House of Representatives

Explanatory Memorandum

Circulated By Authority of the Attorney-General, the Honourable Robert Mcclelland MP

SCHEDULE 2 - OFFENCE PROVISIONS ETC.

43. Item 1 will amend subsection 6A(1) to include a reference to the new section 77CA. Section 6A deals with the form and content of a statement of affairs. The amendment will ensure that these requirements as to form and content apply to a notice under section 77CA requiring a person to give a statement of affairs to the Official Receiver.

Inspector-General's powers to investigate possible offences

44. Items 2, 3 and 4 deal with the powers of the Inspector-General in Bankruptcy to investigate possible offences against the Act. The amendments will clarify that the Inspector-General can make inquiries, conduct investigations and require a person to provide information in connection with the investigation of possible offences.

45. Item 2 will amend subsection 12(1) which sets out the duties of the Inspector-General. The amendments will insert new paragraph 12(1)(bc) providing that the Inspector-General may make such inquiries and investigations as he or she thinks fit with respect to whether a person has committed an offence against the Act. This is similar to the powers already available to the Inspector-General under subsection 12(1) to conduct inquiries and investigations into the conduct and affairs of a bankrupt, trustee or debt agreement administrator.

46. Item 3 will amend subsections 12(1BA) and (1B) to insert a reference to the new paragraph 12(1)(bc). Subsection 12(1BA) allows the Inspector-General to conduct an inquiry or investigation at any time. Subsection 12(1B) allows the Inspector-General to provide a copy of a report resulting from an inquiry or investigation to any person the Inspector-General thinks fit.

47. Item 4 will insert new provisions which will allow the Inspector-General to compel a person to provide information relevant to an inquiry or investigation under paragraph 12(1)(bc). This is in line with the powers already available to the Official Receiver under section 77C to compel a person to provide information related to the examinable affairs of a bankrupt. Subsection 12(2A) will allow the Inspector-General to give a written notice to any person requiring the person to provide information where the Inspector-General believes on reasonable grounds that the person has information relevant to an inquiry or investigation under paragraph 12(1)(bc). The notice must specify the period within which and the manner in which the information must be given. Subsection 12(2B) will provide that the period specified in the notice for giving the information must be at least 14 days after the notice is given. Subsection 12(2D) will further provide that the notice must set out the effect of subsection (2C), which provides for an offence of failing to comply with the notice, and section 137.1 of the Criminal Code, which deals with giving false or misleading information.

48. Subsection 12(2C) will provide that failure to comply with a notice given under subsection 12(2A) is an offence. The penalty provided for this offence will be imprisonment for 12 months which is consistent with the penalty for the similar existing offence of failing to comply with a notice under section 77C (see section 267B).

49. Subsection 12(2E) will provide that subsection (2A) does not limit the application of subsection (2) in relation to an inquiry or investigation under paragraph (1)(bc). Subsection (2) deals with the general powers of the Inspector-General under the Act. The purpose of this amendment is to ensure that these general powers are available to the Inspector-General in addition to the specific powers to be provided by new subsection 12(2A).

Offence relating to notification of sequestration orders

50. Items 5, 6 and 7 will amend subsection 52(1A) which requires a petitioning creditor to provide a copy of a sequestration order to the Official Receiver. This is important because the Official Receiver is responsible for maintaining the National Personal Insolvency Index (NPII), the public record of bankruptcy related events. The NPII allows those who may have financial or other dealings with a bankrupt or someone subject to a formal insolvency process to know about those events. Subsection 52(1A) currently does not provide any consequences for a creditor who fails to comply with this requirement. The amendments will provide an offence for failing to comply. Item 5 will amend subsection 52(1A) to provide a 2 day time limit for providing a copy of the order to the Official Receiver.

51. Item 6 will provide a penalty of 5 penalty units for failing to comply with this requirement. The note directs readers to new section 277B about infringement notices which will apply to certain offences of strict liability and provide an alternative to prosecution (see paragraph 95).

