Insolvency Act 1967

Before its repeal, this Act was administered by: Ministry of Justice
  • repealed
  • Insolvency Act 1967: repealed, on 3 December 2007, by section 443(1) of the Insolvency Act 2006 (2006 No 55)

Reprint as at 24 November 2009

Insolvency Act 1967

Public Act1967 No 54
Date of assent22 November 1967

  • Insolvency Act 1967: repealed, on 3 December 2007, by section 443(1) of the Insolvency Act 2006 (2006 No 55).

Note

Changes authorised by section 17C of the Acts and Regulations Publication Act 1989 have been made in this eprint.

A general outline of these changes is set out in the notes at the end of this eprint, together with other explanatory material about this eprint.

The Insolvency Act 1967 is administered in the Ministry of Justice.

Contents

Title

1 Short Title and commencement

2 Interpretation

3 Rights and powers under other Acts not affected

4 Act to bind Crown

Part 1
The Court in bankruptcy

5 Jurisdiction and powers of Court

6 Powers of Registrars and District Court Judges

7 Questions of fact may be tried before jury

8 Rehearings and appeals

9 Effect of appeal

10 Court may extend time

11 Proceedings not annulled by defects

12 Solicitors' costs

13 Power to make rules

14 Regulations

Part 2
The Official Assignee

15 Appointment of Official Assignee for New Zealand, etc

16 Assignee may act on behalf of another Assignee

17 Office and name of Assignee

18 Vacation of office

Part 3
Proceedings up to adjudication

19 Acts of bankruptcy

20 Bankruptcy notice

21 Petition by debtor

22 Debtors' joint petition

23 Petition by creditor

24 Restrictions on execution

25 Where petitioner is a secured creditor

26 Court's power on creditor's petition

27 Court may appoint Assignee as receiver

28 Date of adjudication

28A Date of adjudication to be recorded

29 Registrar to give notice of adjudication to Assignee

30 Order of adjudication to be final

Part 4
Proceedings consequent on adjudication

31 Assignee to advertise adjudication

32 Effect of adjudication on Court proceedings

33 Assignee to send notice to bankrupt

Meetings of creditors

34 First meeting of creditors

34A Assignee may dispense with first meeting of creditors

35 Particulars to be supplied by Assignee

36 Further meetings

37 Conduct of meetings

38 Quorum at meetings

39 Representation at meetings

40 Voting at meetings

41 Appointment of expert or committee to assist Assignee

Part 5
Property of bankrupt

42 Property passing to Assignee and commencement of bankruptcy

43 Loans by wife to husband, and by husband to wife [Repealed]

44 Restrictions on bankrupt dealing with property

45 Assignee may require bankrupt to contribute towards payment of debts

45A Court may order that money due to bankrupt be assigned to Assignee

45B Application of section 104 to payments by bankrupt or assignments by Court

46 Onus of proof in connection with default in payment

47 Protection of certain transactions against relation back

48 Validity of certain other transactions with bankrupt

49 Dealings with undischarged bankrupt: bank accounts

50 Rights of execution creditor and duties of Sheriff

51 Assignment of money payable to dairy farmer in respect of sales of milk

52 Bankrupt allowed to retain furniture, tools of trade, etc

53 Assignee may make allowance to bankrupt

54 Voidable gifts

55 Proceedings where bankrupt has improved property of another person

56 Voidable preferences

57 Voidable securities

58 Assignee may recover property or value thereof

Second bankruptcies

59 Procedure on second bankruptcy

Part 6
Control over person and property of debtor

60 General duties of bankrupt

61 Bankrupt to give up books, etc, to Assignee and to make out statement of financial position, etc

62 Prohibition of bankrupt entering business

63 Court may order debtor to be arrested

64 Court may order debtor's property to be seized

65 Seizure of bankrupt's property

66 Bankrupt refusing to quit tenement

67 Redirection to Assignee of letters of bankrupt

68 Assignee may examine persons respecting bankrupt or his property

68A Assignee may obtain documents

69 If Assignee or creditors desire it, bankrupt to be publicly examined

70 Privilege and representation of witnesses

Part 7
Administration of bankrupt's estate

71 Assignee's general powers

72 Power of Assignee to sell

73 No lien over bankrupt's books, etc

74 Assignee may exercise bankrupt's right to transfer stock, etc

75 Disclaimer of onerous property other than shares

76 Termination of contracts

77 Termination of a contract otherwise than by Assignee

78 Disclaimer of liability under shares

79 Liability for rentcharge on bankrupt's land after disclaimer

80 Assignee's duties in respect of land subject to a mortgage

81 Banking and investment of money received by Assignee

82 Bankruptcies involving partnerships

83 Bankruptcy discharges liability of bankrupt and certain employees

