Commonwealth Consolidated Acts

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BANKRUPTCY ACT 1966 - SECT 85

Proof by employees

  (1)   Where it appears from the bankrupt's statement of affairs that he or she is indebted to numerous persons employed by him or her for wages or salary, the debts may be proved by one of those persons on behalf of all of those persons.

  (2)   The proof of debt in respect of the several debts shall be in accordance with the approved form.

  (2A)   Where the trustee is of the opinion that it is desirable that all the matters, or some of the matters, contained in a proof of debt lodged with him or her by a person in pursuance of this section should be verified by statutory declaration, the trustee may serve on the person a written notice informing the person that he or she is of that opinion and that, unless the person lodges with the trustee a statutory declaration verifying the matters contained in the proof of debt or such of those matters as the trustee specifies in the notice, the trustee will administer the estate as if the proof of the debt had not been lodged.

  (2B)   A statutory declaration verifying matters in a proof of debt lodged by a person (the creditor ) under this section may be made by:

  (a)   the creditor; or

  (b)   another person whose own knowledge includes the facts set out in the statutory declaration and the proof of debt, and who is authorised by the creditor to make the declaration.

  (2C)   Where the trustee serves a notice on a person under subsection   (2A) in respect of a proof of debt, the proof of debt shall, for the purposes of this Act (other than section   263), be deemed not to have been lodged with the trustee unless and until the person has lodged with the trustee a statutory declaration verifying the matters in the proof of debt or such of those matters as are specified in the notice, as the case requires.

  (2D)   A proof of debt under this section, or a statutory declaration referred to in subsection   (2A), sent to the trustee by post as certified mail (postage being prepaid) shall be deemed to have been lodged with the trustee and shall be deemed to have been so lodged at the time at which it would have been delivered in the ordinary course of post unless it is shown that the trustee did not receive it at that time.

  (3)   A proof of debt lodged in pursuance of this section has the same effect as if separate proofs of debt had been lodged by each of the creditors to whom it relates.


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