52. Item 7 will provide that subsection (1A) is an offence of strict liability. This is appropriate as prompt notification of a sequestration is necessary to preserve the integrity of the National Personal Insolvency Index (NPII) which is the public record of bankruptcy and personal insolvency events.

Offence relating to failure to file a statement of affairs

53. Item 8 will amend subsection 54(1) by increasing the penalty for a bankrupt who fails to file a statement of affairs as required from 5 to 25 penalty units. Under subsection 54(1), a person who becomes bankrupt as the result of a sequestration order is required to file a statement of affairs within 14 days of being notified of the bankruptcy. The statement of affairs is the most important information required by a trustee to commence administering the bankrupt estate. Failure to comply significantly frustrates the trustee's ability to administer the estate in a timely way and prevents or delays returns to creditors from the realisation of assets in the estate. Therefore, this is seen as a very serious offence which should be treated accordingly. In addition to the increase in the penalty in subsection 54(1), the Official Receiver will have a new power to compel a bankrupt to provide a statement of affairs - failure to comply in those circumstances will have even more serious consequences (see paragraph 57)

54. Item 9 will amend subsection 56F which applies to the bankruptcy of partnerships. Where a person who is a member of a partnership files a debtors' petition against the partnership, each member of the partnership becomes bankrupt. Section 56F requires each non-petitioning partner to file a statement of affairs within 14 days of being notified of bankruptcy. The amendment will increase the penalty for failure to comply from 5 to 25 penalty units (in line with the amendments to subsection 54(1) described previously).

Offences relating to notification of compositions and arrangements

55. Items 10 and 11 will amend subsections 73(1A) and (1B) which require a trustee to give a copy of a proposal under section 73 to Official Receiver within 2 working days after receiving the proposal. The amendments will provide that failure to comply with this requirement is an offence of strict liability and provide a penalty of 5 penalty units. This offence will be covered by the proposed new infringement notice regime (see paragraph 95). Strict liability is appropriate as prompt notification of section 73 proposals is necessary to preserve the integrity of the National Personal Insolvency Index (NPII) which is the public record of bankruptcy and personal insolvency events.

56. Items 12, 13 and 14 will amend subsection 74(5A) which requires a trustee to notify the Official Receiver of an annulment under section 74 (where creditors accept a proposal for a composition of scheme of arrangement). Item 12 will amend subsection (5A) to require the trustee to provide the notification within 2 days (in line with other similar requirements elsewhere in the Act). The amendments to be made by items 13 and 14 will provide that failure to comply with this requirement is an offence of strict liability and provide a penalty of 5 penalty units. This offence will be covered by the proposed new infringement notice regime (see paragraph 95). Strict liability is appropriate as prompt notification of an annulment is necessary to preserve the integrity of the National Personal Insolvency Index (NPII) which is the public record of bankruptcy and personal insolvency events.

Power of Official Receiver to obtain statement of affairs

57. Item 15 will insert new section 77CA which will provide the Official Receiver with a specific power to compel a bankrupt to provide a statement of affairs. This power will be part of the range of existing powers given to the Official Receiver to assist trustees in the administration of estates. A person who becomes bankrupt as the result of a sequestration order is required, under section 54, to file a statement of affairs within 14 days of being notified of the bankruptcy. The statement of affairs is the most important information required by a trustee to commence administering the bankrupt estate. Failure to comply significantly frustrates the trustee's ability to administer the estate in a timely way and prevents or delays returns to creditors from the realisation of assets in the estate. Therefore, this is seen as a very serious offence which should be treated accordingly. In addition to the increased penalty under subsection 54(2) for failure to comply, the new section 77CA will provide the Official Receiver with a power to require the bankrupt to give a statement of affairs within 14 days of the notice. If the bankrupt fails again to comply after having had the obligation brought to his or her attention by the Official Receiver giving such a notice, the bankrupt will have committed a further and more serious offence. That offence will be covered by section 267B and the penalty will be imprisonment for 12 months.

