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Contents

Part IX

244. Duty of administrator in relation to money

Official English translation. Where it differs from the Sinhala or Tamil text, the Act itself says which text prevails.

(1)

Subject to subsections (2) and (3), and to any order that the court may make, an administrator shall forthwith pay all money received by the administrator into an account or accounts established for the purpose at one or more banks.

(2)

An administrator shall not pay any money received, into a personal bank account of the administrator.

Rescue, Rehabilitation and Insolvency

(3)

An administrator may invest money received in the course of the administration in financial products, to such extent, if any, and subject to such terms and conditions, as may be prescribed.

(4)

An administrator who fails to comply with this section commits an offence and shall be liable on conviction to a fine not less than one million rupees and not exceeding two million five hundred thousand rupees or to rigorous imprisonment for a term not exceeding five years or to both such a fine and imprisonment.

(5)

Where an administrator commits an offence in relation to subsection (2), in addition to any fine or imprisonment that may be imposed, the court shall levy the money paid in contravention of subsection (2) together with any interest or profits earned thereon, which shall –

(a)

be recovered in the same manner as a fine; and

(b)

unless the court orders otherwise, be paid into an account established under subsection (1).

Part X

Compromises

Part XI

Micro Small Medium Enterprise (MSME) Company Debt Restructuring Arrangements

Part XII

Part XIII

Part XIV

Cross - Border Insolvency

Part XV

Part XVI

Part XVII

Schedules