Section 42: Contribution to payment of debts

42. Contribution to payment of debts (1) Where required by the Official Receiver, a bankrupt shall pay an amount or periodic amounts during the bankruptcy as a contribution towards payment of the bankrupt’s debts on such terms and conditions as the Official Receiver may direct. (2) Before the Official Receiver requires a bankrupt to make a payment under subsection (1), he shall— (a) have regard to all the circumstances of the bankruptcy and the bankrupt’s conduct, earning power, responsibilities and prospects; and (b) make reasonable allowance for the maintenance of the bankrupt and his dependent relatives. (3) The Court may, on the application of the bankrupt or any creditor— (a) vary, suspend or cancel the bankrupt’s obligations to make a payment under subsection (1); or (b) remit any arrears owing by the bankrupt. (4) Where the bankrupt defaults in making a payment required under subsection (1), the burden shall be on the bankrupt in any proceedings arising out of the default to show that the default was not wilful.