Welcome to the forum
In theory a bankruptcy can be annulled if the origianl debt owed can subsequently be paid off. However it is not as simple as that. As well as the original debt the official receiver's fees and costs would also have to be paid in full. These will be at least £6000 and could be far more if the case has been passed to a Trustee (commercial insolvency practitioner). So to overturn your husband's bankruptcy the family member would have to pay at least £22,000
Given this you have to ask yourself whether it is worth doing. What is the reason he wants to overturn the bankruptcy? Generally speaking the only valid reason would be if your husband has more to loose by staying bankrupt. For example if he is a property owner with significant equity. If he has nothing to loose, I would say he is better off letting the bankrutcy run it course.
He will be discharged in July 2021. If the family member really wants to give him £16k they are better off waiting until then so he can keep the money.....
Discharged from bankruptcy in 2010 and still debt free
Thanks to all on this forum for your advice and support.