Alan Shatter (Dublin South, Fine Gael) | Oireachtas source

These amendments address matters relating to an application for a protective certificate in the debt settlement arrangement and personal insolvency arrangement processes.

Amendment No. 56 substitutes the existing text of section 46(1) with new text regarding the information which the debtor is required to provide to the personal insolvency practitioner about his or her financial affairs. It also now includes a requirement for the disclosure of details of any guarantees given by the debtor. The amendment is intended to improve the clarity of the provision.

Amendment No. 57is a technical drafting amendment to further refine the text to include a reference to the provision of the personal insolvency practitioner’s advice in writing.

The purpose ofAmendment No. 61is to make clear that where the advice of a personal insolvency practitioner is that a debtor should not make a proposal for, or enter into, an arrangement, the personal insolvency practitioner is required to notify the insolvency service of that fact, and the appointment of the personal insolvency practitioner shall come to an end.

Amendment No. 63 inserts anew subsection (3) in section 53 to provide that a proposal for a debt settlement arrangement should only concern debts which are in default for a period of more than six months prior to the application. Amendment No. 118provides for a similar amendment to be made to section 88 regarding a proposal for a personal insolvency arrangement.

Amendment No. 65extends the provisions ofsection 54(2)(e) with new text to provide that the schedule of debts and creditors that must accompany an application for a protective certificate relating to a proposal for a debt settlement arrangement should also contain any other information that may be prescribed. Amendment No. 120provides for a corresponding amendment to section 89(2)(e) regarding an application for a protective certificate relating to a proposal for a personal insolvency arrangement.

Amendment No. 66 inserts two new subsections in section 54 to improve the text. The new subsection (3) provides that an application for a protective certificate may be withdrawn by the personal insolvency practitioner at any time prior to the issue of the certificate. This is not made clear in the Bill as it currently stands. The new subsection (4) places an obligation on the personal insolvency practitioner to notify the insolvency service as soon as practicable after he or she becomes aware of any inaccuracy or omission in an application for a protective certificate. The insolvency service is required to have regard to any such information provided under subsection (4) for the purposes of its consideration of the debtor’s application. Amendment No. 121provides for the same amendments to be made to section 89 in relation to the personal insolvency arrangement.

Amendment No. 67 will replace the current section 56 with improved and extended text regarding the process whereby the insolvency service refers an application for a protective certificate in respect of a debt settlement arrangement to the court. The new elements concern situations where the insolvency service is dissatisfied with the application and may require a revised application or where a court requires further information. Where a court decides to hold a hearing, it may hold it otherwise than in public. Amendment No. 122 is similar in purpose toAmendment No. 67andproposes the replacement of section 91 relating to the process for referring an application for a protective certificate in respect of a personal insolvency arrangement to the court.

Amendment No. 117 removes the requirement for a debtor applying for a personal insolvency arrangement to make a statutory declaration as to his or her co-operation with secured creditors in regard to the principal private residence and replaces it with a requirement for a declaration in writing. At present, section 131 requires the Minister for Justice and Equality to prescribe the form of the prescribed financial statement to be used in applications for the new debt resolution processes provided for in the Bill. For flexibility, amendments No. 177 and 178 propose instead that the insolvency service should carry out this function. Amendment No. 179 is a technical drafting amendment to improve the presentation of section 131.

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