juris

Section 23: Committee of inspection

Bankruptcy Act · PART I: PROCEEDINGS FROM ACT OF BANKRUPTCY TO DISCHARGE

consolidated text (as at 2000). juris shows the text as it was consolidated; it does not confirm that this is the law in force today.

23. Committee of inspection (1) (a) The creditors qualified to vote may, at their first or any subsequent meeting, by ordinary resolution, appoint from among the creditors qualified to vote, or the holders of general proxies or general powers of attorney from such creditors, a committee of inspection for the purpose of superintending the administration of the bankrupt’s property by the trustee. (b) The committee of inspection shall consist of not more than 5 nor less than 3 persons. (2) (a) The committee of inspection, shall meet at such times as it may appoint and failing such appointment, at least once a month. (b) The trustee or any member of the committee may also call a meeting of the committee as and when he thinks necessary. (3) The committee may act by a majority of its members present at a meeting, but shall not act unless a majority of the committee is present at the meeting. (4) Any member of the committee may resign his office by notice in writing signed by him, and delivered to the trustee. (5) Where a member of the committee becomes bankrupt, or compounds or arranges with his creditors, or is absent from 5 consecutive meetings of the committee, his office shall thereupon become vacant. (6) Any member of the committee may be removed by an ordinary resolution at any meeting of creditors of which 7 days notice has been given, stating the object of the meeting. (7) On a vacancy occurring in the office of a member of the committee, the trustee shall forthwith summon a meeting of creditors for the purpose of filling the vacancy, and the meeting may, by ordinary resolution, appoint another creditor or other person eligible as above to fill the vacancy. (8) (a) The continuing members of the committee, provided there is not less than 2 such continuing members, may act notwithstanding any vacancy in their body. (b) Where the number of members of the committee of inspection is for the time being less than 5, the creditors may increase that number so that it does not exceed 5. (9) Where there is no committee of inspection, any act or thing or any direction or permission by this Act authorised or required to be done or given by the committee may be done or given by the Court on the application of the trustee.

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