Failure of bankrupt to surrender passport to trustee

58. Items 16 to 19 relate to the failure of a bankrupt to surrender his or her passport to the trustee as required by subsection 77(1). A bankrupt who fails to hand over his or her passport has a means to leave the country and avoid their obligations under the Act. The proper administration of the bankrupt estate is significantly impeded where the trustee is unable to seek information from the bankrupt about, for example, property, income, transactions and dependants. The net result could be that the trustee is unable to realise property, and creditors will not receive a dividend that they may have, had the bankrupt not left the country, been able to receive. The amendments will include this failure as a ground for objection to the bankrupt's discharge (item 16) which will extend the period of bankruptcy to 8 years (item 18). This ground for objection will be one for which the trustee does not have to give reasons in the notice of objection (item 17).

Offences relating to notification of annulments

59. Items 20 to 23 will amend sections 153A and 153B which relate to annulment of bankruptcy. The amendments will create offences of strict liability where the trustee fails to notify the Official Receiver of an annulment. This will allow the Official Receiver to maintain an accurate NPII.

60. Item 20 will amend subsection 153A(2) to require the trustee to provide notification of an annulment under subsection 153A(1) within 2 days (in line with other similar requirements elsewhere in the Act). This will allow the Official Receiver to maintain an accurate NPII. The amendments to be made by items 21 and 22 will provide that failure to comply with this requirement is an offence of strict liability and provide a penalty of 5 penalty units. This offence will be covered by the proposed new infringement notice regime (see paragraph 95). Strict liability is appropriate as prompt notification of an annulment is necessary to preserve the integrity of the National Personal Insolvency Index (NPII) which is the public record of bankruptcy and personal insolvency events.

61. Item 23 will add a new requirement to subsection 153B (annulment by Court) requiring the trustee to notify the Official Receiver of an annulment within 2 days of becoming aware of the order. This will allow the Official Receiver to maintain an accurate NPII. The amendments will also provide that failure to comply with this requirement is an offence of strict liability and provide a penalty of 5 penalty units. This offence will be covered by the proposed new infringement notice regime (see paragraph 95). Strict liability is appropriate as prompt notification of an annulment is necessary to preserve the integrity of the National Personal Insolvency Index (NPII) which is the public record of bankruptcy and personal insolvency events.

Offences relating to trustee's failure to hand over certificate of registration

62. Items 24 and 25 will amend section 155J which requires a person whose registration as a trustee ceases for any reason to give his or her certificate of registration to the Inspector-General. There is currently no time limit prescribed for the return of the certificate. Item 24 will amend subsection 155J(1) to provide that the certificate must be given to the Inspector-General before the end of the period of 7 days beginning on the day the person ceased to be registered. Item 25 will provide a penalty of 5 penalty units. This offence will be covered by the proposed new infringement notice regime (see paragraph 95).

Offence where trustee pays money into private bank account

63. Item 26 will amend the penalty for the offence provided by section 168 (trustee not to pay money into private account). The penalty will be based on penalty units rather than a specified dollar amount. This is in line with general Commonwealth policy. This offence will be covered by the proposed new infringement notice regime (see paragraph 95).

Annual estate returns - trustees

64. Item 27 will insert new section 170A requiring a trustee to give the Inspector-General an annual return in relation to the administration of each bankrupt estate administered during the year. The return must be given within 35 days after the end of the year and be in the approved form. This amendment will formalise an existing requirement which has existed for a number of years. The return provides the Inspector-General with necessary information relating to the operation of the Act generally as well as the trustee's compliance with the Act in relation to specific estates (including payment of interest and realisations charges under the Bankruptcy (Estate Charges) Act 1997). Currently, the Inspector-General relies on the general information gathering powers in section 12 to require trustees to provide this information. The amendment will provide specifically for this return including its formal requirements. In addition, failure to provide the return will be an offence of strict liability with a penalty of 5 penalty units. This offence will be covered by the proposed new infringement notice regime (see paragraph 95). Strict liability is appropriate as the annual estate return is integral to the effective regulation of trustees. Trustees will be well aware of the requirement to file these returns.

