The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1868-01-19
NEW YORK CITY.
usnEu STATES DISTRICT couRI-w BANKRUPTCY
ass,iou 70 Remove Case from the Hands OF
aReglsier-IshportantP Proceedings.
Beford Judge Blatchford.

pgnED STATES DISTRICT couaT-M BANKRUPTCY.
ass,iou 70 Remove n Case from the Hands Of
ADMINISTRATION Proceedings.
Bsford Judge Blatchford
IN ae Mater of. Ogden SHiA.-In this case M. g.
Do Forest Lord yesterday moved to show cause why this
case should not DO removed from tho hands OF MT
John Fitch, one Of tho registers 10 bankruptcy,
q present having charge OF the matter and
ssnt 10 some other register Mr. Lord IN
support Of tho motion read several sfdsvits setting
forth the gray OF the complaint sganst the regis
teri that he tFitchh 10 whom the case OF Jonn ORasn
Smith bankrupt was referred improperly songht ny
minepresen tatcn to GET Isaac n. Andruss appointed
sssignee for the estate OF tho bankrupt MI Lord, Is
counsel for one OF the creditors the arm OF Haieck
Robbins having the adavits OF several creditors
and OF creditors the estate OF the said bank
eoupter adavs OF persons who denied tho reprssena
tons Of Mr. Lord forth in his afdaviu both e. 10
Mr. Lord then proceeded TO address she court and
Said II your Honor please the appointment OF regis.
ters in bankruptcy provided for 10 the ihd section
be appointed and says they shall be cppontec 70 assist
The Judge in performance OF his duties under The act
Registers therefore, iadcialall their powers are
JUDICIAL and their acts Judicial acts oecrme part OF
The records of your Hcnor's court The functions and
duties imposed registers are very Important From
the fourth OF the act which describes Their duties
and things are epparent--tba IN bank
Yup. cases nearly the whole Of the proceedings 10
ranspire before the register and 10 hesecond place Il Ia
apparent rules which point out aud designate the
no. intended 10 20 into details Necessarily there large
amount Of discretion lodged In the registers hands
He H. as say judicial ofacer under tho court. aad
therefore think that every has right TO demand
this delegation OF judicial pow shall carry with 1t
ali the fairness impartay and dsinserestedness which
ought 10 accompany that authority. And We have
night demand from every register IA bankruptcy that
no shall administer justice with hand, that he
shall simply perform his duties under the act and above
all Is that he sha abstain, upon all occasions and
IN every instance. from descending from the bench
cases going before him. That. think, is essential,
ior without that the door would DO open
70 ell sort o. ,ua ina, and Sy yso
serms OF tho Bankrupt &C, al contested matters arc
taken from he register and submitted to tho court
because although that Is there 10 inevitably
in the sert pressure which accompanies the office OF
register which enables dishonest and self-sseking
restr to accomplish his parsonal ends In spite Of all
that and hat too by means which the law itself would
allow sanction BY interposing Improper distractions
yield compliance with his wishes We have therefore
10 submit right TO demand from every register that
10 shapbs perfectly free from vice. perfectly ds'n
terssted in the discharge OF his du,es with
serve, and having 10 grind and no friends 70
n beor. whom NAV b
my 10: 10 come Now the frat proceeding taken in
bankruptcy after Adjudication \; made il the
Abe 6rs In point Of time, but IL is the most important
Of all the subsequent proceedings The whole benefits
any, to be derived from the act must be derived from
the election Of good gnee and all the danger and
al the injury to be feared come from . bad ncom
potent assignee. The reason is obvious The assignee
lakes the place At the bankrupt hmseftakes charge Of
She property, collects the debts receives all claims
charge of all matters connected with the property and
take Of the ate for the purpose Of making tho
dsno. and basnessise ability, asIity and dis interest.
