The Bankruptcy Procedural Regulation (368/1931)

The Bankruptcy Procedural Regulation (368/1931)

PART I PRELIMINARY
1. These rules may be cited as the Bankruptcy Rules.

368/1931
2. Non-compliance with any of these rules, or with any rule of practice for the time being in force, shall not render any proceeding void unless the court shall so direct, but such proceeding may be set aside, either wholly or in part, as irregular, or amended or otherwise dealt with in such manner and upon such terms as the court may think fit.

368/1931
3. In these rules, unless the context or subject matter otherwise requires-

“the Court” means the Court having jurisdiction under the Law;

“creditor” includes a corporation, and a firm of creditors in partnership;

“debtor” includes a firm of debtors in partnership, and includes any debtor proceeded against under the Law, whether adjudged bankrupt or not;

“Registrar” means a Registrar of the court, and includes an Assistant Registrar of the court;

“scheme” means a scheme of arrangement under the Law;

“sealed” means sealed with the seal of the court;

“trustee” includes the trustee appointed under a composition or scheme, and includes an Official Receiver when acting as trustee;

the verb “to gazette” means to publish in the Gazette, and the verb “to advertise” means to publish in a local Greek and in a local Turkish paper;

“verified” means verified by affidavit,

368/1931
4. The forms in Appendix A, where applicable, and where not applicable forms of the like character with such variations as circumstances may require, shall be used.

368/1931
PART II GENERAL PROCEDURE
5.-(1) The following matters shall be heard in open Court, namely :-

(a) the public examination of debtors;

(b) applications to approve a composition or scheme;

(c) applications for orders of discharge, and applications for certificates under section 27 (4) of the Law;

(d) applications to set aside or avoid any settlement, conveyance, transfer, security, or payment, or to declare for or against the title of the trustee to any property adversely claimed;

(e) applications for the committal of any person to prison for contempt;

(f) applications against the rejection of a proof, or applications to expunge or reduce a proof, where the amount in dispute exceeds one hundred pounds.

(2) Subject to the provisions of the Law, other matters may be heard in chambers or in open Court as the Court may think fit.

368/1931
6. Where the court has more than one registry, the proceedings shall be taken in the registry within the administrative district in which the debtor has resided or carried on business for the longest period during the six months immediately preceding the presentation of the petition.

368/1931
7.-(1) Every proceeding in court under the Law shall be entitled as follows:-

In the District Court of
Registry of No. of 19

In Bankruptcy

Re

(Ex parte the debtor, or X.Y., a creditor, or the trustee, or the Official Receiver.)

(2) All applications and orders shall be entitled ex parte the applicant.

368/1931
8. All notices required by the Law or these rules shall be in writing.

368/1931
9. All documents lodged with the Registrar shall be typed or written neatly in English. The paper to be used shall be uniform in size with the paper used by the court, that is to say, thirteen inches by eight, or thereabouts. But no objections shall be allowed on the ground of non-compliance with this rule,

368/1931
10. The record of the proceedings may at all reasonable times be inspected under the supervision of the Registrar by the trustee, the debtor, and any creditor who has proved, or any person authorized by them.

368/1931
11. All notices and other process issued by the court shall be sealed.

368/1931
12. Where the Court orders a general meeting of creditors to be summoned under rule 5 of the First Schedule to the Law, it shall be summoned as the Court directs, and in default of any direction by the Court the Registrar shall transmit a sealed copy of the order to the trustee (or, as the case may be, the Official Receiver) ; and the trustee or Official Receiver shall, not less than seven days before such meeting, send by post a copy of the order to each creditor at the address given in his proof, or, when he shall not have proved, at the address given in the list of creditors by the debtor, or such other address as may be known to the trustee or Official Receiver.

368/1931
13.-(1) When any matter is gazetted or advertised in relation to the proceedings, a copy of the Gazette and of the local papers in which the advertisement was made shall be handed to the Registrar.

(2) The Registrar shall keep the copies with the proceedings, and make and file a memorandum referring to and giving the date of publication.

(3) The Registrar’s memorandum shall be prima facie evidence that the publication to which it refers was duly made in the issue of the Gazette or paper mentioned in it.

(4) Where no paper is published in the administrative district in which the proceedings are being held, the Court may direct the advertisement to be inserted in a paper published at Nicosia.

368/1931
14.-(1) Where any bankruptcy has been commenced in a wrong Court or in a wrong registry of a Court, the Chief Justice may at any time order the proceedings to be transferred to any other Court having jurisdiction under the Law or to any other registry prescribed by these rules.

(2) The Chief Justice may at any time order the whole or any portion of the proceedings in any matter under the Law to be transferred from any Court to any other Court of competent jurisdiction, or from one registry to another registry of the Court.

368/1931
15. Where proceedings are transferred, the Official Receiver of the Court or registry to which they are transferred shall become the Official Receiver of the debtor’s estate in the place of the Official Receiver of the Court or registry from which they were transferred.

368/1931
16. Every application to the Court shall set out the law or rules on which it is based, and be supported by affidavit verifying the facts relied upon. Save where other provision is made, an affidavit shall not be necessary in the case of applications by the Official Receiver.

The application shall be indorsed with an address within the town in which the registry of the Court is situated at which notices to the applicant may be left.

368/1931
17.-.(1) Saving the Court’s power to dispense with notice, or to order that it shall be given in such other manner as it may think fit, notice of an application shall be given to every party affected thereby by causing a copy of the application showing the day fixed for the hearing and of the affidavit (if any) in support to be delivered to such party, with the qualifications following, namely:-

(a) where it is to be given to the Official Receiver or trustee, the copies shall be served through the Court, and may, in addition to any other mode of service, be delivered to the clerk in charge of his office;

(b) where notice is to be given to a debtor, the copies shall be served on him through the Court;

(c) where it is to be given by the Official Receiver or trustee to the creditors generally, the copies may be sent by post;

(d) where it is to be given to a particular creditor or other person specifically affected by the application, the copies shall be served through the Court.

(2) Where notice of any matter arising out of an application or other proceeding is required to be given by the Registrar, it may be left by one of his officers at the address indorsed (if any) or sent by post to the address known to the Registrar. The officer’s or the Registrar’s certificate in this behalf shall be prima facie evidence of the delivery or posting.

(3) Other notices may be given in the manner provided by sub-rules (1) and (2) of this rule.

368/1931
18. Save where other provision is made, any party intending to oppose an application shall, two days before the date fixed for the hearing, file with the Registrar notice of his intention setting out the law or rules on which the opposition is based, with an affidavit verifying the facts relied upon in opposition. Such party shall at the same time leave at the applicant’s town address a copy of such notice and of such affidavit.

368/1931
19. Save where the Law or these rules otherwise provide, where a person is required to give security, such security shall be in the form of a bond with one or more sureties to the person to be secured, or, in lieu thereof, by a deposit in Court with a memorandum setting out the conditions. The amount to be inserted in the bond or to be deposited in Court shall include the probable costs. The bond or the memorandum shall be signed in the presence of the Registrar.

368/1931
20. Upon application by any person claiming to be a mortgagee of any part of the bankrupt’s immovable property, (of which application notice shall be given to the trustee), the Court shall, where necessary, inquire into the circumstances of the mortgage, and, if satisfied that there ought to be a sale, order a sale to be made for the amount found to be due to such mortgagee.

368/1931
21. The sale shall be made in accordance with the Rules of Sale for the time being in force under the Civil Procedure Law, Cap. 7, and, unless the Court otherwise directs, the net proceeds of the sale shall be applied in the first place to the payment of the trustee’s costs occasioned by the application, and in the next place to payment of the amount due to the mortgagee for principal, interest, and costs, and the surplus (if any) shall then be paid to the trustee. But where the proceeds are insufficient to satisfy the amount due to the mortgagee, he shall be entitled to prove as a creditor for the deficiency and receive dividends thereon rateably with the other creditors, but so as not to disturb any dividend then already declared.

368/1931
22. When a debtor is arrested under a warrant issued under section 24 of the Law, he shall be given into the custody of the Governor of the prison mentioned in the warrant, who shall produce such debtor before the Court as it may from time to time direct, and shall safely keep him until such time as the Court shall otherwise order; and any books, papers, moneys, goods, and chattels in the possession of the debtor, which may be seized, shall forthwith be lodged with the Official Receiver or trustee, as the case may be.

368/1931
23. When a person is apprehended under a warrant issued under section 26 (2) of the Law, he shall be brought before the Court for examination, and if he cannot immediately be examined be shall be delivered to the Governor of the prison mentioned in the warrant, and such Governor shall keep him in custody and produce him before the Court as it may direct. The officer executing the warrant shall immediately inform the Court of the apprehension of the person named in it, and the Court shall fix the earliest practicable day for his examination. The Registrar shall forthwith give notice of the day appointed to the Official Receiver, trustee, or other person who shall have applied for the examination or warrant.

368/1931
24.-(1) Every application made to the Court for the committal of any person for contempt of Court shall be supported by affidavit.

(2) Notice of such application shall be served personally on the person sought to be committed.

368/1931
25.-(1) Service (except where the Law or these rules otherwise provide) shall be effected in the same manner as in civil proceedings. But where service in such manner cannot be effected the Court may order service to be made within such time and in such manner as it shall think fit.

(2) Where any document may be sent by post it shall be sent by registered letter.

(3) Where no other time is specified, any document to be served or posted shall be served or posted not less than seven days before the day fixed for the proceeding to which it relates.