65. There will be an equivalent requirement for debt agreement administrators (see item 33).

Offences relating to trustee's books, records and accounts

66. Items 28 and 29 will insert the same note at the end of both subsections 173(1) and 175(5) referring to section 277B (about infringement notices). The offences provided by these subsections will be covered by the proposed new infringement notice regime (see paragraph 95).

Offence relating to notification of trustee's death

67. Items 30 to 32 will amend subsection 182(4) which provides that, where a trustee dies, the person administering the deceased trustee's estate must notify the Official Receiver of that fact. This is an important obligation as it allows the Official Receiver to ensure a seamless transfer of the administration of the estate and to maintain an accurate NPII. The amendments will provide a clear time limit for providing that notification to the Official Receiver (28 days rather than 'forthwith') and will provide for a penalty of 5 penalty units. This offence will be covered by the proposed new infringement notice regime (see paragraph 95).

Annual estate returns - debt agreement administrators

68. Item 33 will insert new section 185LEA requiring a debt agreement administrator to give the Inspector-General an annual return in relation to the administration of each debt agreement administered during the year. The return must be given within 35 days after the end of the year and be in the approved form. This amendment will formalise an existing requirement. The return provides the Inspector-General with necessary information relating to the operation of the Act generally as well as the administrator's compliance with the Act in relation to specific debt agreements (including payment of interest and realisations charges under the Bankruptcy (Estate Charges) Act 1997). Currently, the Inspector-General relies on the general information gathering powers in section 12 to require trustees to provide this information. The amendment will provide specifically for this return including its formal requirements. In addition, failure to provide the return will be an offence of strict liability with a penalty of 5 penalty units. This offence will be covered by the proposed new infringement notice regime (see paragraph 95). Strict liability is appropriate as the annual estate return is integral to the effective regulation of debt agreement administrators who will be well aware of the requirement to file these returns.

Offence relating to notification of administrator's death

69. Items 34 to 36 will amend subsection 185ZA(1) which provides that, where a debt agreement administrator dies, the person administering the deceased administrator's estate must notify the Official Receiver of that fact. This is an important obligation as it allows the Official Receiver to ensure a seamless transfer of the administration of the agreement and to maintain an accurate NPII. The amendments will provide a clear time limit for providing that notification to the Official Receiver and a penalty of 5 penalty units for failing to do so. The time limit of 28 days will commence from the time that the person administering the deceased administrator's estate begins administering the estate. This offence will be covered by the proposed new infringement notice regime (see paragraph 95).

Offence relating to administrator's failure to hand over certificate of registration

70. Items 37 to 44 will amend section 186N which requires a person whose registration as a debt agreement administrator ceases to give his or her certificate of registration to the Inspector-General. Section 186N covers registration ceasing voluntarily or a result of cancellation by the Inspector-General or the Court. There is currently no time limit prescribed for the return of the certificate. Items 37, 39, 41 and 43 will amend subsections 186N(1), (3), (5) and (6A) to provide that the certificate must be given to the Inspector-General before the end of the period of 7 days beginning on the day the person ceased to be registered. Items 38, 40, 42 and 44 will provide a penalty of 5 penalty units for each of these offences. These offences will be covered by the proposed new infringement notice regime (see paragraph 95).

Offences relating to personal insolvency agreements

71. Items 45 and 46 will amend section 218 which requires the trustee of a personal insolvency agreement to notify creditors and the Official Receiver of its execution. Item 45 reduces the period within which the trustee must notify the Official Receiver from 21 to 2 days (which will be in line with other similar requirements elsewhere in the Act). Currently there is no consequence for a trustee who fails to comply with this requirement. Item 46 will provide that failure to comply with this requirement is an offence of strict liability and provide a penalty of 5 penalty units. These offences will be covered by the proposed new infringement notice regime (see paragraph 95). Strict liability is appropriate as prompt notification of a personal insolvency agreement is necessary to preserve the integrity of the National Personal Insolvency Index (NPII) which is the public record of bankruptcy and personal insolvency events.