ednsss OF the assignee whether any dividends will be
made and whether they shall be large or small Il 70
therefore plain that the choice of assgnees above
Ill Gtler things in bankrup cy. the most important
and We should naturally expect that Congress 10
passing the law would pay particular attention 10 the
method OF appointing these assignses for oil hangs
shat Now Congress has laid down method to be fol-
lowed in The selection OF assgnees that Is that assguees
shall be chosen by the creditors. The mode sclec-
Gon Is provided for in the thirteenth section Of the ACT
provides that the creditors shall at the fret meeting
after notice, the presence OF register
one OF more asgnees OF the estate Of the debtor II
shall appoint or more assignees But il is perfectly
clear from the act that method CHI the points
for appointment assigness is that the appoint
choice shall be made BY the creditors themselves 10
every And u 10 the best the natural and
wisss' way. because the creditors OF bankrupt
tanly the most likely 10 know and select the proper
person TO whom they design TO entrust the estate
Of ,he bankrupt. They will know the man;
they know his peculiar tone Of business they know who
10 best ,ted from previous business habits 20 into
the shoes OF the bankrupt continue the business and
~ stake in this NATTER for depends the assignee
whether the dividends from the estate shall be large
This was the essence Of the Bankrupt act and all
important Tho choice OF an assignee should be let 10
BY the Register with the appointment Of an assignee
Was gross prostitution OF his official position and
and ssSa. mo Ins * ss' 0 o.
was exactly the case he had 10 complain OF in regard TO
Nj Fitch Who he sad had solicited all the creditors
Re might have adopted another BY going NJ
S1ich and telling him he Intended TO remove the
another register II he did not hts interference with
The assignee. But the could that II ne had
adopted that MT Lord would have stood me
Tying out af cherished purpose He complained ,ha.
" the presence OF his friends and among many Of
members Of the bar with whom he was accustomed to
practice. Mr. Fitch had pus indgnty upon him and
some him all the harm he could, and therefore he
wished that this case should be taken from the hsnos
Mr.. Fitch replied that he had no personal feeling
against Mr. LORD but he id complain that Mr. Lord
mad attempted 10 get his assignee appointed.
ana he would Always fail to get him IMr F,tchl 70
swerve from the due anc faithful discharge OF ms
duties. He would always treat every person and
every creditor who before him with courtesy
Be did not repruand M Lord because he had
applied 10 his Honor show cause, bat because he mr.
Lord bad applied 70 aim 70 get his assignee APP
pointed in the interest II his own clients Your Honor
nas tbe power 70 protect yourself and the dignity Of
the bench BY comnipn any party who would act i'm.
properly before you ! can only protect m,sef by
ssner this young man Mr. Lord, or any other man As
dad IN this case IL had he power 70 commit,
yoor Honor has, ,hR cas-. would never have come up
hsre But could oaly shnd between myself and my
onor IRON improper contuct on the part Of this person
BY reprimaodlng him as I'D.
MT LORD replied that th' satsmentlof Mr. Fitch that
sniireiy false He tkr Lorl bad mentioned the
subject at al Until VAS brought 10 his notice by Mr.
Jilch mentioning TO him the name Of Mr.. Andrus
hr. Parsons SAID that, rsresen,ng creditors az he
dd. be wished TO state that they had objection 10
leave the case In the bands 4 Mr. Fitcn Tnsy we're
sure they would gel justice his hsrJs and TIA. was
MI they wanted.
Mr. coursop, representing creditors 10 tho auoun, Of
Vv0 said that In order TO have tho proper notice
9ven creditors would be Necessary to have early
decision in the matter
The Judge took the pap am pt.rnats1 to the legal
sehuenoa engaged in tt5 case that be adjourned the
matter io three weeks from thisday, In this court,
1levon O'Clock.
The Gin EDterprhe Case.
Before Judge Biatcford
Inc case OF the parties VINO haze sued Mr. Jsuss
Kelly, the Postmaster Of this city, or having detained
letters which. as he alleges have bon written In ii.
interest OF an illegal g enterprise, vas called Oh ~
Judge BlsohfOrd yesterday.
II was stated that Mr. Chataed cee,sel for the plain.
els was not in attendance md tha, ,beroso,. no