcy order
AI-assisted research summary: On the making of a bankruptcy order, the bankrupt's estate shall vest first in the Official Receiver and then in the trustee.
Section Effect of bankruptcy order Section On the making of a bankruptcy order — the bankrupt ’s estate shall, vest first in the Official Receiver and then in the trustee , without any conveyance, assignment or transfer; and except with the trustee ’s written consent or with the leave of the court and in accordance with such terms as the court may impose, no proceedings, execution or other legal process may be commenced or continued and no distress may be levied against the bankrupt or the bankrupt ’s estate. Subject to compliance with section 10 , nothing in this Act shall prevent the exercise of the power of enforcement of a charge over property in the bankrupt ’s estate. - 28 Verify source ↗
Individual insolvency - Special manager of bankrupt’s estate
AI-assisted research summary: The court may appoint a person as special manager of a bankrupt’s estate, certain businesses or property; the trustee or interim receiver may apply; a special manager shall have powers and duties as the court gives.
Section Special manager of bankrupt’s estate Section The court may, on an application under this section, appoint any person to be a special manager of— a bankrupt ’s estate; the business of an undischarged bankrupt ; or the property or business of an individual where an interim receiver has been appointed. An application under this section, may be made by the trustee or interim receiver where it appears to him or her that the nature of the estate, property or business or the interests of the creditors generally, require the appointment of another person to manage the estate, property or business. A special manager appointed under this section shall, have such powers and duties as may be given by court. - 29 Verify source ↗
Individual insolvency - Duties of trustee
AI-assisted research summary: Section Duties of trustee Section Without prejudice to subsection (1) , a trustee shall— permit those accounts and records to be inspected by— The fundamental duty of a trustee is to collect, realise as advantageously as is reasonably
Section Duties of trustee Section Without prejudice to subsection (1) , a trustee shall— permit those accounts and records to be inspected by— The fundamental duty of a trustee is to collect, realise as advantageously as is reasonably possible and distribute, the bankrupt ’s estate in accordance with this Part and Part II of this Act. take custody and control of the bankrupt ’s estate; register in his or her names all land and other assets forming part of the bankrupt ’s estate at the making of the bankruptcy order notwithstanding any transactions that may have taken place and any other law; keep the bankrupt ’s estate’s money separate from other money held by or under the control of the trustee ; keep, in accordance with generally accepted accounting procedures and standards, full account and other records of all receipts, expenditures and other transactions relating to the bankruptcy and retain the accounts and records of the bankruptcy for not less than six years after the bankruptcy ends; any committee of inspection unless the trustee believes on reasonable grounds that inspection would be prejudicial to the bankruptcy; or if the court so orders, any creditor; and perform any other function or duty specified in this Act. - 30 Verify source ↗
Individual insolvency - Trustee’s notice to creditors
AI-assisted research summary: A trustee must, within four working days after issuing the notice under section 24 (or within a further period the court allows), send written notice to every known creditor explaining their right to require a creditors' meeting under section 46; the court must consider any non-compliance by the debtor with section 21 when deciding on an extension.
Section Trustee’s notice to creditors Section Within four working days after issuing the notice under section 24 or a further period as the court may allow, a trustee shall send written notice to every known creditor explaining the right of any creditor to require the trustee to call a creditors’ meeting under section 46 . In determining whether to permit an extension of time under subsection (1) , the court shall take into account any non-compliance of the debtor with section 21 .
Part VI
Administration in respect of companies
- 140 Verify source ↗
Administration in respect of companies - Application of administration provisions to foreign companies
AI-assisted research summary: This Part applies to foreign companies; 'company' includes a foreign company; 'property' means property in Uganda.
Section Application of administration provisions to foreign companies Section This Part shall apply to foreign companies. In this Part, “ company ” includes a foreign company and “ property ” means property in Uganda.
Part VII
Corporate and individual receivership
- 179 Verify source ↗
Corporate and individual receivership - Application of receivership provisions to foreign companies
AI-assisted research summary: This Part applies to foreign companies; 'company' includes a foreign company and 'property' includes property in Uganda.
Section Application of receivership provisions to foreign companies Section This Part shall apply to foreign companies. In this Part, “ company ” includes a foreign company and “ property ” includes property in Uganda. - 180 Verify source ↗
Corporate and individual receivership - Commencement of receivership
AI-assisted research summary: If a court appoints a receiver the receivership begins and takes effect as specified in the court order; in other cases the receivership begins and the appointment takes effect when the receiver accepts the appointment in writing.