368/1931
26. Where an action is brought against the Official Receiver or the trustee as representing the debtor’s estate, or where either is made a party to a cause or matter on the application of any other party, lie shall not be personally liable for costs unless the Court otherwise orders.

368/1931
27. Where the Court has not fixed the amount of the costs of any proceeding, these shall be taxed by the Registrar pursuant to the Court’s direction and in accordance with the scale set forth in Appendix B.

(2) In cases of summary administration ordered under section 103 of the Law, a lower scale of advocates’ fees (where certified by the Court) shall be allowed in proceedings under the Law in which costs are payable out of the estate, namely three- fifths of the charges ordinarily allowed, disbursements being added.

368/1931
28. Before taxing the bill of any person employed by the Official Receiver or trustee, the Registrar shall require a certificate signed by the Official Receiver or trustee setting forth the terms of remuneration agreed to, if any, and, where necessary, as in the case of the bill of costs of an advocate, a copy of the resolution or other authority sanctioning the employment.

368/1931
29. Where pursuant to section 45 (1) of the Law the Sheriff is required to deliver goods or money to an Official Receiver or trustee, he shall, if he has not already deducted the costs of execution, hand his bill of costs for payment within fourteen days of delivery.

368/1931
30. All applications for costs incident to a proceeding before the Court shall be made at the time of the proceeding. If not made at such time, no costs shall be allowed except by special order of the Court to be granted only upon the Court being satisfied that application could not have been made at such time.

368/1931
31. Any person claiming costs against the estate and requiring his bill to be taxed shall give notice thereof to the Official Receiver and the trustee (if any).

368/1931
32. Saving the power of the Court to order otherwise, the assets remaining after payment of the preliminary expenses prescribed by section 36 of the Law, shall, before any payment is made under section 38 of the Law, be liable to the following payments, which shall be made in the following order of priority, namely :-

(a) the deposit or deposits lodged by the petitioning creditor pursuant to these rules

(b) the deposit or deposits lodged on any application for the appointment of an interim receiver;

(c) the remuneration and charges of the person (if any) appointed to assist the debtor in the preparation of his statement of affairs;

(d) any allowance made to the debtor by the Official Receiver;

(e) the trustee’s necessary disbursements other than actual expenses of realization;

(f) the costs of any person properly employed by the trustee with the sanction of the committee of inspection;

(g) any allowance made to the debtor by the trustee with the sanction of the committee of inspection;

(h) the remuneration of the trustee;

(i) the actual out-of-pocket expenses necessarily incurred by the committee of inspection subject to the approval of the Court; and

(j) any other costs of administration or otherwise allowed by the Court.

368/1931
33. Where more than one bankruptcy petition is presented against a debtor the costs of any petition other than the first shall not be allowed against the estate unless the Court is satisfied that the estate has benefited thereby.

368/1931
34. In the case of a bankruptcy petition against a partnership the costs payable out of the estates incurred up to and inclusive of the receiving order shall be apportioned between the joint and separate estates in such proportions as the Official Receiver may in his discretion determine.

368/1931
35.-(1) Where the joint estate of any co-debtors is in. sufficient to defray any costs or charges properly incurred prior to the appointment of the trustee, the Official Receiver may pay or direct the trustee to pay such costs or charges out of the separate estates of such co-debtors, or one or more of them, in such proportions as in his discretion the Official Receiver may think fit. The Official Receiver may also, as in his discretion he may think fit, pay or direct the trustee to pay any costs or charges properly incurred prior to the appointment of the trustee for any separate estate out of the joint estate or out of any other separate estate, and ally part of the costs or charges of the joint estate incurred prior to the appointment of the trustee which affects any separate estate out of that separate estate.

(2) Where the joint estate of any co-debtors is insufficient to defray any costs or charges properly incurred after the appointment of the trustee, the trustee, with such consent as is hereinafter mentioned, may pay such costs or charges out of the separate estates of such co-debtors or one or more of them. The trustee with the said consent may also pay any costs or charges properly incurred for any separate estate after his appointment out of the joint estate, and any part of the costs or charges of the joint estate incurred after his appointment which affects any separate estate out of that separate estate. No payment under this sub-rule shall be made out of a separate estate or joint estate by a trustee without the consent of the committee of inspection of the estate out of which the payment is intended to be made, or, if such committee withhold or refuse their consent, without an Order of the Court.

368/1931
36. No appeal shall be brought without the leave of the Court or of the Supreme Court from any decision of the Court involving an amount of less than twenty-five pounds or relating to property appearing from the proceedings to be less than twenty-five pounds in value.

368/1931
PART III PROCEEDINGS IN BANUPTCY
37. A declaration by a debtor of his inability to pay his debts shall be signed by him in the Registrar’s presence. The Registrar shall date and witness the declaration.

368/1931
38.-(1) A bankruptcy notice may be issued by the registry of any Court in which a bankruptcy petition might be filed.

(2) A bankruptcy notice shall not be invalid by reason that it is issued by a wrong Court or a wrong registry, but in such a case the Court may, if it thinks fit, order the notice to be set aside on such terms as to costs or otherwise as may be just.

368/1931
39. A creditor, desirous that a bankruptcy notice may be issued, shall produce to the Registrar an office copy of the judgment or order on which the notice is founded and file the notice, together with a request for issue. The creditor shall at the same time lodge with the Registrar two copies of the bankruptcy notice to be sealed for service.

368/1931
40.-(1) Every bankruptcy notice shall be endorsed with the name of the advocate actually suing out the same, or if no advocate is employed with a memorandum that it is sued out by the creditor in person. Such notice shall also be indorsed with an address within the town in which the registry of the Court is situated at which notices to the creditor may be left.

(2) There shall also be indorsed an intimation to the debtor that if he has a counterclaim, set-off, or cross demand which equals or exceeds the amount of the judgment debt or sum ordered to be paid, and which he could not have set up in the action or proceedings in which the judgment or order was obtained, he must within the time specified in the notice file an affidavit to that effect with the Registrar. Such affidavit shall be indorsed with an address within the town in which the registry of the Court is situated at which notices to the debtor may be left by the Registrar.

(3) In the case of a notice served in Cyprus the time shall be three days after service. In the case of a notice served elsewhere the Registrar shall fix the time when issuing the notice.

368/1931
41. The filing of such affidavit shall operate as an application to set aside the bankruptcy notice, and thereupon the Registrar shall fix a day for hearing such application, and not less than three days before the day so fixed shall give notice thereof both to the debtor and the creditor at the addresses given by them under rule 40. If the application cannot be heard until after the expiration of the time specified in the bankruptcy notice as the day on which the act of bankruptcy will be complete, the Court shall extend the time, and no act of bankruptcy shall be deemed to have been committed under the notice until the application has been heard and determined.

368/1931
42. Subject to the power of the Court to extend the time, a bankruptcy notice to be served in Cyprus shall be served within one month from the issue thereof.

368/1931
43. A bankruptcy notice shall be served, and service thereof be proved in the like manner as is by these rules prescribed for the service of a creditor’s petition.

368/1931
44.-(1) Where a petition is presented by a debtor he shall, besides inserting therein his name and description and his address at the date when the petition is presented, further describe himself as lately residing or carrying on business at the address or several addresses, as the case may be, at which he has incurred debts and liabilities which at the date of the petition remain unpaid or unsatisfied.

(2) Where a petition is presented against a debtor who resides or carries on business at an address other than the address at which the debtor was residing or carrying on business at the time of contracting the debt or liability in respect of which the petition is presented, the petitioning creditor, in addition to stating in the petition the description of the debtor, as of his then present address and description, shall in the petition describe the debtor as lately residing or carrying on business at the address at which he was residing or carrying on business when the debt or liability was incurred.

368/1931
45. Subject to the provisions of section 88 of the Law, where a debtor has for the greater part of six months next preceding the presentation of a bankruptcy petition carried on business within the district of one Court or registry, and resided within the district of another Court or registry, the petition shall be filed in the registry of the Court within the district of which he has carried on business.

368/1931
46.(1) Κάθε αίτηση πτώχευσης υπογράφεται από το πρόσωπο που την υποβάλλει ή από το δικηγόρο του στην παρουσία του Πρωτοκολλητή, ο οποίος θα χρονολογήσει και μαρτυρήσει την αίτηση.

Η αίτηση θα οπισθογραφείται με διεύθυνση μέσα στην πόλη στην οποία το πρωτοκολλητείο του Δικαστηρίου βρίσκεται και στην οποία μπορούν να αφεθούν στον αιτητή ειδοποιήσεις από τον Πρωτοκολλητή.

(2) Όταν το πρόσωπο που επιθυμεί να υποβάλει τέτοια αίτηση δεν ευρίσκεται στη Δημοκρατία, το πρόσωπο αυτό μπορεί να εξουσιοδοτήσει οποιοδήποτε πρόσωπο που ευρίσκεται στη Δημοκρατία να επαληθεύσει με ένορκη δήλωση τα γεγονότα που αναφέρονται στην αίτηση νοουμένου ότι το πρόσωπο αυτό δεν θα ενεργεί και ως δικηγόρος του.

Νοείται ότι τέτοια εξουσιοδότηση θα πρέπει να πιστοποιείται από οποιαδήποτε αρμόδια αρχή της χώρας κατοικίας του αιτητή, η πιστοποίηση της οποίας αναγνωρίζεται ως κανονική από τις αρχές της Δημοκρατίας.

