It is an offence under the law for an undischarged bankrupt to act as a director, to take part in or be involved in the management of any corporation or of a business or act as a manager of a limited liability partnership without the written permission of the Official Assignee or the leave of the High Court. He would have committed an offence under Section 148(1) of the Companies Act, or in the case of a business, an offence under Section 26(1) of the Business Registration Act, or in the case of a limited liability partnership, an offence under Section 33(1) of the Limited Liability Partnership Act. On conviction, he is liable to a fine up to $10,000 or an imprisonment term not exceeding 2 years; or both.
He must understand his legal obligations and liabilities when he signs the undertaking with the Insolvency & Public Trustee’s Office concerning his duties and responsibilities as an undischarged bankrupt and comply with the undertaking. He should not assume that his name would be automatically removed from the register of the Accounting & Corporate Regulatory Authority when he becomes an undischarged bankrupt. He should therefore, immediately renounce all company directorships and management positions as well as take steps to have his name removed from the register.
The public can ascertain the bankruptcy status of individuals using the Insolvency Search at http://www.isis.gov.sg upon the payment of a fee. The Insolvency Search will provide key information on individuals who have been adjudged insolvent by the Court. If you suspect that an undischarged bankrupt has committed the above offence(s), you can lodge a report to the Commercial Affairs Department. Kindly click here for more details on how to lodge a report.