Section Commencement of receivership Section Where the appointment of a receiver is made by court, the receivership shall commence and the appointment shall take effect as specified in the court order. In all other cases, the receivership commences and the appointment takes effect when the receiver accepts the appointment in writing. - 181 Verify source ↗
Corporate and individual receivership - Liability for invalid appointment of receiver
AI-assisted research summary: If a non‑court appointment of a receiver is found invalid, the court may order the appointing person to indemnify the receiver; bona fide transactions of the receiver are not affected.
Section Liability for invalid appointment of receiver Section Where the appointment of a person as receiver other than by a court order is found to be invalid, the court may on an application of an aggrieved person order the person by whom or on whose behalf the appointment was made to indemnify the person appointed against any liability which arises as a result of the invalidity of the appointment. Notwithstanding subsection (1) , the bona fide transactions of the person appointed as receiver shall not be affected. - 182 Verify source ↗
Corporate and individual receivership - Notice of receivership
AI-assisted research summary: Receivers must give public notice within fourteen working days of receivership; must immediately notify the grantor in writing on appointment; when the grantor is a body corporate the receiver must deliver the notice to the Registrar and Official Receiver within fourteen working days; non-compliance with subsection (4) is an offence with specified defences and penalties.
Section Notice of receivership Section A receiver shall, not later than fourteen working days after the commencement of the receivership, give public notice of— A receiver shall give notice of the receivership— Where a receiver is charged with an offence under this section, it is a defence to show that— A receiver shall, immediately after his or her appointment give written notice of the appointment to the grantor . the date of the commencement of the receivership; the receiver ’s full name; the receiver ’s physical office address, electronic mail address and daytime telephone number; and a brief description of the property under receivership which has come into his or her possession. Where the grantor is a body corporate, the receiver shall, not later than fourteen working days after the commencement of the receivership, deliver to the Registrar and the Official Receiver a copy of the notice referred to in subsection (2) . where the receiver is an administrative receiver , on every invoice, order for goods or business letter issued by or on behalf of the grantor on which the company ’s name appears, by stating after the grantor ’s name “ receiver appointed”; and in every other case, upon entering into any transaction or issuing any document in connection with the property in receivership . Failure to comply with subsection (4) shall not affect the validity of the document . A receiver who does not comply with subsection (4) , commits an offence and is liable, on conviction, to a fine not exceeding twenty-four currency points or to imprisonment for a term not exceeding one year, or both. he or she did not know of and could not reasonably be expected to know of the failure to comply; or he or she took all reasonable steps in the circumstances to ensure that the requirements are complied with. - 183 Verify source ↗
Corporate and individual receivership - Fundamental duty of receiver
AI-assisted research summary: A receiver must exercise their powers in the best interests of all persons for whom the receiver was appointed and must have regard to the interests of specified parties when acting over property in receivership; the receiver is prohibited from certain defences and from taking compensation or indemnity for liabilities arising from breaches of duty.
Section Fundamental duty of receiver Section Subject to subsection (1) , a receiver shall have power over the property in receivership with reasonable regard to the interests of— A receiver shall not— The fundamental duty of a receiver is to exercise his or her powers in a manner which he or she believes, on reasonable grounds, to be in the best interests of all persons in whose interests the receiver is appointed. the grantor ; any person claiming, through the grantor , an interest in the property in receivership ; any unsecured creditor of the grantor ; and any surety or guarantor who may be called upon to fulfil any obligation of the grantor to a person in whose interest the receiver was appointed, if that obligation is not satisfied by recourse to the property in receivership . defend any proceedings relating to any breach of duty under this section on the ground that the receiver was acting as the grantor ’s agent or under a power of attorney from the grantor ; or receive compensation or indemnity from the property in receivership or the grantor in respect of any liability incurred by the receiver through any breach of a duty under this section. - 184 Verify source ↗
Corporate and individual receivership - General duties of receiver
AI-assisted research summary: A receiver must take custody and control of property under receivership and perform specified duties including registering assets, investigating affairs, giving notice of interest, keeping money and accounts separate, maintaining accounting records, retaining records for at least six years, and causing registration of recovered land.
