89. Bankruptcy Notice and inability to pay

require the debtor, in relation to a debt owed to a petitioning creditor —

to pay the debt, including any payable interest and costs;

to give security for the amount owing to the satisfaction of the petitioning creditor; or

to compound the debt to the satisfaction of the petitioning creditor;

state the consequences of non-compliance with the bankruptcy notice; and

be served on the debtor in Sri Lanka, or with the court’s permission, outside Sri Lanka.

the debtor notifies the creditor in writing that he disputes the validity of the Bankruptcy Notice because it overstates the amount actually owing;

the debtor makes the notification within the time specified in the bankruptcy notice for the debtor to comply with the bankruptcy notice.

the petitioning creditor to whom the debt is owing shall be served on the debtor a Bankruptcy

after a period exceeding twenty-one days have elapsed since the date on which the Bankruptcy

the Bankruptcy Notice has been neither —

complied with; nor

set aside, in such manner as may be prescribed, the Bankruptcy Order shall be deemed to be invalidated.

a creditor has obtained a final judgment or final order against the debtor for an amount of two million rupees or more; and

the execution or other process issued in respect of the debt has been returned unsatisfied in whole or in part.