The western Democrat. [volume] (Charlotte, N.C.) 1852-1870, 1867-06-25
THE BANKRUPT LAW.

Ibe Bankrupt Law being now (slnce June
ist,) In full operation, summary of its princi.
pal provisions will be of use. The act provides
for voluntary and involuntary bankruptcy, for
the bankruptcy of partnerships and of corpora
tiens, and for the supercedure of the bankrupt
proceedings by arrangement. Any person may
voluntarily obtain the benefit of the act who
owes debts exceeding $500, by applying by
petition @to the Judge of the Judicial District
in whiehssuch person has resided or carried on
business for the six months next Immediately
preceding the time of filling of such petition, or
for the longest period during such six months,
setting forth his place of residence. his inability
to pay all his debts in full, his willingness to
surrender all bis estate and effects for the bene-
fit of his creditors, and his desire to obtain the
benefit of this act; and he must annex to his
petition a schedule verified by oath, before the
Court, or before Register in bankruptcy or
before one of the Commissioners of the Circuit
Court Of the United States, containing full
and true statement of all his debts, and, as far
as possible, to whom due, with the place of resi-
dence of each creditor, if known to the debtor,
and if not known, the fact to be so stated and
the sum due to each creditor; also the nature of
each debt or demand, whether founded on writ
ten security, obligation, contract, or otherwise,
and also the true cause and consideration of such
Indebtedness, in each case, and the place where
such Indebtedness accrued, and statement of
any existing mortgage, pledge, lieu, judgment
or collateral, or other security given for the pay
ment of the same; and shall also annex to his
petition accurate inventory, verified in like
manner of all bis estate, both real and personal"
Notice of the proceedings must be given to all
creditors, and the property is to be turned over
to an assignee for their benefit. There is ex-
"a kho, ~ &c kIok &C,
sary household and kitchen furniture, and such
other articles and other necessaries of such bank
rupt as the said assignee shall designate and set
apart, having reference in the amount to the
family, condition and circumstances of the bank
rupt, but altogether not to exceed in value, in
any case, the sum Of $500 and also the wear
ing apparel of such bankrupt, and that of his
wife and children, and the uniform, arms and
equipments of any person who IS or has been
soldier in the militia or in the service Of the
United States; and such other property as now
is, or hereafter shall be, exempted from attach
ment, or seizure, or levy on execution by the
laws of the United States, and such other pro-
perty not included in the foregoing exceptions,
as is exempted from levy and sale upon execu-
ton or other process or order of any court by
the laws of the State in which the bankrupt has
his domicile at the time Of the commencement
of the proceedings in bankruptcy, to an amount
not exceeding that allowed by such State ex
emption laws in force in the year 1861"
Six months after the adjudication Of bank
ruptcy, after publication in the newspapers, a
certificate is given the bankrupt dscharging
him forever from all his debts existing at that
time.
Any person owing debts may involuntarily be
declared bankrupt who shall ''depart from the
-: r.:
inhabitant, with intent to defraud bis creditors,
or being absent shall, with such intent, remain
absent; or shall conceal himself to avoid the
service or legal process in any action for the
covery of debt or demand provable under this
Act; or shall conceal or remove any of his pro-
perty to avoid its being attached, taken, or
sequestered on legal process; or shall make any
assignment, gift, sale, conveyance, or transfer
of his estate, property, rights or credits, either
within the United States or elsewhere, with in
tent to delay, defraud, or hinder his creditors,
or who has been arrested and held in custody
under or by virtue of any process OF execution,
issued out of any State, District, or Territory,
within which such debtor resides or has pro-
perty founded upon a demand in> its nature
provable against bankrupts estate under this
act, and for sun exceeding one hundred
dollars, aud such process is remaining in force
and not discharged by payment, or in any other
manner provided by the law of such State, Dis
,rict, or Territory applicable thereto, for period
of seven days; or has been actually imprisoned
for more than seven days in civil action,
founded on contract for the sum Of one hundred
dollars or upwards; or who, being bankrupt or
insolvent, or in contemplation of bankruptcy or
insolvency, shall make any payment gift, grant,
sale, conveyance, or transfer of money or other
property, estate, rights or credits, or give any
warrant TO confess judgment, or procure or suffer
his property to be taken on legal process, with
intent to give preference to one or more of his
creditors OF to any person or persons WHO are or
may be liable for him as endorsers, bail sureties,
or otherwise, or with the intent by such diSpo-
stion of his property, to defeat or delay the
operation of this act; or who, being banker,
merchant or trader, has fraudulently stopped or
suspended and not resumed payment of his com.
mercial paper, within period of fourteen days"
The duties of registers in bankruptcy are,
ITO make adjudication of bankruptcy, to receive
the surrender Of any bankrupt, to administer
oaths in all proceedings before HIM, to hold and
preside at meetings of creditors, to take proof OF
debts, to make all computations of dividends
and all orders of distribution, and to furnish the
assignee with certified copy of such orders,
and of the schedules Of creditors and assets filed
in each case, to audit and pass accounts of as
sgnees, to grant protection, to pass the last ex-
animation of any bankrupt in cases whenever the
assignee or creditor do not oppose, and to sit
in chambers and dispatch there such part of the
administrative business of the Court aud such
uncontested matters as shall be defined in general
rules aud orders, or as the District Judge shall
10 any particular matter direct; and he shall
also make short memoranda of bis proceedings
L J.