Upon the making of a bankruptcy order, the Official Receiver is automatically appointed as the Trustee in Bankruptcy of the bankrupt’s estate. The bankrupt’s estate essentially consists of all the assets and property which belong to, or which vest in, the bankrupt when the bankruptcy order was made.
It is possible that a private insolvency practitioner will subsequently be appointed as the Trustee in Bankruptcy in place of the Official Receiver.
If you are made bankrupt, you have a duty to ensure your estate is delivered up to your Trustee in Bankruptcy, including all books, papers and other records which related to your estate and affairs. If you acquire further assets or income after the bankruptcy order is made, you have an obligation to inform the Trustee in Bankruptcy. You are also required to co-operate with enquiries that the Trustee in Bankruptcy makes of you.
Failure to comply with these obligations is a criminal offence.
The Trustee in Bankruptcy will take any assets of value in the estate and pay these proceeds into the insolvency estate, then distribute those monies according to a statutory order of priority.
- Obtain credit for more than £500 without first disclosing the existence of his bankruptcy to the person/s who are lending the money
- Act as a director of a limited company (unless with permission from the Court)
- Trade using any business name other than that in which he was adjudged bankrupt without first disclosing his bankruptcy to all persons with whom he trades
- Act as a Trustee of a charity
