Bankruptcy of a Deceased Estate
(Part XI)
A Deceased Estate Bankruptcy, appointed under Part XI of the Bankruptcy Act 1966, is engaged when a deceased person leaves behind unresolved debts and their estate is insolvent. In these circumstances, a creditor, executor, or interested party may apply to the court to have a registered trustee appointed to administer the estate under the provisions of the Bankruptcy Act.
This process ensures that the affairs of the deceased are managed in an orderly, lawful, and equitable manner, with due consideration given to the rights of creditors and the intent of the deceased’s estate planning.
The trustee’s role includes:
Identifying and securing all assets of the deceased estate,
Advertising for creditor claims and adjudicating those claims,
Investigating financial dealings of the deceased prior to death,
Distributing assets to creditors in accordance with the Bankruptcy Act’s priorities,
Reporting to the court and stakeholders as required.
Appointing a trustee under Part XI may also prevent informal or disputed administration processes where executors are unwilling or unable to act. It ensures legal finality and the structured administration of liabilities and entitlements.
Helios Advisory accepts appointments as trustees of deceased estates and manages these matters with discretion, professionalism, and sensitivity—protecting the rights of creditors while ensuring compliance with statutory obligations and proper closure of the estate.