The western Democrat. [volume] (Charlotte, N.C.) 1852-1870, 1867-03-26
THE BANKRUPT LAw-1Ts OFFICES


THE BANKRUPT LAW-ITS OFFICES,
We find ia the Baltimore Sun faithful
synopsis of the operations of the Bankrupt law
recently passed by Congress, and sooa to be put
In operation ~"
1.-The law provides for the appointment in
each congressional district of the United States
OF one or more officers called Registers in Bank
ruptcy. These officers are to be selected by the
Chief Justice Of the United States. Their
business will be to act as deputies OF the district
Judge in all matters relating to bankrupt estates
Their compensation will be derived from fees
and itinerant charges upon scale to be fixed
by the Supreme Court OF the United States. L.
is calculated that the ofice will, in case, be
worth less than one thousand dollars per annum
and ia the principal towns and commercial
centres will be very lucrative. Some idea may
be formed of the Importance and value of the
office, when it is remembered that the bankrupt
act practically supersedes the insolvent laws Of
all the States. So that at the least the fees of
each register will, in number, equal the aggre-
gate OF all the fees in insolvency of all the State
courts 10 bis congressional district, and as the
rate of lees i. bankruptcy may fairly be assumed,
according to the ratio of fees ia the federal
courts, to be four times the rate of like services
in the State courts, it will at once be seen that
the office is nice little provision. The nomin-
atons for these places rest with the Chief Jus,
tice OF the Supreme Court, exclusively, and not
with the district judges.
The law embraces not only the bankruptcy
of individuals aud partnerships, but, by the 37th
section, the provisions Of the law are extended
over all moneyed, business or commercial cor
porations and joint stock companies. All these
bodies, like individuals, may be forced into
bankruptcy, at the Instance of any of their
creditors, whenever they shall evade the service
of lega! process, or shall conceal or remove any
of their property to avoid its being attached,
taken, or acquestered, on legal process, or shall
make any assignment, gift, sale, conveyance, or
transfer of their estate property, rights or credits,
either within the United States or elsewhere,
with intent to delay, defraud or hinder their
creditors, or when, being bankrupt or iosolvent,
or in contemplation Of bankruptcy or insolvency,
they shall make any payment, gift, grant, sale,
conveyance, or transfer of money or other pro-
perty, estate, rights or credits, or give any war
rant TO coufess a judgment or procure or suffer
their property to be taken on legal process, with
intent to give preference to one or more credl-
tors, or to any persons liable for them as en-
dorsers, suretles otherwise, or with any iuteDt
to defeat or delay the operation Of the bankrupt
law, or who, being banker, merchant or trader,
has iraudulently stopped Or suspended, aud not
resumed payment OF his commercial paper with
in fourteen days. When such person or corpor
alton is declared bankrupt, the assigaee may
recover back the money or property so paid,
conveyed, sold or assigned contrary to the act,
and the creditor participating in the fraud is ex-
cuded from all dividends out Of the bankrupt
estate. t ..... ...-. -.. .ss...s e..: = ...=.
These provisions against dishonest dealings
by individuals and corporations seem to be very
comprehensive and coBplete, aud to make every
reasonable provision against the corrupt practices
of trade, which have done so much to confound
the guilty with the unfortunate. Hereafter it
will be impossible for corporation, bank or iedi-
vidual to stop or suspend payment, aud defy
creditors At the expiration of fourteen days
dis honored commercial paper must be met, or
the bankrupt assignee will prevent the perpetra-
tion of further mischief, the wasting of assets,
and will take from the too-wiilIng friend who
has been accessory to false credit, all the colat-
erals with which he has hedged round his own
safety at the expense of others" ..l
A Washington paper says:
"Chief Justice Chase is already overwhelmed
by applications for appointments registers
under the bankrupt act. He will not appoint
any one until after the meeting of the Supreme
Court in April Eext. Where several counties
are embraced 10 one Congressional district,
register will probably be selecred for each
county, aud none will be appointed except law
yers who stand at the head of their profession,
and all will be rgidly examined, as these posi-
tions are regarded as of much Importance as that
of United States district jud ge and the tees will
be fixed by the Supreme Court 50 that the best
attorneys Can afford to attend to it. Where
there are any number Of persons who desire to
take the benefit of the law, the position of reg.
ister will be very profitable" ..... -.