The test under s 38FC(1)(b) of the Legal Profession Act 1987 (NSW) for cancellation of a practising certificate following an act of bankruptcy is not a test of dishonesty; the Council must look to the circumstances in which the act of bankruptcy was committed and be persuaded that those circumstances show the practitioner is not a fit and proper person to hold a practising certificate. An even balance means the test is not met. Section 38FE(1)(b) is a summary procedure available only where no arguable case is presented on the face of the written statement, and is not available where the Council has conducted a full investigation under s 38FC. Part 3 Division 1AA should not be used as a substitute for Part 10 proceedings where the conduct may warrant permanent removal from the roll.
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