Legal Position of Concurrent Creditors, Rights Protection Constraints, and Curator Responsibilities in the Bankruptcy Asset Management System

Abstract

This study explores the legal protection of concurrent creditors in the bankruptcy legal system, particularly in the practice of bankruptcy estate administration, asset distribution, and curator responsibilities. With a qualitative literature study approach based on normative jurisprudence, this study highlights the position of concurrent creditors who are very vulnerable, because they are always behind preferred and separatist creditors in debt payment procedures. The ethical, legal and administrative responsibility of the curator is an important factor in ensuring the rights of concurrent creditors, but has not been accompanied by an adequate supervision and audit system. The implications of these problems have the potential to reduce public confidence in the bankruptcy system, increase business risk and debt-based investment, and disrupt financial system stability. This study recommends the need for regulatory reform, strengthening the supervisory system, the use of information technology in bankruptcy governance, independent external audits, and encouragement of increased legal education for all creditors. With structural improvements, it is expected that the bankruptcy system will be able to guarantee distributive justice and legal certainty.