Penrose welcomes success of bankruptcy legislation
Labour Party TD for Longford and Westmeath Willie Penrose has welcomed the success of the bankruptcy legislation which he spearheaded in the 31st Dáil.
Deputy Penrose commented: “I am delighted to learn today that almost 800 people have benefitted from the reforms to bankruptcy law which I campaigned for in the 31st Dáil and for which I introduced legislation. That legislation provided for reducing the maximum payment of bankruptcy orders from 5 years to 3 years provided there was full cooperation by the bankrupt with the process.
“My reforms reduced the length of time it takes for people to discharge from bankruptcy from 3 years to 1 year. A key reason why I pursued reforming Ireland’s archaic and unfair bankruptcy law is because I believed it is essential that financial institutions would bare some responsibility for some of the excessive and irresponsible lending which took place during the boom years.
“I also believed it was time to end the process of bankruptcy tourism whereby Irish citizens were compelled to reside abroad, particularly in England, in order to avail of their more benign and less punishing process. I am therefore extremely happy that Ireland’s bankruptcy laws are now appropriate for conducting business in the 21st century Ireland and have shed this Dickensian view which focussed upon penalising failure.
“As demonstrated in the news today the changes to bankruptcy law have helped families and businesses return to financial normality and get their lives back on track. I hope to see more people benefit from this important legislation in the future.”