Singapore: New Insolvency Bill in 2018

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A new Insolvency Bill that brings together various legislative elements which relate to substantial debt had by different entities, is due to be launched in the second half of 2018. It aims to secure Singapore’s corporate insolvency and personal bankruptcy systems to enhance the laws in order to produce clarity and consistency.
On Thursday the 24th of August, The Law and Home Affairs Minister, K Shanmugam, confirmed the future introduction of the new Insolvency Bill at the Singapore Insolvency Conference 2017.
The main objective of the new bill is to enhance the Republic’s insolvency regime. The bill is also known as the Omnibus Insolvency Bill and it will introduce amendments to the corporate scheme that involves the method in which companies in difficulty manage their debts.
The bill will include strengthened protection from creditor action and it will also incorporate super-priority provisions. This is where the court could possibly grant super-priority status in order to recover financing to assist the debtors when their working capital runs out.