(1) If a court makes
an order, pursuant to sub-section (1) of Section 58, to initiate the
bankruptcy proceedings in relation to the assets of a person, any of
the following acts cannot be carried out after the making of such an
order, and if any of such acts has already commenced or is being
carried out but not completed, such act shall, ipso facto, be stayed:
(a) To transfer in any manner to any person the title to,
bail, pledge, mortgage or to lease or rent in any
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manner for a period exceeding one year, the assets
of a person who is likely to become bankrupt,
(b) To attach, or execute the pledge, mortgage of, the
assets of the person likely to become bankrupt
pursuant to the judgment of a court,
(c) To repay debt or discharge liability of any creditor
from the assets of the person likely to be bankrupt.
(2) Any deed, contract, dealing, transaction or arrangement
executed in contravention of the provision set forth in sub-section
(1) shall, ipso facto be deemed to have been void.