Wilmington daily commercial. [volume] (Wilmington, Del.) 1866-1877, 1874-09-22

well as tothose commenced hereafter. And in ali
e es, commenced since the first day OF December,
elgnteen hundred and seventy three, and prior to
the passage of this act, well as those commenced
hereafter the court shall, If such allegation as to
10 NE number Or amount OF petitioning creditors
pc denied by the debtor, by statement lin writing
10 tnat enect, require him to file In court forthwith
Iull list OF his creditors with their place. OF resi-
dence and the sums due them respectively and shall
ascertain upon reasonable notice TO the cred tors
whether one-fourth In number and one-third IN
amount thereof, as aforesaid, have petioned that
the debtor be adjudged a bankrupt. But If snch
debtor shall on the filing of the petition, admit in
writing that the requisite number and amount OF
creditors nave petltoned the court III satisfied that
me admission was sade In good faith, shall 80 nd
Judge, whish Judgment shall be final and the mat
yer proceed without further steps on that subject
Ana list shall appear that such number and amount
nave not so petiuoned the court shall grant reason.
abe Time, not exceeding In cases heretofore COM
inenced, ten days within which other c-edltors may
JOIN IN such petl1on. And L, at the expiration Of
such time so limited, the number and amount shall
comply with The requirements of this section, the
mater Oh bankruptcy may proceed but II, at the
expiration OF such limited time such number and
amount shall not answer the requirements OF this
section, the proceedings shall he dismissed, and in
cases hereafter commenced, with costs And il
such person shall be adindged a bankrupt the as
signee may recover back the money or property so
pald conveyed, sold, assigned, or transferred con-
trary 10 THIS act Provided, That the person recey-
ing such payment or conveyance had reasonable
cause to believe that the debthr was lnsolyent and
knew tlat fraud on this act was intended and
such person. II creditor, shall not In cases Of ac-
tua fraud on his part be allowed to prove for more
than m0ety of his debt and this limitation on
the proof Of debts shall apply tn cases OF voluntary
as well as involuntary bankruptcy, And the nett
tlon OF creditors Lunder this section may be suni-
clently verified by the oahs of tho first five slgners
i've siyners shall not reside in the DISTRICT In which
such petition Is to he fled the same may be ssQned
and verified by the oath of oaths of the attorney
attorneys, agent or agents, of such slgners And in
computing the number OF creditors, as aforesaid
VINO shal JOIN In such peion, creditors whose res
pective debts do not exceed two bundled and flfiy
rppkDOp1 Ie m
creditors whose debts evceed said sum of two hum
bred and fifty dollars or If the requisite number of
creditoos holding debts exceeding two hundred and
NIFTY dollars fail to sign the petition, the creditors
having debts of less amount shall he reckcned for
the purposes aforesaid"
SEC 10 That section forty of i'd act he amended
by adding at the End thereof the following words :
" Aud II, on the return day OF the order to show
cause as Aforesaid, the court shah be satisfied that
the requirement Of section thirty nine Of said act as
To the number and amount shall sign such petition
so as to make total of one fourth In number of
the creditors and one third in the amount of the
provahle debts aga INST the bankrupt, provided In
said section, the court shall so addge which judg-
ment snail be fnal otherwise 1t shall dismiss abe
with costs.
sEc,l4 That section forty one of said act be
amended as follows After the word bankruptcy, y
IN line eight, strike out all of said section and insert
the Words "Or, at the election OF the debtor, the
court may, In It's discretion, award venire facas
70 tle marshal OF the distct returnabe within ten
days before him for the trial of the facts set forth In
the petition, at which time the trial. shall be had
unless adjourned for cause And unless, upon such
nearing or trial. II shall appear to the satisfaction of
said court, or of the Jury as the case may be- that
me facts sets forth IN said petition are true If 1t
shal appear That the debtor has paid and satisfied
all liens upon his property In the existence of
SUCH liens was the sele ground OF the proceeding,
the proceeding shall be dismissed, and the respond
ent shall recover casts ond all proceedings in bank
rnptcy may be discontinued on reasonable notice
ana henring, with the approval of the court, and
upon the assent In writing, of such debtor and not
less than one half of HIS CT ditors in number and
n Al oh
or assent thereto, such dscontnuance shall be or
dered and entered; and al parties shall be RENTED
in esther case, to the same rights and duties exist
ing at the date of the filing OF the petition for bank
ruptcy except 80 far such estate shall have been
already administered and disposed OF And the
court shall have power to make all needful orders
and DEGREES to carry the foregoing provisions into
effect"
SEC 10 That section eleven of said act he amended
by inserting the words sand valuation after the
word inventory in the twenty first line and that
section forty two Of said act be amended by insert
ing the words ''and valuation after the word Tin
ventOrY' In the fifteenth line
SIC 10 That section forty nine of said act he
amended by striking ouSafter the word "the in line
i've, the words 'supreme COURTS and inserting in
lieu thereof distrct courts, and In line six, after
the word estates, inserting the words "subject to
the general superintendent and jurisdiction Ic0n-
ferred upon circslt courts by section two of said
act
COMPOSITION WITH CREDITORS.
