Bankruptcy offences

Copyright © 2026 LexisNexis

Bankruptcy is an insolvency process for individuals, which commences on the day the bankruptcy order is made.

For information on bankruptcy proceedings generally, see:

  1. •

    Bankruptcy—overview

  2. •

    Personal insolvency for dispute resolution practitioners: bankruptcy

  3. •

    Bankruptcy petitions—process and procedure post-presentation of the petition

Many of the criminal offences created by IA 1986 relate to the failure of a bankrupt person to perform their duties under IA 1986.

Bankruptcy offences

The bankruptcy offences are found in the IA 1986, Pt IX, Chapter VI.

All the offences are triable either-way so can be tried in the magistrates' court or in the Crown Court and, proceedings in each case can only be instituted by the Secretary of State or by, or with the consent of, the Director of Public Prosecutions.

The maximum penalty for each bankruptcy offence is set out in the IA 1986, Sch 10.

There is little guidance on sentencing those convicted of a bankruptcy offence. However, the Court of Appeal has said that those who conceal assets and use them to pay personal debts could expect to receive a custodial sentence,

To view the latest version of this document and thousands of others like it, sign-in with LexisNexis or register for a free trial.

Existing user? Sign-in TAKE A FREE TRIAL
Powered by Lexis+®
Latest Corporate Crime News

Law Commission consults on proposed three-tier homicide structure

The Law Commission has launched a consultation on reforming homicide offences in England and Wales. It provisionally proposes replacing the current...

Corporate Crime weekly highlights—2 July 2026

This week's edition of Corporate Crime weekly highlights includes expert analysis of the Justice Committee’s scrutiny of proposed criminal justice...

Insolvency Service reports sentencing and director disqualification of Derby builder for fraudulent trading

The Insolvency Service has reported that Michael Haslam, director of M&J Builders Limited, was sentenced to two years and four months imprisonment...

EDPB announces joint guidelines on AML information sharing and data protection

The European Data Protection Board (EDPB) and the EU Anti-Money Laundering Authority (AMLA) have announced that they will jointly develop Guidelines...

View Corporate Crime by content type :  
News
Practice notes
Precedents
Q&As

Popular documents

Asset stripping

Asset strippingWhat is asset stripping?Asset stripping is the controversial practice involving the purchase of a company and the deliberate depletion of that company’s assets for personal gain or to increase short-term profits. A subset of asset stripping is ‘phoenixing’, a practice which involves

Offences of non-disclosure in bankruptcy

Offences of non-disclosure in bankruptcyFailure to submit a statement of affairsWhere a bankruptcy order has been made otherwise than on a debtor’s petition ie by the bankrupt himself, the bankrupt has 21 days beginning with the commencement of the bankruptcy to submit a statement of affairs.A

What is the difference between an appeal and a review?

What is the difference between an appeal and a review?What is an appeal?An appeal in insolvency proceedings is no different to an appeal in normal litigation. An appeal will be allowed only if the appeal court is satisfied that the decision of the lower court was 'wrong' or 'unjust because of a

Strike out—making an application to strike out a statement of case

Strike out—making an application to strike out a statement of caseA strike out order can be made either following an application by the parties or on the court's own initiative. This Practice Note deals with the scenario of the order being made following a party's application.Making an application
Asset stripping

Asset stripping

Asset strippingWhat is asset stripping?Asset stripping is the controversial practice involving the purchase of a company and the deliberate depletion of that company’s assets for personal gain or to increase short-term profits. A subset of asset stripping is ‘phoenixing’, a practice which involves

Offences of non-disclosure in bankruptcy

Offences of non-disclosure in bankruptcy

Offences of non-disclosure in bankruptcyFailure to submit a statement of affairsWhere a bankruptcy order has been made otherwise than on a debtor’s petition ie by the bankrupt himself, the bankrupt has 21 days beginning with the commencement of the bankruptcy to submit a statement of affairs.A

What is the difference between an appeal and a review?

What is the difference between an appeal and a review?

What is the difference between an appeal and a review?What is an appeal?An appeal in insolvency proceedings is no different to an appeal in normal litigation. An appeal will be allowed only if the appeal court is satisfied that the decision of the lower court was 'wrong' or 'unjust because of a

Strike out—making an application to strike out a statement of case

Strike out—making an application to strike out a statement of case

Strike out—making an application to strike out a statement of caseA strike out order can be made either following an application by the parties or on the court's own initiative. This Practice Note deals with the scenario of the order being made following a party's application.Making an application