(a) A person commits the crime of fraud in insolvency if, with the intent to defraud a creditor and with knowledge or reason to believe either that proceedings have been or are about to be instituted for the appointment of a receiver or that a composition agreement or other arrangement for the benefit of creditors has been or is about to be made, he:
- (1) Conveys, transfers, removes, conceals, destroys, encumbers or otherwise disposes of any part of or any interest in the debtor’s estate; or
- (2) Presents to any creditor or to the receiver any writing or record relating to the debtor’s estate, not otherwise within the coverage of Sections 13A-10-101, 13A-10-102 or 13A-10-109, knowing or having reason to believe that it contains a false material statement; or
- (3) Misrepresents or refuses to disclose to the receiver, under circumstances not amounting to a violation of Section 13A-10-4, the existence, amount or location of any part of or an interest in debtor’s estate, or any other information that he is legally required to furnish to the administrator.
- (b) “Receiver” means an assignee or trustee for the benefit of creditors, a conservator, a liquidator or any other person legally entitled to administer property for the benefit of creditors.
- (c) Fraud in insolvency is a Class B misdemeanor.
(Acts 1977, No. 607, p. 812, §4140; Acts 1979, No. 79-664, p. 1163, §1.)