If a bankruptcy or winding-up petition is issued to a debtor, it has the effect in practical terms of preventing the individual or company from disposing of any assets pending the Court hearing. Amongst other things it freezes all bank accounts. Permission to reactivate the bank account or dispose of an asset must be sought from the Court and backed up with reasons and confirmation that this will not be to the detriment of creditors. If agrees the Court will issue a Validation Order.