Commonwealth Numbered Acts

CORPORATIONS ACT 1989 No. 109 of 1989 - SECT 449

449. (1) A settlement, a conveyance or transfer of property, a charge on
property, a payment made, or an obligation incurred, by a company which, if it
had been made or incurred by a natural person, would, in the event of his or
her becoming a bankrupt, be void as against the trustee in the bankruptcy, is,
if the company is placed under official management, void as against the
official manager.

(2) Where:

   (a)  a creditor of a company has issued execution against the property of
        the company or has instituted proceedings to attach a debt due to the
        company or to enforce a charge, or a charging order, against property
        of the company; and

   (b)  the creditor would, if the execution or proceedings had been issued or
        instituted in relation to a debt due by a natural person who
        subsequently became a bankrupt, be required to pay the amount (if any)
        received by the creditor as a result of the execution or proceedings
        to the trustee in the bankruptcy; the creditor shall, in the event of
        the company being placed under official management, pay the amount (if
        any) received as a result of the execution or proceedings, less the
        taxed costs of the execution or proceedings, to the official manager.

(3) Where a creditor has paid to the official manager of a company an amount
in accordance with subsection (2), that creditor shall be taken to be an
unsecured creditor of the company for the amount owed to him, her or it by the
company as if the execution or proceedings had not been issued or instituted.

(4) For the purposes of this section, the date that corresponds with the date
of presentation of the petition in bankruptcy in the case of a natural person
and the date on which a person becomes a bankrupt is the date on which the
company commences to be under official management.