368/19312/2016
47.-(1) Η παρουσίαση αίτησης πτώχευσης στο Δικαστήριο δεν προϋποθέτει την κατάθεση οποιουδήποτε ποσού στον Επίσημο Παραλήπτη, πέραν αυτών που προβλέπονται στο “Πίνακα Α”, του Παραρτήματος Β, Δικαστικά Τέλη και Ποσοστά του βασικού Διαδικαστικού Κανονισμού.

(2) Σε κάθε περίπτωση έκδοσης από το Δικαστήριο Διατάγματος Παραλαβής, ο αιτητής καταβάλει μαζί με την παράδοση του πιστοποιημένου αντιγράφου του Διατάγματος Παραλαβής, στον Επίσημο Παραλήπτη, σύμφωνα με τις πρόνοιες του Κανονισμού 65(1) του βασικού Διαδικαστικού Κανονισμού και το ποσό των €300 ως έξοδα κάλυψης της υπό του Επισήμου Παραλήπτου αναγκαίας διαδικασίας εκτέλεσης του Διατάγματος Παραλαβής:

Νοείται ότι το πιο πάνω καταβαλλόμενο ποσό, είναι ανακτήσιμο απ’ αυτόν από την εκποιούμενη περιουσία του πτωχεύσαντα, κατά τη σειρά προτεραιότητας πληρωμής των χρεών του κατά τη διανομή της περιουσίας αυτού όπως προβλέπεται από το Νόμο.

368/19313/198617/200220/20079/2008
48.-(1) On the filing of a bankruptcy petition by or against a debtor the Registrar shall forthwith send notice thereof to the chief clerk of the Land Registry Office of the district with a request that such petition may be registered in a book to be kept for the purpose. ‘Where it is apparent from the petition that the debtor has resided or carried on business in more than one district, notice shall be sent to the Land Registry Office of each.

(2)-(a) Where a petition is filed by or against a firm in the name of the firm, the debtors or the petitioning creditor shall with such petition file a statement of the names and addresses of the partners as registered under the Partnership Law, Cap.196, at the date of the presentation of the petition. If such names are not so registered the debtors shall state the true names and addresses of all the partners in the firm, and the petitioning creditor shall state the names and addresses of such partners to the best of his information and belief. The Registrar shall in such case send a notice of the petition with request for registration to the Land Registry Office in the same manner as under sub-rule (1) of this rule.

These provisions shall also apply to any person carrying on business in a name or style other than his own.

(b) The statement mentioned in paragraph (a) hereof shall, where registration has been effected pursuant to the provisions of the Partnership Law, Cap. 196, be accompanied by a copy of the Gazette in which the statement sent to the Registrar of Partnerships was published pursuant to section 55 of the said Law.

368/1931
49. A petitioning creditor who is resident abroad, or whose estate is vested in a trustee or against whom a petition is pending under the Law, or who has made default of payment of any costs ordered by a Court to be paid by him to the debtor, may be ordered to give security for costs to the debtor.

368/1931
50.-(1) Every creditor’s petition shall be verified by affidavit, and when it is filed there shall be lodged with it two or more copies to be sealed for issue.

(2) Any affidavit filed in support of the petition must be made by a person who can swear from his own knowledge to the truth of the facts to which he deposes.

(3) When one person cannot from his own knowledge depose to the truth of all the statements in the petition, two or more persons who ca so depose may join in the making of an affidavit in support of the petition.

(4) When two or more persons make a joint affidavit, the statements to the truth of which each one deposes shall be set out separately.

(5) Two or more affidavits may, where this is more convenient, be filed in support of the petition. Where this is done, each affidavit shall set out the statements it verifies.

368/1931
51.-(1) A creditor’s petition shall be personally served by delivering to the debtor a sealed copy of the petition.

(2) If personal service cannot be effected by reason of the debtor keeping out of the way to avoid it, or if for any other cause prompt personal service cannot be effected, the Court may order substituted service to be made in any manner it may think fit, and such petition shall then be deemed to have been duly served on the debtor.

368/1931
52. Where a debtor petitioned against is not in Cyprus, the Court may order service to be made within such time and in such manner as it shall think fit.

368/1931
53. If a debtor against whom a bankruptcy petition has been filed dies before service thereof, the Court may order service to be effected on his executor or on the administrator of his estate, or on such other person as the Court may think fit.

368/1931
54.-(1) The application for appointment of the Official Receiver to be interim receiver, and the order so appointing him, shall state the locality of the property of which he is to take possession.

(2) A copy of the order shall be delivered by the person on whose application it was made to the Official Receiver to be gazetted and advertised, and another to the chief clerk of the Land Registry Office in like manner as in the case of bankruptcy petitions under rule 48.

368/1931
55.-(1) Before any such order is issued the person on whose application it was made shall deposit with the Official Receiver τριακόσια ευρώ towards his fee, and such further sum as the Court shall direct for the expenses which he may incur.

(2) If the sum so deposited shall prove insufficient the Court may from time to time, on the application of the Official Receiver, direct the depositing of further sums; and if the directions made are not complied with within twenty-four hours the order appointing the interim receiver may be discharged.

(3) If such order is followed by a receiving order, the deposits so made shall be repaid (except and so far as they may be required by reason of insufficiency of assets for the interim receiver’s fees and expenses) out of the proceeds of the estate in the order of priority prescribed by these rules.

368/19313/198617/200220/20079/2008
56. Where the petition is dismissed, any claim to damages arising out of the appointment of an interim receiver shall be made within twenty-one days of the dismissal of the petition; and upon application made within such time the Court shall adjudicate thereon and make such order as may seem just.

Hearing of Petition.

368/1931
57.-(1) Where a petition is filed by a debtor the Court shall forthwith make a receiving order thereon and direct the debtor to attend immediately on the Official Receiver at his office.

(2) In the case of a creditor’s petition the day to be fixed by the Registrar shall be written on the petition and sealed copies for service.

368/1931
58. Where there are more respondents than one to a petition, the rules as to service shall be observed with respect to each one of them; but where all have not been served, the petition may be heard, separately or collectively, as to those who have been served, and separately or collectively as to those not then served according as service upon them is effected.

368/1931
59. Where a debtor intends to show cause against the petition he shall, four days before the day fixed for the hearing, file with the Registrar a notice specifying the statements in the petition which he intends to dispute, and at the same time serve a copy of such notice on the petitioning creditor at his town address.

368/1931
60.-(1) If the debtor does not appear at the hearing, the Court may make a receiving order on such proof of the statements in the petition as it may think sufficient.

(2) If the debtor appears to show cause against the petition, the petitioning creditor’s debt, and the act of bankruptcy, or the matters notified by the debtor to be disputed, shall be proved; and if further time shall be desired by the petitioning creditor or by the debtor, the Court may, where it is satisfied that the extension will not be prejudicial to the general body of creditors, grant such further time (in each ease not exceeding seven days) as it may think fit.

(3) No costs occasioned by an extension shall be allowed out of the estate unless expressly ordered by the Court.

368/1931
61. If any creditor neglects to appear on his petition, no subsequent petition against the same debtor or debtors, or any of them either alone or jointly with any other person, shall be presented by the same creditor in respect of the same act of bankruptcy without the leave of the Court to which the previous petition was presented.

368/1931
62. The personal attendance of the petitioning creditor or of his witnesses may,if the Court thinks fit, be dispensed with.

368/1931
63. After the expiration of one month from the day fixed for the first hearing of a petition (provided it has been served) no further adjournment shall be made except for the reasons set forth in rule 60 (2), or for some such other sufficient reason to be stated on the record; but in every such case, unless an adjournment is made, the Court shall either make a receiving. order or dismiss the petition.

Receiving Order.

368/1931
64. When a receiving order is made on a creditor’s petition there shall be stated in such order the nature and date, or dates, of the act or acts of bankruptcy upon which the order has been made. Every such order shall contain a notice requiring the debtor to attend on the Official Receiver at his office immediately after the order is served on him.

368/1931
65.-(1) A copy of every receiving order shall forthwith be delivered to the Official Receiver by the person on whose petition it was made.

(2) Such person shall also deliver a copy of such order to the chief clerk of the Land Registry Office in like manner as in the case of bankruptcy petitions under rule 48.

(3) Such person shall also cause a copy of such order to be served on the debtor.

(4) Where on such order being made on the debtor’s own petition the debtor fails to carry out forthwith the provisions of this rule, the Registrar shall proceed to carry out such provisions himself: the costs so incurred shall be paid by the Official Receiver and deemed to be part of the expenses incurred by him under section 36 (1) (a) of the Law.

368/1931
66. The Official Receiver shall gazette and advertise every receiving order in the manner prescribed by section 13 of the Law.

368/1931
67. Where a debtor against whom a receiving order has been made is not in Cyprus, the Court may order service on him of such order, or of any other order made against him, or summons issued for his attendance, to be made within such time and in such manner as it shall think fit.

368/1931
68. A receiving order shall not be made against a debtor on a petition in which the act of bankruptcy alleged is noncompliance with a bankruptcy notice within the appointed time, where such debtor shall have applied to set aside such notice, until after the hearing of the application, or where the notice has been set aside, or during a stay of the proceedings thereon; but in such case the petition shall be adjourned or dismissed, as the Court may think fit.

368/1931
69. There may be included in a receiving order an order staying any action or proceedings against the debtor, or staying proceedings generally.

