119Appointment of receiver or manager

119 Appointment of receiver or manager

(1)  This section applies where the Board is of the opinion that a defalcation has been or may have been committed in relation to a trust account of –

(a) a real estate agent named in Part 1(1) of the Register; or

(b) a property manager named in Part 2(1) of the Register; or

(c) a general auctioneer named in Part 3(1) of the Register.

(2)  This section also applies where the Board is of the opinion that a person is unable to obtain trust money held by a property agent mentioned in subsection (1) due to –

(a) the mental or physical infirmity or death or disappearance of the property agent; or

(b) the suspension or cancellation of the right of the property agent to carry on real estate agency business, property management business or general auctioneering business, as the case may be; or

(c) the suspension or termination of the real estate agency business, property management business or general auctioneering business of the property agent for any other reason.

(3)  If this section applies, the Board may apply to a magistrate for the appointment of a person to be –

(a) a receiver of the trust money of the property agent; or

(b) the manager of the business of the property agent.

(4)  Unless a magistrate otherwise determines, a copy of an application under subsection (3) is to be served on the property agent at least 24 hours before the hearing of the application.

(5)  A magistrate, on considering an application under subsection (3) , may appoint a receiver of the trust money of the property agent.

(6)  The magistrate may also appoint a person qualified to do so –

(a) to manage the business of the property agent for a period to be specified by the magistrate; or

(b) to carry on that business with a view to winding it up in the interests of the clients of the property agent.