SIC Ii That the following provisions be added TO
section forty three of said act That In all cases Of
by or against any person, whether an ad Indication
In bankruptcy shall have qeen Ina or not, this credi-
tors Of such alleged bankrupt may, at meeting
called under the direction OF the court and upon
not less than ten days notice 10 each known credl-
tor OF the time, place, and purpose of such meet
ing, such notice TO be personal or otherwise, as the
court may direct, resolve that u composition pro-
posea by the debter shall he accepted In satisfaction
of the debts due to them from the debtor And such
resolution SHALL to lie operative, have been passed
by majority in number and three fourths in value
of the creditors OF tine debtor assembled at such
meeting either in person or by proxy, and shall be
confirmed by the signatures thereto OF the debtor
and two thirds In number and one half in yane of
all the creditors Of the the debtor And In cacula-
ting majority for the purposes of composition
under this section, creditors whose debts amount TO
sums not exceeding fifty dollars shall be reckoned
in the majority IN value hut not In the majority In
number and the value OF the debts Of secured
creditors above the amount Ct such security, to be
determined by the court SHALL as nearly as ircum-
stances admit, he estimated in the same way And
creditors whose debts are fully secured shall not be
entitled to vote upon TO sign such resolution with
out first relnquishlng such security for the benet
of the estate
The debtor, unless prevented by sickness or other
cause satisfactory to such meeting. snail he present
at the same and shall answer any inquiries made OF
him and he, or, II he is so prevented from being al
such meeting some In his behalf, shall produce
| to the meeting statement showing the whole OF
his assets aud debts, and the names and addresses
of the creditors TO whom such debts respectively
| are due
Such resolution, together with the statement of
the debtor as to his assets and debts, snail be pre-
1
to all the creditors of the debtor of not less than ye
days, and upon hearing inquire whether such reso.
/ luton has been passed in the manner directed by
/ this section and II satisfied that 1t has been sc
passed. it SHALL subject to the provisions hereinafter
contained and upon being satisfied that the same
for the best interest of all concerned, cause suci
resolution to be recorded and statement OF assets
| and debs to be filed and until such record anu H.
ling shall have taken place. such resolution small ne
| of no validity. And any creditor of the debtor may
inspect such record and statement at all reasohape
| times ,
| The creditors may, by resolution passed In the
manner and under the circumstances aforesaid, adi
to, or very the provisions of, any composition pre-
yiously accepted by them, without prejudice to any
persons taking interests under such provisions VINO
do not assent to such addition or variation. Ant
any such additional resolution shall he presented 70
the court In the same manner and proceeded VIII
as the resolution by which the composition was &C
cepted in the first instance. The provisions OIL Q
| composition accepted by sucn resolution In plrsu
ancc of this section shall he binding on all the ered
tors whose name and addresses and the amounts o.
the debts due to whom are shown in the statement
of the bebtor produced at the meatlng at which tns
resolution snail have been passed, put snrll n9t nj
feet or prejudice to rights OF any other creditors
| NaeTe IL debt arises on a bill OF exchange OF pro
mlssory note, If the debtor shall be ignorant OF tne
holder of any such bill of exchange or promlssorl
note he shall be required to state the amount
| snch hill or note, the date which IL falls due, IN,
| name of the acceptor and 0ffthe person 10 Whom ]
is payable, and any other particulars WITHIN M
knowledge respecting the same and the lnsertlol
Of slice particulars shall he deemed sufficient de
| scrIptoIi by the debtor in respect to such debt
| Afy mistake made inadvertently by q ueptor
| the statement of his debts may be corrected upoi
| reasonable notice, and with tne consent Vi gene
, real meeting OF his creditors ,..,.,
Every such composition shall, subject 70 priorltle
DECLARED In said act, provide for pro rata paymeh
or satisfacti-n in money, to the creators oi SUI