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Insolvency Practice Rules (Bankruptcy) 2016
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Attorney-General's Department
This item is authorised by the following title:
Bankruptcy Act 1966
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F2022C00672 (C04)
05 July 2022
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Part 1—Introduction
Division 1—Introduction
1 1 Name
1 10 Authority
Division 5—Definitions
5 5 The Dictionary
5 10 What is a current registration?
5 15 Meaning of material personal interest
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Part 2—Registering and disciplining practitioners
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Division 15—Register of Trustees
15 1 Register of Trustees
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Division 20—Registering trustees
20 1 Qualifications, experience, knowledge and abilities required by applicants for registration
20 5 Conditions on registration of trustees
20 10 Prescribed amount of notified estate charges
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Division 35—Notice requirements
35 1 Events of which a registered trustee must notify the Inspector General
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Division 40—Disciplinary and other action
40 1 Industry bodies that may notify the Inspector General of grounds for disciplinary action
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Division 42—Standards for registered trustees
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Subdivision AA—Introduction
42 1 Authority
42 4 Purpose of Division
42 4A Compliance with standards by trustee’s employees
Subdivision A—Standards for registered trustees generally
42 5 Application of this Subdivision
42 10 Trustees to act honestly and impartially
42 15 Communication
42 20 Conflict of interest
42 30 Preliminary inquiries and actions
42 35 Investigations and inquiries of matters affecting an administration
42 40 Realising assets
42 45 Ownership or interests in assets
42 50 Obtaining advice about interest or value
42 55 Disposal of property
42 60 Costs incurred to be necessary and reasonable
42 65 Rate for tasks undertaken by trustee’s staff
42 70 Keeping proper records in relation to work done
42 75 Need for meeting
42 80 Matters to be considered when holding a meeting
42 85 Attendance at meetings
42 90 Verifying payments and transfers
42 95 Separate accounts and records
Subdivision B—Standards for trustees other than controlling trustees
42 120 Application of this Subdivision
42 125 Provable debts in a joint administration
42 130 Creditors’ views to be considered
42 135 Distribution of estate funds
42 140 Advice relating to dividends and administration
Subdivision C—Standards for trustees of bankrupt estates
42 170 Application of this Subdivision
42 175 Identifying assets for vesting
42 180 Protecting certain assets
42 185 Income and contribution assessment
42 190 Monitoring payment of contributions
Subdivision D—Standards for controlling trustees
42 210 Application of this Subdivision
42 215 Notification of administration
42 220 Investigating debtor’s property and income
42 225 Report to creditors
Division 50—Part 2 committees
50 1 Authority
50 5 Part 2 committee may generally determine its own procedures
50 10 ARITA may appoint a member of a Part 2 committee
50 15 Knowledge and experience required of a member of a Part 2 committee appointed by ARITA
50 20 Chair of a Part 2 committee
50 25 Resignation of Part 2 committee members
50 30 Part 2 committee to be reconstituted—removing ARITA members
50 35 Part 2 committee to be reconstituted—removing members appointed by the Minister
50 40 Part 2 committee to be reconstituted—replacing members
50 45 Termination of consideration, and transfer, of a matter
50 47 Termination of consideration of a matter if no utility
50 50 Duty to disclose interests
50 55 Natural justice and rules of evidence
50 60 Decisions made at a meeting
50 65 Decisions made without a meeting
50 70 Keeping records of decisions
50 75 Inquiries by a Part 2 committee
50 80 Interviewing applicants
50 85 Interviewing trustees—proposed cancellation of registration
50 90 Decisions on disciplinary matters
50 95 Reports of a Part 2 committee
50 100 Industry disciplinary bodies to which a Part 2 committee may disclose information
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Part 3—General rules relating to estate administrations
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Division 60—Remuneration and other benefits received by the trustee
60 1 Authority
60 5 Circumstances in which the Inspector General may determine remuneration
60 10 Application to the Inspector General to determine remuneration
60 15 Matters to which the Inspector General must have regard
60 17 Notice of remuneration determination by Inspector General
60 20 Remuneration on a percentage basis—maximum percentage
60 25 Trustee must not derive profit or advantage from the administration of the estate—exceptions
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Division 65—Funds handling
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Subdivision A—General rules
65 1 Administration account
65 5 Penalty interest
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Subdivision B—Review of third party bill of costs
65 20 Application to Inspector General for review of third party bill of costs
65 25 Application to Court for review of Inspector General decision
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Division 70—Information
70 1 Time for complying with reasonable requests
70 5 Notice requirements for unreasonable requests
70 10 Right of creditors to request information etc. from trustee
70 15 Right of individual creditor to request information etc. from trustee
70 17 Right of regulated debtor to request information etc. from trustee
70 30 Initial information and declarations required to be given to creditors
70 35 Initial remuneration notice
70 45 Reports about remuneration to be given before remuneration determinations are made
70 47 Remuneration claim notice
70 51 Declarations of relevant relationships must be kept up to date
70 55 Requests for information by the Commonwealth
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Division 75—Meetings
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Subdivision A—Preliminary
75 1 Authority
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Subdivision B—Convening meetings
75 5 When certain meetings must be convened
75 10 Persons to whom notice of meetings to be given
75 15 How notice of meetings to be given
75 20 Time for giving notice of meetings
75 25 Notice about voting by proxy and appointment of attorney
75 27 Additional rules for meetings under section 188 of Act
75 30 Time and place of meetings
75 35 Notice of electronic facilities for meetings
75 40 Notification of first meeting to be lodged with Inspector General etc.
