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Section No :  
Acts & Ordinances
RESCUE, REHABILITATION AND INSOLVENCY (CORPORATE AND PERSONAL) ACT
Marginal Notes
1. Short title and date of operation
2. Interpretation
3. Establishment of the Insolvency Regulatory Authority
4. The powers, duties and functions of the Authority
5. The Director - General of the Authority
6. Fund of the Authority
7. Accounts and audit
8. Official Receiver and Deputy Official Receivers
9. Powers of the Official Receiver
10. Office and name of Official Receiver
11. Instances when an Official Receiver shall not act as a Bankruptcy Trustee
12. Individuals who are qualified to be appointed and act as key office holder
13. Body corporate may not be appointed or act as office holder
14. Registration
15. Conditions
16. Renewal of registration
17. Cancellation of registration
18. Suspension of registration
19. Register of Insolvency Practitioners
20. Insurance
21. Notice of specified events
22. Notice of other events
23. Inquiry into conduct and performance
24. Disciplinary action
25. Interpretation
26. Inducement to be appoined as administrator or liquidator
27. Prohibition order
28. Appeals
29. Acting when not permitted to do so
30. Interests statement
31. Statement of preadministration costs
32. Responsibility of a debtor under Personal Insolvency Procedures
33. Statements of the debtor?s financial affairs
34. Protected Property
35. Contributions and entitlements under provident funds, employees trust funds, pensions and statutory gratuities
36. Protection of a reasonable income
37. Included and Excluded Debts
38. Debt Protection Application
39. Criteria for making Debt Protection Moratorium Order
40. Effect of a Debt Protection Moratorium Order
41. Duration of a Debt Protection Moratorium Order
42. Obligations of debtors during a Debt Protection Moratorium
43. Creditor Objection to Debt Protection Moratorium
44. Debt Restructuring Arrangements
45. Debt Restructuring Arrangements: General Conditions
46. Debt Restructuring Arrangements: Eligibility Criteria
47. Debt Restructuring Arrangements: Mandatory Provisions
48. Debt Restructuring Arrangements: Secured Creditors and Property Rights
49. Debt Restructuring Arrangements : Appointments of personal insolvency proposer
50. Debt Restructuring Arrangements: Preparation of Debtor Proposal
51. Debt Restructuring Arrangement: Negotiation Meeting
52. Creditor Approval of Debt Restructuring Arrangements
53. Submission of approved Debt Restructuring Arrangements to Official Receiver
54. Court Confirmation of Debt Restructuring Arrangements
55. Effect of Court Confirmation of Debt Restructuring Arrangements
56. Obligations of Debtor under Debt Restructuring Arrangement
57. Challenge of Debt Restructuring Arrangement
58. Variation of Debt Restructuring Arrangement
59. Termination of Debt Restructuring Arrangement
60. Completion of Debt Restructuring Arrangement
61. Duties of Personal Insolvency Administator under Debt Restructuring Arrangement
62. Personal Insolvency Proposers
63. Personal Insolvency Administrators
64. Debt Restructuring Arrangement: Court Directions
65. Debt Rehabilitation Order
66. Eligibility for a Debt Restructuring Order
67. Application for a Debt Rehabilitation Order
68. Criteria for making Debt Rehabilitation Order
69. Official Receiver?s recommendation: Debt Rehabilitation Order
70. Court Determination of Debt Rehabilitation Order application
71. Effect of Debt Rehabilitation Order
72. Duration of Debt Rehabilitation Order
73. Discharge of debts
74. Official Receiver to supervise Debt Rehabilitation Order
75. Creditor objection to Debt Rehabilitation Order
76. Termination of Debt Rehabilitaion Order
77. Conversion into a Bankruptcy Order
78. Official Receiver may apply for Preservation Order
79. Revocation of Debt Rehabilitaion Order discharge
80. Authorised intermediaries
81. Debtor's application for a Bankruptcy Order
82. Debtor to be resident in Sri Lanka
83. Criteria for a Bankruptcy order on debtor application
84. Making of Bankruptcy Order on debtor application
85. Petition for Bankruptcy Order
86. Bankruptcy Petition: Debtor Condition
87. Bankruptcy Petition : court powers of withdrawal, stay and dismissal
88. Grounds of Creditor Petition
89. Bankruptcy Notice and inability to pay
90. Court Decision on Petition for Bankruptcy Order
91. Interim Receiver
92. Commencement of Bankruptcy
93. Stay of proceedings and remedies
94. Statement of the debtor's financial affairs
95. Meeting of creditors in exceptional cases
96. Public Examination of bankrupt in exceptional cases
97. Official Receiver becomes Bankruptcy Trustee
98. Appointment of Trustees
99. Removal of Trustee and vacation of office
100. Release of Trustee
