Court orders with effect during period of control of debtor’s property
(1) The Court may make an order that has effect while the property of the debtor is subject to control: (a) discharging an order made at any time against the person or property of the debtor under a law relating to the imprisonment of fraudulent debtors; or (b) staying a civil or criminal legal process begun at any time against the person or property of the debtor for the debtor’s failure: (i) to pay a debt that would be provable if the debtor were bankrupt; or (ii) to pay a pecuniary penalty payable as a result of the failure to pay a debt that would be provable if the debtor were bankrupt; or (iii) to obey an order of a court to pay a debt that would be provable if the debtor were bankrupt; or (c) if the debtor has been imprisoned under a law described in paragraph (a) or for a failure described in paragraph (b)—releasing the debtor from custody. (2) Paragraph (1)(b) does not allow the Court to stay any proceedings under a proceeds of crime law.
Sourced from the Federal Register of Legislation at 26 May 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au. Verify the current text against the official source before relying on it.
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