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Subdivision C—Procedures at meetings
75 50 Presiding at meetings
75 55 Agenda
75 60 Tabling of documents at certain meetings of creditors etc.
75 65 Conducting meetings
75 70 Proposed resolutions and amendments of proposed resolutions
75 75 Participating in meetings by electronic means
75 80 Statement by creditor as to amount of debt
75 85 Entitlement to vote at meetings of creditors
75 90 Evidence relating to proof of debt
75 95 Evidence of liability for debt
75 100 Decisions in relation to entitlement to vote at creditors’ meeting
75 105 Quorum
75 110 Voting on resolutions
75 115 When a resolution is passed at a meeting of creditors after a poll is demanded
75 130 When a resolution is passed without a meeting of creditors
75 132 When a special resolution is passed at a meeting of creditors
75 137 When a special resolution is passed without a meeting of creditors
75 140 Adjournment of meetings of creditors
75 145 Minutes of meetings of creditors
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Subdivision D—Rules about proxies and attorneys
75 150 Appointment of proxies
75 155 Person may attend and vote by attorney
75 160 Voting by proxy or attorney on remuneration proposals
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Subdivision E—Additional rules for particular kinds of estates
75 170 Joint administrations
75 175 Calling a meeting in relation to compositions or arrangements
75 180 Documents to be tabled at meeting in relation to compositions or arrangements
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Subdivision F—Other rules about meetings
75 250 Directions to trustee to convene a meeting—when reasonable and not reasonable
75 255 Notice requirements for unreasonable directions
75 260 Duties of trustee when presiding at meeting
75 265 Requirements relating to meetings to remove trustee of a regulated debtor’s estate
75 270 Substantial compliance with Division is sufficient
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Division 80—Committees of inspection
80 5 Eligibility and procedures
80 10 Resignation, removal and vacancies
80 15 Reasonable requests for information etc.
80 20 Time for complying with reasonable requests
80 25 Notice requirements for unreasonable requests
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Division 90—Review of the administration of a regulated debtor’s estate
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Subdivision A—Review by Inspector General
90 1 Authority
90 5 Review of trustee remuneration on application
90 10 Application threshold
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Subdivision B—Conduct of reviews by Inspector General
90 50 Preliminary
90 55 Conduct of review and powers
90 60 Non compliance with directions
90 65 Decision of Inspector General on review
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Subdivision C—Application to Court for review of administration
90 80 Time limit on certain applications to Court for review
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Subdivision D—Other matters
90 85 Notification to Official Receiver if former trustee is reappointed
90 90 Official Receiver must issue certificate of appointment in certain cases
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Part 5—Transitional matters
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Division 110—Transitional matters relating to the Insolvency Practice (Bankruptcy) Amendment Rules 2022
110 1 Definitions
110 2 Trustee experience
110 3 Trustee registration conditions
110 4 Part 2 committee consideration of matters
110 5 Remuneration determinations
110 6 Review of decisions relating to third party bills of costs
110 7 Giving of information
110 8 Meetings of creditors
110 9 Value of certain assigned debts
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Endnotes
Endnote 1—About the endnotes
Endnote 2—Abbreviation key
Endnote 3—Legislation history
Endnote 4—Amendment history