HL Deb 22 July 2002 vol 638 c71

166 After Clause 286, insert the following new clause—

"Compensation of creditors

  1. (1) Any person who was a creditor of the respondent at the time when a recovery order was made may, within one year of the date of the order, make an application to the court for compensation.
  2. (2) The court may require the enforcement authority to pay compensation to the applicant if it is satisfied that—
    1. (a) as a result of the making of the order the respondent is wholly or in part unable to repay the debt;
    2. (b) the debt was incurred for full consideration; and
    3. (c) at the time the debt was incurred the applicant had no reason to believe that a recovery order could be made against the respondent."

The Commons disagreed to this amendment for the following reason— 166A Because it would involve a charge on public finds, and the Commons do not offer any further Reason, trusting that this Reason may be deemed sufficient.

Lord Falconer of Thoroton

My Lords, I beg to move that the House do not insist on their Amendment No. 166 to which the Commons have disagreed for their reason numbered 166A.

Moved, that the House do not insist on their Amendment No. 166 to which the Commons have disagreed for their reason numbered 166A.—(Lord Falconer of Thoroton.)

On Question, Motion agreed to.

Bill returned to the Commons with amendments.