101. General functions and official title of Bankruptcy Trustee
102. Powers of Bankruptcy Trustee
103. Creditor?s committee in cases where the Official Receiver is not the Bankruptcy Trustee
104. Court review of action of Bankruptcy Trustee
105. Bankruptcy Trustee remuneration, expenses and costs
106. Application for a Debt Rehabilitation Order
107. Audit of Bankruptcy Trustee accounts
108. Duty of Bankruptcy Trustee in relation to money
109. Debts provable in Bankruptcy
110. Mutual credit and set-off
111. Priority of debts in Bankruptcy
112. General responsibilities of bankrupt debtor
113. Obligations of debtor as to discovery and realisation of property
114. Financial information
115. Description of Bankruptcy Estate
116. Vesting of property in Bankruptcy Trustee
117. After- Acquired property
118. Possesion of Property by Bankruptcy Trustee
119. Seizure of property of bankrupt
120. Disclaimer of onerous property
121. Power to allow debtor to manage property
122. Goods on hire purchase
123. Protection of Official Receiver and Trustee from liability in certain cases
124. Second Bankruptcy
125. Debt Repayment Order
126. Debt Repayment Agreement
127. Insolvent deceased person's estates
128. Voidable preferences, voidable encumbrances, and alienations of property with intent to hinder, delay or defeat a creditor
129. Transactions at an undervalue
130. Protection of good faith transactions without notice
131. Validity of certain payments to bankrupt debtor and assignee
132. General assignments of book debts
133. Validity of certain payments to bankrupt debtor and assignee
134. No benefit of exceution or other process unless completed before Bankruptcy
135. Duties of fiscal in Bankruptcy
136. Distributions in Bankruptcy
137. Duration of Bankruptcy
138. Discharge
139. Discharge : High Value Bankruptcy
140. Application to contest discharge
141. Interim suspension of discharge
142. Application to Contest Discharge: Bankruptcy report
143. Court Determination of Application to contest a discharge
144. Revocation of Bankruptcy Discharge
145. Annulment of Bankruptcy Order
146. Application for Debt Restructuring Arrangement during Bankruptcy
147. Powers of Official Receiver as regards the debtor's conduct in Bankruptcy
148. General Duties of the Official Receiver as to the Bankruptcy
149. Bankruptcy Applications and Bankruptcy petitions in cases of Partnerships
150. Court to dismiss petition
151. Property of partners to be vested in same Trustee
152. Actions by Bankruptcy Trustee and bankrupt debtor?s partners
153. Actions on joint contract
154. Proceedings in partnership name
155. Authority to Maintain Personal Insolvency Register
156. Purpose of Personal Insolvency Register
157. Information to be recorded in the Personal Insolvency Register
158. Removal of information from Personal Insolvency Register
159. Access to Personal Insolvency Register
160. Authority and Official Receiver not liable for act or all omission
161. Personal Insolvencey Register and Credit Information Bureau
162. Intent
163. Penalities for Offences under this Part
164. Criminal Liability after Discharge
165. Personal Insolvency Procedure Applications: False Information
166. Personal Insolvency Procedures: Non- Compliance with responsibilities of debtors
167. Personal Insolvency Procedures: Documents and Records
168. Personal Insolvency Precedures : Disposal of Property
169. Personal Insolvency Precedures: Credit and Business
170. Bankruptcy offences: Non-disclosure and False Representations
171. Bankruptcy offences: Property
172. Bankruptcy offences: Documents
173. Bankruptcy offences: Credit and Borrowing
174. Bankruptcy offences: False Claims
175. Bankruptcy offences: Leaving Sri Lanka
176. Bankruptcy offences: Non Compliance with Responsibilities of Debtors
177. Bankruptcy offences: Failure to keep Proper records with intent to conceal
178. Role of Administrator
179. When administration commences
180. Administration routes
181. Who may be appointed and act as administrator
182. Disqualifications from being appointed or acting as adminstrator
183. Who may appoint an Administrator
184. Appointment of two or more persons as Administrators
185. Appointment of Administrator by a company
186. Appointment of an Administrator by the board of the company
187. Restriction on appointment of the administrator by the board of the company or board
188. Appointment of Administrator by a liquidator or provisional liquidator
189. Appointment of Administrator by a secured creditor
190. Appointment of Administrator by a court
191. Commencement of administration to be recorded
192. Appointment of Administrator may not be revoked
193. Notice of administrator's appointment and details
194. Documents to refer to administration
195. Documents in administration to refer to the change of name
