Commonwealth Numbered Acts

BANKRUPTCY AMENDMENT ACT 1987 No. 119 of 1987 - SECT 76

76. (1) After section 215 of the Principal Act the following sections are
inserted: Nomination or appointment of trustee of deed or composition

"215A. (1) A resolution that is passed at a meeting of creditors and purports
to:

   (a)  nominate a person or persons under subsection 204 (4) to be trustee or
        trustees; or

   (b)  appoint a person under subsection 220 (1) to a vacant office of
        trustee; of a deed of assignment, deed of arrangement or composition
        is void unless:

   (c)  before the meeting, that person, or each of those persons, as the case
        may be:

        (i)    consented in writing, in the prescribed form, to act as a
               trustee of the deed or composition; and

        (ii)   made a declaration in writing containing the prescribed
               information about the person's professional, business and
               personal relationships and connections (if any) with the
               debtor, and with the creditor or creditors who proposed the
               resolution, respectively; and

   (d)  before the resolution was voted on:

        (i)    the consent or consents and the declaration or declarations
               were submitted to the meeting; and

        (ii)   there was a reasonable opportunity for persons entitled to vote
               on the resolution (whether on their own behalf or as proxy or
               attorney for other persons) to inspect the declaration or
               declarations.

"(2) Where, if this subsection had not been enacted, a resolution purporting
to nominate a person or persons, or to appoint a person, would, because of a
particular matter, be void by virtue of subsection (1), the Court may, on the
application of the person, or of any of the persons, as the case may be, or of
any other interested person, by order declare the resolution not to be void
merely because of that matter. Duties of chairman

"215B. (1) Where a resolution of a kind referred to in subsection 215A (1) is
passed at a meeting, the chairman of the meeting shall:

   (a)  forthwith sign a certificate setting out the terms of the resolution
        and stating that it was passed at the meeting; and

   (b)  forthwith cause the certificate and a copy of each consent given, and
        of each declaration made, by a person in connection with the
        resolution to be filed in the office of the Registrar.

"(2) If the chairman of a meeting contravenes subsection (1), or dies without
complying with subsection (1), a creditor who attended the meeting:

   (a)  if the chairman has not signed the certificate required by subsection
        (1)-may sign that certificate and file it; and

   (b)  in any case-may file such of the documents that subsection (1)
        requires to be filed as have not been filed.".

(2) The sections inserted in the Principal Act by subsection (1) apply as
provided in subsection 106 (2) of this Act.