182909-1931-Supplementary-Bills-read-a-first-time--Bankruptcy — Page 33

Validity of certain pay- ments to

bankrupt and assignee. 4 & 5 Geo. 5, c. 59, s. 46.

Dealings with un- discharged bankrupt. 4 & 5 Geo. 5,

c. 59, s. 47 (1).

Cf. 4 & 5

Geo. 5, c. 59, s. 47 (2).

Possession of property by trustee.

4 & 5 Geo.. 5, o. 59, s. 48 (1).

4 & 5 Geo. 5, c. 59,

s. 48 (2).

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514

ticable for the trustee to recover in respect of the money or property or of some part thereof from the person to whom it was paid or transferred.

51. A payment of money or delivery of property to a person subsequently adjudged bankrupt, or to a person claiming by assignment from him, shall, not- withstanding anything in this Ordinance, be a good discharge to the person paying the money or deliver- ing the property, if the payment or delivery is made before the actual date on which the receiving order is made and without notice of the presentation of a bankruptcy petition, and is either pursuant to the ordinary course of business or otherwise bonâ fide.

52.-(1) All transactions by a bankrupt with any person dealing with him bona fide and for value, in respect of property, whether leasehold or pure person- alty, acquired by the bankrupt after the adjudication, shall, if completed before any intervention by the trustee, be valid against the trustee, and any estate or interest in such property which by virtue of this Ordinance is vested in the trustee shall determine and pass in such manner and to such extent as may be required for giving effect to any such transaction.

This sub-section shall apply to transactions with respect to leasehold property completed before the 1st day of January, 1932, in any case where there has not been any intervention by the trustee before that

date.

For the purposes of this sub-section, the receipt of any money, security, or negotiable instrument from, or by the order or direction of, a bankrupt by his banker, and any payment and any delivery of any security or negotiable instrument made to, or by the order or direction of, a bankrupt by his banker, shall be deemed to be a transaction by the bankrupt with such banker dealing with him for value.

(2) Where any individual, company or firm has ascertained that a person having a deposit, whether a deposit in respect of capital or not, or a credit balance, with such individual, company or firm is an undischarged bankrupt, then it shall be the duty of such individual, company or firm forthwith to inform the Official Receiver, and the trustee in the bank- ruptey, of the existence of the deposit or credit balance, and such individual, company or firm shall not make any payment out of or in respect of the deposit or credit balance except under an order of the court or in accordance with instructions from the Official Receiver or the trustee in the bankruptcy.

(3) In case of any contravention of the provisions of sub-section (2) the individual, or the directors and officers of the company, or the partners and manager of the firm, as the case may be, shall upon summary conviction be liable to a fine not exceeding one thousand dollars and to imprisonment for any term not exceeding six months.

Realisation of Property.

53.—(1) The trustee shall, as soon as may be, take possession of the deeds, books, and documents of the bankrupt, and all other parts of his property capable of manual delivery.

(2) The trustee shall, in relation to and for the purpose of acquiring or retaining possession of the property of the bankrupt, be in the same position as if he were a receiver of the property appointed by the court, and the court may, on his application, enforce such acquisition or retention accordingly.

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