Nowadays, the drafting of act and regulations is one of the most important ways for states to regulate relationships between individuals and establish order and balance in society. Insolvency institutions are among the regulations that have been envisaged with a supportive view to regulate legal relationships between creditors and debtors. Recently, with the enactment of the Act on the Execution of Financial Convictions of 2014, the scope of insolvency regulations has been extended beyond the creditor-debtor relationship and into the realm of criminal law (restitution of property, etc.), causing perpetrators of financial crimes who have deliberately and maliciously violated the rights of individuals to benefit from legislative protection. An action that has led to consequences such as the degradation of the legislator's position in public opinion and the issuance of conflicting verdicts in courts. In the forthcoming article, by adopting a descriptive-analytical method, an effort was made to study the foundations of the institution of insolvency and to extrapolate the theories proposed about it, while determining the scope of insolvency, to examine the legislator's performance in extending it to cases of restitution of property. The results indicate that such an extension to an absolute form is inconsistent with the objectives regarding thea restitution of property and the exceptional nature of the institution of insolvency, needs to be reviewed and some limitations foreseen.