72. Items 47 to 56 will amend section 224A which deals with notice that a personal insolvency agreement has been set aside, varied or terminated.

73. Subsection 224A(1) requires the trustee to file with the Official Receiver a copy of a resolution to terminate a personal insolvency agreement. Item 47 will amend subsection 224A(1) to provide that the trustee must file this within 2 days (rather than 'immediately' as is currently provided). Item 48 will provide a penalty of 5 penalty units. These offences will be covered by the proposed new infringement notice regime (see paragraph 95).

74. Subsection 224A(2) requires the trustee to file with the Official Receiver a copy of a variation to a personal insolvency agreement. Item 49 will amend subsection 224A(2) to provide that the trustee must file this within 2 days (rather than 'immediately' as is currently provided). Item 50 will provide a penalty of 5 penalty units. These offences will be covered by the proposed new infringement notice regime (see paragraph 95).

75. Subsections 224A(3), (4) and (5) require the trustee to file with the Official Receiver details of termination of a personal insolvency agreement. Items 51 and 53 will amend subsections 224A(3) and (4) to provide that the trustee must file this within 2 days (rather than 'immediately' as is currently provided) - subsection 224A(5) already includes the 2 day time limit. Items 52, 54, 55 and 56 will provide that failure to comply with any of these requirements is an offence of strict liability and provide a penalty of 5 penalty units for each of the offences. These offences will be covered by the proposed new infringement notice regime (see paragraph 95).

76. Strict liability is appropriate for offences under section 224A as prompt notification of changes relating to personal insolvency agreements is necessary to preserve the integrity of the National Personal Insolvency Index (NPII) which is the public record of bankruptcy and personal insolvency events.

Offences relating to administration of deceased estates in bankruptcy

77. Items 57 to 67 will amend various provisions relating to notification of events in connection with the administration of deceased estates in bankruptcy.

78. Items 57, 58 and 59 will amend subsection 244(14) which requires that a creditor who has obtained an order under Part XI of the Act for the administration of a deceased estate in bankruptcy to give a copy of the order to the Official Receiver. The amendments will provide that the creditor must file this within 2 days and that failure to comply with this requirement is an offence of strict liability and provide a penalty of 5 penalty units. These offences will be covered by the proposed new infringement notice regime (see paragraph 95). Strict liability is appropriate as prompt notification of an order for the administration of a deceased estate in bankruptcy is necessary to preserve the integrity of the National Personal Insolvency Index (NPII) which is the public record of bankruptcy and personal insolvency events.

79. Items 60, 61 and 62 will amend subsection 245(3) which requires that a creditor who has obtained a sequestration order against the estate of a deceased person to give a copy of the order to the Official Receiver. The amendments will provide that the creditor must file this within 2 days and that failure to comply with this requirement is an offence of strict liability and provide a penalty of 5 penalty units. These offences will be covered by the proposed new infringement notice regime (see paragraph 95). Strict liability is appropriate as prompt notification of a sequestration order is necessary to preserve the integrity of the National Personal Insolvency Index (NPII) which is the public record of bankruptcy and personal insolvency events.

80. Item 63 will amend subsection 246(1) which requires the legal personal representative of a deceased person whose estate is being administered under Part XI to file a statement of the deceased person's affairs within 28 days of being notified of the order. In line with other amendments relating to statements of affairs in bankruptcy, item 63 will increase the penalty for failing to comply with that requirement from 5 to 25 penalty units.

