Bankruptcy Act · 2021 Revised Edition · Part 7
112. Administration in bankruptcy of estate of person dying insolvent
Official textFrom Attorney General's Chambers, unchanged
Any creditor of a deceased debtor whose debt would have been sufficient to support a bankruptcy petition against the debtor, had he been alive, may present to the Court a petition in the prescribed form praying for an order for the administration in bankruptcy of the estate of the deceased debtor according to the law of bankruptcy.
The petition shall be served on the legal personal representative of the deceased debtor or, if there is none ill Brunei Darussalam, on the
Probate Officer and the Court may in the prescribed manner, upon proof of the petitioner's debt, unless the Court is satisfied that there is a reasonable probability that the estate will be sufficient for the payment of the debts owing by the deceased, make an order for the administration in bankruptcy of the deceased debtor's estate or may upon cause shown dismiss the petition with or without costs.
prescribed
"prescribed" means prescribed by general rules within the meaning of this Act;
A petition for administration in bankruptcy under this section shall not be presented to the Court after proceedings have been commenced under any written law for the administration of the deceased debtor's estate but the Court may, when satisfied that the estate is insufficient to pay its debts, make an order for the administration in bankruptcy of the estate of the deceased debtor and the like consequences shall ensue as under an administration order made on the petition of a creditor.
Upon an order being made for the administration in bankruptcy of a deceased debtor's estate, the property of the debtor shall vest in the
property
"property" includes money, goods, things in action, land and every description of property, whether real or personal and whether situate in Brunei Darussalam or elsewhere, also obligations, easements and every description of estate, interest and profit, present or future, vested or contingent, arising out of or incident to property as above defined;
Official Receiver as trustee thereof and he shall forthwith proceed to realise and distribute it in accordance with the provisions of this Act:
Provided that the creditors shall have the same powers as to appointment of trustees and committees of inspection as they have in other cases where the estate of a debtor is being administered or dealt with in bankruptcy, and the provisions of this Act relating to trustees and committees of inspection shall apply to trustees and committees of inspection appointed under the power so conferred. If no committee of inspection is appointed, any act or thing or any direction or permission which might have been done or given by a committee of inspection may be done or given by the Court.
With the modifications hereinafter mentioned, all the provisions of Part 3 (relating to the administration of the property of a bankrupt) and, subject to any modification that may be made therein by general rules under subsection (1 0) -
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section 29 (which relates to inquiries as to the debtor's conduct, dealings and property) and section 86 (which relates to the costs of trustees, managers and other persons), so far as the same are applicable, apply to the case of an administration order under this section in like manner as to an order of adjudication under this Act;
and
section 40 applies as if for the reference to an order of adjudication there were substituted a reference to an administration order under this section.
In the administration of the property of the deceased debtor under an order of administration, the Official Receiver or trustee shall have regard to any claim by the legal personal representative of the deceased debtor to payment of the proper funeral and testamentary expenses incurred by him in and about the debtor's estate and such claims -
is deemed a preferential debt under the order; and
notwithstanding anything to the contrary in the provisions of this Act relating to the priority of other debts, is payable in full out of the debtor's estate in priority to all other debts.
If on the administration of a deceased debtor's estate any surplus remains in the hands of the Official Receiver or trustee after payment in full of all the debts due from the debtor together with the costs of the administration and interest as provided by this Act in case of bankruptcy, such surplus shall be paid over to the legal personal representative of the deceased debtor's estate, or failing such representative, to the Probate
Officer.
Service on the legal personal representative of a deceased debtor or on the Probate Officer of a petition under this section, in the event of an order for administration being made thereon, is deemed to be equivalent to notice of an act of bankruptcy; and
after such service no payment or transfer of property made by the legal personal representative shall operate as a discharge to him as between himself and the Official Receiver or trustee;
save as mentioned in paragraph (b), nothing in this section shall invalidate any payment made or any act or thing done in good
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faith by the legal personal representative before the date of the order for administration.
A petition for the administration of the estate of a deceased debtor under this section may be presented by the legal personal representative of the debtor or by the Probate Officer;
where a petition is so presented by such a representative or by the Probate Officer, this section applies subject to such modifications as may be prescribed by general rules made under subsection (1 0).
General rules for carrying into effect the provisions of this section may be made in the same manner and to the like effect and extent as in bankruptcy.
General rules
Terms defined in s 2
prescribed
Defined · s 2"prescribed" means prescribed by general rules within the meaning of this Act;
property
Defined · s 2"property" includes money, goods, things in action, land and every description of property, whether real or personal and whether situate in Brunei Darussalam or elsewhere, also obligations, easements and every description of estate, interest and profit, present or future, vested or contingent, arising out of or incident to property as above defined;
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