Section 142 - Modification or recall of bankruptcy order.

Modification or recall of bankruptcy order: authority may amend orders for apparent error or when debts and expenses are secured.

Section 142 permits the Adjudicating Authority to modify or recall a bankruptcy order, suo motu or on application, for an error apparent on the face of the order or where bankruptcy debts and expenses have been paid or secured to its satisfaction. Trustee actions taken before modification or recall (sales, dispositions, payments) remain valid, but the Authority shall direct vesting of the bankrupt's property in an appointee or, failing that, revert it to the bankrupt on terms it specifies; the Authority must also provide the order to the Board for register entry and the modification or recall binds creditors.