368/1931
70.-(1) The costs of all proceedings down to and including the issuing of a receiving order shall be borne by the party prosecuting the same. If such party be a creditor, his costs, unless disallowed by the Court or the Court otherwise orders, shall be taxed and be payable out of the estate in the order of priority prescribed by the Law.

(2) When the proceeds of the estate are not sufficient to defray the costs and any expenses necessarily incurred by the Official Receiver (in excess of the deposit) μέχρι της υποβολής και εκδίκασης της αίτησης που προνοείται στο άρθρο 28 του Νόμου, such excess shall be payable by the party prosecuting the proceedings.

368/19313/1986
71. An application to the Court to rescind a receiving order or to stay proceedings thereunder, or to annul an adjudication, shall not be heard except upon proof of service on the Official Receiver of notice thereof. Pending the hearing of the application the Court may make an interim order staying such of the proceedings as it thinks fit.

368/1931
72.-(1) Where an application is made to the Court to rescind a receiving order or to annul an order of adjudication on the ground that the debts of the debtor have been paid in full, the Official Receiver shall make and file four days before the day of the hearing a report as to the debtor’s conduct and affairs (including a report as to his conduct during the proceedings), and on the hearing the Court shall consider the report and bear such further evidence as may be adduced by any party and any objections made by or on behalf of the trustee (if any) or any creditor whom the Court may order to be served with notice of the application or may permit to appear thereon. For the purposes of the application the report shall be prima facie evidence of its contents.

(2) For the purposes of this rule “creditor” includes all creditors mentioned in the debtor’s statement of affairs, or who have notified the Official Receiver or trustee that they have, or at the date of the receiving order had, claims against the debtor.

368/1931
73. Every debtor shall be furnished by the Official Receiver with instructions for the preparation of his statement of affairs. Such statement shall be made out in duplicate, and one copy shall be verified by the debtor. The Official Receiver shall file in Court the verified statement of affairs submitted to him by the debtor.

368/1931
74. Where any debtor requires an extension of the time for submitting his statement of affairs, he shall deliver his application to the Official Receiver, who shall forthwith lay it with his observations before the Court for directions.

368/1931
75.-(1) When a receiving order has been made the Official Receiver shall apply for a day to be appointed for the public examination of the debtor, and thereupon the Court shall by an order appoint a day and hour and order the debtor to attend the Court on the day and hour appointed,

(2) The Official Receiver shall cause a copy of the order to be served on the debtor, and shall give notice of the order to every creditor who has tendered a proof. He shall also gazette and advertise the order.

368/1931
76. If the debtor, without good cause shown, fails to attend the Court at the time appointed for his examination, or at any time to which it is adjourned, it shall be lawful for the Court upon proof of service on him of its order, and without any further notice to him, to issue a warrant for his arrest as provided by section 24 (1) (d) of the Law, or to make such other order as it may think fit.

368/1931
77.-(1) Where the Court is of opinion that a debtor is failing to disclose his affairs, or where the debtor has failed to attend the public examination or any adjournment thereof, or where the debtor has not complied with any order of the Court in relation to his accounts, conduct, dealings, and property, and no good cause is shown by him for such failure, the Court may adjourn the public examination sine die, and may make such further or other order as it shall think fit.

(2) Where after such adjournment a day is appointed for the examination of the debtor, on the application either of the Official Receiver or of the debtor, the Official Receiver shall cause notice of the day so appointed to be served on the debtor and to be given to each creditor who has tendered a proof, and shall also gazette and advertise such notice.

368/1931
78.-(1) An application under section 16 (10) of the Law may be made by the Official Receiver, or by any person who appears to the Court to be a proper person to make it.

(2) If made by the Official Receiver, it shall be accompanied by his report, which shall be received as prima facie evidence of its contents.

(3) If made by any other person, it shall be supported by the affidavit of some medical practitioner as to the debtor’s physical and mental condition, and notice shall be given to the Official Receiver and trustee (if any). The medical practitioner shall, if required by the Court, attend the hearing and may be examined.

(4) Where the order is made on the application of the Official Receiver, the expense of holding the examination shall be deemed to be an expense incurred by him within the meaning of section 36 (1) (b) of the Law. Where the application is made by any other person, he shall, before any order is made, deposit with the Official Receiver such sum as the Official Receiver shall certify to be necessary for the expenses of the examination.

368/1931
79. Where a debtor intends to submit a proposal for a composition or scheme, the prescribed forms of proposal, notice, and report shall be used by the Official Receiver for the purpose of the meeting of creditors for consideration of the proposal.

368/1931
80.-(1) Where the creditors have accepted a composition or scheme, and the public examination of the debtor has been concluded, the Official Receiver or the debtor may forthwith apply to the Court for the approval of such composition or scheme. The Official Receiver shall not by so applying be deemed necessarily to approve of the composition or scheme.

(2) If not made by him, notice of the application shall be given to the Official Receiver ten days before the hearing.

(3) The Official Receiver shall, not less than four days before the hearing of any such application, send notice thereof to every creditor who has proved his debt.

(4) The Official Receiver shall also, not less than four days before the hearing, file his report in Court.

368/1931
81. The Official Receiver shall gazette and advertise any order made on an application to approve a composition or scheme.

368/1931
82. Though duly accepted by the creditors, no composition or scheme shall be approved unless the Official Receiver certifies that provision has been made for the payment of all proper costs, charges, and expenses of and incidental to the proceedings and of all fees and percentages payable to him.

368/1931
83. The Court may, at the time of approving a composition or scheme, correct or supply any accidental or formal slip, error, or omission, but no alteration in the substance shall be made.

368/1931
84. When a composition or scheme is approved, the Official Receiver shall, on the payments prescribed by rule 82 being made, put the debtor (or, as the case may be, the trustee under the composition or scheme, or the persons to whom under the composition or scheme the property of the debtor is to be assigned) into possession of the debtor’s property. The Court shall also discharge the receiving order.

368/1931
85. In every case of a composition or scheme in which a trustee is not appointed, or if appointed declines to act, or becomes incapable of acting, or is removed, the Official Receiver shall, unless and until another trustee is appointed by the creditors, be the trustee for the purpose of receiving and distributing the composition or for the purpose of administering the debtor’s property and carrying out the terms of the composition or scheme, as the case may be.

368/1931
86. Every trustee appointed under a composition or scheme shall, after it is approved, give security to the satisfaction of the Court in like manner as if he were a trustee in bankruptcy. Such trustee shall not act under his appointment until he has given such security, and if he fail to do so within the time required, he may be removed by the Court,

368/1931
87. No action shall lie for the enforcement of any payment under an approved composition or scheme, but the remedy shall be by application to the Court.

368/1931
88. Where a composition or scheme is annulled, the property of the debtor shall, unless the Court otherwise directs, forthwith vest in the Official Receiver without any special order being necessary.

368/1931
89. The trustee under a composition or scheme which has been annulled shall account to the trustee under the bankruptcy for any money or property of the debtor which has come to his bands, and deliver over any money or property which has not been duly administered.

368/1931
90. Where under any composition or scheme provision is made for the payment of any moneys to creditors entitled thereto, and any claim in respect of which a proof has been lodged is disputed, the Court may, if it so thinks fit, direct that the amount which would be payable upon such claim, if established, shall be secured in such manner as it may direct until the determination of such claim, and on the determination thereof the sum so secured shall be paid as the Court may direct.

368/1931
91. Every person claiming to be a creditor under any composition or scheme, who has not proved his debt before the approval of such composition or scheme, shall lodge his proof with the trustee thereunder, or, if there is none, with the Official Receiver, who shall admit or reject the same. And no creditor shall be entitled to enforce payment of any sum payable under a composition or scheme unless and until his proof has been admitted.

368/1931
92. All rules relating to compositions or schemes shall apply to compositions or schemes under section 17 of the Law, and, so far as practicable, also to compositions or schemes under section 22 of the Law.

368/1931
93. At the time of making a receiving order, or at any time thereafter, the Court may, on the application of the debtor himself, adjudge him bankrupt. Such application may be made orally and without notice.

368/1931
94. On the application of a creditor, or of the Official Receiver, the Court may, in any one of the cases mentioned in the Law, or if satisfied that the debtor has absconded, or that he does not intend to propose a composition or scheme, or that his proposal has not been accepted by the creditors, forthwith adjudge him bankrupt.

Where the application is made by a creditor, he shall give notice thereof to the Official Receiver.

368/1931
95. Where the public examination of a debtor is adjourned sine die, and the debtor has not previously been adjudged bankrupt, the Court may forthwith, and without any notice to the debtor, adjudge him bankrupt.

368/1931
96. When a debtor is adjudged bankrupt, the Registrar shall forthwith give notice to the Official Receiver, who shall gazette and advertise the adjudication.

368/1931
97.-(1) When an adjudication is annulled, the Registrar shall forthwith give notice to the Official Receiver, who shall gazette and advertise the order of annulment.

(2) The order annulling an adjudication shall not relieve a trustee from the liability imposed on him by the Law and these rules to account for all his transactions in connection with the estate.

368/1931
98.-(1) A bankrupt intending to apply for his discharge shall produce to the Registrar a certificate from the Official Receiver specifying his creditors of whom the Official Receiver has notice (whether they have proved or not).

(2) The Registrar shall, not less than twenty-eight days before the day fixed for the hearing, give notice of the application to the Official Receiver and trustee, and the Official Receiver shall forthwith gazette and advertise the same, and also send notice to each creditor who has proved not less than fourteen days before the day of the hearing.

