600
[s. 30 contd.]
No. 7 of 1891.
BANKRUPTCY.
(5) If a secured creditor neither realizes nor surrenders his security, he may in his proof set a value on it and prove for the balance, but when it is so valued the trustee may, at any time before it is realized, redeem it for the benefit of the estate on payment of the amount of the valuation, or the court, on the application of the trustee, may order the realization of the security by sale by public auction or otherwise: Provided that the creditor may at any time, by notice in writing, require the Official Receiver or trustee to elect whether he will or will not exercise his power of redeeming the security or requiring it to be realized, and if the Official Receiver or trustee does not, within six months after receiving notice as aforesaid, signify in writing to the creditor his election to exercise the power, he shall not be entitled to exercise it; and the equity of redemption or other interest in the property comprised in the security which is vested in the Official Receiver or trustee shall vest in the creditor, and the amount of his debt shall be reduced by the amount at which the security has been valued,
(6) By leave of the court, a valuation as above provided for may be amended on such terms as the court may think just, on proof that it was made bonâ fide on a mistaken estimate or that the security has increased or diminished in value since the prior valuation.
(7) If a creditor's security is realized after valuation, the net amount realized shall, for the purposes of proof, be substituted for the amount of the valuation.
(8) Where a creditor seeks to prove in respect of a bill of exchange, promissory note, or other negotiable instrument or security on which the debtor is liable, such bill of exchange, note, instrument, or security must, subject to any special order of the court, be produced to the Official Receiver before the proof can be admitted either for voting or for dividend, and the amount of any dividend paid must be indorsed on the instrument.
(9) Subject to the power of the court to extend the time, the Official Receiver or trustee shall, within fourteen days after receiving a proof, either admit it, or reject it wholly or in part, or require further evidence in support of it, and shall notify his decision to the creditors at the next general meeting. An appeal to the court from the admission or rejection of a proof shall not lie after the expiration of one
600
[s. 30 contd.]
No. 7 of 1891.
BANKRUPTCY.
(5) If a secured creditor neither realizes nor surrenders his security, he may in his proof set a value on it and prove for the balance, but when it is so valued the trustee may, at any time before it is realized, redeem it for the benefit of the estate on payment of the amount of the valuation, or the court, on the application of the trustee, may order the realization of the security by sale by public auction or otherwise: Provided that the creditor may at any time, by notice in writing, require the Official Receiver or trustee to elect whether he will or will not exercise his power of redeeming the security or requiring it to be, realized, and if the Official Receiver or trustee does not, within six months after receiving notice as aforesaid, signify in writing to the creditor his election to exercise the power, he shall not be entitled to exercise it; and the equity of redemption or other interest in the property comprised in the security which is vested in the Official Receiver or trustee shall vest in the creditor, and the amount of his debt shall be reduced by the amount at which the security has been valued,
(6) By leave of the court, a valuation as above provided for may be amended on such terms as the court may think just, on proof that it was made bonâ fide on a mistaken estimate or that the security has increased or diminished in value since the prior valuation.
(7) If a creditor's security is realized after valuation, the net amount realized shall, for the purposes of proof, he substituted for the amount of the valuation.
(8) Where a creditor seeks to prove in respect of a bill of exchange, promissory note, or other negotiable instrument or security on which the debtor is liable, such bill of exchange, note, instrument, or security must, subject to any special order of the court, be produced to the Official Receiver before the proof can be admitted either for voting or for dividend, and the amount of any dividend paid must be indorsed on the instrument.
(9) Subject to the power of the court to extend the time, the Official Receiver or trustee shall, within fourteen days after receiving a proof, either admit it, or reject it wholly or in part, or require further evidence in support of it, and shall notify his decision to the creditors at the next general meeting. An appeal to the court from the admission or rejection of a proof shall not lie after the expiration of one
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