Insolvency Act, 1936 (Act No. 24 of 1936)54. Election of trustee |
| (1) | At the first meeting of the creditors of an insolvent estate the creditors who have proved their claims against the estate may elect one or two trustees. |
| (2) | Any person who has obtained a majority in number and in value of the votes of the creditors entitled to vote, who voted at such meeting, shall be elected trustee. |
| (3) | If no person has obtained such a majority of votes then— |
| (a) | the person who has obtained a majority of votes in number, when no other person has obtained a majority of votes in value, or has obtained a majority of votes in value, when no other person has obtained a majority of votes in number, shall be deemed to be elected sole trustee; |
| (b) | if one person has obtained a majority of votes in value and another a majority of votes in number, both such persons shall be deemed to be elected trustees, and if either person declines a joint trusteeship, the other shall be deemed to be elected sole trustee. |
| (4) | For the purposes of this section "majority of votes in number" means a greater number of votes (apart from the value of the claims which they represent, but subject to the provisions of subsection (3) of section fifty-two) than has been obtained by any competitor and "majority of votes in value" means votes representing claims of a greater aggregate value than the votes obtained by any competitor. |
| (5) | If at any meeting of creditors convened for the purpose of electing a trustee, no trustee is elected and the estate is not vested at the time of that meeting in a provisional trustee, the Master may, in accordance with policy determined by the Minister, appoint a trustee and if he or she does not so appoint a trustee, the Master or the insolvent with the Master's consent, may apply, at the cost of the estate, to the court by petition to set aside the sequestration and the court may make such order thereon as it thinks fit. |