The meaning of poor, insolvent and bankrupt is for merchant, who are unable to pay his depts. Their interpretations in action are the same practice, but their applications are different. Presently, the word “Insolvent” is omitted from the list of judicial words, in Iran.

Claiming “Insolvency” and “Bankruptcy” should be considered as non —litigious claims, because of their relation to public discipline. It should be possible for interference of Public Prosecutor in all aspects of failure in payment.

In principle, Insolvent is not interdicted, but the kind of Interdiction is from the type special interdiction, Suspicious and judicial, therefore, they include other necessary legal capacities, unless it is unnecessary for creditors.

For proving impotence, we should consider the differences between those debtors with

transact roots and those who have no transact, and/ or have forcible guaranties, etc....

Initial imprisonment is unjustified and non-canonical. Only Justified imprisonment is permitted. Therefore, the present understandings of regulations, which emphasize on imprisonment, are incorrect.

Non-influence on transaction, in order to run-away from debts which are mentioned in article No.218, of our civil law, and previous regulations, are recognized in Islamic - law, but according to Religious - Votes, Justice and Morality, their renewal are necessary.

Besides, the invalidities of Bankrupt merchandise should be handled with more care that are mentioned in trade - regulations, and must be revised and changed with no influence, and pessimistic interdiction. In order to protect those who suffered from a loss.

Retrogression, before receiving order for suspension of merchandize activities; any

transaction, before the dates of order. are valid, without any limitation Therefore the date of suspension should be arranged within a suitable time, after order.

According to some statement and interpretation in Koran, emphasize is stated towards

general responsibilities of the government for prevention of Bankruptcy of merchants. Providing general, economical securities and concerns the Government should accept the responsibilities towards those debts, which happened, for honest and hard- working merchants.

Meanwhile, reviewing the law and regulations for settlement of accounts related to people, and making their organization capable, the insolvent should have settlement of debts, in order to preserve the rights of the society, from any damage.

Properties of debtor are general security and belong to all the creditors, for their claims, but some of his properties should be kept for his primary requirements, under title of exception.

After dividing his properties Insolvency shall be over, automatically, but Court of Justice should command for returning his Esteem.