THE CORPORATIONS LAW

CHAPTER 7 - SECURITIES

PART 7.10 - THE NATIONAL GUARANTEE FUND

Division 1 - Interpretation

SECTION 922   BECOMING INSOLVENT  

922(1)  [When body corporate becomes insolvent]  

For the purposes of this Part, a body corporate becomes insolvent at a particular time if, and only if, at that time:

(aa)  an administrator of the body corporate is appointed under section 436A, 436B or 436C;

(a)  the body corporate commences to be wound up or ceases to carry on business;

(b)  a receiver, or a receiver and manager, of property of the body corporate is appointed, whether by a court or otherwise; or

(c)  the body corporate enters into a compromise or arrangement with its creditors or a class of them.

922(2)  (Omitted by No 110 of 1990, Sch 1 (effective 18 December 1990).)

922(3)  [When natural person becomes insolvent]  

For the purposes of this Part, a natural person becomes insolvent at a particular time if, and only if, at that time:

(a)  a creditor's petition or a debtor's petition is presented under Division 2 or 3, as the case may be, of Part IV of the Bankruptcy Act 1966 against:

(i) the person;

(ii) a partnership in which the person is a partner; or

(iii) 2 or more joint debtors who include the person;

(b)  the person's property becomes subject to control under Division 2 of Part X of the Bankruptcy Act 1966;

(c)  the person executes a deed of assignment or deed of arrangement under Part X of the Bankruptcy Act 1966; or

(d)  the person's creditors accept a composition under Part X of the Bankruptcy Act 1966.

922(4)  [Laws of other countries, etc]  

A reference in subsection (3) to a Division or Part of the Bankruptcy Act 1966 includes a reference to provisions of a law of an external Territory, or a country other than Australia or an external Territory, that correspond to that Division or Part.