Criminal Justice Act 1972

Criminal bankruptcy

7 Criminal bankruptcy orders against convicted persons

(1) Where a person is convicted of an offence before the Crown Court and it appears to the court that—

(a) as a result of the offence, or of that offence taken together with any other relevant offence or offences, loss or damage (not attributable to personal injury) has been suffered by one or more persons whose identity is known to the court; and

(b) the amount, or aggregate amount, of the loss or damage exceeds £15,000,

the court may, in addition to dealing with the offender in any other way (but not if it makes a compensation order against him), make a criminal bankruptcy order against him in respect of the offence or, as the case may be, that offence and the other relevant offence or offences.

(2) In subsection (1) of this section "other relevant offence or offences " means an offence or offences of which the person in question is convicted in the same proceedings or which the court takes into consideration in determining his sentence.

(3) A criminal bankruptcy order shall specify—

(a) the amount of the loss or damage appearing to the court to have resulted from the offence or, if more than one, each of the offences;

(b) the person or persons appearing to the court to have suffered that loss or damage ;

(c) the amount of that loss or damage which it appears to the court that that person, or each of those persons, has suffered; and

(d) the date which is to be the operative date for the purposes of section 10 below, being the date appearing to the court making the order to be the earliest date on which the offence or, if more than one, the earliest of the offences, was committed.

(4) A criminal bankruptcy order may be made against two or more offenders in respect of the same loss or damage.

(5) Schedule 1 to this Act shall have effect in relation to criminal bankruptcy orders and the operation of the enactments relating to bankruptcy in a case where such an order has been made.

(6) The Secretary of State may by order made by statutory instrument direct that subsection (1) of this section shall be amended by substituting, for the amount specified in that subsection as originally enacted or as previously amended under this subsection, such amount as may be specified in the order; and any order under this subsection may be revoked by a subsequent order and shall be subject to annulment in pursuance of a resolution of either House of Parliament.

(7) In this Act " criminal bankruptcy proceedings" means proceedings pursuant to a criminal bankruptcy petition or a petition under section 130 of the [1914 c. 59.] Bankruptcy Act 1914 presented by virtue of Schedule 1 to this Act.

8 Appeals in the case of criminal bankruptcy orders

(1) No appeal shall lie against the making of a criminal bankruptcy order.

(2) Where a person successfully appeals to the Court of Appeal against his conviction of an offence by virtue of which such an order was made, the Court of Appeal—

(a) shall rescind the order unless—

(i) he was convicted in the same proceedings of another offence of which he remains convicted; and

(ii) a criminal bankruptcy order could have been made without reference to loss or damage caused by the offence in respect of which the conviction is quashed;

(b) where by virtue of paragraph (a) above the court does not rescind the order, shall amend it by striking out so much of it as relates to loss or damage caused by the offence in respect of which the conviction is quashed.

(3) Where on an appeal by a person against his conviction of an offence by virtue of which a criminal bankruptcy order was made the Court of Appeal substitutes a verdict of guilty of another offence, the court shall—

(a) rescind the order if a criminal bankruptcy order could not have been made against that person if he had originally been convicted of that other offence ;

(b) in any other case, amend the order so far as may be required in consequence of the substitution of a verdict of guilty of the other offence.

(4) Where the Court of Appeal rescinds or amends a criminal bankruptcy order, the rescission or amendment shall not take effect—

(a) in any case until the expiration of the time for applying for leave to appeal to the House of Lords against the Court of Appeal's decision on the appeal against conviction (disregarding any extension of time which may be granted under section 34 of the [1968 c. 19.] Criminal Appeal Act 1968);

(b) if an application for leave to appeal is made within that time, so long as an appeal to the House of Lords is pending; and

(c) if on such an appeal the conviction is restored by that House.

(5) For the purposes of this section an appeal to the House of Lords shall be treated as pending until any application for leave to appeal is disposed of and, if leave to appeal is granted, until the appeal is disposed of; and for the purposes of this subsection an application for leave to appeal shall be treated as disposed of at the expiration of the time within which it may be made if it is not made within that time.

9 The Official Petitioner

(1) For the purpose of discharging the functions mentioned in subsection (2) of this section, in relation to cases in which a criminal bankruptcy order is made, there shall be an officer known as the Official Petitioner; and the Director of Public Prosecutions shall, by virtue of his office, be the Official Petitioner.

(2) The functions of the Official Petitioner shall be—

(a) to consider whether, in any such case as aforesaid, it is in the public interest that he should himself present a bankruptcy petition;

(b) to present a bankruptcy petition in any such case in which he determines that it is in the public interest that he should do so;

(c) to make payments, in such cases as he may determine, towards expenses incurred by other persons in connection with bankruptcy proceedings instituted by virtue of the making of a criminal bankruptcy order ;

(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 to this Act.

(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 Act.

(4) Any expenses of the Official Petitioner shall be defrayed out of moneys provided by Parliament.

10 Recovery of assets for benefit of criminal bankrupt's creditors

(1) Where a person is adjudged bankrupt in criminal bankruptcy proceedings, the official receiver (and not a person appointed under section 19 of the [1914 c. 59.] Bankruptcy Act 1914) shall in the bankruptcy be trustee of the property of the bankrupt; and the following provisions of this section shall apply with respect to dispositions of property or any interest in property, made by the bankrupt, on or after the operative date, either by way of gift or for an wider-value.

(2) On the application of the official receiver (in his capacity as trustee) the High Court may make orders requiring—

(a) the disponee under any such disposition; or

(b) subject to the following subsection, any other person who by virtue of any subsequent disposition acquired (whether or not from the original disponee) 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 subsection (2)(b) above 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 High Court under this section 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 section " disposition " includes any conveyance or assurance of property of any description and " disponee " shall be construed accordingly.

(6) Nothing in this section is to be taken to prejudice any provision of the [1914 c. 59.] Bankruptcy Act 1914.