Report No. 26
91. Duties and powers of Official Assignee.-(1) Subject to the provisions of this Act, the Official Assignee shall, with all convenient speed, realise the property of the debtor and distribute dividends among the creditors entitled thereto, and for that purpose-
(a) may sell all or any part of the property of the insolvent;
(b) may give receipts for any money received by him; and
(c) may, by leave of the court, do all or any of the following things, namely:-
(i) carry on the business of the insolvent so far as may be necessary for the beneficial winding up of the same;
(ii) institute, defend or continue any suit or other legal proceeding relating to the property of the insolvent;
(iii) employ a legal practitioner or other agent to take any proceedings or do any business which may be sanctioned by the court;
(iv) accept as the consideration for the sale of any property of the insolvent a sum of money payable at a future time or fully paid shares, debentures or debenture stock in any limited company, subject to such stipulations as to security and otherwise as the court thinks fit;
(v) mortgage or pledge any part of the property of the insolvent for the purpose of raising money for the payment of his debts, or for the purpose of carrying on the business;
(vi) refer any dispute to arbitration, and compromise all debts, claims and liabilities, on such terms as may be agreed upon; and
(vii) divide in its existing form amongst the creditors, according to its estimated value, any property which, from its peculiar nature or other special circumstances, cannot readily or advantageously be sold.
[Section 59, P.A.] [Cf. section 68(1), P.T.A.]
(2) The duties of an Official Assignee shall have relation to the conduct of the insolvent as well as to the administration of his estate.
[New] [Cf. section 79(1), P.T.A.]
(3) In particular, it shall be the duty of the Official Assignee-
(a) to investigate the conduct of the insolvent and to report to the court upon any application for discharge, stating whether there is reason to believe that the insolvent has committed any act which constitutes an offence under this Act or under sections 421 to 424 of the Indian Penal Code (45 of 1860) in connection with his insolvency or which would justify the court in refusing, suspending or qualifying an order for his discharge,
(b) to make such other reports concerning the conduct of the insolvent as the court may direct or as may be prescribed; and
(c) to take such part and give such assistance in relation to the prosecution of any fraudulent insolvent as the court may direct or as may be prescribed.
[New] [Cf. section 79(2), P.T.A.]
(4) The Official Assignee shall account to the court and pay over all monies and deal with all securities in such manner as is prescribed or as the court directs.
[New] [Cf. section 68(2), P.T.A.]
(5) The Official Assignee shall, whenever required by any creditor so to do, and on payment by the creditor of the prescribed fee, furnish and send to the creditor by post a list of the creditors, showing in the list the amount of the debt due to each of the creditors.
[New] [Cf. section 80, P.T.A.]
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