196. No enforcement of encumbrance during administration
197. No recovery of property during administration
198. No commencement or continuation of proceedings during administration
199. No execution or other process during administration
200. No benefit of execution or other process unless completed before administration
201. Duties of Fiscal in administration
202. Power exercised before commencement of administration
203. Application in decision period for permission to enforce fixed security
204. No consent or permission required for giving notice
205. Effect of administration on directors and other agents of the company
206. Requirement to provide information to administrator
207. Effect of administration on employees
208. Effect of administration when dealing with property
209. Effect of administration on transfer of shares
210. Essential services in administration
211. Provisions applicable to the standard and expedited routes
212. Initial meeting
213. Outcome meeting
214. Business at outcomemeeting
215. Combined initial and outcome meeting
216. Deed review hearing
217. Creditors' Committee in Administration
218. Meetings in administration of shareholders, creditors and committees
219. Directors? Statement in Administration
220. When administration ends
221. Content of a deed
222. Release of third parties under a deed
223. Requirements for a deed
224. Extent to which a deed is binding
225. Deed administrator
226. Who may be appointed and act as deed administrator
227. Appointment of two or more deed administrators
228. When deed administration commences and deed administrator is appointed
229. Security for appointment of deed administrator
230. Revocation of appointment of deed administrator
231. Court may rule on validity of a deed
232. Powers of administrator
233. Request by administrator for cooperation
234. Administrator?s notice that receivership or appointment of appointee shall end
235. Calls on shares by administrator
236. Execution of documents by administrator
237. Power of administrator to deal with property subject to an encumbrance
238. Duty of administrator to investigate company?s affairs
239. Duty of administrator to report misfeasance
240. Duty of administrator to report offence committed
241. Duty of administrator to prepare accounts
242. Duty of administrator to send final report
243. Duty of deed administrator to send final report
244. Duty of administrator in relation to money
245. Duty of administrator and deed administrator in relation to accounting records
246. Remuneration of administrator and deed administrator
247. Approval of preadministration Costs
248. Administrator?s indemnity
249. Liability of administrator under pre-existing employment contracts
250. Liability of administrator on other agreements and for rent
251. Relief from liability in the event of a defect
252. Section - 252
253. Vacancy in office of administrator or deed administrator
254. Removal of administrator from office by creditors
255. Replacement administrator
256. Removal and replacement of deed administrator
257. Order for liquidation or provisional liquidation to resume
258. Release of administrator or deed administrator
259. Documents to refer to deed administration
260. When deed administration ends
261. Application for directions by an administrator or deed administrator
262. Order regarding remuneration or appointment of administrator or deed administrator
263. Court?s general power in administration and deed administration
264. Order to enforce administrator?s or deed administrator?s duties
265. Removal of administrator or deed administrator
266. Orders protecting business or property
267. Protection of interests of creditors and shareholders
268. Order to protect creditors in administration
269. Interpretation
270. Compromise proposal
271. Notice of proposed compromise
272. Effect of compromise
273. Variation of compromise
274. Powers of court in relation to compromises
275. Costs of compromise
276. MSME Company Debt Restructuring Arrangements
277. MSME Company Debt Restructuring Arrangements: General Conditions
278. MSME Company Debt Restructuring Arrangements: Eligibility Criteria
279. MSME Company Debt Restructuring Arrangements: Mandatory Provisions
280. MSME Company Debt Restructuring Arrangements: Secured Creditors and Property Rights
281. MSME Company Debt Restructuring Arrangements: Appointment of personal insolvency proposer
282. MSME Company Debt Restructuring Arrangements: Preparation of MSME Debtor Proposal
283. MSME Company Debt Restructuring Arrangement: Negotiation Meeting
284. Creditor Approval of MSME Company Debt Restructuring Arrangement
285. Submission of an approved MSME Company Debt Restructuring Arrangement to the Official Receiver
