| Commentary

257 First dividend

| Commentary

5: DISTRIBUTION

257 First dividend

There is no time limit laid down in which a trustee must declare a dividend, but it is provided that whenever the trustee has sufficient funds in hand to do so, he is required to declare and distribute a dividend (‘first dividend’) among the creditors who have proved their debts, subject to the retention of sufficient money to meet the expenses of the bankruptcy1. This cannot be described as an interim dividend because the distribution on it is final (though there is some scope for later adjustment) and, of course, there may be more than one

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