Section General duties of receiver Section A receiver shall— Without prejudice to section 183 , a receiver shall perform other functions and duties specified in this Act. take custody and control of all the property which is under receivership; register in his or her names all land and other assets under receivership; investigate the state of affairs of the property under receivership; give a general notice of his or her interest in all property that has not yet come under his or her control; keep all money relating to the property in receivership separate from other money received in the course of, but not relating to, the receivership and separate from other money held by or under the control of the receiver ; keep, in accordance with generally accepted accounting procedures and standards, full accounts and other records of all receipts, expenditure and other transactions of the company ; and retain the accounts and records of the company for not less than six years after the receivership ends. A receiver shall cause the Registrar of titles to have his or her name registered on any land forming part of an estate in receivership upon discovery or recovery of the land, notwithstanding any transfers or dealings which took place after the commencement of the insolvency or the provisions of any other law. - 185 Verify source ↗
Corporate and individual receivership - Powers of receiver
AI-assisted research summary: A receiver has the powers given by the appointing document and, unless excluded, may perform specified actions (different powers for administrative receivers, and different powers where the grantor is a company or an individual).
Section Powers of receiver Section A receiver shall have the powers expressly or impliedly conferred by the appointing document and unless specifically provided to the contrary may— In addition, subject to the appointing document , a receiver who is an administrative receiver may— where the grantor is a company — demand or recover, by action or any other means, all income of the property in receivership ; issue receipts for income recovered; manage any of the property under receivership; inspect at any reasonable time any documents of the grantor or other records relating to the property under receivership, in the custody of the grantor or of any other person; and execute in the name and on behalf of the grantor all documents necessary or incidental to the exercise of the receiver ’s powers. where the grantor is an individual , carry on any business of the grantor ; or carry on the company ’s business and manage the company ’s property and affairs; perform any function and exercise any power that the company or any of its directors or secretary would perform or exercise if the company was not in receivership; and change the company ’s registered office or registered postal address. In exercising his or her powers a receiver is taken to act as the grantor ’s agent. - 186 Verify source ↗
Corporate and individual receivership - Receiver’s relationship with third parties
AI-assisted research summary: A person who pays money or gives other consideration to a receiver is not required to inquire whether the receiver was validly appointed or authorised to act.
Section Receiver’s relationship with third parties Section A person paying money or giving other consideration to a receiver shall not be required to inquire whether the receiver was validly appointed or is authorised to act as a receiver . - 187 Verify source ↗
Corporate and individual receivership - Role of grantor in receivership
AI-assisted research summary: When a company (the grantor) is in administrative receivership, the company and its directors/secretaries must not exercise functions or powers except with the administrative receiver’s approval; the grantor must provide documents, information and assistance to the receiver and, if required, verify completeness by statutory declaration; directors/secretaries must comply as if they were the grantor; non-compliance is an offence punishable by a fine of one hundred sixty-eight currency points or up to seven years imprisonment.
Section Role of grantor in receivership Section Where the grantor is a body corporate— Where the grantor is a company in an administrative receivership, the company shall not exercise any of its functions or powers and a director or secretary shall not exercise his or her functions or powers, except with the administrative receiver ’s approval which may be general or specific. The grantor shall make available to the receiver all documents and information relating to the grantor and to all the property under receivership and give all assistance reasonably required by the receiver . If required by the receiver , the grantor shall verify by statutory declaration that the material and information made available to the receiver is complete and correct. it shall make the seal available for use by the receiver on any document required to be executed under the seal; and each director and secretary shall comply with this section as if the director or secretary was the grantor . Any person who does not comply with this section commits an offence and is liable, on conviction, to a fine of one hundred sixty-eight currency points or to imprisonment for a term not exceeding seven years. - 188 Verify source ↗
Corporate and individual receivership - Rights and obligations of grantor in receivership
AI-assisted research summary: Section gives the grantor the permission to bring actions against receivers, secured creditors or others; requires the grantor to establish a prima facie case and provide security for costs in such actions; allows the court to entertain inter partes applications and to grant extensions of caveats or encumbrances on conditions; makes persons who publish notices that obstruct receivers liable for compensation and creates an offence punishable by a fine up to twenty-four currency points or up to one year imprisonment.
