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THE HONGKONG GOVERNMENT GAZETTE, 7TH NOVEMBER, 1991.

Greditor's petition.

Debtor'< petitiou,

(a.) The debt owing by the debtor to the petitioning

creditor or if two or more creditors join in the petition the aggregate amount of debts owing to the several petitioning creditors amounts to three hundred dollars and

(b.) The debt is a liquidated sum payable either

immediately or at some certain future time and (c.) The act of bankruptcy on which the petition is grounded has occurred within three months before the prescutation of the petition and

(d.) The debtor or if he is a member of a firm and the proceedings are against the firm his partner or one of his partners is domiciled in Hongkong or within a year before the date of the prosentation of the petition has ordinarily resided or had a dwelling- house or the debtor or his firm has within the same period had a place of business in Hongkong. (2.) If the petitioning creditor is a secured creditor he must in his petition either state that he is willing to give up his security for the benefit of the creditors in the event of the debtor being adjudged bankrupt or give an estimate of the value of his security. In the latter case he may be admitted as a petitioning creditor to the extent of the balance of the debt due to him after deducting the value so estimated in the same manner as if he were an unsecured creditor.

7. (1.) A creditor's petition (Form No. 6 of Schedule A) shall be verified by affidavit of the creditor or of some person on his behalf having knowledge of the facts and served in the same manner as a writ of summons, in any suit in the Court it shall not be heard until the expiration of eight days from the service thereof unless by leave of the Court on good cause shown.

(2.) At the hearing the Court shall require proof of the debt of the petitioning creditor of the service of the petition and of the act of bankruptcy or if more than one act of bankruptcy is alleged in the petition of some one of the alleged acts of bankruptcy and if satisfied with the proof may make a receiving order in pursuance of the petition.

(3.) If the Court is not satisfied with the proof of the petitioning creditor's debt or of the act of bankruptcy or of the service of the petition or is satisfied by the debtor that he is able to pay his debts or is satisfied that there are and will be no substantial assets for division amongst the creditors or that for other sufficient cause no order ought to be made the Court may dismiss the petition: A debtor intending to show cause against a petition shall file with the Registrar a notice (Form No. 10 of Schedule A) specifying the statements in the petition he intends to dispute and shall serve upon the petitioning creditor or his solicitor a copy of such notice two days before the day on which the petition is to be heard.

(4.) Where the debtor appears on the petition and denies. that he is indebted to the petitioner or that he is indebted to such an amount as would justify the petitioner in pre- senting a petition against him the Court on such security (if any) being given as the Court may require for payment to the petitioner of any debt which may be established against him in due course of law and of the costs of estab- lishing the debt may instead of dismissing the petition stay all proceedings on the petition for such time as may be required for trial of the question relating to the debt.

(5.) Where proceedings are stayed the Court may if by reason of the delay caused by the stay of proceedings or for any other cause it thinks just make a receiving order on the petition of some other creditor and shall thereupon dismiss on such terms as it thinks just the petition in which pro-. ceedings have been stayed as aforesaid.

(6.) A creditor's potition shall not after presentment be withdrawn without the leave of the Court.

8. (1.) A debtor's petition (Form No. 3 of Schedule A) shall allege that the debtor is unable to pay his debts and the presentation thereof shall be deemed an act of bankruptcy without the previous filing by the debtor of any declaration or inability to pay his debts and the Court shall thereupon make a receiving order.

(2.) A debtor's petition shall not after presentiment be withdrawn without the leave of the Court,