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1. Can the bankrupt/company administer their assets after being declared bankrupt by the court ?

No, because Section 55 (1) of Bankruptcy Act dictates that Official Assignee takes possessions of the deeds, books, and documents and exercises the right to transfer of properties after adjudication order. Whilst, for winding up cases Section 233 of the Companies act 1965 empowers both liquidators or provisional liquidators to administers assets of companies under winding up. Thus, bankrupt or companies under winding up are not permitted to administer assets.

2. How to purchase the bankrupt/company’s assets ?

Purchaser can deal with the bankrupt/company's lawyer and forward their agreeable decision to Insolvency Department for further action. Or purchaser can contact Insolvency Department to purchase assets which are advertised in the Department's web.

3. How to purchase the bankrupt/company’s assets which are charged to the bank?

Purchaser can purchase through public auction or deal direct with the charged or bankrupt/company's lawyer concerned.

4. How to realise the bankrupt/company assets?

Through tender or private treaty. Private treaty will be considered when all parties involved agree on the sale price and the purchaser.

5. What action will be taken if there is no claim on the paid deposit ?

Any unclaimed deposit for the period after twelve (12) month from the date it can be refunded will be Gazetted. If the said deposit still not be claimed after three (3) month being gazetted, the unclaimed deposit shall be credited to the Government revenue account. However, the deposit can still be claim by writing in to JIM, with the original receipt attached as supporting documents.

6. What are the acceptable payment form/instruments besides cash money to MdI?

Payments can be made in the form of money order/postal order/bankers cheques/bank draft ad other forms based on Accountants General Department instructions. However, personal cheques are not accepted.

7. What are the supporting documents needed for deposit refund payment in relating to “withdrawn cases” or “null and void cases ?

Letter of application (in writing) is required to be submitted together with personal details:-
• Latest active bank account's number, bank name and particular together with copy of the bank statement
• Original deposit receipt or if lost must be supported
By:
• two copies of Letter from Commisssioner for Oaths and Indemnity Bond with payment RM5.00.
• A copy of court order (fair order)

8. What happen to the bankrupt/company’s assets after they have been transmitted to Director General of Insolvency?

Insolvency Department will administer the assets or sell them with the intention to settle the bankrupt/company's debts.

9. What happen to the surplus from the sales of the bankrupt/company’s assets?

The surplus will be credited to the estate account for further outstanding balance. Should there be any more surplus after all costs are deducted, the sum will be pay out to bankrupt/directors of winding up company.

10. What is the cost born by the bankrupt/company after their assets has been realised by Insolvency Department?

Fees are charged according to Table C of Bankruptcy Rules 1969 and Table C of Winding Up Rules 1972.

11. What should I do if payment is not received due to invalid bank accounts ?

Contact respective MdI branches and submit the latest active bank account number together with a copy of bank statement. Replacement payment will be made to you upon receiving the supporting documents.

12. What will happen if the dividend remains unclaimed for more than six months due to various reasons ?

All dividends which had remained unclaimed for more than six months after final dividend has been declared shall remain at the Bankruptcy Estates Account for seven (7) years. If the dividend is still not claimed during that period, the dividend shall be credited to the Consolidated Fund.
As for winding-up cases, according to Section 286 Companies Act 1965, any dividend which has remained unclaimed for more than six months from the date the dividends become payable shall be placed at the Companies Liquidation Account for six (6) years. If the dividend remained unclaimed after that period, the dividend shall be credited to the Consolidated Fund.

13. Where can I get the Indemnity Bond Form ?

Indemnity Bond Form can be obtained from any MdI's branch office or downloaded from MdI website.

14. Who is involved in the decision making in selling the bankrupt/company’s assets in Insolvency Department?

Sales of Assets Unit Committee (Jawatankuasa Unit Jualan Aset or JUJA)

15. Why dividend payment could not be processed ?

Dividend payment could not be processed due to incomplete information. Please ensure that the following information are given:-
Latest active bank account's number, bank name and particular together with copy of the bank statement

16. Why is it necessary to sell the bankrupt/company’ assets?

The dividends will be distributed amongst the creditor in order to discharge the bankrupt/company.

17. Why should the bankrupt/company inform all their assets to Insolvency Department ?

It is an offence under the Bankruptcy Act 1967 Sect 27 (4) and Section 31 (1) –(6) if they do not declare all their assets to Insolvency Department or fail to produce documents of assets/properties.