Section Rights and obligations of grantor in receivership Section The grantor may bring an action— against the receiver , secured creditor or appointees or any other person for wrongful appointment of the receiver , trespass and other unlawful acts which prejudice the rights and interests of the grantor ; to preserve or protect the estate or interest in receivership where the receiver does not take action; and with the consent and approval of the receiver , in any other case. The grantor shall in an action brought under subsection (1) , establish a prima facie case and furnish security for costs as the court shall consider fit on presentation of the action to court. Where the court grants an ex parte injunction or relief against the receiver or secured creditor in subsection (1) , the injunction or relief shall lapse after fourteen days but court may, in appropriate cases, entertain informal applications for relief inter partes . Notwithstanding the Registration of Titles Act or any other law, a caveat, lien or other encumbrance placed on the assets forming part of the estate under insolvency shall not be sustained for more than thirty days unless the caveator, claimant or person who placed an encumbrance on an asset obtains a court order to this effect. Notwithstanding the provisions of the Registration of Titles Act or any other law, court may grant an extension of a caveat, lien or other encumbrance on the application of the caveator, claimant or person who placed an encumbrance on an asset , upon establishment of a prima facie case and furnishing security for costs commensurate to the estimated loss and damages of the value of the subject matter of the dispute. A person who, without sufficient cause publishes or causes to be published any notice, advert or publication which prevents or is likely to prevent the realisation, possession, recovery or control by the receiver , secured creditor or their agents or servants of any assets forming part of the estate under receivership shall be liable to pay compensation to the estate in receivership of any loss or injury suffered by the estate as a result of the notice, advert or publication. Any person who contravenes subsection (6) commits an offence and is liable, on conviction, to a fine not exceeding twenty-four currency points or to imprisonment for a term not exceeding one year, or both. - 189 Verify source ↗
Corporate and individual receivership - Compliance order
AI-assisted research summary: If a person does not comply with section 187 or a receiver's request (on application by the receiver), the court may order the grantor or any director or secretary to comply and may make ancillary orders.
Section Compliance order Section Where a person does not comply with section 187 or with a request of the receiver made under that section, on the application of the receiver , the court may order the grantor or any director or secretary , to comply and may make ancillary orders as the court considers appropriate. - 190 Verify source ↗
Corporate and individual receivership - Liabilities of receiver
AI-assisted research summary: A receiver is personally liable for wages, salary and allowances (including sickness and holiday) but not for payments in lieu of notice; receiver's liability for certain rent or payments is limited to amounts accruing within seven days after commencement of the receivership; nothing in subsections (3) or (4) shall be taken as adoption by the receiver or render the receiver liable for other obligations under the agreement.
Section Liabilities of receiver Section Notwithstanding any agreement to the contrary, a receiver shall be personally liable— for wages, salary and allowances including sickness and holiday allowances but shall not be liable for payments in lieu of notice that are incurred— Where— A receiver ’s liability under subsection (3) is limited to that part of the rent or other payments which accrue within seven days after the commencement of the receivership and end on— Nothing in subsection (3) or (4) shall— for any contract entered into by the receiver in the exercise of any of the receiver ’s powers, but shall not be liable for the grantor ’s debts; and during the receivership; under a contract of employment adopted by the receiver ; and in respect of services rendered after the adoption of the contract. F or the purposes of subsection (1)(b)(ii) , a contract of employment shall automatically lapse on commencement of the receivership. a grantor continues to use, possess or occupy property under an agreement subsisting at the commencement of the receivership; and legal title to the property is not vested in the grantor , a receiver shall be personally liable, to the extent specified in subsection (4) for rent and any other payments due under the agreement. the termination of the receivership; or the date on which the grantor ceases to use, possess or occupy the land, whichever is the earlier, but the court may further limit or excuse the liability of the receiver . be taken as an adoption by a receiver of any agreement referred to in subsection (3) ; or render a receiver liable to perform any other obligation under the agreement. - 191 Verify source ↗
Corporate and individual receivership - Receiver’s right to indemnity
AI-assisted research summary: A receiver is entitled to be indemnified out of the property under receivership for personal liability under section 190 and for reasonably incurred remuneration and expenses; the section also lists limits on what this provision does not do.
