Central Act
Back
PROVINCIAL INSOLVENCY ACT, 1920
THE PROVINCIAL INSOLVENCY ACT, 1920
(Act 5 of 1920)
ARRANGEMENT OF SECTIONS
Sections
1. Short title and extent.
2. Definitions.
PART I
Constitution and Powers of Court
3. Insolvency jurisdiction.
4. Power of Court to decide all questions arising in insolvency.
5. General powers of Courts.
PART II
PROCEEDINGS FROM ACT OF INSOLVENCY TO DISCHARGE
Acts of insolvency
Acts of insolvency.
Petition
7. Petition and adjudication.
8. Exemption of corporation, etc., from insolvency proceedings.
9. Conditions on which creditor may petition.
10. Conditions on which debtor may petition.
11. Court to which petition shall be presented.
12. Verification of petition.
13. Contents of petition.
14. Withdrawal of petitions.
15. Consolidation of petitions.
16. Power to change carriage of proceedings.
17. Continuance of proceedings on death of debtor.
18. Procedure for admission of petition.
19. Procedure on admission of petition.
20. Appointment of interim receiver.
21. Interim proceedings against debtor.
22. Duties of debtors.
23. Release of debtor.
24. Procedure at hearing.
25. Dismissal of petition.
26. Award of compensation.
Order of adjudication
27. Order of adjudication.
28. Effect of an order of adjudication.
28A. Insolvent’s property to comprise certain capacity.
29. Stay of pending proceeding.
30. Publication of order of adjudication.
Proceedings consequent on order of adjudication
31. Protection order.
32. Power to arrest after adjudication.
33. Schedule of creditors.
34. Debts provable under the Act.
Annulment of adjudication
35. Power to annul adjudication of insolvency.
36. Power to cancel one of concurrent orders of adjudication.
37. Proceedings on annulment.
Compositions and schemes of arrangement.
38. Compositions and schemes of arrangement.
39. Order on approval.
40. Power to re-adjudge debtor insolvent.
Discharge
41. Discharge.
42. Cases in which Court must refuse an absolute discharge.
43. Adjudication to be annulled on failure to apply for discharge.
44. Effect of order of discharge.
PART III
Administration of Property
Method of proof of debts
45. Debt payable at a future time.
46. Mutual dealings and set-off.
47. Secured creditors.
48. Interest.
49. Mode of proof.
50. Disallowance and reduction of entries in schedule.
Effect of insolvency on antecedent transactions
51. Restriction of rights of creditor under execution.
52. Duties of Court executing decree as to property taken in execution.
53. Avoidance of voluntary transfer.
54. Avoidance of preference in certain cases.
54A. By whom petitions for annulment may be made.
55. Protection of bona fide transactions.
Realisation of property
56. Appointment of receiver.
57. Power to appoint Official Receivers.
58. Powers of Court if no receiver appointed.
59. Duties and powers of receiver.
59A. Power to require information regarding insolvent’s property.
60. Special provisions in regard to immoveable property.
Distribution of property
61. Priority of debts.
62. Calculation of dividends.
63. Right of creditor who has not proved debt before declaration of a dividend.
64. Final dividend.
65. No suit for dividend.
66. Management by and allowance to insolvent.
67. Right of insolvent to surplus.
67A. Committee of inspection.
Appeal to Court against receiver
68. Appeal to Court against receiver.
PART IV
Penalties
69. Offences by debtors.
70. Procedure on charge under section 69.
71. Criminal liability after discharge or composition.
72. Undischarged insolvent obtaining credit.
73. Disqualifications of insolvent.
PART V
Summary Administration
74. Summary administration.
PART VI
Appeals
75. Appeals.
PART VII
Miscellaneous
76. Costs.
77. Courts to be auxiliary to each other.
78. Limitation.
79. Power to make rules.
80. Delegation of powers to Official Receivers.
81. Power of State Government to bar application of certain provisions to certain Courts.
82. Savings.
83. Repeals.
SCHEDULE I.—Decisions and Orders from which an appeal
LIES TO THE HIGH COURT UNDER SECTION 75 (2).
SCHEDULE II.—Provisions of the Act application of which
MAY BE barred BY STATE GOVERNMENTS.
SCHEDULE III.—[Repealed].
LIST OF AMENDING ACTS AND ADAPTATION ORDERS
1. The Devolution Act, 1920 (38 of 1920).
2. The Insolvency (Amendment) Act, 1926 (9 of 1926).
3. The Provincial Insolvency (Amendment) Act, 1926 (39 of 1926).
4. The Insolvency (Amendment) Act, 1927 (11 of 1927).
5. The Repealing Act, 1927 (12 of 1927).
6. The Repealing and Amending Act, 1930 (8 of 1930).
7. The Insolvency Law (Amendment) Act, 1930 (10 of 1930).
8. The Provincial Insolvency (Amendment) Act, 1935 (10 of 1935).
9. The Government of India (Adaptation of Indian Laws) Order, 1937.
10. The Financial Insolvency (Punjab Amendment), 1939 (Punjab Act 3 of 1939). For Statement of Objects and Reasons, see Punjab Government Gazette (Extraordinary), 1938, Part I, page 1538.
11. The Repealing and Amending Act, 1939 (34 of 1939).
12. The Indian Independence (Adaptation of Central Acts and Ordinances) Order, 1948.
13. The Provincial Insolvency (Amendment) Act, 1948 (25 of 1948).
14. The Adaptation of Laws Order, 1950.
15. The Insolvency Law (Amendment) Act, 1950. (3 of 1950).
16. The Adaptation of Laws (No. 3) Order, 1956.
17. The Punjab Laws (Extension No. 5) Act, 1958 (Punjab Act 30 of 1958)For Statement of Objects and Reasons, see Punjab Government Gazette (Extraordinary), 1958, page 1494.
LIST OF ABBREVIATIONS USED
A. O. 1937. .. for Government of India (Adaptation of Indian Laws) Order, 1937.
A. O. 1948 .. for Indian Independence (Adaptation of Central Acts and Ordinances) Order, 1948.
