BANKRUPTCY (FEES AND PERCENTAGES) ORDER

BANKRUPTCY (FEES AND PERCENTAGES) ORDER

BANKRUPTCY (FEES AND PERCENTAGES) ORDER
(Cap. 6, section 114)
[17 May 19851

L.N. 144 of 1985 - L.N. 195 of 1987, R. Ed. 1987, L.N. 136 of 1988, L.N. 223 of 1989

1. Citation

This order may be cited as the Bankruptcy (Fees and Percentages) Order.

2. Interpretation

In this order, unless the context otherwise requires, a section referred to by
number means the section so numbered in the Bankruptcy Ordinance (Cap. 6)
and a rule referred to by number means the rule so numbered in the Bankruptcy
Rules (Cap. 6 sub. leg.)

3. Fees and percentages

The fees and percentages to be charged for proceedings in bankruptcy shall
be those set out in the Schedule and shall be taken in the office of the Official
Receiver or in the Registry of the Supreme Court as the case may require.
(L.N. 195 of 1987)

4. Transitional and savings

(1) This paragraph relates to the fee payable under paragraph 9 of Table
B of the Schedule.
(2) Where in respect of any estate the Official Receiver has accounted to
the court under section 78(3) or a trustee's account has been sent to the Official
Receiver under section 93(1) before the commencement date but the fee payable
in respect thereof has not been paid before that date, the fee calculated under
the old scale shall continue to be payable except that where such fee together
with all fees paid in respect of previous accounts is higher than the fee that
would be payable if calculated under the new scale on the aggregate amount of
assets realized and brought to credit, a fee calculated under the new scale on the
aggregate amount of assets realized and brought to credit (giving credit for any
amount previously paid) shall be payable.
(3) In the case a bankruptcy commenced before the commencement date
continues after that date, the fee payable in respect of an account sent to the
Official Receiver under section 93(1) or, where the Official Receiver acts as





trustee, prepared for the purposes of section 78(3), shall be calculated under the new
scale in respect of the aggregate amount of assets realized and brought to credit and
in respect of any assets realized and brought to credit before the commencement
date in respect of which a fee has been paid, credit shall be given as if a fee
calculated under the new scale had been paid.

(4) Where an account relating to a period ending before the commencement date
is sent to the Official Receiver under section 93(1) or, where the Official Receiver acts
as trustee, is prepared for the purposes of section 78(3), after the commencement
date, the fee payable in respect thereof shall be calculated under the new scale.

(5) In this paragraph-

'commencement date' means the date of the coming into operation of the

Bankruptcy (Fees and Percentages) (Amendment) Order 1987 (L.N. 195 of 1987); 'old
scale' means the scale of fees* prescribed in paragraph 9 of Table B of the

Schedule in force immediately before the commencement date;

'new scale' means the scale of fees prescribed in paragraph 9 of Table B of

the Schedule as substituted by the Bankruptcy (Fees and Percentages)
(Amendment) Order 1987 (L.N. 195 of 1987).

(L.N. 195 of 1987)

SCHEDULE [paras. 3 & 41
TABLE A
item Description Fee
1 . Filing of a declaration by a debtor of inability to pay his debts 60.00
2. Bankruptcy notice 120.00
3. Bankruptcy petition 600.00
4. Proof of debt above $250, including filing, (other than a proof for
workmen's wages) 15.00
5. Petition under section 112 600.00
6. (a) Application for an order of discharge, including the expense of
gazetting the date of hearing and the order of the court made on the
application 300.00

(b) and for each creditor notified ............................ 15.00

7. Search in the Supreme Court Registry (other than by a petitioner, trustee,
bankrupt or any officer of the court) for a document or file referred to or
required ...........................10.00
8. Office copy of a document, per page or part thereof 20.00
9. Allocatur by the Registrar for any costs, charges or disbursements, for
every $ 100 allowed or part thereof 6.00
10. Application to the Official Receiver for payment of money out of the
Bankruptcy Estates Account .........30.00

For old scale of fees, see L.N. 144 of
1985.





Item Description

11. (a) On every payment of money out of the Bankruptcy Estates

Account-
on each $ 10 or fraction of $ 10 to be charged as follows-

(i)where the money consists of unclaimed dividends, on each
dividend paid out
..................................................................

(ii)where the money consists of undistributed funds or
balances, on the amount paid out
.........................................
(b) The total fees taken under item 11 (a)(ii) shall not exceed $30,000 in

each bankruptcy.

at the following rates on the gross amount of the composition

(a) on every $1,000 or fraction of $1,000 up to $100,000
........................... (b) on every $1,000 or fraction of $1,000
beyond $100,000 ........................

Provided that where a fee has been taken on a previous application
to the court to approve a composition, or where a fee has been paid
under item 9 of Table B, seven-eights of the amount thereof shall be
deducted from the fee payable.

For the purpose of calculating this fee, the gross amount means the
amount to be provided under the terms of the composition for ordinary
and preferential creditors, and for costs, charges and expenses, and for
fees and percentages (other than this fee).

computed at the following rates on the gross amount of the estimated
assets (but not exceeding the gross amount of the unsecured liabilities)--

(a) on every $1,000 or fraction of $1,000 up to $100,000
........................... (b) on every $ 1,000 or fraction of $ 1,000
beyond $ 100,000 ........................

Provided that where a fee has been taken on a previous application
to the court to approve a scheme, or where a fee has been paid under
item 9 of Table B, seven-eights of the amount thereof shall be deducted
from the fee payable.

14. On an application for release by a trustee---
for every $1,000 or fraction of $1,000 of the gross amount of assets
realized
and brought to credit
..................................................................................

15. Registration of assignment of book debts under rule 127-

(a) on producing original assignment, filing attested copy thereof and

certified translation (when necessary) in the English language,
including registering and marking original
..........................................

