PART-19-Bankruptcy and Winding Up Matters.md

Part 19: Bankruptcy and Winding Up Matters

• 159. Bankruptcy applications
• 160. Applications to set aside statutory demands made under the Bankruptcy Rules or the Insolvency, Restructuring and Dissolution (Personal Insolvency) Rules 2020
• 161. Judicial Management and winding up applications under the Companies Act (Cap. 50, 2006 Rev. Ed.) or Insolvency, Restructuring and Dissolution Act 2018
• 162. Documents for use in open court trials of contested winding-up applications
• Bundles of documents
• Bundles of authorities
• Opening statements
• Timeline for tendering documents

159. Bankruptcy applications

The following arrangements will apply to hearings of bankruptcy matters:

(1) Bankruptcy matters are divided into 2 parts, namely,

• (a) applications for bankruptcy orders; and
• (b) other applications under the Bankruptcy Act (Cap. 20, 2009 Rev. Ed.) or Bankruptcy Rules, or under Parts 13 to 21 of the Insolvency, Restructuring and Dissolution Act 2018 or the Insolvency, Restructuring and Dissolution (Personal Insolvency) Rules 2020, including:
• (i) applications to set aside statutory demands;
• (ii) applications to extend the time to set aside statutory demands; and
• (iii) applications for interim orders.

(2) Without notice applications for substituted service in bankruptcy proceedings will be dealt with by the Duty Registrar.

160. Applications to set aside statutory demands made under the Bankruptcy Rules or the Insolvency, Restructuring and Dissolution (Personal Insolvency) Rules 2020

(1) Rule 97 of the Bankruptcy Rules and Rule 67 of the Insolvency, Restructuring and Dissolution (Personal Insolvency) Rules 2020 allow a debtor to apply to set aside a statutory demand within such of the following periods, after the date on which the statutory demand is served or deemed to be served on the debtor, as may be applicable:

• (a) 14 days; or
• (b) where the demand was served outside Singapore – 21 days.

(2) Without limiting Rule 98 of the Bankruptcy Rules or Rule 68 of the Insolvency, Restructuring and Dissolution (Personal Insolvency) Rules 2020, on an application to set aside a statutory demand based on a judgment or an order, the Court will not go behind the judgment or order and inquire into the validity of the debt.

(3) When the debtor:

• (a) claims to have a counterclaim, set-off or cross demand (whether or not he or she could have raised it in the action or proceedings in which the judgment or order was obtained) which equals or exceeds the amount of the debt or debts specified in the statutory demand; or
• (b) disputes the debt (not being a debt subject to a judgment or order),

the Court will normally set aside the statutory demand if, in its opinion, on the evidence there is a genuine triable issue.

161. Judicial Management and winding up applications under the Companies Act (Cap. 50, 2006 Rev. Ed.) or Insolvency, Restructuring and Dissolution Act 2018

After a winding up application has been filed, the applicant or his or her solicitor should file the necessary documents using the checklist provided in the Electronic Filing Service. Once the necessary documents under the checklist have been filed, the applicant or his or her solicitor should generate and file the winding up memorandum before attending before the Duty Registrar in compliance with Rule 32 of the Companies (Winding Up) Rules or Rule 73 of the Insolvency, Restructuring and Dissolution (Corporate Insolvency and Restructuring) Rules 2020. This requirement will similarly apply to judicial management applications under the Companies Act (Cap. 50, 2006 Rev. Ed.) or the Insolvency, Restructuring and Dissolution Act 2018.

162. Documents for use in open court trials of contested winding-up applications

(1) This paragraph applies to trials of contested winding-up applications in open court.

(2) To facilitate the conduct of contested winding-up applications and to reduce the time taken in the presentation of cases in Court, the following documents must be filed by the respective solicitors of the parties:

• (a) a bundle of documents (an agreed bundle where possible);
• (b) a bundle of authorities; and
• (c) an opening statement.

Bundles of documents

(3) For bundles of documents:

• (a) Documents to be used at trial should be consolidated into bundles paginated consecutively throughout at the top right hand corner. An index of the contents of each bundle in the manner and form set out in Form B18 of Appendix B of these Practice Directions must also be prepared. No bundle of documents is necessary in cases where parties are not relying on any document at the trial.
• (b) It is the responsibility of solicitors for all parties to agree and prepare an agreed bundle as soon as possible. The scope to which the agreement extends must be stated in the index sheet of the agreed bundle.
• (c) In cases where certain documents cannot be agreed upon, these should be separately bundled as the applicant’s or claimant’s bundle or such other party’s bundle, as the case may be.
• (d) The requirements set out in paragraph 102(8) to (13) of these Practice Directions must, with the necessary modifications, be complied with in respect of proceedings falling within this paragraph.
• (e) The bundles of documents including the agreed bundle and core bundle, if applicable, must be filed and served on all relevant parties at least 5 working days before trial.

Bundles of authorities

(4) The requirements set out in paragraph 101(5) to (11) of these Practice Directions must, with the necessary modifications, be complied with in respect of proceedings falling within this paragraph.

Opening statements

(5) The requirements set out in paragraph 102(14) of these Practice Directions must, with the necessary modifications, be complied with in respect of proceedings falling within this paragraph.

Timeline for tendering documents

(6) Paragraph 102(2) to (4) of these Practice Directions apply, with the necessary modifications, to proceedings to which this paragraph applies.