286. Court Confirmation of MSME Company Debt Restructuring Arrangement
287. Effect of Court Confirmation of MSME Company Debt Restructuring Arrangement
288. Challenge to MSME Company Debt Restructuring Arrangement
289. Variation of MSME Company Debt Restructuring Arrangement
290. Termination of MSME Company Debt Restructuring Arrangement
291. Completion of MSME Company Debt Restructuring Arrangement
292. Duties of Personal Insolvency Administrator under MSME Company Debt Restructuring Arrangement
293. Personal Insolvency Proposers: MSME Company Debt Restructuring Arrangements
294. Personal Insolvency Administrators: MSME Company Debt Restructuring Arrangements
295. MSME Company Debt Restructuring Arrangements: court directions
296. Role of liquidator
297. When liquidation commences
298. Appointment of liquidator
299. Restriction on appointment of liquidator by the company or board
300. Commencement of liquidation to be recorded
301. Appointment of liquidator at outcome meeting
302. Declaration of solvency
303. Evidence of inability to pay debts
304. Appointment of provisional liquidator
305. Directors? statement in liquidation
306. Liquidator to convene meeting of creditors
307. Replacement liquidator
308. Creditors? committee in liquidation
309. Contributories? committee in liquidation
310. Meetings in liquidation of shareholders, creditors, contributories and committees
311. End of liquidation
312. Who may be appointed and act as liquidator
313. Disqualifications from being appointed or acting as a liquidator
314. Appointment of two or more liquidators or provisional liquidators
315. Notice of liquidator?s appointment and details
316. Documents to refer to liquidation
317. No enforcement of encumbrance during liquidation
318. No commencement or continuation of proceedings during liquidation
319. No execution or other process during liquidation
320. No benefit of execution or other process unless it has been completed before
321. Duties of Fiscal in liquidation
322. Power exercised before commencement of liquidation
323. Effect of liquidation on directors and other agents of the company
324. Requirement to provide information to liquidator
325. Effect of liquidation on dealing with property
326. Effect of liquidation on transfer of shares
327. Essential services in liquidation
328. Applicability of this Chapter in provisional liquidation
329. Powers of liquidator
330. Request by liquidator for cooperation
331. Liquidator?s notice that receivership or appointment of appointee shall end
332. Execution of documents by liquidator
333. Power of liquidator to deal with property subject to an encumbrance
334. Onerous Property
335. Requirement to elect whether or not to disclaim
336. Applicability of this Chapter in provisional liquidation
337. Liquidator not required to act in certain cases
338. Duty of liquidator to investigate company?s affairs
339. Settlement of a list of contributories
340. Variation of a list of contributories
341. Adjustment of the rights of contributories
342. Liability of former shareholders
343. Enforcement of liability of contributories
344. Preferential claims
345. Duty of liquidator to report misfeasance
346. Duty of liquidator to report offence committed
347. Duty of liquidator to prepare misfeasance
348. Duty of liquidator to report misfeasance
349. Dissolution
350. Duty of liquidator inrelation to money
351. Duty of liquidator in relation to accounting records
352. Applicability of this Chapter in provisional liquidation
353. Remunerationof liquidator other than the Official Receiver
354. Relief from liability in the event of a defect
355. Provision of information and assistance by administrator or receiver to liquidator
356. Vacancy in the office of liquidator
357. Release of liquidator or provisional liquidator
358. Appointment of a special manager
359. Stamp duty exemption
360. Application for directions by a liquidator or provisional liquidator
361. Court supervision of liquidators and provisional liquidators and order regarding remuneration or appointment of liquidator
362. Court?s general power in liquidation and provisional liquidation
363. Order to enforce liquidator?s or provisional liquidator?s duties
364. Removal of liquidator or provisional liquidator from office by court
365. Power to stay or restrain application or proceeding
366. Order to protect creditors in liquidation or provisional liquidation
367. Interpretation
368. Instrument may confer power to appoint receiver
369. When receivership commences
370. Who may be appointed and act as receiver
371. Disqualifications from being appointed or acting as receiver
372. Appointment of receiver under an instrument
373. Court may appoint a receiver
374. Notice of receiver?s appointment and details
