Commonwealth Consolidated Acts

BANKRUPTCY ACT 1966 - SECT 185ED

Scope

  (1)   This section applies if:

  (a)   the Official Receiver has accepted a debt agreement proposal for processing; and

  (b)   the applicable deadline has not arrived.

Cancellation

  (2)   The Official Receiver may cancel the acceptance of the debt agreement proposal for processing if:

  (a)   the Official Receiver becomes aware that one or more affected creditors were not disclosed in the debtor's statement of affairs; or

  (b)   the Official Receiver becomes aware that:

  (i)   the debtor's statement of affairs; or

  (ii)   the debtor's subsection   185C(2B) statement;

    was deficient because it omitted a material particular or because it was incorrect in a material particular; or

  (c)   the Official Receiver becomes aware of a material change in the debtor's circumstances that:

  (i)   was not foreshadowed in the debtor's subsection   185C(2B) statement or the debtor's statement of affairs; and

  (ii)   in the opinion of the Official Receiver, is capable of affecting an affected creditor's decision whether or not to accept the proposal; or

  (d)   the Official Receiver becomes aware of a matter that, if it had been known to the Official Receiver at the time of acceptance of the debt agreement proposal for processing, would have resulted in a refusal of acceptance on the grounds that subsection   185C(4) had not been complied with.

Notification of cancellation

  (3)   If the Official Receiver cancels the acceptance of a debt agreement proposal for processing, the Official Receiver must give written notice of the cancellation, and the reasons for it, to:

  (a)   the debtor; and

  (b)   affected creditors who are known to the Official Receiver.

Review

  (4)   If the Official Receiver decides to cancel the acceptance of a debt agreement proposal for processing, the debtor may apply to the Administrative Review Tribunal for review of the decision.