(3) The Official Receiver shall file his report not less than seven days before the day of the hearing.

368/1931
99.-(1) Where a bankrupt intends to dispute any statement in the Official Receiver’s report, he shall, not less than four days before the day of the hearing of the application for discharge, give notice in writing to the Official Receiver specifying such statement.

(2) Any creditor who intends to oppose the discharge on grounds other than those in the Official Receiver’s report, shall give notice of the intended opposition, stating the grounds thereof, to the Official Receiver and to the bankrupt not less than four days before the day of the hearing.

368/1931
100.-(1) Where the Court grants an order of discharge conditionally upon the bankrupt consenting to judgment being entered against him by the Official Receiver or trustee for any balance or part of any balance of the debts provable under the bankruptcy which is not satisfied at the date of his discharge, the order of discharge shall not be signed, completed, or delivered out, until the bankrupt has given the required consent. The judgment shall be entered in the Court having jurisdiction in the bankruptcy in which the order of discharge is granted.

(2) If the bankrupt does not give the required consent within seven days of the making of the conditional order the Court may, on the application of the Official Receiver or trustee, revoke the order or make such other order a it may think fit,

368/1931
101.-(1) The order of the Court made on an application for discharge shall be dated of the day on which it is made, and shall take effect from the day on which the order is drawn up and signed; but such order shall not be delivered out, or gazetted and advertised, until after the expiration of the time allowed for appeal, or, if an appeal be entered, until after the decision of the Supreme Court thereon.

(2) When the time for appeal has expired, or, as the case may be, when the appeal has been decided, the Registrar shall forthwith send notice of the order to the Official Receiver, who shall gazette and advertise the same.

368/1931
102. Where the Official Receiver or trustee applies for leave to issue execution on a judgment entered pursuant to a conditional order of discharge, he shall give notice of the application to the debtor.

368/1931
103.-(1) Where a bankrupt is discharged subject to judgment being entered against him, or subject to any other condition as to his future earnings or after-acquired property, it shall be his duty whenever called upon to give the Official Receiver such information as he may require with respect to such earnings and property and income, and not less than once a year to file in Court a verified statement showing the particulars of any property or income he may have acquired after his discharge.

(2) The Official Receiver or trustee may require the bankrupt to attend before the Court to be examined on oath as to such statement, or as to his earnings, income, after-acquired property, or dealings.

(3) Where a bankrupt neglects to file such statement, or to attend the Court for examination, or properly to answer all questions put to him or allowed by the Court, the Court may, on the application of the Official Receiver or trustee, rescind the order of discharge.

368/1931
104.-(1) The Official Receiver shall give four days’ notice to the debtor of the time and place appointed for the first meeting of creditors. The notice may be given to him personally, or sent to him by registered letter. It shall nevertheless be his duty to attend such meeting whether notified or not.

(2) The Official Receiver shall also give the like notice to the creditors, and gazette and advertise the same as provided by rule 2 in the First Schedule to the Law.

368/1931
105. The notices of subsequent meetings shall be issued to the creditors by the Official Receiver or trustee. Where no special time is prescribed, the notices shall be sent off not less than four days before the day of the meeting.

368/1931
106.-(1) The proceedings had and resolutions passed at creditors’ meetings called by notice, shall, unless the Court otherwise orders, be valid notwithstanding that some creditors shall not have received the notice sent to them.

(2) A certificate by the Official Receiver or his clerk, or an affidavit by the trustee or his clerk or his advocate, that notice of any meeting of creditors or sitting of the Court has been duly posted, shall be sufficient evidence of such notice having been so posted to the persons named therein.

368/1931
107. Where on the request of creditors the Official Receiver or trustee calls a meeting of creditors, the costs of summoning such meeting, including all expenses incidental thereto, shall be calculated at the rate of one shilling and four and a half piastres for each creditor to whom notice is required to be sent.

368/1931
108. Where a meeting of creditors is adjourned, the adjourned meeting shall be held at the same place as the original place of meeting, unless in the resolution for adjournment another place is specified.

368/1931
109. An affidavit of proof of debt may be sworn before the Registrar or before the Official Receiver.

368/1931
110. In cases of workmen and others employed by the debtor who are entitled to wages, it shall be sufficient if one proof is made by them collectively with a schedule annexed thereto setting forth their names and the amounts due to them.

368/1931
111. Where a creditor seeks to prove in respect of a bill of exchange, promissory note, or other negotiable instrument or security on which the debtor is liable, such bill, note, instrument or security must, subject to any special order of the Court made to the contrary, be produced to the Official Receiver, chairman of a meeting, or trustee, as the case may be, before the proof can be admitted either for voting or for dividend.

368/1931
112. A proof intended to be used at the first meeting of creditors or any adjournment thereof must be lodged with the Official Receiver not earlier than two days and not later than twelve o’clock on the day before the meeting.

368/1931
113. Where a trustee is appointed in any matter, all proofs of debts that have been received by the Official Receiver shall be handed over to the trustee. But the Official Receiver shall first make a list of such proofs, and take a receipt thereon from the trustee for such proofs.

368/1931
114. The Official Receiver, where no other trustee is appointed, shall, forthwith after the final payment has been made in a composition or scheme duly approved by the Court, and in a bankruptcy after a final dividend has been declared, send to the Registrar all proofs tendered in the proceeding, with a list thereof certified to be correct, distinguishing in such list the proofs which were wholly or partly admitted, and the proofs which were wholly or partly rejected,

368/1931
115. Every trustee in bankruptcy, other than the Official Receiver, shall, on the first day of every month, send to the Registrar a certified list of all proofs, if any, received by him from the Official Receiver, or otherwise tendered during the month next preceding, distinguishing in such lists the proofs admitted, those rejected, and such as stand over for further consideration; and in the base of proofs admitted or rejected, he shall transmit the proofs themselves for the purpose of being filed.

368/1931
116.-(1) Upon the declaration of a dividend the trustee shall forthwith transmit to the Official Receiver a list of proofs filed with the proceedings under the last preceding rule.

(2) The list shall be sent in duplicate, and shall distinguish between proofs on which dividend is payable, rejected proofs in respect of which application has been made to the Court, and proofs excluded from participation in the dividend. The list shall also show the claim in respect of each, and the amount of dividend allocated.

(3) The Official Receiver shall examine the list and certify it if found correct, and return one certified copy to the trustee.

368/1931
117. The Official Receiver, or, as the case may be, the trustee, shall, within four days after receiving notice from a creditor of his intention to apply against a decision rejecting a proof, file such proof with the Registrar, with a memorandum thereon of his disallowance thereof. After the application has been heard by the Court, the proof, unless wholly disallowed, shall be given back to the Official Receiver or trustee, as the case may be.

368/1931
118.-(1) Subject to the power of the Court to extend the time, all proofs lodged shall be admitted or rejected wholly or in part, or further evidence in support thereof required, within fourteen days of their being lodged. Whatever the decision, it shall be communicated by letter to the creditor affected thereby. Such letter shall be sent off within the fourteen days herein mentioned.

(2) Subject to the power of the Court to extend the time, no application to reverse or vary a decision in respect of a proof shall be entertained by the Court unless made within fourteen days of the date of the letter communicating the decision.

(3) Notice of the application shall be given to the Official Receiver, or, as the ease may be, to the trustee whose decision is affected by the application.

368/1931
119.-(1) A proxy shall be lodged with the Official Receiver or trustee not later than twelve o’clock on the day preceding the meeting at which it is to be used.

(2) As soon as a proxy or voting letter has been used it shall be filed with the proceedings in the matter.

368/1931
120. No person shall be appointed a general or special proxy who is a minor.

368/1931
121.-(1) Not more than two months before declaring a dividend, the trustee shall give notice of his intention to do so to the Official Receiver (who shall forthwith gazette the same) and to such of the creditors mentioned in the bankrupt’s statement of affairs as have not proved their debts. Such notice shall specify the latest date up to which proofs must be lodged, which shall not be less than fourteen days from the date of such notice.

(2) Where application is made against a decision in respect of a proof, and notice thereof is given to the trustee, the trustee shall make provision for the dividend upon such proof and the probable costs of the application in the event of the proof being admitted. Where no such application is made within the prescribed time, the trustee shall exclude all proofs which have been rejected from participation in the dividend.

(3) Immediately after the expiration of the time for applying against his decision the trustee shall proceed to declare a dividend, and shall give notice to the Official Receiver (who shall gazette the same) and send notice of dividend to each creditor whose proof has been admitted, accompanied by a statement showing the position of the estate.

(4) If it becomes necessary in the opinion of the trustee and the committee of inspection to postpone the declaration of the dividend beyond the prescribed limit of two months, the trustee shall give a fresh notice to the Official Receiver, who shall gazette the same forthwith; but it shall not be necessary for the trustee to give a fresh notice to such of the creditors mentioned in the bankrupt’s statement of affairs as have not proved their debts. In all other respects the same procedure shall follow the fresh notice as would have followed the original one.

368/1931
122. Subject to the provisions of section 70 of the Bills of Exchange Law, Cap. 189, and subject to the power of the Court in any other case on. special grounds to order production to be dispensed with, every bill of exchange, promissory note, or other negotiable instrument or security upon which proof has been made, shall be exhibited to the trustee before payment of dividend thereon, and the amount of dividend paid shall he indorsed on the instrument.

368/1931
123.-(1) Notice of every application made by the trustee under section 52 of the Law shall be given to the bankrupt.

