The claim that a discharged bankrupt in Malaysia must continue paying old debts is legally incorrect. Under the Insolvency Act 1967 (Sections 33(4) and 35), once the Director General of Insolvency or the court grants a discharge, the individual is released from all provable debts except for limited categories such as fines, maintenance, government debts, or fraud-related liabilities. After discharge, creditors cannot demand repayment or take legal action. Any claim suggesting otherwise is a misinterpretation of Malaysian insolvency law.
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