Section 140: Bankrupt’s gambling and speculations

140. Bankrupt’s gambling and speculations (1) Any person who has been adjudged bankrupt, or in respect of whose estate a receiving order has been made, shall commit an offence and shall, on conviction, be liable to a term of imprisonment where, having been engaged in any trade or business, and having outstanding at the date of the receiving order any debts contracted in the course and for the purposes of the trade or business— (a) he has, within 2 years before the presentation of the bankruptcy petition, materially contributed to or increased the extent of his insolvency by gambling or by rash and hazardous speculations, and the gambling or speculations are unconnected with his trade or business; (b) he has, between the date of the presentation of the petition and the date of the receiving order, lost any part of his estate by the gambling or rash and hazardous speculations specified in this section; or (c) on being required by the Official Receiver or by the trustee at any time, or in the course of his public examination by the Court, to account for the loss of any substantial part of his estate incurred within a period of one year preceding the date of the presentation of the bankruptcy petition, or between that date and the date of the receiving order, he fails to give a satisfactory explanation of the manner in which the loss was incurred. (2) In determining for the purposes of this section whether any speculations were rash and hazardous, the financial position of the accused person shall be taken into consideration at the time when he entered into the speculations.