Effect of receiving order
The consequences of the making of the receiving order are:
- The debtor retains ownership, but loses possession and control of his property;
- The official receiver becomes receiver of the debtor's property;
- No legal proceedings may be brought in respect of provable debts except by leave of the court;
- Transactions subsequently entered into by the debtor are prima facie invalid;
- The receiving order must be advertised in the gazette;