Objections may be lodged by the trustee on a number of grounds which will extend the period of bankruptcy to a total of five or eight years [Bankruptcy Act 1966 (Cth) ss 149A-D].
Where the ground for lodging an objection relates to uncooperative conduct by the bankrupt (one of the ‘special grounds’ listed in the Act), the trustee will not have to provide a reason for lodging an objection. Previously, the trustee always had to provide reasons.
A bankruptcy will be extended to five years if the bankrupt failed to:
- disclose a debt existing at the date of bankruptcy
- advise the trustee of any change of name, address and telephone number [s 80]
- sign a document at the trustee's request
- attend a meeting of creditors without reasonable excuse or approval of the trustee
- attend an interview or examination without reasonable explanation
- disclose an interest in property.
A bankruptcy will be extended to eight years if the bankrupt:
- left Australia and did not return
- failed to return to Australia despite being asked to do so by the trustee
- unlawfully continued to manage a corporation
- obtained goods, services or money to a value of $4669 or over without disclosing the bankruptcy
- disobeyed a request from the trustee for information about property or income
- did not disclose a source of income in their statement of affairs or during the bankruptcy [ss 6A(1),139U]
- failed to pay contributions to the trustee or explain how money was spent.
- failed to explain adequately the disposal of property
- failed to explain the purpose for which money was spent
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