The tri-weekly standard. [volume] (Raleigh, N.C.) 1866-1868, 1866-05-31
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THE BANKRUPT BILL.


runt bill. which passed the House on Tues
day:
Section 1 constitutes the district courts
.1,a ITn;tnd St,tes courts of bankruptcy.
Section . uives the United States circui
courts GENERAL superintendent and jurisdic
tion of all cases and questions arising under
the act.
Sections to Z, inclusive, relate to the adj
ministration of the law in courts OF bank
ruptcy.
practice.
Section II provides that if any person
residing within the jurisdiction of the United
States. owing debts over three hundred dol
lars, shall apply by petition to the Judge OF
his judicial district, setting out his Inability
to pay his debts in full, and his willingness
to surrender his estate for the benefit OF his
creditors the filing of such petition shall be
an act of bankruptcy, and such petitioner
shall be adiudgcd bankrupt, 4 warrant
shall then be issued by the judge directing
the marshal of the district to take possession
of the estate and keep the same until the APP
pointment of an assignee. Notice IS then to
be given to the creditors to hold 4 meeting
and choose one or more ASST gnees.
Sections ~ to IS, inclusive, defines in great
detail the duties of ASST gnees.
Sections 10 to "a, inclusive, relate to debts
and the proof of claims.
Section 25 provides for the sale of perisha-
BILE property.
Section 26 provides for the examination of
bankrupts before the courts and eXempts
them from liability to arrest during the pen
dency of the proceedings in bankruptcy in
civil actions.
Section 81 relates to the distribution of
the bankrupt's estate All creditors whose
debts are duly proved and allowed are to be
entitled to share in the baukrupt's property
pro rata, without any priority or preference
whatever except that wages due from him
to any operative, clerk, or house-scrvant to
amount not exceeding fifty dollars for la
Dor performed within six months next pre-
ceding the adjudication of bankruptcy, shall
be entitled to priority, and shall be first paid
in full In the order for dividend the fol
lowing claims are to be entitled to priority
or preference, and to he first paid in the fol-
lowing order:
First. The fees, costs, and expenses of suits
and for the custody of property
Second. All debts due to the United
States, and all taxes and assessments under
the laws thereof.
Third All debts due to the State in which
the proceedings in bankruptcy are pending,
and all taxes and assessments made under
the laws of such State.
Fourth. Wages due to any operative, clerk
or houSe-Servant, to an amount not exceed
ing fifty dollars, for labor performed within
six months next preceding the first publica-
ton of the notice OF proceedings i'll bank
ruptcy.
Fifth. All debts due to any persons who
by the laws of the United States. are or may
be entitled to a priority or preference. in like
manner as if this act had not been passed;
always provided that nothing contained in
this act shall interfere with the assessment
and collection of taxes by the United States
or any State.
Section 90 and the five following sections
relate to the bankrupt's discharge and its eff
feet. If it shall appear in court that the
bankruE N has in all things conformed to his
duty under this act, and that he is entitled
under the provisions thereof to receive dis
charge, the court shall grant him dis
charge from all his debts, except as herein
after provided, and shall give him certif-
cate thereof under the seal of the court.
Section 80 declares preferences and fraudu-
lent conveyances void.
Sections SO, 81, and SO relate to bankrupt
cy of partnerships and of corporations and to
dates and dispositions.
Sections 80 to AZ, inclusive provide for
the case of involuntary bankruptcy A de
parture from the State, avoiding the service
of legal process. removal concealment vi
property, fraudulent assignment Of property
arrest, and detention for debt for period OF
SSNeu COuleSSlOn Oh J judgment or SuSpen-
sion of payment of commercial paper for
fourteen days, shall be deemed an act OF
bankruptcy.
Section 43 provides for the superseding OF
the bankrupt proceeding by arrangement.
Section A provides penalties against
bankrupts for concealment of property, filsi-
flying books or papers. fraudulent assignment
or conveyance of property, spending it in
gaming, permitting a fictitious debt to he
proved against him, obtaining goods on
credit fraudulently within three months OF
the commencement of proceedings in bank
ruptcy. These are to be deemed mistlcmean-
orS, and are to be punished by imprison-
ment, with or without hard labor, for "a term
not exceeding three years.
Sections 40 and 46 provide penalties
against officers in administering the laws
Section ~ regulates fees and costs
Section 48 regulates stamp duties Oh peti-
lions. warrants, e..
Sections 40 and so define the meaning of
terms and the computation of time.
Section 81 and last enacts that this act
shall commence and take effect as to the aD-
pointment Of officers created hereby. and the
PRONUNCIATION of rules and general orders
from and after the date of its approval
Procided, That no petition or other proceed
ing under this act shall be fled received, or
commenced before the first day of Novem-
Der, 1866.