380
THE NEW ZEALAND GAZETTE.
[No. 21

jurisdiction in the bankruptcy in which the order of discharge is granted if the amount of such judgment is within its jurisdiction, if not, in the Supreme Court.

134. An application by the Official Assignee for leave to issue execution on a judgment under subsection (d) of section 127 of the Act shall be in writing, and shall state shortly the grounds on which the application is made. When the application is lodged the Registrar shall fix a day for the hearing.

135. The Assignee shall give notice of the application to the judgment debtor not less than eight days before the day appointed for the hearing, and shall at the same time furnish him with a copy of the application.

136. Where a bankrupt is discharged subject to the condition that judgment shall be entered against him under section 127 of the Act, or subject to any other condition as to his after-acquired property, it shall be his duty, until such judgment or condition is satisfied, from time to time to give the Official Assignee such information as he may require with respect to his after-acquired property, and not less than once a year to lodge with the Assignee a statement showing the particulars of any property or income he may have acquired subsequent to his discharge.

Annulling of Adjudication.

137. The order of the Court annulling an adjudication shall not relieve the Assignee from the liability to have his accounts of his receipts and payments (if any) up to the date of such order audited by the Audit Office, as provided by section 149 of the Act.

Joint and Separate Estates.

138. Where an order of adjudication is made against a firm, the joint and separate creditors shall collectively be convened to the first meeting of creditors.

139. At the first meeting, or any adjournment thereof, the joint creditors and each set of separate creditors may severally entertain proposals for compositions under section 118 of the Act. So far as circumstances will allow, a proposal entertained by joint creditors may be confirmed and 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 entertained, confirmed, and approved.

140. Where proposals for compositions are made by a firm and by the partners therein individually, the proposal made to the joint creditors shall be 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 is approved the order of adjudication shall be rescinded only so far as it relates to the estate the creditors of which have confirmed the composition.

141. On the adjudication in bankruptcy of a partnership each set of separate creditors may appoint its own supervisors, but, if any set of separate creditors do not appoint separate supervisors, the supervisors (if any) appointed by the joint creditors shall be deemed to have been appointed also by such separate creditors.

142. 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.

143. Where joint and separate estates are being administered the remuneration of the supervisors in respect of the administration of the joint estate may be fixed by the creditors of such joint estate, and the remuneration of the supervisors in respect of the administration of any separate estate may be fixed by the creditors of such separate estate.

Composition.

144. When the creditors, pursuant to section 118, resolve to entertain a proposal for a composition, the terms of the composition shall be settled at the first meeting, or adjournments thereof. The subsequent meeting shall be held for the purpose of confirming or rejecting the composition.

145. Every resolution for a composition or instrument embodying the terms of a proposed composition which is to be submitted to the Court pursuant to section 118 of the Act shall, in addition to the other particulars required to be contained therein, specify the manner (if any) in which the payments of the composition are to be secured.

146. Where the creditors have confirmed a composition the Official Assignee may forthwith on the request of the bankrupt, or in any other case if the bankrupt does not

within three days from the date of the confirmation apply to the Court to approve of it, make an application to the Court for the approval of such composition, whether he reports in favour of it or not. The Official Assignee shall not by making such application be deemed necessarily to approve of the composition.

147. Any person other than the Official Assignee who applies to the Court to approve of a composition shall, not less than ten days before the day appointed for hearing the application, send notice of the application to the Official Assignee.

148. Whenever an application is made to the Court to approve of a composition or scheme, the Official Assignee shall, not less than seven days before the day appointed for hearing the application, send notice of the application to every creditor who has proved his debt.

149. No costs incurred by a bankrupt of or incidental to an application to approve of a composition shall be allowed out of the estate if the Court refuses to approve the composition.

150. In every case of a composition in which a trustee is not appointed to distribute such composition, or, if appointed, declines to act, or becomes incapable of acting, the Official Assignee shall be the trustee for the purpose of receiving and distributing the composition, and carrying out the terms of the composition.

151. Where a composition is sanctioned, and default is made in any payment thereunder, either by the bankrupt or the trustee (if any), no action to enforce such payment shall lie, but the remedy of any person aggrieved shall be by application to the Court.

152. Where a composition is annulled, the property of the bankrupt shall, unless the Court otherwise directs, forthwith vest in the Official Assignee, without any special order being made or necessary.

153. Where a composition is annulled, the trustee under the composition shall pay over and account for to the Official Assignee any moneys or property of the bankrupt which have come to his hands.

154. Where under any composition 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 shall think fit, direct that the amount which would be payable upon such claim if established shall be secured in such manner as the Court shall direct until the determination of the claim so disputed, and on the determination thereof the sum so secured shall be paid as the Court may direct.

155. Every person claiming to be a creditor under any composition who has not proved his debt before the approval of such composition shall lodge his proof with the trustee thereunder, if any, or, if there is no such trustee, with the Official Assignee, who shall admit or reject the same; and no creditor shall be entitled to enforce payment of any part of the sums payable under a composition unless and until he has proved his debt and his proof has been admitted.

Lunatics.

156. Where any bankrupt debtor or creditor is a lunatic not so found by inquisition, the Court may appoint such person as the Court shall think fit to do any act required by the Act or rules to be done by such bankrupt debtor or creditor.

Accounts and Audit.

157. The Official Assignee 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 supervisors, 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, or any matter affecting the interest of creditors, nor need he exhibit such document to any person other than a supervisor unless he shall think fit so to do.

158. The Official Assignee shall keep a book to be called the “Cash-book,” which shall be in such form as the Audit Office may from time to time direct, in which he shall, subject to the provisions of the rules as to trading accounts, enter from day to day the receipts and payments made by him.

159. The Assignee shall submit the Record-book and Cash-book, together with any other requisite books and vouchers, to the supervisors (if any) when required.

160. Where property forming part of a bankrupt’s estate is sold by the Assignee through an auctioneer or other agent, the gross proceeds of the sale shall be paid over by such auctioneer or agent, and the charges and expenses connected with the sale shall afterwards be paid by the Assignee to such auctioneer or agent.

Miscellaneous.

161. Applications by the Official Assignee to the Court may be made personally.