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Section 318 of Insolvency Act CAP 53: Approval of expedited voluntary arrangement

    

(1) If the Official Receiver reports to the Court that the debtor's proposal has been approved, the proposal takes effect as a voluntary arrangement.
(2) On taking effect as a voluntary arrangement, the proposal binds— (a) the debtor; and
(b) binds every person (including a secured creditor and a preferential creditor) who was entitled to participate in the arrangements made in accordance with section 316(3),
as if each of them were a party to the arrangement.
(2) In addition to submitting the report, the Official Receiver may make an application to the Court to make an order under subsection (4).
(3) However, such an application may not be made—
(a) during the period within which the voluntary arrangement can be challenged by an application under section 314;
(b) while an application made under that section is pending;
(c) while an appeal in respect of an application made under that section is pending; or (d) during the period within which such an appeal may be made.
(4) On considering an application made under subsection (2), the Court shall annul the bankruptcy order in respect of the debtor unless it is of the opinion that there are compelling reasons not to do so.
(5) The Court may give such directions about the conduct of the bankruptcy and the administration of the bankrupt's estate as it considers will facilitate the implementation of the approved voluntary arrangement.

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Disclaimer: This document is not to be taken as legal advise.

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