Insolvency Act 1986, section 433

Admissibility in evidence of statements of affairs, etc

Part XVII Miscellaneous and General

[F1248 (1)F1248] In any proceedings (whether or not under this Act)—

(a)M44a statement of affairs prepared for the purposes of any provision of this Act which is derived from the Insolvency Act 1985,

[F1249 (aa)a statement made in pursuance of a requirement imposed by or under Part 2 of the Banking Act 2009 (bank insolvency),F1249]

[F1250 (ab)a statement made in pursuance of a requirement imposed by or under Part 3 of that Act (bank administration),F1250] and

(b)any other statement made in pursuance of a requirement imposed by or under any such provision or by or under rules made under this Act,

may be used in evidence against any person making or concurring in making the statement.

[F1251 (2)However, in criminal proceedings in which any such person is charged with an offence to which this subsection applies—

(a)no evidence relating to the statement may be adduced, and

(b)no question relating to it may be asked,

by or on behalf of the prosecution, unless evidence relating to it is adduced, or a question relating to it is asked, in the proceedings by or on behalf of that person.

(3)Subsection (2) applies to any offence other than—

(a)an offence under section 22(6), 47(6), 48(8), 66(6), 67(8), 95(8), F1252... [F1253 99(3)F1253] , 131(7), 192(2), 208(1)(a) or (d) or (2), 210, 235(5), 353(1), 354(1)(b) or (3) or 356(1) or (2)(a) or (b) or paragraph 4(3)(a) of Schedule 7;

(b)an offence which is—

(i)created by rules made under this Act, and

(ii)designated for the purposes of this subsection by such rules or by regulations made by the Secretary of State;

(c)an offence which is—

(i)created by regulations made under any such rules, and

(ii)designated for the purposes of this subsection by such regulations;

(d)an offence under section 1, 2 or 5 of the M45Perjury Act 1911 (false statements made on oath or made otherwise than on oath); or

(e)an offence under section 44(1) or (2) of the Criminal Law (Consolidation) (Scotland) Act 1995 (false statements made on oath or otherwise than on oath).

(4)Regulations under subsection (3)(b)(ii) shall be made by statutory instrument and, after being made, shall be laid before each House of Parliament.F1251]

Cases considering section 433 8

Regina v. Kansal

[2001] UKHL 62 · 29 November 2001

The provision authorised statements obtained under statutory compulsion to be used in evidence. Lord Hope held separately that both the judge and prosecutor acted within the authority conferred by it, engaging section 6(2) of the Human Rights Act 1998. (see paras [38]-[39]; [85]-[88]; [93]-[94])

Shierson v Rastogi

[2002] EWCA Civ 1624 · 8 November 2002Limits

Section 433 prevents direct use in criminal proceedings of a statement compelled under the Act. It does not confer derivative-use immunity, and the court declined to enlarge that protection when assessing the weight of the asserted criminal-investigation risk. (see para [47])

Mitchell & Anor v Al Jaber & Ors

[2021] EWHC 912 (Ch) · 21 April 2021Interprets

Section 433(1)(b) permits statements made pursuant to insolvency requirements to be used in evidence against the maker. The court held that this concerns admissibility and does not create a cause of action or abrogate witness immunity. (see paras [34], [89], [112]-[113])

What each judgment says about section 433 is in the case-law panel in the full Act.

Amendments and notes

12 notes from legislation.gov.uk

Amendments

  1. F1248S. 433 renumbered as s. 433(1) (14.4.2000 (E.W.) and 1.1.2001 (S.)) by 1999 c. 23, s. 59, Sch. 3 para. 7(2) (with s. 63(2), Sch. 7 para. 3(3)); S.I. 2000/1034, art. 2; S.S.I. 2000/445, art. 2
  2. F1249S. 433(1)(aa) inserted (17.2.2009 for certain purposes, otherwise 21.2.2009) by Banking Act 2009 (c. 1), ss. 128, 263(1)(2) (with s. 247); S.I. 2009/296, arts. 2, 3, Sch. para. 2
  3. F1250S. 433(1)(ab) inserted (17.2.2009 for certain purposes, otherwise 21.2.2009) by Banking Act 2009 (c. 1), ss. 162, 263(1)(2) (with s. 247); S.I. 2009/296, arts. 2, 3, Sch. para. 3
  4. F1251S. 433(2)-(4) inserted (14.4.2000 (E.W.) and 1.1.2001 (S.)) by 1999 c. 23, s. 59, Sch. 3 para. 7(3) (with s. 63(2), Sch. 7 para 3(3)); S.I. 2000/1034, art. 2; S.S.I. 2000/445, art. 2
  5. F1252Word in s. 433(3)(a) omitted (26.5.2015 for specified purposes, 6.4.2017 for E.W. in so far as not already in force, 6.4.2019 for S. in so far as not already in force) by virtue of Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 9 para. 56(a); S.I. 2015/1329, reg. 3(d); S.I. 2016/1020, reg. 4(e) (with reg. 5) (as amended by S.I. 2017/363, reg. 3); S.I. 2019/816, reg. 4(c) (with reg. 5)
  6. F1253Word in s. 433(3)(a) substituted (26.5.2015 for specified purposes, 6.4.2017 for E.W. in so far as not already in force, 6.4.2019 for S. in so far as not already in force) by Small Business, Enterprise and Employment Act 2015 (c. 26), s. 164(1), Sch. 9 para. 56(b); S.I. 2015/1329, reg. 3(d); S.I. 2016/1020, reg. 4(e) (with reg. 5) (as amended by S.I. 2017/363, reg. 3); S.I. 2019/816, reg. 4(c) (with reg. 5)

Modifications

  1. C1298S. 433 applied with modifications by S.I. 1986/1999, art. 3, Sch. 1 Pt. II
  2. C1299S. 433 applied (with modifications) (17.2.2009 for certain purposes, otherwise 21.2.2009) by Banking Act 2009 (c. 1), ss. 103, 263(1)(2) (with s. 247); S.I. 2009/296, arts. 2, 3, Sch. para. 2
  3. C1300S. 433 applied (with modifications) (17.2.2009 for certain purposes, otherwise 21.2.2009) by Banking Act 2009 (c. 1), ss. 145, 263(1)(2) (with s. 247); S.I. 2009/296, arts. 2, 3, Sch. para. 3
  4. C1301S. 433 applied (with modifications) (8.7.2021) by The Payment and Electronic Money Institution Insolvency Regulations 2021 (S.I. 2021/716), regs. 2, 37 (with reg. 5) (as amended (4.1.2024) by S.I. 2023/1399, regs. 1(2), 4, 11)

Marginal citations

  1. M441985 c. 65.
  2. M451911 c. 6.