(1) Where the property in a registered ship or in a share therein is transmitted on death, bankruptcy or otherwise to a person who is not a qualified person, then the High Court may, on application by or on behalf of such person, order a sale of the property so transmitted and direct that the proceeds of the sale, after deducting the expenses thereof, be paid to the person entitled under such transmission or otherwise as the court direct.

(2) The court may require any evidence in support of the application they think requisite and may make the order on any terms and conditions they think just, or may refuse to make the order and generally may act in the case as the justice of the case requires.

(3) Every such application for sale shall be made within four weeks after the occurrence of the event on which the transmission has taken place or within such further time (not exceeding in the whole one year) as the court allow.

(4) If application is not made in accordance with this section or if the court refuse an order for sale, the ship or share transmitted shall thereupon be subject to forfeiture under this Act.