(1) If a
petition is filed in the court pursuant to Section 55 to initiate the
bankruptcy proceedings, the court shall make order as to whether it
would be appropriate to initiate the bankruptcy proceedings in
respect of that petition or not.
(2) If an order is made to initiate the bankruptcy
proceedings pursuant to sub-section (1), the court shall, at the
request of the person likely to become bankrupt himself or herself
or of the creditor, order any other family member of such a person
to maintain status quo of the assets of the person in respect of
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whose assets the bankruptcy proceedings are to commence, for the
purpose of bankruptcy.
(3) If the court thinks that the assets of the person likely to
be bankrupt may be embezzled or may not be properly managed if
such a person or his or her family member is allowed to manage the
assets, the court may, on the basis of the petition by the party or suo
motu, entrust the responsibility for management of such assets to
any of the following persons:
(a) A person licensed as bankruptcy professional
pursuant to law,
(b) A bankruptcy trustee appointed pursuant to law,
(c) The concerned ward committee of the Local Level,
(d) Such an officer employee of the court or law
practitioner as designated by the court.
(4) The Local Level, trustee or person designated pursuant
to sub-section (3) shall manage the assets of the person likely to
become bankrupt, in accordance with the order of the court.