Section Receiver’s right to indemnity Section A receiver is entitled to indemnity out of the property under receivership in respect of— Nothing in this section shall— personal liability incurred under section 190 ; and remuneration and expenses which are reasonably incurred. limit any other right of indemnity to which a receiver may be entitled; limit a receiver ’s liability on any contract entered into without authority; confer on a receiver any right to an indemnity in respect of liability on any contract entered into without authority; or confer on a receiver any right to indemnity in respect of breach of duty or negligence. - 192 Verify source ↗
Corporate and individual receivership - Relief from liability for receiver
AI-assisted research summary: The court may relieve a receiver from personal liability incurred during receivership if satisfied the liability arose from a defective appointment or the receiver acted honestly and reasonably; the court may also direct, impose terms, and apportion liability.
Section Relief from liability for receiver Section Court may relieve a receiver from all or any personal liability incurred in the course of the receivership if satisfied that— the liability was incurred solely by reason of a defect in the appointment of the receiver ; or the receiver acted honestly and reasonably and ought, in the circumstances, fairly to be excused. In exercising the powers conferred under this section, the court may give directions and impose terms and conditions and apportion any liability as the court considers appropriate. - 193 Verify source ↗
Corporate and individual receivership - Receiver’s preliminary report
AI-assisted research summary: A receiver must, subject to the appointing document, within forty working days after appointment prepare and send a preliminary report on the state of affairs of the property in receivership to the persons referred to in section 195(2).
Section Receiver’s preliminary report Section Subject to the appointing document , a receiver shall, within forty working days after his or her appointment prepare and send to the persons referred to in section 195(2) , a preliminary report on the state of affairs of the property in receivership including— The preliminary report under subsection (1) shall include a description of— where the grantor is a company , any circumstances which the receiver is aware of and which reveal that— the particulars of the property under receivership; the particulars of the debts to be satisfied from the property under receivership; the names and addresses of all known creditors with an interest in the property under receivership; the names and addresses of all known creditors of any associated company or other business organisation or person; the particulars of any charge over the property under receivership held by any creditor, including the date on which it was created; particulars of any default by the grantor in making available any relevant information; and any other information as the receiver may consider necessary. the events within the receiver ’s knowledge leading up to the appointment of the receiver ; the disposal or proposed disposal of the property under receivership; any associated company or business carried on or proposed to be carried on; any amounts owing, at the date of appointment, to any person in whose interests the receiver was appointed; any amounts owing, at the date of appointment, to the creditors of the grantor with preferential claims; any amounts likely to be available for payment to creditors other than those referred to in paragraphs (d) and (e) ; and the company , a past or present director , secretary or shareholder may have committed an offence; or a person who has taken part in the formation, promotion, administration, management or liquidation of the company may have misapplied or retained or may have become liable or accountable for money or property of the company ; or may have been negligent or committed a default, breach of duty or breach of trust in relation to the company . - 194 Verify source ↗
Corporate and individual receivership - Receiver’s other reports
AI-assisted research summary: A receiver must, within twenty working days after the end of every six months during the receivership and after the termination of the receivership, (report as specified).
Section Receiver’s other reports Section A receiver shall, within twenty working days after— the end of every six months during the receivership; and the termination of the receivership, - 195 Verify source ↗
Corporate and individual receivership - General provisions on reports
AI-assisted research summary: A receiver must send copies of reports to specified recipients, may omit prejudicial matters (but must note the omission), must provide copies on written request within ten working days on payment of a prescribed fee, and must allow entitled persons to inspect reports during regular business hours.
Section General provisions on reports Section A receiver shall send a copy of the report to— A receiver may omit from any report required under section 194 or this section, any matter which, if included, would materially prejudice the exercise of the receiver ’s functions but the fact of the omission shall be stated in the report. the grantor ; all persons in whose interests the receiver is appointed; where the receiver was appointed by the court, to the court; and the Official Receiver , Within ten working days after receipt of a written request for a copy of any report prepared under this section, from— (a) a creditor, director or surety of the grantor ; (b) any other person with an interest in any of the property under receivership; or (c) the authorised agent of any of the persons referred to in paragraphs (a) and (b) , the receiver shall send the copy of the report to the person requesting for the report, on payment of a prescribed fee to the receiver . A receiver shall permit a person entitled to receive a copy of any report prepared under this section to inspect the report at the receiver ’s office during regular business hours. - 196 Verify source ↗
Corporate and individual receivership - Priorities for application of proceeds of receivership
AI-assisted research summary: Defines "proceeds" for the section and sets an order of priority under which certain claims specified in section 11(3), (4) and (5) are to be paid before payment of any claim of the secured creditor; it also states that payments made under this section may be recouped as an unsecured debt.
