This was despite being an undischarged bankrupt. In mid-1997, he resigned, and was sentenced for breaking the law regarding undischarged bankrupts. UGG cross-appealed as to whether an undischarged bankrupt had capacity to sue in this matter. Degraves was an undischarged bankrupt and a convicted thief. Citizenship was also taxable, and undischarged debt was potentially a capital offence. Darby and Gyde were undischarged bankrupts with convictions for fraud. The recipients of the housing grant must not be an undischarged bankrupt.