Rule 14.16 Secured creditor: surrender for non-disclosureC1

This rule does not apply where a proof is submitted for the purpose of a decision procedure in respect of a moratorium under Part A1 of the Act.

If a secured creditor fails to disclose a security in a proof, the secured creditor must surrender that security for the general benefit of creditors, unless the court, on application by the secured creditor, relieves the secured creditor from the effect of this rule on the grounds that the omission was inadvertent or the result of honest mistake.

If the court grants that relief, it may require or allow the creditor's proof to be amended, on such terms as may be just.

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