The Insolvency Rules (Northern Ireland) 1991

CHAPTER 24 SECOND BANKRUPTCY

Scope of this Chapter

6.223.—(1) This Chapter relates to the manner in which, in the case of a second bankruptcy, the trustee in the earlier bankruptcy is to deal with property and money to which Article 307(3) applies, until there is a trustee of the estate in the later bankruptcy.

(2) “The earlier bankruptcy”, “the later bankruptcy” and “the existing trustee” have the meanings given by Article 307(1).

[E.R.6.225]

General duty of existing trustee

6.224.—(1) Subject to paragraphs (2) and (3), the existing trustee shall take into his custody or under his control all such property and money, in so far as he has not already done so as part of his duties as trustee in the earlier bankruptcy.

(2) Where any of that property consists of perishable goods, or goods the value of which is likely to diminish if they are not disposed of, the existing trustee has power to sell or otherwise dispose of those goods.

(3) The proceeds of any such sale or disposal shall be held, under the existing trustee's control, with the other property and money comprised in the bankrupt's estate.

[E.R.6.226]

Delivery up to later trustee

6.225.  The existing trustee shall, as and when requested by the trustee for the purposes of the later bankruptcy, deliver up to the latter all such property and money as is in his custody or under his control in pursuance of Rule 6.224.

[E.R.6.227]

Existing trustee's expenses

6.226.  Any expenses incurred by the existing trustee in compliance with Article 308(1) and this Chapter shall be defrayed out of, and are a charge on, all such property and money as is referred to in Article 307(3), whether in the hands of the existing trustee or of the trustee for the purposes of the later bankruptcy.

[E.R.6.228]