Section Priorities for application of proceeds of receivership Section Where— For the purposes of this section, “ proceeds ” means identifiable or traceable personal property in any form derived directly or indirectly from any dealing with the collateral or proceeds of the collateral, and includes— the grantor is not a company in liquidation, an undischarged bankrupt ; and the property under receivership includes property which is subject to a security interest ; and became subject to that security interest by reason of its application to certain existing property of the grantor and those of its future assets which were property acquired after the receivership or proceeds , A claim specified in section 11(3) , (4) and (5) , to the extent possible and in subsection (1) of this section, shall in the order of priority specified in this subsection be paid before payment of any claim of the secured creditor . a right to an insurance payment or any other payment as indemnity or compensation for loss or damage to the collateral or proceeds ; and a payment made in total or partial discharge or redemption of an intangible, a negotiable instrument, a security or chattel paper. For the purposes of section 11 and subsection (1) of this section, all references to liquidation or bankruptcy shall include receivership. Payments made under this section may be recouped as an unsecured debt . - 197 Verify source ↗
Corporate and individual receivership - Vacation of office of receiver
AI-assisted research summary: Receivers may resign by giving at least five working days' written notice to the appointer (or to the interested person if appointed for them); a person leaving the receiver's office must give information and assistance to their successor; unreasonably refusing that information is an offence punishable by a fine up to twenty-four currency points or imprisonment up to one year, or both.
Section Vacation of office of receiver Section A receiver may resign under subsection (1) by giving not less than five working days’ notice in writing of his or her intention to do so— The office of receiver shall become vacant where the person holding office is removed from office under section 195 or 208 , resigns, dies or becomes unqualified under section 211 . to the appointer; or where the receiver was appointed in the interests of any person other than the appointer, to that person. Where the office of receiver becomes vacant, another person shall be appointed as receiver in the same manner as the original receiver and the Official Receiver shall act as a provisional receiver until a receiver is appointed. A person vacating the office of receiver shall be required to give information and assistance in the conduct of the receivership as that person’s successor reasonably requires. Any person who unreasonably refuses to give information and assistance required for the conduct of the receivership commits an offence and is liable, on conviction, to a fine not exceeding twenty-four currency points or to imprisonment for a term not exceeding one year, or both. - 198 Verify source ↗
Corporate and individual receivership - Powers of receiver on liquidation or bankruptcy
AI-assisted research summary: Receivers may be appointed (or continue) and may exercise all receiver powers over property of a company in liquidation or a bankrupt individual, subject to subsection (2) and unless the court orders otherwise; a receiver holding office may act as the grantor’s agent only with the court’s approval or the written consent of the liquidator or trustee.
Section Powers of receiver on liquidation or bankruptcy Section Subject to subsection (2) and unless the court orders otherwise, a receiver may be appointed or continue to act as a receiver and exercise all the powers of a receiver in respect of any property of— A receiver holding office in respect of any property referred to in subsection (1) may act as the agent of the grantor only— a company which is in liquidation; or an individual in respect of whom a bankruptcy order has been made. with the approval of the court; or with the written consent of the liquidator or trustee . A debt or liability incurred by a grantor through the acts of a receiver acting as the agent of the grantor in accordance with subsection (2) shall not be taken to be a cost, charge or expense of the liquidation or the administration of the bankrupt ’s estate. - 199 Verify source ↗
Corporate and individual receivership - Court supervision of receiver
AI-assisted research summary: Court may, on application by certain parties, give directions about a receiver's functions and may review remuneration, order refunds, and determine appointment or control of property; a receiver who acted under a court direction is entitled to rely on it as a defence subject to subsection (4) and subject to a court's power to remove that protection.
Section Court supervision of receiver Section On the application of— On the application of a receiver , court may give directions on any matter concerning the functions of the receiver . the receiver ; a creditor of the grantor ; or a liquidator , provisional liquidator , administrator or provisional administrator or trustee of the grantor , during or after receivership the court may— in respect of any period, review or fix the remuneration of the receiver at a level which is reasonable in the circumstances and to the extent that the amount of remuneration retained by the receiver is found by the court to be unreasonable in the circumstance, order the receiver to refund the amount; determine whether the receiver was validly appointed; or determine whether the receiver validly assumed control of any property . Subject to subsection (4) , a receiver who during the exercise of his or her powers, acted in accordance with a direction of the court, shall be entitled to rely on the direction as a defence for any claim in respect of the exercise of the powers. The court may order that, by reason of the circumstances in which a direction is obtained, the receiver shall not have the protection given by subsection (3) . - 200 Verify source ↗
Corporate and individual receivership - Enforcement of receiver’s duties
AI-assisted research summary: Specifies who may apply to court under this section; grants the court powers to relieve a receiver of duties, order compliance, remove the receiver, and make preservation orders including requiring documents; requires proceedings be served on the Official Receiver and kept on a public file; defines “failure to comply.”
