Financial Restructuring and Bankruptcy Law

Article 206 — Article (206) Taking the Precautionary Measures Upon Investigation with the Insolvent Debtor

Part Three: Declaration of Bankruptcy · Chapter Eleven: Execution and Effects of Composition

Subject to the provisions of Articles (202) and (203) of this Law, when the investigation is conducted with insolvent debtor with regard to the crime of bankruptcy fraud after ratifying the composition or after issuing a decision terminating the bankruptcy through composition, or if a criminal action is filed against him in this crime after this ratification or decision, the Bankruptcy Court may, upon the request of the Public Prosecution or any interested party, order the taking of whatever precautionary measures it deems necessary to preserve the debtor's assets. These measures shall be automatically canceled if it is decided to close the investigation or the insolvent debtor is acquitted.

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