Bankruptcy provisions: ss 339–42 of the Insolvency Act 1986

The policy of these provisions is to empower the trustee-in-bankruptcy of a settlor to recover trust property on behalf of the creditors.

Section 339 of the Insolvency Act 1986 enables the trustee-in-bankruptcy to apply to the court for relief where a person is adjudicated bankrupt but, during the five years before the presentation of the petition, he had entered into a transaction at an undervalue.