PART 4

Trustees and commissioners

Interim trustees

Termination of interim trustee's functions where not appointed trustee
56
1
This section applies where an interim trustee (not being AiB) is appointed under section 54(1) and the sheriff—
a
awards sequestration and appoints another person as trustee under subsection (5) or (7) of section 51, or
b
refuses to award sequestration.
2
Where the sheriff awards sequestration and appoints another person as trustee in the sequestration, the interim trustee—
a
must hand over to the other person everything in the interim trustee's possession which relates to the sequestration, and
b
on that being done, must cease to act in the sequestration.
3
The sheriff may make such order in relation to liability for the outlays and remuneration of the interim trustee as may be appropriate.
4
Within 3 months after the sheriff awards, or refuses to award, sequestration the interim trustee must—
a
submit to AiB—
i
the interim trustee's accounts for intromissions (if any) with the debtor's estate,
ii
a claim for outlays reasonably incurred by the interim trustee, and
iii
a claim for remuneration for work reasonably undertaken by the interim trustee, and
b
send a copy of the interim trustee's accounts and claims to—
i
the debtor,
ii
the petitioner, and
iii
in a case where sequestration is awarded, the trustee and all creditors known to the interim trustee.
5
On a submission being made under subsection (4)(a), AiB must—
a
audit the accounts,
b
issue a determination fixing the amount of the outlays and remuneration payable to the interim trustee,
c
send a copy of the determination to—
i
the interim trustee, and
ii
the persons mentioned in subsection (4)(b), and
d
where a trustee (not being AiB) is appointed in the sequestration, send a copy of the audited accounts and of the determination to the trustee.
6
On receiving a copy of the determination sent under subsection (5)(c)(i), the interim trustee may apply to AiB for a certificate of discharge.
7
The grant of a certificate of discharge under this section by AiB has the effect of discharging the interim trustee from all liability (other than any liability arising from fraud)—
a
to the debtor,
b
to the petitioner, or
c
to the creditors,
in respect of any act or omission of the interim trustee in exercising the functions conferred on the interim trustee by this Act.
S. 56 in force at 30.11.2016 by S.S.I. 2016/294, reg. 2