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srilawsby aturio
As enacted
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Part IV · Debt Restructuring Arrangements

49. Debt Restructuring Arrangements: Appointments of personal insolvency proposer

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

(1)

Where a debtor wishes to make a proposal for a

Debt Restructuring Arrangement, such debtor shall appoint a person, firm or body, to act as a personal insolvency proposer.

(2)

If the debtor and the personal insolvency proposer so agree, the person, firm or body appointed to act as a personal insolvency proposer may also act as a personal insolvency administrator in respect of the proposed Debt Restructuring

Arrangement under section 47.

(3)

On being appointed under subsections (1) and (2), the personal insolvency proposer shall —

(a)

confirm in writing to the debtor that the personal insolvency proposer has consented to act in the role of personal insolvency proposer in respect of the debtor’s Debt Restructuring Arrangement proposal;

(b)

if such proposer consents to act as personal insolvency administrator on the coming into effect of the Debt Restructuring Arrangement, confirm such consent in writing to the debtor; and

Rescue, Rehabilitation and Insolvency

(c)

give notice to the Official Receiver of such appointment to act as a personal insolvency proposer, and, where relevant, a personal insolvency administrator.

(4)

A personal insolvency proposer who agrees to assist a debtor in preparing a Debt Restructuring Arrangement shall —

(a)

make such reasonable enquiries into the debtor’s property and financial affairs so as to be able to assess with reasonable accuracy the debtor’s financial situation; and

(b)

prepare a Debt Restructuring Arrangement in the manner specified by this Part, and in such form as may be prescribed.

(5)

For the purpose of enabling the personal insolvency proposer to assist in the preparation of a proposal for a Debt

Restructuring Arrangement, the debtor shall submit to the personal insolvency proposer a statement disclosing fully, to the best of his or her knowledge, all of the debtor’s financial affairs, in accordance with section 33.

(6)

A personal insolvency proposer may be required, on the proposer’s appointment, to provide certain information or advice to the debtor regarding the appropriateness of a

Debt Restructuring Arrangement as may be prescribed or may be contained in rules made by the Authority.

(7)

A personal insolvency proposer may be required to perform certain actions in assisting a debtor in the preparation and submission of a proposal for a Debt Restructuring

Arrangement as may be prescribed or may be contained in rules made by the Authority.

Read on from s 50

Part V

Debt Rehabilitation Orders

Read on from Part V

Part VI

Read on from Part VI

Part VII

Personal Insolvency Register

Read on from Part VII

Part VIII

Read on from Part VIII

Part IX

Read on from Part IX

Part X

Compromises

Read on from Part X

Part XI

Micro Small Medium Enterprise (MSME) Company Debt Restructuring Arrangements

Read on from Part XI

Part XII

Read on from Part XII

Part XIII

Read on from Part XIII

Part XIV

Cross - Border Insolvency

Read on from Part XIV

Part XV

Read on from Part XV

Part XVI

Read on from Part XVI

Part XVII

Read on from Part XVII

Schedules