The New York herald., 1862-01-24

From forty TO fifty vessels inside Of Broad river
fifteen miles from Port Royal.
The Proposed Bankrupt Law.
TO THE EDITOR OF THE HERALD.
II has been a subject Of surprise to the jursts Of
Europe that great commercial community like that Of
tho United States should have existed long without
some general uniform system for the compulsory adj
mnisrstiop Of the property or bankrupt debtors. IN
the infancy Of English il found essential
to egslae upon the subject and early the reign Of
James the First laws enacted which, although cha
racterized by all the seventies and penal enacnents
which dsgraccd the rule Of the first Stuart, contained
provisions which experience has proved to be valuable
and which have embodied in all subsequent legisla
tion. The bankruptcy codes Of France, Of Prussia Of
Piedmont, and Of some Of the States Of Germany arc
many Of them Of ancient dates and have gradually been
altered and improved.
The attention OF the Legislature 10 at this moment mcst
properly directed to this important question. .Yhe
great struggle which IS impending the financial crisis
which this country must undergo the amount OF taxation
which be imposed moot the cost Of what called
a rebellion, but which " in fact war upon gigantic
SCALE the pecuniary sacrifices which the patriotism Of
the people will be called upon 10 makea these crcum
stances render eminently necessary to piace the
commercial relations Of the country upon secure and
healthy basis.
The energies OF this great country win snmount
all the difficulties which for the present lower on the
horizon: but her commerce and her commercial credit
the eblood Of the body poltc and should DO the
Of tho statesman and the legislator to protect aud
foster the one and maintain the unsued character Of
the other. system by which the man who has
struggled against the tide OF misfortune who has
tanned ossos enough "bring royal merchant down.,
enabled 10 surrender all his estate for distribution
amongst those who have just GLAZING upon him, and,
having honestly done so, to commence life anew with
fresh energy and revived hopes, advantageous 10
commercial enterprise rs 1t is just and moral and hu
name. system by which the fraudulent debtor can DC
prevented from dsspatng the property of his creditors
by which he be prccluded from transferring tho
excrbant and avaricous, to the favored preferred
creditor those which belong TO all and should be
rateaby divided among all is essential TO the best in
forests of commerce aud to commercial honor and in
tegrty systcm by which strict and searching invos
gaion can be the disposal of property upon
tie eve Of insolvency and by which be recovered
for general distribution necessary for the protection
of legitimate trading. And such n system is only
to be attained by the efficient administration Of
economical practical, and well devised law OF bank
rupcy read in your Journal that committee Of Con-
g have before them several proposed measures
upon this subject and through your columns venture to
oer few suggestions rs TO the principles upon which
an effective bankruptcy bill should be founded.
a project Of general bankrupt act has been prepared
by some gentlemen OF legal einencc in this city and
they did mo the honor TO transmit to me eopy Of
As far IL goes it Is worry ably prepared The English
act which INTO operation in october last has been
the model OF all the provisions which II IL pro-
ps,d ~ emhody in tho new law but its deficiency ap
be the absence OF the necessary machinery for
the conduct Of the business which must be created in
this country by the institution Of such legislative mea
sure.
In order to be eIectual,
A bankruptcy ay should be general and uniform
throughout the whole territory Of the United States IL
should include within its provision n0ntradcrs rs well as
traders.
Tho proceedings should be as summary and expeIi.
tous consistent with justice To the parties interest
cd. system of strict and efficient supervision and
control assgneos when elected by the creditors,
Under the names of provisional or official assgnees,
competent and responsible persons should b. appointed
and security given for the duly accounting Tor all pro-
pcrty and money coming into their hands.
There should be uniform scale OF remuneration fixed
for their services, TO he paid out Of the bankrups
There should be an accurate definition of what cons,i
tues act OF bankruptcy.
non.traders. In tho Of the latter punishment for
fraudenty obtaining goods aud Tor not keeping books IN
their trade should be enacted.
Power 10 compel the attendance Of witnesses to be OK
amined the dealings and property Of the bankrupt,
and TO commit TO prison IN default Oh attending or refus
right Of appeal ON questions Of Importance should be
given.
making general orders to regulate tho practice Of the
courts.
In cases Wherc tho bankrupb or Otners are charged
with fraud, right of appeal to jury should be given
As there publication analogous to the Gdreie in
England some method Of giving public notice Of adjud
cation In bankruptcy by Advertisements In leading jour
nails Of the various States must be provided for.
Tho court, and not tho creditors, should have the
power Of granting refusing the bankrupts certificate
OF discharge from his debts.
The means by which creditor, resident in another
State transmit tho proof of his debt TO tho State in
which tho bankruptcy is administered aud can be ex
amncd f necessary TO his debt should be provided
The operation OF the act 10 traders should be
prospective.
should the jurisdiction under bankruptcy law be
fcrred upon the various district OF the United
states in which the debtor Is resident will be essential
to provide some Offices for the transaction Of tho bust
ness which must arise. This will require great The
Judge who administer the law, especially in such
cities as New York, Boston and Philadelphia must have
assistance some officer 10 arrange meetings, take de-
positions examine the proofs Of debts scrutnize at
tempts at fraud--whch In bankruptcy gre frequent
register adavits investigate and pass the accounts of
assignoes and of tho bankrupt must be appointed
will be impossible that the system work In tho
English bankrupt law such officers called "regis-
trars,' and paid by salary.
Without aiding to the cost of the judiciary, 1t Is
believe quits practicable 10 make the administration Of
n bankruptcy law elf-supporting The imposition OF a
stamp upon the forms Of proceedings would yield
siderable revenue and The burden upon the suors would
be inconsiderabe.
Through the medium Of your columna I ven
ture 10 offer these suggestions, the result Of some