Annex 1

This letter is to be used only in conjunction with paragraph 61.32 in part 3 and is applicable only where the bankruptcy petition was presented on or before 29 May 2000. It should be amended as appropriate.

Letter to Ministry of Defence claiming a pension under the Armed Forces Pension Scheme

Dear Sir

Re: #*#

I refer to previous correspondence regarding the above-named bankrupt and, in particular to your letter of #*#.

Whilst I note the contents of your letter, it remains the view of the official receiver that the accrued pension rights as at the date of the bankruptcy order became vested in the trustee in bankruptcy.

I fully accept that the guaranteed minimum pension does not vest in the trustee and this remains fully payable to the bankrupt, including any benefits arising as a result of any continued service in the armed forces beyond the date of the bankruptcy order.

The official receiver will not disclaim the interest in the pension as suggested in your letter and would continue to ask that the appropriate payments are made to the estate.

I understand that you have decided not to make such payments and, if you choose to take such a course, then you do so at your own risk, in that the official receiver considers that the sums are rightly due to the estate. If this matter is confirmed by the Court at a later date, the official receiver will seek restitution from you.

#*# In your earlier correspondence you indicated that the bankrupt was to receive £#*# per month from the pension. I will need your confirmation that that remains the sum payable as well as details of the accrued benefit from the suspended payments. It is likely that I will need to consider pursuing a lump sum income payments order in respect of the latter.

#*# I will need your confirmation of the sum payable in respect of the pension as well as details of the accrued benefit from the suspended payments. It is likely that I will need to consider pursuing a lump sum income payments order in respect of the latter.

#*# Notwithstanding the above, as the pension is currently in payment and you are apparently not willing to comply with the request to make payment to the estate, the official receiver has considered the income and expenditure of the bankrupt with a view to establishing whether, if you did indeed re-commence payment, he should take the extraordinary step of seeking an income payments order in the interim.

#*# It would appear that it would not be appropriate to take such an extraordinary step in this case. The official receiver will however keep the matter under review.

If you have already made payment to the bankrupt or re-commenced the pension payments please let me know as soon as possible. Obviously if the bankrupt has received the same and is unaware that he may be required to pay this into the estate he may be at risk if he no longer has the funds. If he is ordered to make payment and can no longer do so he could find that his bankruptcy discharge period is suspended as a result. No doubt, if you have indeed already made payment, you have considered this issue already and indicated the same to the bankrupt.

I look forward to hearing from you as soon as possible.

Yours faithfully

Assistant Official Receiver