AiB's legal powers in relation to recall: FOI release

Information request and response under the Freedom of Information (Scotland) Act 2002

Information requested

For the purposes of s35 (and other relevant provisions) does the AIB possess legal power to grant sequestration in circumstances where all sums potentially required to be paid have been deposited with an AIB-approved stakeholder, pending resolution of detailed investigation into alleged maladministration?


Section 35(6)(b) of the Bankruptcy (Scotland) Act 2016 sets out the requirements in which AiB may grant a recall:

(6) AiB may recall an award of sequestration if satisfied that—

(b) those debts were paid in full within 8 weeks after the days mentioned in subsection (5)(a) have expired,

Therefore, there is no provision for AiB to make a decision more than eight weeks after the creditors have been notified. The remedy would be that any application would be rejected if the timescale was not met. A further application could be made following any relevant investigations. 

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Please quote the FOI reference
Central Enquiry Unit
Phone: 0300 244 4000

The Scottish Government
St Andrews House
Regent Road

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