In the Matter of the Bankruptcy Law (Cap.7) (1997 Revision) and In the Matter of Patricia H. Millard, a Debtor, and In The Matter of William H. Millard, a Debtor, Cause No. FSD 60 and 61 of 2013, per Jones J (26 November 2013)

Nov 2013

CAYMAN ISLANDS

GRAND COURT

BANKRUPTCY – AUDIT OF ACCOUNTS OF THE TRUSTEE IN BANKRUPTCY – ROLE OF AUDITOR

In the most recent Ruling on Bankruptcy Laws in the Cayman Islands, the Court had to consider whether the role of the Auditor General to audit the accounts of a Trustee in bankruptcy can be waived by a direction of the Court.

In the current proceedings, the Trustee’s Agents asked for a direction that the Auditor General shall not be required to audit the accounts of the Trustee in Bankruptcy, essentially on the grounds that it would service no useful purpose in the circumstances where the administration has been delegated to professional insolvency practitioners.