81. Item 64 will amend section 247 which allows a person administering the estate of a deceased person to petition the Court for an order that the deceased person's affairs be administered under Part XI. Item 64 will introduce new subsection 247(3) which require the person administering the deceased person's estate to give to the Official Receiver a copy of an order made under this section within 2 days and that failure to comply with this requirement is an offence of strict liability and provide a penalty of 5 penalty units. These offences will be covered by the proposed new infringement notice regime (see paragraph 95). Strict liability is appropriate as prompt notification of an order is necessary to preserve the integrity of the National Personal Insolvency Index (NPII) which is the public record of bankruptcy and personal insolvency events.

82. Items 65, 66 and 67 will amend subsection 252A(2) which requires the trustee of the estate of a deceased person whose estate is being administered under Part XI to give to the Official Receiver a written certificate of an annulment resulting from payment of the debts of the estate. The amendments will require the trustee to give this to the Official Receiver within 2 days and provide that failure to comply with this requirement is an offence of strict liability which is subject to a penalty of 5 penalty units. These offences will be covered by the proposed new infringement notice regime (see paragraph 95). Strict liability is appropriate as prompt notification of an annulment is necessary to preserve the integrity of the National Personal Insolvency Index (NPII) which is the public record of bankruptcy and personal insolvency events.

Amendments to Part XIV (Offences)

83. Item 68 will amend subsection 263(1) to increase the penalty for these offences from 3 years to 5 years. The offences contained in this subsection all involve an intent to defraud. The increased penalty recognises the seriousness of these offences in the context of bankruptcy. It will also bring the offences into line with other similar offences in Commonwealth, State and Territory crimes legislation.

84. Item 69 will amend subsection 265(3) to increase the penalty for this offence from 3 years to 5 years. The offence contained in this subsection involves an intent to defraud. The increased penalty recognises the seriousness of this offence in the context of bankruptcy. It will also bring the offence into line with other similar offences in Commonwealth, State and Territory crimes legislation.

85. Items 70, 71 and 72 will amend subsection 265(5) which provides an offence for obtaining property, incurring debts or obtaining credit by fraud. Item 70 will amend the provision to make it clear that a person can commit this offence either alone or jointly with another person.

86. Item 71 will amend subsection 265(5) which includes an offence of obtaining credit by fraud. Subsection 265(5) provides that a person who, after presentation of the petition on which he or she became bankrupt, 'in incurring any debt or liability, obtains credit by fraud' commits an offence. This will be amended to provide an offence where the person 'incurs any debt or liability by fraud'. This will overcome deficiencies in the meaning of 'credit' by ensuring the offence can relate to any debt or liability.

87. Item 72 will increase the penalty for an offence under subsection 265(5) from 3 years to 5 years. The offence contained in this subsection involves an intent to defraud. The increased penalty recognises the seriousness of this offence in the context of bankruptcy. It will also bring the offence into line with other similar offences in Commonwealth, State and Territory crimes legislation.

88. Item 73 will amend subsections 266(1) (and (3) to increase the penalty for these offences from 3 years to 5 years. The offences contained in this subsection involve an intent to defraud. The increased penalty recognises the seriousness of these offences in the context of bankruptcy. It will also bring the offences into line with other similar offences in Commonwealth, State and Territory crimes legislation.

89. Item 74 will amend subsection 267(1)(d) which relates to a false declaration given by a debtor or bankrupt in a statement of affairs. The amendment recognises that a statement of affairs will now be able to be given to the Official Receiver under new section 77CA.

90. Item 75 will amend subsection 267(2) which provides that it is an offence to sign a false declaration. The word 'sign' will be replaced with 'make' to recognise that some declarations can be given by electronic means without a signature in the traditional sense.

91. Item 76 will amend section 267B to provide an offence for failing to provide information under new section 77CA (see paragraph 57). The penalty for an offence under section 267B is imprisonment for 12 months. Section 267B also provides an offence for failing to comply with a notice under subsection 6A(3) which allows the trustee to demand further information or evidence where the statement of affairs is incomplete or false or misleading. It is considered that failure to comply with the new section 77CA, given the fundamental importance of a statement of affairs in administering a bankrupt estate, should attract the same penalty.