(2) When the application is under section 52 (1) of the Law, .a copy of the proceedings on the application and of the proposed order shall be sent by the Registrar to the chief officer of the department under which the pay or salary is enjoyed, and the application shall stand adjourned until his written reply is obtained.

(3) When the application is under section 52 (2) of the Law, the trustee shall also give notice thereof to the chief of the department or other person under whom the salary, income, half-pay, pension or compensation is enjoyed, and the order made on the application shall be binding on such chief of department or other person as if he were a party to ‘the proceedings.

368/1931
124.-(1) Where since the making of any order under section 52 of the Law the salary or other income of the bankrupt shall have increased, the trustee may apply to the Court to raise the amount ordered to be paid; and where it shall have decreased, the bankrupt may apply to the Court to rescind the order or to reduce the amount.

(2) The provisions of rule 123 shall apply to applications under this rule.

368/1931
125.-(1) A lease may be disclaimed without the leave of the Court in any of the following cases, namely :-

(a) where the bankrupt has not sub-let the demised premises or any part thereof or created a mortgage or charge upon the lease; and

(i) the rent reserved and real value of the property leased, as ascertained by the property tax assessment, are less than twenty pounds per annum; or

(ii) the estate is administered under the provisions of section 103 of the Law; or

(iii) the trustee serves the lessor with notice of his intention to disclaim, and the lessor does not within seven days after the receipt of such notice give notice to the trustee requiring the matter to be brought before the Court;

(b) where the bankrupt has sub-let the demised premises or created a mortgage or charge upon the lease, and the trustee serves the lessor and the sub-lessee or the mortgagees with notice of his intention to disclaim, and neither the lessor nor the sub-lessee or the mortgagees, or any of them, within fourteen days after the receipt of such notice require or requires the matter to be brought before the Court.

(2) Except as provided by this rule the disclaimer of a lease without the leave of the Court shall be void.

(3) Where the trustee disclaims a leasehold ‘interest be shall forthwith file the disclaimer with the proceedings in the Court and the disclaimer shall contain particulars of the interest disclaimed, and a statement of the persons to whom’ notice of the disclaimer has been given. Until the disclaimer is filed by the trustee it shall be inoperative.

(4) A disclaimer made without the leave of the Court under this rule shall not be void or otherwise affected on the ground only that the notice required by this rule has not been given to some person who claims to be interested in the demised property.

(5) Where any person claims to be interested in any part of the property of the bankrupt burdened with onerous covenants, he shall, at the request of the Official Receiver or trustee, furnish a statement of the interest so claimed by him.

368/1931
126.-(1) A bankruptcy petition against, or bankruptcy notice to, any debtor to any company or co-partnership duly authorized to sue and be sued in the name of a public officer or agent of such company or co-partnership, may he presented by or sued out by such public officer or agent as the nominal petitioner for and on behalf of such company or co-partnership, on such public officer or agent filing an affidavit stating that he is such public officer or agent, and that he is authorized to present or sue out such petition or bankruptcy notice.

(2) A bankruptcy petition against or bankruptcy notice to any debtor to a limited company, or other corporation may be presented or sued out by any officer thereof duly authorized in that behalf on his filing an affidavit stating that he is such officer, and that he is duly authorized to present the petition or ‘sue out the notice.

368/1931
127.-(1) Where any notice, declaration, petition, or other document requiring attestation is signed by a firm of creditors or debtors in the firm name, the partner signing for the firm shall add also his own signature, e.g., “Brown and Co., by James Green, a general partner in the said firm.”

(2) Such notice, declaration, petition, or other document shall be accompanied by a statement of the names and addresses of the partners as ‘registered’ under the Partnership Law, Cap. 196, at the date of the presentation ‘of such notice, declaration, petition, or other -document, and by a copy of the Gazette in which the statement sent to the Registrar of Partnerships was published ‘pursuant to section 55 of the said Law. If such names are not so registered, the true names and addresses of all the partners in the firm shall be stated to-the best of the information and belief of the person filing the notice, declaration, petition, or other document.

(3) The provisions of this rule shall also apply, so far as practicable, to any person carrying on business in a name or style other than his own.

368/1931
128. Any notice or petition for which personal service is necessary shall be deemed to be duly served on all the members of a firm if it is served at the principal place of business of the firm in Cyprus on any person having at the time of service the control or management of the partnership business there, or Upon any one or more of the general partners.

368/1931
129. The provisions of the last preceding rule shall so far as the nature of the case will admit apply in the case of any person carrying on business within the jurisdiction in a name or style other than his own.

368/1931
130. A declaration or petition signed in the firm name shall be accompanied by an affidavit made by the partner who signs the declaration or petition showing that all the general partners concur in the filing of the same.

368/1931
131. A receiving order made against a firm shall operate as if it were a receiving order made against each of the persons who at the date of the order is a general partner in the firm. Where such an order is made the general partners shall submit a statement of their partnership affairs, and each one of such partners shall submit a statement of his separate affairs.

368/1931
132. No order of adjudication shall be made against a firm in the firm name, but it shall be made against the general partners individually.

368/1931
133. The foregoing rules numbered 127 to 132 shall apply equally to limited partnerships registered as such under the Partnership Law, Cap. 196:

Provided that any act to be done or suffered by a partner under the said rules shall be done or suffered by a general partner of the limited partnership. With this proviso the rules hereafter numbered 136 to 141 shall also apply to such limited partnerships.

368/1931
134. Where a receiving order is made against a limited partnership ay past or present limited partner shall have the same rights as a creditor who has proved his debt would have to inspect the file, to attend meetings of creditors, and to appear on, and take part in, the public examination of, or any application for an order of discharge by, any general partner.

368/1931
135. The assets of a limited partnership which, by section 105 of the Law, are to vest in the trustee in the event of all the general partners being adjudged ban1rupt shall include the liability (if any) of the limited partners, and past general partners, to contribute to the assets of the limited partnership, and such liability may be enforced by the trustee by application in the bankruptcy, but subject to the regulations following :-

(a) no present or past limited partner shall be liable to contribute as such to the assets of the limited partnership to any greater amount than the amount of any part of his contribution as such limited partner which he may have failed to pay into, or have drawn out, or received back from the partnership assets since he became, or whilst lie remained, a limited partner, except in the case of a present limited partner who is a past general partner, and in the case of a past limited partner who has become a present general partner;

(b) no past general partner shall be liable to contribute, as such, to the assets of the limited partnership except in respect of partnership debts and obligations incurred whilst he continued to be a general partner; but every past general partner who has become a limited partner shall, in addition to any amount which he may be liable to contribute in respect of partnership debts and obligations incurred whilst he continued to be a general partner, be liable to contribute to the assets of the limited partnership to an amount equal to the amount of any part of his contribution, as such limited partner, which he may have failed to pay into, or have drawn out, or received back from the partnership assets since he became or whilst he remained, a limited partner;

(c) no past partner, general or limited, shall be liable to contribute, as such, to the assets of the limited partnership unless it appears to the Court that without contributions from past partners the partnership assets are insufficient for the payment in full of the partnership liabilities and the costs, charges, and expenses of the administration in bankruptcy of the partnership estate.

368/1931
136. Where a receiving order is made against a firm, the joint and separate creditors shall collectively be convened to the first meeting of creditors.

368/1931
137. The joint creditors, and each set of separate creditors, may severally accept compositions or schemes. So far as circumstances will allow, a proposal accepted by joint creditors may be approved in the prescribed manner, notwithstanding that the proposals or proposal of some or one of the debtors made to their or his separate creditors may not be accepted.

368/1931
138. Where proposals for compositions or schemes are made by a firm, and by the partners therein individually, the proposal made to the joint creditors shall he considered and voted upon by them apart from every set of separate creditors; and the proposal made to each separate set of creditors shall be considered and voted upon by such separate set of creditors apart from all other creditors. Such proposals may vary in character and amount. Where a composition or scheme is approved, the receiving order shall be discharged only so far as it relates to the estate the creditors of which have accepted the composition or scheme.

368/1931
139. On the adjudication in bankruptcy of a partnership the trustee appointed by the joint creditors, or by the Court, under section 20 (5) or section. 73 (3) of the Law, as the case may be, shall be the trustee of the separate estates. Each set of separate creditors may appoint its own committee of inspection; but if any set of separate creditors do not appoint a separate committee, the committee (if any) appointed by the joint creditors shall be deemed to have been appointed also by such separate creditors.

368/1931
140. If any two or more of the members of a partnership constitute a separate and independent firm, the creditors of such last-mentioned firm shall be deemed to be a separate set of creditors, and to be on the same footing as the separate creditors of any individual member of the firm. And where any surplus shall arise upon the administration of the assets of such separate or independent firm, the same shall be carried over to the separate estates of the partners in such separate and independent firm according to their respective rights therein.

368/1931
141. Where joint and separate estates are being administered, the remuneration of the trustee in respect to the administration of the joint estate may be fixed by the creditors, or (if duly authorized) by the committee of inspection of such joint estate, and the remuneration of the trustee in respect of the administration of any separate estate may he fixed by the creditors, or (if duly authorized) by the committee of inspection of such separate estate.

368/1931
142.-(1) Where it appears to the Court that any debtor or creditor or other person who may be affected by any proceeding under the Law or these rules is a lunatic (hereinafter called the lunatic), the Court may appoint such person as it may think fit to appear for, represent, or act for, and in the name of the lunatic, either generally, or for the purpose of any particular proceeding, or the exercise of any particular rights or powers which under the Law and these rules the lunatic might have exercised if he had been of sound mind.

