Section 136 of the Bankruptcy Act states that a Trustee in Bankruptcy has the power to pay out a mortgage of the debtor. This is required to enable the Trustee in Bankruptcy to realize the assets for the bankrupt estate. For example if the bankrupt holds shares but the shares are encumbered, the Trustee in Bankruptcy may firstly pay out the encumbrance before selling the shares on the open market.
Confidential Enquiry
Bankruptcy in Australia
Bankruptcy Information
- The Consequences of Bankruptcy in Australia
- Bankruptcy Application
- Bankruptcy Trustee – to be independent and impartial
- Bankruptcy Meetings
- Bankruptcy Advice
- Personal Bankruptcy
- Bankruptcy and Trusts
- Income Contributions for a bankrupt
- Credit whilst bankrupt
- Purchasing Assets whilst Bankrupt
- Protected Assets whilst Bankrupt
- Trustee can to object to the automatic discharge
- Trustee to assess the bankrupt’s income for compulsory income contributions
- Trustee to investigate voidable transactions
- Trustee can hold a meeting of creditors
- Trustee to publically examine a bankrupt
- Trustee to issue notices to obtain information
- Trustee to bring or defend any legal proceedings
- Trustee to apply to court to carry out any function
- Trustee to apply to court for a warrant to seize property
- Trustee to pay out mortgages
- Bankruptcy Trustee to carry on the bankrupt’s business
- Bankruptcy Trustee can obtain legal advice
- Bankruptcy Trustee can sell property
- What powers does a Trustee in Bankruptcy have?
- Bankruptcy and the Family Home
- Bankruptcy term & objection to discharge
- Role of a Trustee in Bankruptcy
- Responsibilities and obligations of a bankrupt
- Becoming Bankrupt in Australia – Creditor’s Petition
Case Studies
Trustee to pay out mortgages
Read more or FREE Online Debt Assessment
2012 © Bankruptcy Advice Australia™ #1273740 | All rights reserved
Bankruptcy Glossary & Information
8/07/11