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Regulation 16 Dividend payments

Original text. Later amendments are not shown.

(1)

If the funds of the debtor’s estate are sufficient, the trustee must pay a dividend out of the estate to the creditors no later than 6 weeks after the end of—

(a)

a first dividend period of 24 months beginning with the date on which the trust deed was granted; and

(b)

any subsequent dividend period of 6 months beginning with the end of the previous dividend period.

(2)

The funds of the debtor’s estate are “sufficient” if—

(a)

after deduction of the trustee’s fees and any outlays payable under these Regulations; and

(b)

after making allowance for future contingencies,

a dividend may be paid to the creditors amounting to at least 5 pence for each pound sterling of the debtor’s debt under the trust deed on the date on which the trust deed was protected.