Section Enforcement of receiver’s duties Section An application for an order under this section may be made to court by— Where a receiver fails to comply with the court order, the court may, on such terms and conditions as the court considers appropriate— In this section, “failure to comply” means a failure of a receive to comply with a duty arising under— a receiver ; a creditor of the grantor ; or a liquidator , provisional liquidator , administrator or provisional administrator or trustee in bankruptcy of the grantor . Unless ordered by court, a copy of any application made under this section shall be served on the receiver not less than five working days before the hearing of the application and the receiver may appear and be heard at the hearing. relieve the receiver of the duty to comply, in whole or in part; without prejudice to any other remedy which may be available in respect of any breach of duty by the receiver , order the receive to comply to the extent specified in the order; or remove the receiver from office. Where a receiver is removed from office under subsection (3)(c) , court may make an appropriate order for the preservation of the grantor property , including an order requiring the removed receiver to make available any documents and other information necessary for that purpose. All proceedings relating to any application for an order under this section shall be served on the Official Receiver who shall keep a cop of the proceedings on a public file indexed by reference to the name of the receiver concerned. the appointing document ; this Act or any other law; or any order or direction of the court other than an order to comply made under this section. - 201 Verify source ↗
Corporate and individual receivership - Termination of receivership by court
AI-assisted research summary: The court may order termination of a receivership, persons including a liquidator, administrator, provisional liquidator or trustee in bankruptcy may apply to the court, and the receiver may appear and be heard.
Section Termination of receivership by court Section Subject to subsection (3) the court may make an order, on term and conditions as the court considers fit that— An application for the termination of a receivership may be made to the court by a liquidator , administrator or provisional administrate provisional liquidator or a trustee in bankruptcy of the grantor . the receiver ceases to act as receiver from a specified date, and no other receiver shall be appointed in respect of the property under receivership, and order that a copy of the order be delivered to the Official Receiver . The court may make an order under subsection (2) if the court is satisfied that the purpose of the receivership has been fulfilled or that the circumstances no longer justify the continuation of the receivership. Except as otherwise ordered by the court, a copy of any application made under this section shall be served on the receiver not less than five working days before the hearing of the application and the receiver may appear and be heard at the hearing.
Part X
General
- 244 Verify source ↗
General - Application of fines
AI-assisted research summary: The Registrar or the court may direct that fines (whole or part) be applied to costs or rewarded to the informant; the Registrar must pay money collected under this section into the Consolidated Fund.
Section Application of fines Section The Registrar or court imposing any fine under this Act may direct that the whole or any part of the fine shall be applied in or towards payment of the costs of the proceedings or in or towards rewarding the person on whose information or at whose instance the fine is recovered and subject to any such direction all fines under this Act shall, notwithstanding anything in any other written law, be paid into the Consolidated Fund. Where a default fine is imposed on a person or company under this Act, the default fine shall be paid to the Registrar. The Registrar shall pay the money collected under this section into the Consolidated Fund. - 245 Verify source ↗
General - Jurisdiction
AI-assisted research summary: The High Court has jurisdiction over company matters and may order cross-border insolvency proceedings; a court presided by a chief magistrate has jurisdiction over individual insolvency matters up to fifty million shillings.
Section Jurisdiction Section The High Court shall have jurisdiction over all matters concerning companies under this Act. In exercising its jurisdiction under Part IX of this Act, the High Court shall have the absolute discretion to make the necessary orders for cross-border insolvency proceedings. Court presided over by a chief magistrate shall have jurisdiction over all insolvency matters against individuals the subject matter of which does not exceed fifty million shillings. - 246 Verify source ↗
General - Validity of action notwithstanding defect in appointment or qualification
AI-assisted research summary: Identifies the acts of specified insolvency office-holders and committees.