92. Items 77 and 78 will amend subsections 268(3) (and (7) to increase the penalty for these offences from 3 years to 5 years. The offences contained in this subsection involve an intent to defraud. The increased penalty recognises the seriousness of these offences in the context of bankruptcy. It will also bring the offences into line with other similar offences in Commonwealth, State and Territory crimes legislation.

93. Items 79 and 80 will amend subsection 269(1) which provides offences for obtaining credit above a certain amount or making similar arrangements whilst an undischarged bankrupt without disclosing the fact of bankruptcy. The amendments will extend these offences to debtors who are, at the time of the conduct, party to a debt agreement under Part IX.

94. Item 81 will amend section 272 which provides offences for a bankrupt who leaves Australia. Paragraphs (1)(a) and (b) include offences for preparing to leave Australia with intent to defeat creditors. The penalty for these offences will be increased from 3 to 5 years. The offences contained in these paragraphs involve an intent to defraud. The increased penalty recognises the seriousness of these offences in the context of bankruptcy. It will also bring the offences into line with other similar offences in Commonwealth, State and Territory crimes legislation.

Infringement notices for offences

95. Items 82 and 83 will introduce an infringement notice regime for offences of strict liability contained in the Act. Under an infringement notice regime, a non-judicial officer is empowered to give a notice alleging the offence to a suspected offender providing that the suspected offender may pay a specified penalty to avoid prosecution. Such a regime would provide an efficient means of penalising behaviour which, while relatively minor in criminality, can have significant repercussions for the effective administration of bankrupt estates, integrity of the NPII or regulation of insolvency practitioners. The issuing of a notice would not replace the current penalties but would serve as an alternative to prosecution.

96. The amendments to be made by this Bill will enable regulations to be made for the purposes of establishing the infringement notice regime. The penalty payable for the offences to be covered is limited to the amount specified in the table in new subsection 277B(2).

Application of amendments

97. Item 84 includes application provisions for some amendments in this Schedule. Those items not covered will apply from commencement.

98. Item 84(1) provides that the amendment made by item 5 applies in relation to orders made on or after commencement. This means that the requirement under section 52 for a creditor to give a copy of a sequestration order to the Official Receiver within 2 days applies only in relation to sequestration orders made on or after commencement.

99. Item 84(2) provides that the amendment made by item 12 applied in relation to special resolutions passed on or after commencement. This means that the requirement under section 74 for a trustee to give written notice of an annulment to the Official Receiver within 2 days applies only in relation to special resolutions passed on or after commencement.

100. Item 84(3) provides that the amendment made by item 15 applies in relation bankruptcies for which the date of bankruptcy is before, on or after commencement. This means that the new power under section 77CA for the Official Receiver to obtain a statement of affairs applies to all bankruptcies where the bankrupt has not filed a statement of affairs. This includes bankruptcies which existed before these amendments commence. This is appropriate as the obligation to file a statement of affairs already exists - the new power is simply allowing the Official Receiver to enforce that existing obligation.

101. Item 84(4) provides that the amendments made by items 16 to 19 apply in relation to bankruptcies for which the date of bankruptcy is on or after commencement. This means that the new ground for objecting to discharge (failure to hand over a passport to the trustee) is available only where the date of bankruptcy is on or after commencement.

102. Item 84(5) provides that the amendments made by items 20 and 23 apply in relation to bankruptcies that are annulled on or after commencement. This means that the requirement for the trustee to notify the Official Receiver of an annulment within 2 days applies only where the bankruptcy is annulled on or after commencement (regardless of the date of bankruptcy).

103. Item 85(6) provides that the amendment made by item 24 applies in relation to persons ceasing to be registered as a trustee on or after commencement. This means that the obligation for a person who ceases to be registered as a trustee to return his or her certificate of registration within 7 days applies only where the person ceases to be registered on or after commencement.

