Bankruptcy Act 1966

The trustee of a regulated debtor’s estate may at any time put a proposal to the creditors by giving notice, in writing, under this section.

The notice must:

contain a single proposal; and

include a statement of the reasons for the proposal and the likely impact it will have on creditors (if it is passed); and

be given to each creditor who would be entitled to receive notice of a meeting of creditors; and

invite the creditor to either:

vote Yes or No on the proposal; or

object to the proposal being resolved without a meeting of creditors; and

specify a reasonable time by which replies must be received by the trustee (in order to be taken into account).

A certificate signed by the trustee of the regulated debtor’s estate stating any matter relating to a proposal under this section is prima facie evidence of the matter.

The Insolvency Practice Rules may provide for and in relation to proposals without meeting under this section.

Without limiting subsection (4), the Insolvency Practice Rules may provide for and in relation to:

the circumstances in which a proposal is taken to be passed; and

whether a proposal, if passed, is to be taken to have been passed as a resolution or a special resolution; and

costs and security for those costs in relation to a proposal.