What a Bankrupt Cannot Do and Must Do in Singapore
A bankrupt cannot:
- Be appointed as a trustee or personal representative in respect of any trust, estate or settlement, except with leave of the court.
- Commence legal action against another person, except on the grounds of personal injury to himself, without permission from the Official Assignee (“OA”).
- Leave Singapore without permission from the OA.
- Obtain credits (i.e. borrow money) without informing the lender that he is a bankrupt.
- Engage in business without informing all partners or clients that he is a bankrupt.
- Worsen his insolvency via gambling or rash speculation.
- Incurs further debt of which he knows he cannot pay.
- Become an MP, Judge, Magistrate or Justice of the Peace.
- Become a director of a company.
A bankrupt must:
- Inform the OA of all the properties he possesses, including insurance policies, tax records, and titles of deeds. He will be guilty of an offence if he attempts to conceal existence of properties or debts owed to him, or attempts to abscond with such property.
- Aid the OA in selling off his properties and distributing them to his creditors.
- Keep the OA informed of his place of residence.
For more information on the duties and disabilities of an undischarged bankrupt, you should refer to the Bankruptcy Act itself.