104. Item 84(7) provides that the amendments made by items 27 and 33 apply in relation to financial years ending on or after commencement. This means that the requirement for trustees and debt agreement administrators to give annual estate returns applies from the first financial year ending on or after commencement (that is, the financial year during which the amendments commence).

105. Item 84(8) provides that the amendments made by items 31 and 35 apply in relation to deaths occurring on or after commencement. This means that the requirement for the person administering the estate of a deceased trustee or administrator to notify the Official Receiver of the death within 28 days applies only where the person dies on or after commencement.

106. Item 84(9) provides that the amendment made by item 37 applies in relation to notices given under subsection 186J(2) on or after commencement. This means that the obligation for a person who ceases to be registered as a debt agreement administrator to return his or her certificate of registration within 7 days applies only where the person gives notice surrendering his or registration on of after commencement.

107. Item 84(10) provides that the amendments made by items 39, 41 and 43 apply in relation to cancellations made on or after commencement. This means that the obligation for a person who ceases to be registered as a debt agreement administrator to return his or her certificate of registration within 7 days applies only where the person ceases to be registered on or after commencement.

108. Item 84(11) provides that the amendments made by items 45 and 46 apply in relation to personal insolvency agreement entered into on or after commencement. This means that the requirement for a trustee to give to the Official Receiver a copy of a personal insolvency agreement within 2 days of its execution applies only to personal insolvency agreement entered into on or after commencement. Similarly, the offence for failing to comply with this obligation applies only where the agreement is entered into on or after commencement.

109. Item 84(12) provides that the amendment made by item 47 applies in relation to terminations or variations occurring on or after commencement. This means that the requirement for a trustee to give to the Official Receiver a copy of a resolution varying or terminating a personal insolvency agreement within 2 days applies only to variations or terminations which occur on or after commencement.

110. Item 84(13) provides that the amendment made by item 49 applies in relation to variations occurring on or after commencement. This means that the requirement for a trustee to give to the Official Receiver a copy of a variation of personal insolvency agreement (under subsection 221A(5)) within 2 days applies only to variations which occur on or after commencement.

111. Item 84(14) provides that the amendment made by item 51 applies in relation to terminations occurring on or after commencement. This means that the requirement for a trustee to give to the Official Receiver a copy of a termination of a personal insolvency agreement (where the termination results from something within the terms of the agreement) within 2 days applies only to terminations which occur on or after commencement.

112. Item 84(15) provides that the amendments made by items 53, 57, 60 and 64 apply in relation to orders made on or after commencement. Item 53 relates to Court orders setting aside personal insolvency agreements. Items 57, 60 and 64 relate to orders in connection with the administration of deceased estates in bankruptcy. The requirement to provide copies of any of these orders to the Official Receiver within 2 days applies only to orders made on or after commencement.

113. Item 84(16) provides that the amendment made by item 65 applies in relation to annulments occurring on or after commencement. This relates to the annulment of an order for the administration of a deceased estate in bankruptcy. The requirement to give a certificate of annulment to the Official Receiver within 2 days applies only where the annulment occurs on or after commencement.

114. Item 84(17) provides that the amendments made by items 70 and 71 apply in relation to the obtaining of property, and the incurring of debts and liabilities, on or after commencement. This means that these offences, as amended, can occur only where the conduct occurred on or after commencement.

115. Item 84(18) provides that the amendment made by item 75 applies in relation to declarations made on or after commencement. This means that the offence, as amended to include declarations made other than in writing with a written signature, can only be committed where the conduct occurs on or after commencement.

116. Item 84(19) provides that the amendments made by items 79 and 80 apply in relation to debt agreements made on or after commencement. These items will extend offences relating to obtaining credit whilst bankrupt to debtors who are party to debt agreements. The application provision means that the offence can only be committed by a debtor who has entered into the debt agreement on or after commencement of the amendments.