Section 20: Appointment of Official Receiver as Interim Receiver

20. Appointment of Official Receiver as Interim Receiver (1) Where a creditor’s petition for a bankruptcy order has been filed, a creditor of the debtor may apply to the Court for an order appointing the Official Receiver as Interim Receiver of all or part of the debtor’s property. (2) The Court may make an order under subsection (1) at any time before it makes a bankruptcy order. (3) ’As part of the order or, on the application of a creditor or the Official Receiver, subsequently, the Court may authorise the Official Receiver to— (a) take possession of any property; (b) sell any perishable property or property that is likely to fall rapidly in value; I14 – 21 [Issue 3] Insolvency Act (c) control the debtor’s business or property as directed by the Court; or (d) exercise, in relation to the debtor, any of the powers vested in him by section 54 in relation to a bankrupt; (4) An order for the Official Receiver’s control of the debtor’s business must be confined to what is necessary, in the Court’s opinion, for conserving the debtor’s property. (5) (a) The appointment of the Official Receiver as Interim Receiver of the debtor’s property shall be advertised by him in such manner as may be prescribed. (b) A creditor of the debtor shall not issue any execution process against the property of the debtor after the appointment of the Official Receiver as Interim Receiver has been advertised. (c) A creditor shall not continue an execution process already issued before the advertisement. (d) A creditor or any other person interested may apply to the Court for an order allowing the issue or continuation of an execution process, and the Court may make an order on terms that it thinks appropriate. (e) Where execution process is stayed under this section, sections 57 and 58 shall apply as if a bankruptcy order had been made against the debtor. Section C – Effect of adjudication