Commonwealth Consolidated Acts

BANKRUPTCY ACT 1966 - SECT 221A

Variation by special resolution of creditors

             (1)  The creditors, with the written consent of the debtor, may vary a personal insolvency agreement by special resolution at a meeting called for the purpose.

Variation by trustee

             (2)  The trustee, with the written consent of the debtor, may, in writing, propose a variation of a personal insolvency agreement.

             (3)  The trustee must give notice of the proposed variation to all the creditors who are entitled to receive notice of a meeting of creditors.

             (4)  The notice must:

                     (a)  include a statement of the reasons for the variation and the likely impact it will have on creditors (if it takes effect); and

                     (b)  specify a date (at least 14 days after the notice is given) from which it is proposed that the variation will take effect; and

                     (c)  state that any creditor may, by written notice to the trustee at least 2 days before the specified date, object to the variation taking effect without there being a meeting of creditors.

             (5)  If no creditor lodges a written notice of objection with the trustee at least 2 days before the specified date, then the proposed variation takes effect on the date specified in the notice.

             (6)  A certificate signed by the trustee stating any matter relating to a proposed variation under subsection (2) is prima facie evidence of the matter.