The western Democrat. [volume] (Charlotte, N.C.) 1852-1870, 1866-02-20
THE NATIONAL BANKRUPT BILL.

SentatlVeS at the last SeSsfoL duu "Ih INV, IL -
believed, pass both Houses, was taken up and
considered by the House last week As the bill
is one Of universal interest, we give an abstract
of its provisions:
THE bill gives the present United States courts
jurisdiction in all arising under the act, and
regulates the appointment duties and powers OF
the officers who are to act in judicial capacity
under supervision of the courts and subject 70
their order, the practice in all proceedings IN
bankruptcy, and some other matters Of merely
professional interest. The bill then provides for
bankruptcy on the motion ofthe bank
rupt himself and involuntary bankruptcy on the
motion of the creditors of the bankrupt. The
provisions are distinct as to each.
ain voluntary bankruptcy it IS provided that
any person residing within the jurisdiction OF the
United States. owing debts prosable under the
act exceeding $500 in amount, can apply by pc
ti,iou to the Judge of the judicial district in which
he resides, setting forth hin inability to pay his
debts, annexing sworn schedule Of his debts,
their amount and nature, with the names and
residence of the creditors; annexing also an in
ventory OF all property Of every kind in his poss-
ession in which he has an interest," and the filing
of such petition is to be an act Of bankruptcy,
and the petitioner is to be adjudged a bankrupt.
The Judge is then to issue warrant, directing
the marshal to take possession of all the debtors
property of every kind, and keep the same until
the appointment of an assignee, and directing
him to notify creditors to prove their debts. AS
signees are to be chosen by the greater part, in
value, of creditors; and such assignees, when APP
tors property and all books and papers relating
thereto, with certain slight exceptions.
"All debts and liabilities existing, though not
matured or not ascertained in amour: at the time
of the adjudication of bankruptcy, may be proved
against the bankrupts estate, and all claims prov
able under the act can he prosecuted in no other
manner than under the act except for the mere
purpose of deciding their amount. All claims
are to be presented on oath, and are to be inves-
tigated judicially in case either their amount or
validity is disputed. The assignees also have
power, under the supervision of the courts to sell
or redeem property, and to take various preserib-
ed measures for the advantage of the estate-to
bring and defend suits on behalf of the estate.
wages due operative, clerk, or house-ser-
want to an amount not exceeding fifty dollars are
TO have priority over all the other claims of indi-
viduaIs and be first paid in full. AT the tinal
dividend claims are to be paid in the following
order: First, fees and costs of the proceedings;
second, all dues to the United States; third, all
dues to the State in which the case is pending;
fourth, wages of operatives, &c, which have ac-
crued in the six months preceding the first notice
of the proceedings as above mentioned; fifth, ali
dues to persons entitled to priority, aside from
the provisions of the act, under the laws of the
United States.
"On due notice, at the time and under the con-
ditions provided by the act, the final discharge is
to he given to the bankrupt from all claims prov
able under the act; such discharge to be with
held, to be invalid if granted, in of fraud
or violation on the part Of the petitioner of the
provisions of the act in that behalf.
"No second disc barge is to be granted to any
bankrupt whose estate Is insufficient to pay sew
enty per cent. CT the claims against it without
the consent of three-ourths in value of his credi-
tors And no third discharge can be granted in
any case. But any bankrupt who has paid all
claims existing at the tirse of a previous bank
ruptcy shall be entitled to discharge as though
there hactsbeen no previous application. Credi-
tors may oppose the discharge, and have the
grounds of their opposition tried by jury. All
debts created by action of the bankrupt in a fidu
ciary capacity are exempted from the opera.
ton of the discharge. Similar provisions are
made as to bankruptcy proceedings on the part
of partnerships and corporations.
The proceedings in involuntary bankruptcy or
the motion. of the creditors differ from those in
voluntary bankruptcy simply in their commence.
ment. Whenever debtor avoids legal process
in All action for the recovery of debt or demand
provable under the act or disposes of his proper.
ty in fraud of his creditors; whenever bank
err, merchant. trader fraudulently suspends and
does not resume the payment of his commercial
paper within fourteen days, and in large class
of enumerated cases, the debtor, on petition o.
his creditors to the amount of over two hundred
and fifty dollars, shall be adjudged bankrupt.
"After the adjudication of bankruptcy, three
fourths in value of the creditors can, under the
direction and approval of the court, wind up and
settle the bankrupt's estate in such manner as
they may agree upon, and the estate is then vest
ed in trustees, the rights and duties of the trus
tees being similar to those of the asst gnees under
the ordinary method of procedure; and the dis
charge is to be in the same form and of the same
effect as though the usual proceedings in bank
ruptcy were had"
SEIZURE OF PROPERTY OF BLOCKADE Run.
NERs.-The Government, taking the ground
that blockade. running was a part of the rebel.
lion, and that all property used and all profits
made in it arc subject to rules of war, have sent
agents South, who have seized all cotton and
other property intended for Notwithstanding,
and have called upon all engaged in the bust
ness to state under oath, their associates, the
amount of their business, their profits, &C.
Most of the witnesses have told the full tale of
! their business, but one or two probably un.
willing to disgorge were sent to prison on &C.
count of their refusal to testify One of the
largest stockholders in this enterprise was the
Hon. G. 4. Trenholm, late secretary of the treas.
ury of the so-called Confederate States. Tn the
course of his examination, which took place on
the 10th ultimo, Mr. Trenholm stated that lust
before the evacuation of Richmond the total
amount of specie In tho Confederate vaults was
from three hundred and fifty thousand dollars