Can a bankrupt leave for overseas travel?

Overseas Travel

An undischarged bankrupt cannot leave Malaysia except with DGI’s or court’s permission. If a bankrupt attempts to leave Malaysia without the previous permission of the DGI or court, his passport or travel document will be seized by the Immigration Department and delivered to the DGI.

For the purpose of getting the approval, the DGI will need to be satisfied that you have legitimate reasons for the proposal travel eg:

• Employment / working purposes;
• Umrah / Hajj / religious purposes;
• Medical treatment;
• Visiting family members; and
• Attending family’s wedding ceremony / convocation / funeral.

The DGI may impose conditions when giving permission:

• The period of travel;
• The date you are required to return to Malaysia;
• The date you are required to surrender your passport to the DGI;
• A guarantor with a certain amount of money to be deposited as a guarantee;
• Certain amount of money to be credited into your bankruptcy account; and
• Regularity in making installment payments.

The DGI may refuse permission if there is:

• Irregularity in making installment payments or no payments made at all;
• Non-cooperation with the DGI;
• Failure to attend DGI’s office as soon as possible upon the making of the Receiving Order and Adjudication Order;
• Failure to file the Statement of Affairs on time;
• Irregularity in submitting the Income and Expenditure Statements;
• Pending warrant of arrest;
• Pending prosecution action;
• Complaint under investigation;
• Any offences committed under the Bankruptcy Act 1967; and
• Non-disclosure of assets (both local and oversea).

Breaching a travel condition imposed by the DGI is an offence under the Bankruptcy Act. You shall be deemed guilty of contempt of court and shall be punished accordingly on the application of DGI.