On the bankruptcy of any person entitled to a benefit under this scheme, no part of the benefit may be paid to the person's trustee in bankruptcy or other person acting on behalf of the creditors, except as provided for in sub-paragraph (2).

Where, following the bankruptcy of any person entitled to a benefit under this scheme, the court makes an income payments order under Article 283 of the Insolvency (Northern Ireland) Order 1989 M1 that requires the scheme manager to pay all or part of the benefit to the person's trustee in bankruptcy the Department shall comply with that order.