[F110Duty to notify existence of concurrent proceedings for sequestration or analogous remedyS
(1)If, in the course of sequestration proceedings (referred to in this section and in section 10A of this Act as the “instant proceedings”)—
(a)a petitioner for sequestration;
(b)the debtor; or
(c)a creditor concurring in a debtor application,
is, or becomes, aware of any of the circumstances mentioned in subsection (2) below, he shall as soon as possible take the action mentioned in subsection (3) below.
(2)Those circumstances are that, notwithstanding the instant proceedings—
(a)a petition for sequestration of the debtor's estate is before a sheriff or such sequestration has been awarded;
(b)a debtor application has been made in relation to the debtor's estate or sequestration has been awarded by virtue of such an application;
(c)a petition for the appointment of a judicial factor on the debtor's estate is before a court or such a judicial factor has been appointed;
(d)a petition is before a court for the winding up of the debtor under Part IV or V of the Insolvency Act 1986 (c. 45) or section 372 of the Financial Services and Markets Act 2000 (c. 8); or
(e)an application for an analogous remedy in respect of the debtor's estate is proceeding or such an analogous remedy is in force.
(3)The action referred to in subsection (1) above is—
(a)in a case where the instant proceedings are by petition for sequestration, to notify the sheriff to whom that petition was presented; and
(b)in a case where the instant proceedings are by debtor application, to notify the Accountant in Bankruptcy,
of the circumstance referred to in subsection (2) above.
(4)If a petitioner fails to comply with subsection (1) above, he may be made liable for the expenses of presenting the petition for sequestration.
(5)If a creditor concurring in a debtor application fails to comply with subsection (1) above, he may be made liable for the expenses of making the debtor application.
(6)If a debtor fails to comply with subsection (1) above, he shall be guilty of an offence and liable, on summary conviction, to a fine not exceeding level 5 on the standard scale.
(7)In this section and in section 10A of this Act “analogous remedy” means a bankruptcy order under the Bankruptcy Act 1914 (c. 59) or an individual voluntary arrangement or bankruptcy order under the Insolvency Act 1986 (c. 45) or an administration order under section 112 of the County Courts Act 1984 (c. 28) in England and Wales or under any enactment having the like effect in Northern Ireland or a remedy analogous to any of the aforesaid remedies, or to sequestration, in any other country (including England, Wales and Northern Ireland).]
Textual Amendments
F1Ss. 10, 10A substituted (1.4.2008) for s. 10 by Bankruptcy and Diligence etc. (Scotland) Act 2007 (asp 3), ss. 36, 227(3), Sch. 1 para. 8 (with s. 223); S.S.I. 2008/115, art. 3(1)(i) (with arts. 4-6, 10 (as amended (with effect from 31.1.2011) by S.S.I. 2011/31, art. 5))