375. Documents to refer to appointment of receiver
376. Powers of receiver
377. Execution of documents by receiver
378. Precedence among receivers
379. Requirement to provide information to receiver
380. Consent of grantee to sale of property
381. Powers of receiver on liquidation
382. General duties of receivers
383. Duty of receiver in selling property
384. No defence or indemnity
385. Order of priority where fixed security receiver appointed
386. Order of priority where floating charge receiver appointed
387. Duty of receiver inrelation to money
388. Duty of receiver in relation to accounting records
389. Remuneration of receiver
390. First report by receiver
391. Further reports by receiver
392. Extension of time for preparing reports
393. Persons entitled to inspect and receive reports
394. Duty of receiver to report offence committed
395. Receiver?s indemnity
396. Liability of receiver under pre-existing employment contracts
397. Liability of receiver on other agreements and for rent
398. Relief from liability in the event of a defect
399. Vacancy in office of receiver
400. End of receivership
401. Duty of receiver to notify end of receivership
402. Application for directions by a receiver
403. Order regarding remuneration or appointment of receiver
404. Court may restrict or limit receivership
405. Order to enforce receiver?sduties
406. Removal of receiver from office by court
407. Orders protecting property in receivership
408. Overseas companies
409. Inability to pay debts
410. Court may set aside demand
411. Wrongful trading
412. Voidable preference
413. Voidable encumbrance
414. Alienation of property with intent to hinder, delay or defeat a creditor
415. Procedure for setting aside a voidable preference, voidable encumbrance or alienation with intent
416. Court orders on setting aside a voidable preference, voidable encumbrance or alienation with intent
417. Restrictions on setting aside a voidable preference, voidable encumbrance or alienation with intent
418. Transaction at an undervalue
419. Misfeasance
420. Definitions
421. Phoenix company
422. Personal liability
423. Exception for person named in a successor company notice
424. Exception for temporary period
425. Exception regarding non-dormant company
426. Proofs of debt and proving debts
427. Set-off between a bankrupt debtor and another party
428. Set-off between a company and another party
429. Distributions
430. Sending of documents to creditors and opted-out creditors
431. Insolvency holding account and insolvency surplus account
432. Application of unclaimed and surplus proceeds
433. Creditor resolutions
434. Contributory resolutions
435. Protection in respect of seizure or disposal of property
436. Validity of acts
437. Extension of time period
438. Documents required by a specified office holder
439. Requests and notices
440. Misfeasance of a director or other officer before administration or liquidation
441. Fraudulent trading
442. Offence relating to administrationor liquidation
443. Conduct prohibited
444. Liability where proper accounts not kept
445. False or misleading statement
446. Applicability of the Employees Provident Fund Act, the Employees Trust Fund Act and the Payment of Gratuity Act to administrators and liquidators
447. Jurisdiction
448. Trial of offences and imposition of fines
449. Procedure
450. Interim relief
451. Costs
452. Enforcement of court orders
453. General provisions as to offences
454. Orders
455. Regulations
456. Rules, standards, practice directions, codes of conduct and guidelines
457. Application
458. Amendment of section 46 of the Companies Act
459. Amendment of section 71 of the Companies Act
460. Amendment of section 88 of the Companies Act
461. Amendment of section 92 of the Companies Act
462. Amendment of section 97 of the Companies Act
463. Amendment of section 213 of the Companies Act
464. Amendment of section 214 of the Companies Act
465. Amendment of section 220 of the Companies Act
466. Amendment of section 228 of the Companies Act
467. Amendment of section 246 of the Companies Act
468. Amendment of section 255 of the Companies Act
469. Amendment of section 394 of the Companies Act
470. Amendment of section 431 of the Companies Act
471. Amendment of section 433 of the Companies Act
472. Amendment of section 529 of the Companies Act
473. Amendment of First Schedule to the CompaniesAct
474. Amendment of Sixth Schedule to the Companies Act
475. Amendment of Third Schedule to the Mediation Boards Act, No. 72 of 1988
476. Amendment of section 175 of the Inland Revenue Act, No. 24 of 2017
477. Repeals
478. Transitional Provisions and Savings
479. Transitional provisions: Insolvency Practitioners
480. Sinhala text to prevail in case of inconsistency