Section 64: Assets not to be concealed

1) A person who files a petition pursuant to Section 55 for commencing the bankruptcy proceedings of his or her assets shall submit an exact inventory of his or her total assets.

2) In submitting an inventory pursuant to sub-section (1), if he or she hides or conceals such assets with mala fide intention of causing loss or damage to the creditor, a separate lawsuit may be instituted against him or her.

3) If assets are hidden or concealed pursuant to sub-section (1), and such assets are discovered before the completion of the bankruptcy proceedings, the proceedings referred to in sub-section (2) of Section 61 shall be carried out in respect of the creditor and the claimant having so discovered the assets and the other creditor and claimant as well.

4) If any creditor or claimant discovers any assets pursuant to sub-section (3) after the completion of the bankruptcy proceedings, ten percent amount of the assets so discovered shall be provided to the creditor or claimant who has so discovered the assets if such creditor or claimant has already satisfied the sum according to his or her claim at the time of bankruptcy proceedings, and if his or her claim has not been so satisfied, his or her sum shall be caused to be satisfied from such assets and the remaining assets shall be distributed pursuant to the said sub-section to the other creditors and claimants.

Provided that if the creditor or claimant is the successor or relative of the bankrupt person, he or she shall not be entitled to such facility.

5) If the assets hidden or concealed pursuant to sub-section (2) remain after payment to the creditor or claimant pursuant to sub-section (4), such assets shall be returned to the concerned person.