Notes for Guidance - Bankruptcy (Scotland) Act 2016 (as amended)

The trustee must notify the debtor and every known creditor by sending an intention to resign notice in the prescribed form 36.

As the same time as sending the intention to resign notice, the trustee must submit an application on BASYS (mirrors the prescribed form 35) and include the following information: 

• the extent of the debtor’s non co-operation
• the actions taken by the trustee to secure the debtor’s co-operation
• any other matters the trustee considers relevant
• details of every known creditor

Recipients of the intention to resign notice will have a period of 14 days, from the date the application is made, to make representations in relation to the trustee’s resignation.

Information to be included in application

Along with the above information, the trustee must upload a number of documents to BASYS along with the application. The upload of these documents are mandatory and the trustee should ensure they have all information needed prior to issuing the intention to resign notice and making the application for resignation.

The mandatory documents are:

• documentary evidence of reasonable efforts to contact the debtor
• up to date credit report (if able to obtain)
• up to date bankruptcy case bank account statement
• up to date receipts and payments account (ending on date application is made)
• copy of intention to resign notice issued to interested parties
• copy of inhibition renewal

When submitting the application on BASYS, the trustee can refer to the S147A user guide which is available within the BASYS Help section.

AiB expect that trustees will comply with their GDPR obligations in processing and providing information to AiB to support the application, and only provide information which is relevant to the application.

Accounts Process

In any case returned to AiB as trustee, a receipts and payments up to the date of application and a SIP 9 must be provided. This will form the basis of any claim in the sequestration.

If funds are held in the sequestration account but are insufficient to pay a dividend to creditors, and the trustee wishes to have their fees and/or outlays assessed, a further account must be submitted, determined, and the appeal period must expire before an application can be made to return the case to AiB.

In cases where there are sufficient funds held to pay a dividend to creditors, a scheme of division account must be submitted, determined and creditors paid  before a subsequent account is submitted to show the payments to creditors. The appeal period must expire before an application can be made to return the case to AiB.

Where no funds are held and the current account has a future end date, the trustee must provide an up to date receipts and payments a SIP 9 to form the basis of any claim in the final distribution.