(2) The appointment may be made either on an application by the Official Receiver or by some other person who appears to the Court to be a proper person to make it, or without any previous application if the Court so thinks fit.

(3) Where the application is made by the Official Receiver his report shall be received as prima facie evidence of its contents; where it is made by any other person it shall be supported by the affidavit of a registered medical practitioner, and notice shall be given to the Official Receiver and trustee (if any), and if the Court so directs to the person alleged to be a lunatic. The medical practitioner shall, if required by the Court, attend the hearing of the application and may be examined.

(4) When a person has been appointed under this rule, any notice under the Law and these rules, served on, or given to, such person shall have the same effect as if the notice had been served on, or given to the lunatic.

368/1931
143. Where an estate is ordered to be administered in a summary manner under section 103 of the Law, the provisions of the Law and these rules shall, subject to any special direction of the Court, be modified as follows, namely :-

(a) there shall be no advertisement of any proceeding in local papers unless the Court otherwise directs;

(b) the title of every document in the proceedings subsequent to the making of the order for summary administration shall have inserted thereon the words “Summary Case”;

(c) if no proposal for a composition or scheme is lodged with the Official Receiver within the time specified for that purpose in section. 17 of the Law, or within such time thereafter as the Official Receiver may fix, or if the Court is satisfied that the debtor has absconded, or that he does not intend to propose a composition or scheme, or that his proposal is not reasonable or calculated to benefit the general body of creditors, or has not been accepted by them, the Court may forthwith adjudge the debtor bankrupt. A report by the Official Receiver under this paragraph shall be prima facie evidence of its contents;

(d) if during or at the conclusion of the public examination of the debtor it appears to the Court that a composition or scheme ought not to be sanctioned by reason of the conduct of the debtor, the Court may forthwith adjudge the debtor bankrupt;

(e) the first meeting of creditors may, where it is expedient, be held on the day appointed for the public examination, or on any other day fixed by the Official Receiver. If a quorum of creditors be not present, it shall not be necessary to adjourn the meeting;

(f) meetings of creditors shall, unless the Official Receiver for special reasons otherwise determines, he held in the town or place in which the Court usually holds its sittings, or in which the Official Receiver has his office;

(g) on an application by a bankrupt for his discharge the certificate of the Official Receiver shall not include, nor shall notices be sent to, creditors whose debts do not exceed two pounds;

(h) notices of meetings, other than of first meetings, or of sittings of the Court, shall only be sent to creditors whose debts or claims exceed the sum of two pounds;

(i) the time mentioned in section 58 (2) of the Law may, at the discretion V of the Official Receiver, be extended to six months;

(j) the estate shall be realized with all reasonable despatch, and where practicable distributed in a single dividend when realized;

(k) the costs or charges, payable out of the estate; of any person other than of an advocate may be paid and allowed without taxation by the Official Receiver if he so thinks fit.

368/1931
144. Where an administration order under section 107 of the Law is made, such order shall be gazetted and advertised in the same manner as an order of adjudication.

368/1931
145.-(1) A petition presented under section 107 of the Law shall, unless the Court otherwise directs, be served on each executor who has proved the will, or, as the case may be, on each person who has taken out letters of administration. If there is no executor or administrator the Court may order the petition to be served on any other person whom it thinks fit.

(2) Service shall be proved in the same way as is provided in the case of an ordinary creditor’s petition, and the petition shall be heard in the like manner.

368/1931
146. When an administration order under section 107 of the Law has been made, it shall be the duty of the executor or administrator to lodge with the Official Receiver forthwith in duplicate an account of the dealings with, and administration of (if any), the deceased’s estate by such executor or administrator, and such executor or administrator shall also furnish forthwith in duplicate a list of the creditors, and a statement of the assets and liabilities, and such other particulars of the affairs of the deceased as may be required by the Official Receiver. Every account, list, and statement to be made under this rule shall be verified by affidavit.

The expenses incident to submitting any account, list, and statement under this rule shall be allowed out of the estate, unless the Court otherwise directs.

368/1931
147. In any case in which an administration order under section 107 of the Law has been made, and it appears to the Court on the report of the Official Receiver that no executor or administrator exists, the account, list, and statement mentioned in the last preceding rule shall be made, verified, and lodged by such person as in the Court’s opinion, upon such report, may have taken upon himself the administration of, or may otherwise have intermeddled with, the property of the deceased, or any part thereof.

368/1931
PART IV OFFICIAL RECEIVERS, TRUSTEES, GAZETTING, REGISTRARS’BOOKS AND RETURNS, ACCOUNTS AND AUDIT
148. Any person appointed under section 67 (3) of the Law to discharge the duties of the Official Receiver during his absence shall, during his tenure of office, have all the status, rights, and powers, and be subject to all the liabilities of an Official Receiver.

368/1931
149. When an Official Receiver is removed, dies, or retires, all estates, rights, and powers vested in him shall, without any conveyance or transfer, vest in such Official Receiver as may be appointed in his place.

368/1931
150.-(1) As soon as the Official Receiver receives a copy of a receiving order made against a debtor, he shall furnish the debtor with a copy or instructions for the preparation of his statement of affairs.

(2) The Official Receiver shall also forthwith hold a personal interview with the debtor for the purpose of investigating his affairs and determining whether the estate should be administered under section 103 of the Law.

(3) It shall be the duty of the debtor to attend on the Official Receiver at his office or at such other place, and at such time or times as the Official Receiver may appoint.

368/1931
151. Subject to any general or special directions which the Court may give, the Official Receiver, while in the possession of a debtor’s property, may make him such allowance out of his property for the support of himself and his family as may be just. In fixing the amount of such allowance the assistance rendered by the debtor in the management of his business or affairs may be taken into account.

368/1931
152. Whenever, under the powers given by section 70 of the Law, the Official Receiver employs any person to assist the debtor in the preparation of his statement of affairs, he shall forthwith report the matter by letter to the Court, justifying his action therein and specifying the remuneration to be allowed to such person.

368/1931
153. Where an Official Receiver who holds any proxies cannot conveniently attend any meeting of creditors at which such proxies might be used, he may depute some person in his employment or under his official control, or some officer of the Court, or some other fit and proper person, by writing under his hand, to attend such meeting and use such proxies on his behalf, and in such manner as he may direct.

368/1931
154. In any case of sudden emergency, where there is no Official Receiver capable of acting, any act or thing required or authorized to be done by an Official Receiver may be done by the Registrar.

368/1931
155. When the Official Receiver appoints a special manager he may at any time remove him if his employment seems unnecessary or unprofitable to the estate, and he shall remove him if so required by a special resolution of the creditors.

368/1931
156. Save where the Law or these rules otherwise provide, applications by the Official Receiver to the Court may be made personally and without notice or other formality; but the Court may direct notice to be given to any person likely to be affected by the application.

368/1931
157. In any case of doubt or difficulty or in any matter not provided for by the Law or these rules relating to any proceeding in Court the Official Receiver may apply to the Court for directions.

368/1931
158. Where a debtor against whom a receiving order has been made has no available assets, the Official Receiver shall not be required to incur any expense in relation to his estate without the express directions of the Accountant-General.

368/1931
159.-(1) Where a composition or scheme is sanctioned by the Court the Official Receiver shall account to the debtor, or, as the case may be, to the trustee under the composition or scheme.

(2) Where a debtor is adjudged bankrupt, and a trustee is appointed, the Official Receiver shall account to the trustee in the bankruptcy.

(3) If the debtor, or, as the case may be, the trustee, is dissatisfied with the account or any part thereof, he may report the matter to the auditor who shall take such action (if any) thereon as he may deem expedient. The debtor or trustee complaining shall file a copy of his complaint in Court, and the auditor shall send a copy of his report on the matter to the Court.

368/1931
160. The provisions of this part of these rules as to trustees and their accounts shall not apply to the Official Receiver when acting as trustee, but he shall account in such manner as the treasurer and the auditor may from time to time direct.

368/1931
161. The debtor shall, on the request of the Official Receiver, furnish him with trading and profit and loss accounts, and a cash and goods account for such period not exceeding two years prior to the date of the receiving order as the Official Receiver shall specify: –

Provided that the debtor shall, if ordered by the Court so to do, furnish such accounts as the Court may order for any longer period. If the debtor fails to comply with the requirements of this rule, the Official Receiver shall report such failure to the Court, and the Court shall take such action on such report as the Court shall think just.

368/1931
162. The following provisions shall apply to every case in which proceedings are taken either by action, application, or in any other manner, against any Official Receiver in respect of anything done or default made by him, when acting, or in the bona fide and reasonable belief that he is acting, in pursuance of the Law or in execution of the powers given to Official Receivers by the Law:-

(a) subject to the provisions of the next following paragraph, the costs, damages, and expenses which the Official Receiver may have to pay, or to which he may be put under such proceedings, shall be paid out of the estate of the debtor;

(b) as soon as any such proceedings are commenced it shall be the duty of the Official Receiver to report the same to the Attorney-General, who shall determine whether or not such proceedings shall be resisted or defended;

(e) the Official Receiver shall not, unless the Court shall otherwise order, be entitled to be paid out of the estate any costs or expenses which he may have to pay or bear in consequence of resisting or defending any such proceedings, unless the Attorney-General has determined that such proceedings shall be resisted or defended;

(d) if such proceedings are commenced before the appointment of a trustee by the creditors, or before the approval of a composition or scheme, the Official Receiver may, before putting the trustee appointed by the creditors, or in the case of a composition or scheme the debtor or the trustee thereunder, into possession of the debtor’s property, retain the whole or some part of the debtor’s estate according as the Attorney-General shall in each case direct, to meet the damages, costs, or expenses which the Official Receiver may have to pay or bear in consequence of the said proceedings. If such proceedings are commenced after the appointment of a trustee by the creditors, or after the approval of a composition or scheme, the Official Receiver shall forthwith give notice of such proceedings to the trustee, or other person in whom the estate of the debtor may be vested (including where necessary the debtor himself), and the estate of the debtor shall, as from the date of such notice, he deemed to he charged with the payment of the said damages, costs, and expenses.