84 Discretion of Assignee

85 Assignee may obtain directions of Court

86 Appeal from decision of Assignee

Part 8
Proofs of debt

87 Provable debts

88 Creditors to prove upon adjudication

89 Assignee to examine proofs and admit or reject

90 Proof by secured creditors

91 Goods on hire purchase

92 Trade discounts

93 Set-off

93A Definitions relating to set-off under netting agreement

93B Application of set-off under netting agreement

93C Calculation of netted balance

93D Mutuality required for transactions under bilateral netting agreements

93E When mutuality required for transactions under recognised multilateral netting agreements

93F Application of set-off under section 93 to transactions subject to netting agreements

93G Transactions under netting agreement and voidable preferences

93H Set-off under netting agreement not affected by notice under section 58

93I Disclaimer of onerous property and termination of netting agreement not permitted

94 Interest

95 Debt payable at future time

96 Debt owing on invalid security

97 Bankrupt liable as a member of several firms

98 Assignee to estimate value of contingent debt

99 Appeal against estimate of value

100 Right of judgment creditor to prove for costs

101 When company may prove for unpaid calls

102 Saving of provisions of Companies Acts

103 When a surety for bankrupt may prove

Part 9
Distribution of assets

104 Priorities

105 Assignee to declare dividends as soon as possible

106 Rights of creditors of joint debtor

Part 10
Discharge

107 Discharge of bankrupt

108 Bankrupt may apply for discharge

109 Examination of bankrupt concerning his discharge

110 Court may grant or refuse discharge

111 Court may order bankrupt not to engage in business after discharge

112 Court may reverse order of discharge

113 Absolute discharge where failure to comply with conditions

114 Debts from which discharge releases bankrupt

115 Discharge conclusive evidence of bankruptcy

116 Discharge not to release partners, co-trustees, etc

117 Discharged bankrupt to assist Assignee

118 Publication of information regarding bankrupt's discharge

Part 11
Annulment

119 When Court may annul adjudication

120 Effect of annulment

Part 12
Composition during bankruptcy

121 Composition with creditors

122 Approval of compositions by Court

123 Deed of composition

124 Enforcement of composition

125 General provisions affecting compositions

Part 13
Offences

126 Crimes by bankrupt

127 Failure to keep proper books of account

128 Summary offences

128A Offences by undischarged bankrupts in relation to management of companies

129 When Assignee's duty to prosecute

Part 14
Miscellaneous provisions affecting bankruptcy

130 Bankrupt a contractor jointly with other persons

131 Right to inspect documents

132 Assignees to keep proper books of account

132A Auditor-General may audit Assignee's accounts

133 Assignee to apply for order of release

134 Surplus to be paid to Public Trust

135 High Court to act in aid of overseas Courts

136 Power of Assignee to return or destroy books

137 Where bankrupt dies after adjudication

138 Protection of Assignee

Part 15
Proposals

139 Interpretation

140 Proposals

141 Provisional trustee

142 Meeting of creditors

143 Approval of proposal by Court

144 Effect of approval by Court and duty of trustee

145 Cancellation or variation of proposal

Part 16
Summary instalment orders

146 Power to make summary instalment orders

147 Notice of order and proof of debt

148 Effect of summary instalment order

149 Disbursement of money paid by debtor

150 Default under summary instalment order

151 Offence in respect of obtaining credit

152 Rules

Part 17
Administration of insolvent deceased estates

153 Interpretation

154 Applications to administer under this Part

155 Application by creditor or beneficiary

156 Notice of application under section 155

157 Jurisdiction of Court

158 Court may order estate to be administered by Official Assignee or Public Trust

159 Effect of such an order

160 Power of Public Trust or Maori Trustee in regard to insolvent estates

161 Court to have jurisdiction of Court in bankruptcy

162 Provisions as to administration of estates

163 Saving of acts done, etc, before order made

Part 18
Miscellaneous provisions affecting insolvency

164 False or misleading statements and refusal to answer questions

165 Documents exempt from duty [Repealed]

166 Remuneration of Assignees

166A Rates of remuneration

167 Payment of disbursements relating to certain advertisements and postages

168 Corporation, etc, not subject to Act

169 Transitional provision

170 Consequential amendments

171 Repeals and saving

Schedule
Enactments repealed

Insolvency Act 2006

Reprint notes

An Act to consolidate and amend certain enactments of the Parliament of New Zealand relating to bankruptcy and insolvency