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Arrest of debtor under certain circumstances

Cap. 244, s. 23 · Revised Edition 2020

(1) The court may, by warrant addressed to any constable or prescribed officer of the court, cause a debtor to be arrested, 28 and any books, papers, money, and goods in his possession to be seized, and him and them to be safely kept as prescribed until such time as the court may order under the following (a) where, after a bankruptcy notice has been issued under this Act, or after presentation of a bankruptcy petition by or against him, it appears to the court that there is probable reason for believing that he has absconded or is about to abscond with a view of avoiding, (i) payment of the debt in respect of which the bankruptcy notice was issued; (ii) service of a bankruptcy petition; (iii) appearance to any such petition; or (iv) examination in respect of his affairs, or of otherwise avoiding, delaying, or embarrassing proceedings in bankruptcy against him; (b) where, after presentation of a bankruptcy petition, by or against him, it appears to the court that there is probable cause for believing that he is about to remove his goods with a view of preventing or delaying possession being taken of them by the Official Receiver or trustee, or that there is probable ground for believing that he has concealed or is about to conceal or destroy any of his goods, or any books, documents or writings, which might be of use to his creditors in the course of his bankruptcy; 29 (c) where, after service of a bankruptcy petition on him or after a receiving order is made against him, he removes any goods in his possession above the value of twenty-five dollars without the leave of the Official Receiver or trustee; (d) where, without good cause shown, he fails to attend any examination ordered by the court. (2) No arrest upon a bankruptcy notice shall be valid and protected unless the debtor before or at the time of his arrest shall be served with such bankruptcy notice. (3) No payment or composition made or security given after arrest made under this section shall be exempt from the provisions of this Act relating to fraudulent preference.
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