(b) every search or official certificate of the result of a search in one
name







in any register or index in the custody of the Registrar
........................ (c) for every additional name if included in the
same certificate ................ (d) for a duplicate copy of a certificate,
per page or part thereof ...............

search on whether a bankruptcy petition has been presented against a
person or firm (L.N. 223 of 1989)
............................................................................

a non-bankruptcy certificate for a person
...................................................

18. For insertion in the Gazette of a notice relating to bankruptcy (L.N. 223

of 1989)
............................................

(L.N.





TABLE B

1. On

(a)the net assets realized or brought to credit by the Official Receiver, whether acting
as interim receiver, receiver or trustee, after deducting any sums paid to secured
creditors in respect of their securities, and not being assets realized by a special
manager or moneys received and spent in carrying on the business of the debtor; and

(b)the net assets realized by the Official Receiver when acting as trustee to administer a
debtor's property under a composition or scheme, after deducting any sums paid to
secured creditors in respect of their securities, and not being moneys received and
spent in carrying on the business of a debtor,

a charge of 10 %.

2. On the amount distributed to creditors by the Official Receiver when acting as trustee under a
composition or scheme, a charge of M

Provided that where a composition or scheme has been proposed by the debtor but has not
been approved by the creditors or the court, a fee of $500.00.

3. On the amount paid to preferential creditors or distributed in dividend or otherwise by the
Official Receiver when acting otherwise than as trustee under a composition or scheme, a charge
of 5%.

4. For the Official Receiver acting as interim receiver of the property of a debtor under section
13,

in addition to the percentage charageable on realizations, on every order $500,00

and in addition, where the order is in force for a longer period than 14 days, for every 7 days

after the first 14, and for every fraction of 7 days $500.00

5. For all official stationery, printing, postage and telephones (except trunk calls); and to include

notices to creditors of meetings and sittings of the court and room hire-
(a) for a number of creditors and debtors not exceeding 10 $300.00
(b) thereafter for every 10 additional creditors and debtors or part thereof 5300.00

Provided that where the net assets do not exceed $50,000, three-fifths of the above fee only
shall be charged.

This fee does not include the charge which may be made by the Official Receiver on calling a
meeting at the request of creditors, for which provision is made in paragraph 6. (L.N. 223 of
1989)

6. Where the Official Receiver calls a meeting at the request of the creditors, the costs of
summoning the meeting, including all disbursements for printing, stationery, postage and hire of a
room for the meeting shall he $700.00.

7. For the Official Receiver supervising a special manager or the carrying on of a debtor's
business

such amount as the court, on application of the Official Receiver, may consider reasonable.

(L.N. 223 of 1989)

8. Travelling, keeping possession and other reasonable expenses of Official Receiver-the amount
disbursed.

9. On the aggregate amount of the assets realized and brought to credit there shall be paid

(a)in respect of estates in which the Official Receiver acts as trustee, when he accounts






to the court under section 78(3);

(b)in respect of estates in which the Official Receiver is not acting as trustee, when the
trustee sends his accounts to the Official Receiver under section 93(1),

a fee according to the following scale
(i) on the first $500,000 or fraction thereof, 5100 on every $1,000 or fraction
thereof, (ii) on the next $500,000 or fraction thereof, $75 on every $1,000 or
fraction thereof,

(iii) on the next $4,000,000 or fraction thereof, $65 on every $1,000 or fraction
thereof;

(iv) on the next $5,000,000 or fraction thereof, $37.50 on every $1,000 or fraction
thereof, (v) on the next $40,000,000 or fraction thereof, $20 on every $1,000 or
fraction thereof;

(vi) on all further amounts, 510 on every $1,000 or fraction thereof.

Provided that where a fee has been taken on an application to approve a composition or
scheme of arrangement, seven-eighths of the amount thereof shall be deducted from the fee.





10. Where the Official Receiver performs any special duties not provided for under the other
paragraphs of this Table-such amount as the court, on the application of the Official Receiver,
may consider reasonable.

11. Notwithstanding the fees and charges prescribed in the foregoing paragraphs, where the
Official Receiver acts as trustee to administer a debtor's property, the total fees and charges
under this Table shall not be less than $10,000.

(L.N. 195 of 1987)

TABLE C [r. 1811

I-Auctioneers

For inventory, valuation, sales by auction or private treaty of assets Such an amount as
..................................the Committee of
..................................Inspection or the
..................................Registrar approves.

II-Architects

(a) For valuation of leasehold property, and reporting thereon Such an amount as
..................................the Committee of
..................................Inspection or the
..................................Registrar approves.
(b) Cost of surveys, dilapidations and specifications Such an amount as
..................................the Registrar
..................................approves.

The foregoing charges to be in addition to such out-of-pocket expenses as may be authorized
at the time by the Official Receiver or trustee.

General

An architect or auctioneer who uses his own motor car or motor cycle, instead of travelling
by railway or hired vehicles, shall be entitled if the taxing officer is satisfied that such user was
reasonable to an allowance not exceeding $1.00 per kilometre.

III-Special manager's and accountant's charges

Where the employment of a special manager or accountant has been duly sanctioned

For carrying on a business and supervising same and all accounting,
collecting and realizing assets in respect thereof, preparing balance sheet,
investigating accounts, etc. including necessary affidavit verifying
accounts, and stationery .........Such an amount as
..................................the Committee of
..................................Inspection or the
..................................Registrar allows.

the complexity of negotiations, etc., the degree of responsibility assumed, the special
manager's or accountant's normal professional charges, the salaries paid to his staff, and
other similar considerations.

https://oelawhk.lib.hku.hk/items/show/2207

1964

v2

6

5