SCHEDULES

Section 257

SCHEDULE 21 E+W Effect of bankruptcy restrictions order and undertaking

Disqualification for acting as receiver or manager E+W

1 The following shall be substituted for section 31 of the Insolvency Act 1986 (c. 45) (receiver and manager: disqualification)—

“31 Disqualification of bankrupt

(1) A person commits an offence if he acts as receiver or manager of the property of a company on behalf of debenture holders while—

(a) he is an undischarged bankrupt, or

(b) a bankruptcy restrictions order is in force in respect of him.

(2) A person guilty of an offence under subsection (1) shall be liable to imprisonment, a fine or both.

(3) This section does not apply to a receiver or manager acting under an appointment made by the court.”

Bankruptcy offences after discharge E+W

2 After section 350(3) of the Insolvency Act 1986 (c. 45) (bankruptcy offences: general: no liability after discharge) there shall be inserted—

“(3A) Subsection (3) is without prejudice to any provision of this Chapter which applies to a person in respect of whom a bankruptcy restrictions order is in force.”

3 E+W At the end of section 360 of that Act (obtaining credit and doing business) there shall be inserted—

“(5) This section applies to the bankrupt after discharge while a bankruptcy restrictions order is in force in respect of him.

(6) For the purposes of subsection (1)(a) as it applies by virtue of subsection (5), the relevant information about the status of the person in question is the information that a bankruptcy restrictions order is in force in respect of him.”

Disqualification for acting as insolvency practitioner E+W

4 At the end of section 390 of that Act (disqualification for insolvency practitioner) there shall be added—

“(5) A person is not qualified to act as an insolvency practitioner while a bankruptcy restrictions order is in force in respect of him.”

Prohibition against involvement in company E+W

5 The following shall be substituted for section 11(1) of the Company Directors Disqualification Act 1986 (c. 46) (bankrupt)—

“(1) It is an offence for a person to act as director of a company or directly or indirectly to take part in or be concerned in the promotion, formation or management of a company, without the leave of the court, at a time when—

(a) he is an undischarged bankrupt, or

(b) a bankruptcy restrictions order is in force in respect of him.”