What Not To Do In Bankruptcy

Bankruptcy Trustees have an important role comprising of statutory duties and principles, and to act impartially between creditors and the individual subject to the bankruptcy.

That does not, however, mean the Bankruptcy Trustee has to be viewed as the enemy.

Whilst Bankruptcy Trustees need to ensure the bankrupt individuals comply with the obligations imposed on them by the Bankruptcy Act and legislation, most often the Bankruptcy Trustees are able and willing to work collaboratively and assist the individuals in that process.

In practical terms, the Bankruptcy Trustee’s role can be simplified to secure/realise financial assets of the individual, determine the creditors and their debts, investigate financial affairs/dealings and make recoveries where required, distribute the estate pool of funds amongst creditors per the bankruptcy priorities, and the administrative filings and reporting associated with these tasks.