PART 2

Sequestration: award and recall

Recall of sequestration

Recall of sequestration where Accountant in Bankruptcy is not trustee
34
A1
This section applies where AiB is not the trustee.
1
AiB may recall an award of sequestration if—
a
the trustee has notified AiB, in the statement submitted under section 32, that the debtor's debts have been paid in full , including the payment in full of—
i
any interest payable on the debtor’s debts (see section 37A),
ii
the outlays and remuneration of the interim trustee and of the trustee, and
b
AiB is satisfied that in all the circumstances it is appropriate to do so.
1A
Before recalling an award of sequestration AiB must take into account any representations made by an interested person within 21 days beginning with the day on which notice is given under section 31(3)(b).
2
AiB may not recall an award of sequestration after—
a
where no appeal in made under section 37(5)(a), the day which is 9 weeks after the day on which the statement was first submitted under section 32(3), or
b
where such an appeal is made, such later day which is 14 days after the day on which the appeal is finally determined or abandoned.
3
If AiB does not under subsection (1) recall an award of sequestration, the sequestration must continue but is to be subject to such conditions as AiB thinks fit.
4
Without delay after granting recall under subsection (1), AiB must send a certified copy of the decision to the Keeper of the Register of Inhibitions for recording in that register.
S. 34 in force at 30.11.2016 by S.S.I. 2016/294, reg. 2
S. 34(A1) inserted (25.6.2025) by Bankruptcy and Diligence (Scotland) Act 2024 (asp 9), ss. 4(6)(a), 22(2); S.S.I. 2025/107, reg. 2(2)(a) (with reg. 4)
S. 34(1A) inserted (25.6.2025) by Bankruptcy and Diligence (Scotland) Act 2024 (asp 9), ss. 4(6)(b), 22(2); S.S.I. 2025/107, reg. 2(2)(a) (with reg. 4)
Words in s. 34(2)(a) substituted (25.6.2025) by Bankruptcy and Diligence (Scotland) Act 2024 (asp 9), ss. 4(6)(c), 22(2); S.S.I. 2025/107, reg. 2(2)(a) (with reg. 4)
S. 34 title substituted (25.6.2025) by Bankruptcy and Diligence (Scotland) Act 2024 (asp 9), ss. 4(6)(d), 22(2); S.S.I. 2025/107, reg. 2(2)(a) (with reg. 4)
S. 34(1)(a)(i)(ii) substituted for words (25.6.2025) by Bankruptcy and Diligence (Scotland) Act 2024 (asp 9), ss. 5(4), 22(2); S.S.I. 2025/107, reg. 2(2)(b)