Bankruptcy Act 1966

This section applies if:

a person (the former trustee) ceases to be the trustee of a regulated debtor’s estate; and

a registered trustee (the new trustee) is appointed as trustee of the estate instead.

The former trustee must transfer to the new trustee, within the handover period, possession or control of any books relating to the administration of the estate that are in the former trustee’s possession or control.

The handover period is:

the period of 10 business days beginning on the day after the new trustee is appointed; or

if another period is agreed between the former trustee and the new trustee—that other period.

The former trustee may take a copy of any part of the books before transferring possession or control of them to the new trustee.

The new trustee must take possession or accept control of any books relating to the administration of the regulated debtor’s estate.

After possession or control of the books is transferred, the new trustee must allow the former trustee to inspect them at any reasonable time and take a copy of any part of the books.

A person commits an offence if:

the person is subject to a requirement under subsection (2), (5) or (6); and

the person intentionally or recklessly fails to comply with the requirement.

If the new trustee is entitled to take possession or control of the books under this section:

a person is not entitled, as against the new trustee, to claim a lien on the books; and

such a lien is not otherwise prejudiced.