Suriyadi Halim Omar J:

The following receiving and adjudication orders were made against the applicant ie, one Kok Lee Wah, the current respondent, by the High Court:

1. on 10 December 1990 applied for by Public Bank Berhad in bankruptcy number KL 29-2862-1990 (later transferred to Shah Alam);

2. on 30 December 1993 applied for by Hong Kong & Shanghai Banking Corporation Berhad in bankruptcy number SA 29-538-1991; and

3. on 22 September 1994 applied for by Perwira Habib Bank Berhad in bankruptcy number KL D3-29-868-93 (later transferred to Shah Alam).

In gist, the three receiving and adjudication orders were made respectively in 1990, 1993 and 1994. These three cases, on the application of the official assignee (hereinafter referred to as the OA for brevity sake rather than the Director General of Insolvency), were consolidated on 24 January 2002. On 23 December 1999 the respondent had filed her statement of affairs which reflected that her total liabilities were RM722,975, which consisted of two unsecured creditors (for a debt of RM156,975) and three secured creditors (for a debt of RM566,000). The unsecured creditors were Perwira Habib Bank (for the sum of RM150,000) and Hong Kong & Shanghai Bank (RM6,975), and as mentioned totalled RM156,975. The secured creditors comprised Public Bank (for the sum of RM520,000 with security worth RM720,000), Malayan Banking (RM46,000 with security worth RM300,000). The liability against the secured creditors grossed RM566,000. The overall liability was RM722,975 vis-a-vis the security supposedly worth RM1,020,000 on paper.

At the first creditor "s meeting on 23 February 2000 even though no resolution was made, the respondent had agreed to pay RM50 per month commencing October 1998, with such monthly payment made until June 2002. Further development came in the form of a gazette, bearing number 2854 dated 28 February 2002 notifying creditors to file their proof of debts before 13 March 2003 for purposes of dividend payments. The OA had accepted only RM431,643.53 as proven proof of debt for their payments by the respective creditors, and they were:

Creditors Sum Claimed Sum Accepted

1. Public Bank Bhd RM403,827.05 RM262,525.91

2. Public Bank Bhd RM77,174.03 RM 76.333.91

3. Malayan Banking RM46,295.67 (Rejected)

4. Perwira Affin Bank RM361,167.02 RM 93,783.71

RM431.643.53

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On 11 June 2002 one Miss Chan Hing Chen had deposited with the OA a sum of RM40,000. Apart from a left over credit of RM2,131.77 together with the new deposit the sum in the estate of the respondent was RM42,131.37, sufficient to declare a dividend of 8.26% to three creditors who had proven their respective claims, after taking into account the costs of administration and expenditure of the OA in the bankruptcy proceedings.

From the evidence, and not disputed by the appellant, all the immoveable securities charged to Public Bank and Malayan Banking had been realized through public auctions. Despite payments having been made some debts were still left unpaid, hence the current problem.

Under the law an undischarged bankrupt may apply for a discharge at any time after the adjudication, and the hearing may take place, naturally, once the public examination has been concluded (ss. 17 and 33 of the Bankruptcy Act 1967). Here both requirements had been complied with. As the facts revealed, the respondent here had adverted to that statutory right, when she eventually had applied to court to have the order of discharge, whereby if successful she could be released from all provable debts incurred before the bankruptcy except for the statutory exceptions

(s. 35(1) and (5)). Certain debts in the like of any debt to the Government of Malaysia or state or debts to any branch of the public revenue must continue to be serviced. Non-provable debts as stated in s. 40 of the Bankruptcy Act certainly too is not released. To clarify further, that discharge unlike an annulment order, will not place her back to