Insolvency Act

Webinar: COVID-19 – Restructuring Options and Risks for Businesses

Lee Shih3 Comments

As part of the ongoing CLJ Law webinar series, I will be speaking on Monday 13 April 2020 at 3pm. I will highlight the key restructuring and rescue options for businesses (both companies and for individuals), and also the potential risks for directors as the companies take on more debt during this COVID-19 period.

[Edit: The session filled up its 100 spots within an hour of registration opening. I am now discussing with CLJ Law whether a second session can be held. ]

This is a free webinar but requires prior registration and limited to only 100 pax. You can click to register here.

Case Update: Court of Appeal Clarifies Leave for Bankruptcy against Guarantors under the Insolvency Act 1967

Lee Shih8 Comments

The Court of Appeal decision in Hong Leong Bank Berhad v Ong Moon Huat [2018] 1 LNS 1612 has clarified two important points under the new Insolvency Act 1967 on bankruptcy actions against guarantors.

The first issue is to clarify the protection for guarantors where all modes of execution and enforcement must be first exhausted against the principal debtor alone. The second issue is that when seeking leave to proceed against the guarantor, the judgment creditor can apply for leave to proceed either upon the issuance of the bankruptcy notice or even prior to that, up to and immediately prior to the filing of a creditor’s petition. Continue reading →

Bankruptcy Law Seminar: The New Insolvency Act 1967

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Legal Logic Asia is holding its Bankruptcy Law Seminar: Impact and Compliance of the New Insolvency Act 1967 & Insolvency Rules 2017. This is on 19 December 2017 at Concorde Hotel. This will be a comprehensive one-day seminar covering all of the major changes now rolled out under the renamed Insolvency Act 1967.

Judging from the questions I have seen posted on this website, as well as uncertainties in practice, I recommend you to consider attending this seminar. Here is the brochure for the Bankruptcy Law Seminar: Impact and Compliance of the New Insolvency Act 1967 & Insolvency Rules 2017. Continue reading →

Bankruptcy Amendments: The New Insolvency Rules and Voluntary Arrangement Rules

Lee Shih5 Comments

As I have updated in my earlier article, the amendments to the Bankruptcy Act have now all come into force on 6 October 2017. We should now all be referring to it as the Insolvency Act 1967, instead of the old Bankruptcy Act 1967.

As a reminder, the new term Insolvency Act 1967 still merely refers to individual insolvency or individual bankruptcy. It does not involve corporate insolvency. Further, even under the Insolvency Act 1967, it continues to refer to the act of bankruptcy and the bankruptcy order.

Going hand in hand with the renamed Insolvency Act 1967, there are now a host of new rules that come along with the Act. Continue reading →

Bankruptcy Amendment Bill Passed by Malaysia’s Lower House of Parliament

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On 29 March 2017, it has been reported (see Bernama and the New Straits Times) that the Bankruptcy (Amendment) Bill 2016 has been passed by the Dewan Rakyat, being the lower house of Parliament of Malaysia. The changes to the law will not be in force just yet. The Bill will now be sent to the Dewan Negara and then subsequently receive Royal Assent. The coming into force of the new law will then be on a gazetted date.

Continue reading →