Section Validity of action notwithstanding defect in appointment or qualification Section The acts of— an insolvency practitioner ; the Official Receiver ; a creditors’ committee; or a committee of inspection , - 247 Verify source ↗
General - Public notices
AI-assisted research summary: A person required to give public notice must insert the notice in at least one issue of a widely circulated Ugandan newspaper in the official language.
Section Public notices Section A person required to give public notice of any matter shall do so by inserting notice of the matter in at least one issue of a newspaper of wide circulation in Uganda in the official language. - 248 Verify source ↗
General - Disposition of property after commencement of liquidation by court is void
AI-assisted research summary: Dispositions of a company's property made after the commencement of a court liquidation are void unless the court orders otherwise.
Section Disposition of property after commencement of liquidation by court is void Section In a liquidation by the court, any disposition of the property of the company , including things in action and any transfer of shares or alteration in the status of the members of the company , made after the commencement of the liquidation shall, unless the court otherwise orders, be void. - 249 Verify source ↗
General - Listed company under insolvency proceedings to notify Capital Markets Authority
AI-assisted research summary: If insolvency proceedings are started against a company listed on any stock exchange, the company must notify the Capital Markets Authority in writing within fourteen working days of commencement.
Section Listed company under insolvency proceedings to notify Capital Markets Authority Section Where insolvency proceedings are commenced against a company which is listed on any stock exchange, the company shall within fourteen working days notify the Capital Markets Authority in writing of the fact of the commencement of the proceedings. - 250 Verify source ↗
General - General penalty
AI-assisted research summary: Persons convicted of an offence under this Act for which no other penalty is specified are liable to a fine not exceeding twenty-four currency points or imprisonment for up to two years, and must pay a default fine.
Section General penalty Section Any person who commits an offence under this Act, for which no other penalty is specifically provided, is liable, on conviction, to a fine not exceeding twenty-four currency points or to imprisonment for a term not exceeding two years, and shall, in addition, pay a default fine. - 251 Verify source ↗
General - Access to information
AI-assisted research summary: Subject to the Access to Information Act and the Data Protection and Privacy Act, any person may request and access information or data held by a trustee, receiver, liquidator, administrator or supervisor.
Section Access to information Section Subject to the Access to Information Act and the Data Protection and Privacy Act, any person may request and have access to information or data in the possession of a trustee , receiver , liquidator , administrator or supervisor. - 252 Verify source ↗
General - Regulations
AI-assisted research summary: The Minister may make regulations by statutory instrument to carry the Act into effect; those regulations may prescribe forms, procedures, fees and other matters and may set penalties including fines (up to one hundred currency points), imprisonment (up to one year), and continuing-offence daily fines (up to ten currency points).
Section Regulations Section Without prejudice to the general effect of subsection (1) , regulations made under this section may— The Minister may, by statutory instrument, make regulations for better carrying into effect the purposes of this Act. prescribe the forms, amounts or other things required to be prescribed under this Act; prescribe the procedure to be followed by courts in respect of proceedings under this Act; fix fees to be paid for court proceedings under this Act; and provide for any matter prescribed in this Act. Regulations made under this section may prescribe as a penalty for contravention of any provision of the regulations, a fine not exceeding one hundred currency points or to imprisonment for a term not exceeding one year, or both and may also provide in the case of a continuing offence, an additional fine not exceeding ten currency points in respect of each jay on which the offence continues. - 253 Verify source ↗
General - Power to amend Schedules
AI-assisted research summary: The Minister may amend the Schedules to this Act by statutory instrument with the approval of Cabinet.
Section Power to amend Schedules Section The Minister may, by statutory instrument, with the approval of Cabinet, amend the Schedules to this Act. - 254 Verify source ↗
General - Application of rules of equity and common law
AI-assisted research summary: Rules of equity and common law relevant to corporate insolvency, bankruptcy of individuals and receivership apply except where they conflict with this Act.
Section Application of rules of equity and common law Section The rules of equity and common law applicable to corporate insolvency and bankruptcy of individuals and receivership shall apply except as they are inconsistent with this Act.
Provision text is displayed from LexChat’s stored statute record. Use the official source links to verify amendments, commencement, and current legal force.
Ask AI about this statute
Insolvency Act
Sign in to ask AI about this statute
Sign in to start authenticated, citation-grounded statute research.
Sign in