368/1931
163. When the appointment of a trustee is certified notice of his appointment shall forthwith be gazetted and advertised by the Official Receiver.

368/1931
164. Where the debtor or a creditor objects to the appointment of a trustee, the Registrar shall fix a time for the hearing of the matter. At the hearing the person objected to, and every creditor shall be entitled to be heard.

368/1931
165. It shall be a sufficient reason for refusing to certify the appointment of a person as trustee that in any other proceeding under the Law such person has either been removed under section 86 (2) of the Law from the office of trustee, or has failed or neglected, without good cause shown by him, to render his accounts for audit for one month after the date by which the same should have been rendered.

368/1931
166. Where a trustee is removed, notice shall forthwith be given to the Registrar and to the Official Receiver, who shall gazette and advertise the same.

368/1931
167. A trustee intending to resign his office shall call a meeting of creditors to consider whether his resignation shall be accepted or not, and shall give not less than seven days’ notice of the meeting to the Official Receiver.

368/1931
168. In any case in which, under the provisions of section 20 (5) or section 73 (3) of the Law, the Court appoints a trustee, the trustee shall receive out of the estate such remuneration as the Court shall determine.

368/1931
169. The order granting a trustee his release shall be gazetted and advertised by the Official Receiver. But such order shall not be signed or delivered out unless and until the trustee has delivered over to the Official Receiver all the books, papers, documents, and accounts.

368/1931
170. Where one-sixth in value of the creditors desire that a general meeting of the creditors may be summoned to consider the propriety of removing the trustee, such meeting may be summoned by a member of the committee of inspection, or by the Official Receiver on the deposit of a sum sufficient to defray the expenses of the meeting.

368/1931
171. The trustee shall not make any payments out of the estate except with the concurrence of the Official Receiver. Every cheque or other authority for such payment shall be made out by the trustee and signed by him, and be submitted to the Official Receiver for approval and countersignature; and no payment shall be made on any such cheque or other authority unless it bears the countersignature of the Official Receiver. A memorandum of all payments authorized to be made shall forthwith be prepared by the trustee and signed by him, and when countersigned by the Official Receiver shall be filed by the latter in Court.

368/1931
172. Neither the trustee nor any member of the committee of inspection of an estate shall, while acting as trustee or member of such committee, except by leave of the Court, either directly or indirectly, by himself or any partner, clerk, agent, or servant, become purchaser of any part of the estate. Any such purchase made contrary to the provisions of this rule may be set aside by the Court on the application of the Official Receiver or any creditor.

368/1931
173.-(1) Where the trustee carries on the business of the debtor, he shall not without the express sanction of the Court purchase goods for the carrying on of such business from his employer (if any), or from any person whose connection with the trustee is of such a nature as would result in the trustee obtaining any portion of the profit (if any) arising out of the transaction.

(2) No member of a committee of inspection of an estate shall, except with the sanction of the Court, directly or indirectly, by himself or any employer, partner, clerk, agent, or servant, be entitled to derive any profit from any transaction arising out of the bankruptcy, or to receive out of the estate any payment for services rendered by him in connection with the administration of the estate, or for any goods supplied by him to the trustee for or on account of the estate. If it appears to the Official Receiver that any profit or payment has been made contrary to the provisions of this rule he may disallow such payment or recover such profit, as the case may be, on the audit of the trustee’s account.

(3) Where the sanction of the Court under this rule to a payment to a member of a committee of inspection for services rendered by him in connection with the administration of the estate is obtained, the order of the Court shall specify the nature of the services, and shall only be given where the service performed is of a special nature. No payment shall, under any circumstances, be allowed to a member of a committee for services rendered by him in the discharge of the duties attaching to his office as a member of such committee.

(4) The costs of obtaining such sanction as aforesaid shall be borne by the person in whose interest it is obtained and shall not be payable out of the debtor’s estate.

368/1931
174.-(1) Where a debtor is adjudged bankrupt, and a trustee is appointed, the Official Receiver shall forthwith put the trustee into possession of all property of the bankrupt of which the Official Receiver may be possessed; provided that such trustee shall have, before the estate is handed over to him by the Official Receiver, discharged any balance due to the Official Receiver on account of fees, costs, and charges properly incurred by him and payable under the Law, and on account of all advances properly made by him in respect of the estate, together with interest on such advances at the rate of nine pounds per cent. per annum, and shall have discharged or undertaken to discharge all guarantees which have been properly given by the Official Receiver for the benefit of the estate; and the trustee shall pay all fees, costs, and charges of the Official Receiver which may not have been discharged by the trustee before being put into possession of the property of the bankrupt, and whether incurred before or after he has been put into such possession.

(2) The Official Receiver shall be deemed to have a lien upon the estate until such balance shall have been paid, and such guarantees and other liabilities shall have been discharged.

(3) It shall be the duty of the Official Receiver, if so requested by the trustee, to communicate to the trustee all such information respecting the bankrupt and his estate and affairs as may be necessary or conducive to the due discharge of the duties of the trustee.

368/1931
175. Where the Official Receiver is of opinion that any act done by a trustee or any resolution passed by a committee of inspection should be brought to the notice of the creditors, for the purpose of being reviewed or otherwise, the Official Receiver may summon a meeting of creditors accordingly to consider the same, and the expense of summoning such meeting shall be paid by the trustee out of any available assets under his control.

368/1931
176. Where any matter which has been gazetted, or gazetted and advertised, has been amended or altered, the Official Receiver shall re-gazette, or re-gazette and re-advertise, such matter with the necessary amendments and alterations at the expense of the estate.

368/1931
177. The Registrar shall keep books in manner directed by the Chief Justice, and the particulars given under the different heads in such books shall be entered forthwith after the proceedings shall be had. Such books shall on payment of the prescribed fee be open for public information and searches on the Registrar being satisfied as to the propriety of the object for which such search is required. The Registrar’s refusal shall he subject to appeal to the Court, whose decision in the matter shall be final.

368/1931
178. The Registrar shall make such returns in bankruptcy as the Chief Justice may direct.

368/1931
179. The Official Receiver, until a trustee is appointed, and thereafter the trustee, shall keep a book to be called the “Record Book,” in which he shall record all minutes, all proceedings had, and resolutions passed at any meeting of creditors, or of the committee of inspection, and all such matters as may be necessary to give a correct view of his administration of the estate, but he shall not be bound to insert in the record any document of a confidential nature (such as the opinion of counsel on any matter affecting the interest of the creditors), nor need he exhibit such document to any person other than a member of the committee of inspection.

368/1931
180. The Official Receiver, until a trustee is appointed, and thereafter the trustee, shall keep a book to be called the “Cash Book “in which be shall enter from day to day the receipts and payments made by him.

368/1931
181. The trustee shall forward his accounts to the Official Receiver in duplicate. If found correct, the Official Receiver shall pass them, and one copy of the accounts as passed by him shall be sent to the Registrar to file with the proceedings in the bankruptcy.

368/1931
182. Upon a trustee resigning, or being released or removed from his office, he shall deliver over to the Official Receiver, or, as the case may be, to the new trustee, all books kept by him, and all other books, documents, papers, and accounts, in his possession relating to the office of trustee.

368/1931
183. Where a receiving order has been made against debtors in partnership, distinct accounts shall be kept of the joint estate and of the separate estate or estates, and no transfer of a surplus from a separate estate to the joint estate, on the ground that there are no creditors under such separate estate, shall be made until notice of the intention to make such transfer has been gazetted and advertised.

368/1931
184. Where there is no committee of inspection any functions of the committee of inspection which devolve on the Court may, subject to the directions of the Court, be exercised by the Official Receiver.

368/1931
PART V MISCELLANEOUS
185. No person shall, as against the Official Receiver or trustee, be entitled to withhold possession of the books of accounts belonging to the debtor or to set up any lien thereon.

368/1931
186. The Court may, on the application of the Official Receiver, direct that the debtor’s books of account and other documents given up by him may be sold, destroyed, or otherwise disposed of.

368/1931
187. The Court, under special circumstances and for good cause shown, may extend or abridge the time appointed by these rules or fixed by any order of the Court for doing any act or taking any proceeding. Where any direction is made under this rule, it shall not be necessary, unless the Court directs the contrary, that such direction should be drawn up in the form of an order, but it shall be sufficient if the Registrar marks any document or process affected thereby in red ink accordingly.

368/1931
188. Where no provision is made in these rules in regard to any matter arising out of bankruptcy proceedings, the Rules of Court governing civil proceedings shall, in so far as they are not repugnant to these rules, apply to such matter.

Leave a Reply

Your email address will not be published. Required fields are marked *