Offences of fraudulent bankruptcy and negligent bankruptcy (Turkish penal code 161 and 162 nd. articles)

Nowadays, economic activities are, without doubt, one of the most important aspects of the social life. Even though what is principal in economic life is the continuity of economic activities, these activities may end with different reasons. One of these reasons is the bankruptcy. Bankruptcy is a reality of business life. Going bankrupt is not an offence on its own, however if bankruptcy is fraudulent or negligent, criminal consequences attach. The article 161 of the Turkish Criminal Code numbered 5237 promulgates fraudulent bankruptcy and the article 162 promulgates the negligent bankruptcy. The offences of fraudulent bankruptcy and negligent bankruptcy are offences which damage or have the potential of damaging rights of creditors. Also, these offences are categorized as economic crimes because of damaging the economic system and loan security. According to the Article 161 of Turkish Criminal Code, a person who disposes fraudulently in the way to diminish his assets is punished if his bankruptcy is decreed before or after these fraudulent disposals. According to the Article 162 of Turkish Criminal Code, a person who causes bankruptcy due to the failure to exercise the care and attention required by the status of being merchant, is punished if bankruptcy is decreed. In this respect, the decree of bankruptcy has the characteristics of a criminal responsibility condition in terms of fraudulent bankruptcy and negligent bankruptcy. Keywords: Bankruptcy, fraudulent bankruptcy, negligent bankruptcy, bankrupt, economic crime.