Rescue, Rehabilitation and Insolvency (Corporate and Personal) Act 2026 · As enacted · Part VI
90. Court Decision on Petition for Bankruptcy Order
Official English translation. Where it differs from the Sinhala or Tamil text, the Act itself says which text prevails.
Official translationFrom Department of Government Printing, unchanged
On receiving a petition for a Bankruptcy Order, the court may make a Bankruptcy Order if it is satisfied that conditions of sections 86, 88 and 89 have been met.
Rescue, Rehabilitation and Insolvency
The court may dismiss the petition if it is satisfied that the debtor is able to pay all the debtor’s debts or is satisfied —
that the debtor has made an offer to secure or compound for a debt in respect of which the petition is presented;
that the acceptance of that offer would have required the dismissal of the petition; and
that the offer has been unreasonably refused.
In determining for the purposes of subsection (2), whether the debtor is able to pay all the debtor’s debts, the court shall take into account all debts and liabilities, present or future or certain or contingent, to which the debtor is subject on the date of the petition.
Where the court makes a Bankruptcy Order, it shall, as soon as reasonably practicable, provide —
a copy of the order to the debtor;
a copy of the order to the Official Receiver; and
a written notice of the order to each known creditor of the debtor.
Where the court makes a Bankruptcy Order, the
Official Receiver shall cause such details of the Bankruptcy
Order as may be prescribed, including the name, address, and description of the debtor, and the date of the order, to be published —
in the Personal Insolvency Register; and
by public notice.
Rescue, Rehabilitation and Insolvency
The form of notice to be provided by the courts under subsection (4) may be prescribed.
Part VII
Personal Insolvency Register
Part VIII
Part IX
Part X
Compromises
Part XI
Micro Small Medium Enterprise (MSME) Company Debt Restructuring Arrangements
Part XII
Part XIII
Part XIV