New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1877-11-07

is n safeguard against fraudulent attempts ut
secreting property, and also, against what Is
equally frequent, the desperate endeayor or
the insolvent to redeem his position by more
hazardous ventures. The laws of the States to
regulate insolvency fall far short of these re-
duirements i'm 10 two States are those laws
alike: they have been tired and found sadly
wanting; but they are what we shall have To
fall back upon, if the bankrupt law be re-
pealed.
Most of the amendments which have been
made in the present bankrupt law, are in the
interest of the debtor. They are in the main
very GOOD, and have much improved it. Judg-
ing from n petition that has been largely
signed by our merchants, and from the Chamber
of Commerce memorial, 1t seems to be the
general opinion that leniency to the debtor
has been carried too far. The most OF the
amendments asked for or suggested Ill tins
petition, are in the interest Of the creditor.
The chief object appears to be the suppression
of debtors frauds. II is worth while to con
slider also the possibility of creditors frauds.
at present a fourth in number and third IN
amount of creditors must join to bring about
involuntary bankruptcy. The petition suggests
that this proportion might be diminished; but
if il were, we should have new instances OF a
hardship that used to be frequent. Before
this proportion of creditors was required
i'm compulsory proceedings, it often happened
that malicious creditors, rivals III trade, would
suddenly pull down into ruin concerns that
need not have fallen. The law as it now
stands seems, in this respect, fair to both
sides. The petitioners further suggest that IN
these eases of involuntary bankruptcy, the
time in which petition must be brought (to
prevent preference among credtors) should
be extended. But, really, the creditors have
time enough now. If they are sharp they can
interfere within four months; ii they are not
sharp. so much the worse for them. Laws
cannot be made to help people who do not
look out for their own interests.
BY far the most needed OF the amendments
suggested in the petition, is that the assignee
in bankruptcy ought to be an official person
age. At present, dishonest insOIyent agrees
with some of his creditors in having an
assignee appointed who carries out
plan for swindling the rest, by means
of the assignment; or, on the other
hand, the assignee chosen by few OF
the creditors is in collision with their lawyers
to fleece the estate Among other ways IN
which this fleeing may be carried on, Is the
calling of numerous witnesses and taking much
supcrtluous and worthless testimony. As an
instance of how this business may be man
aged, it is related that where man failed I'D
business among his t0wnsmen in a small lnte-
rior village, and went into bankruptcy, the
whole village has been thrown into mortal
fear by the lawyers of the creditors; every
past transaction with the bankrupt is de-
nounced as a swindle; titles to real estate
that passed through the insolvent are sudden
" clouded; the villagers are summoned to
this city in swarms as witnesses, and some OF
them have been frightened, like the Jayne
victims of the moiety system, into paying
hush money.
Nearly all the most Objectionable features In
the working of the present bankrupt law might
be obyiated, if the assignee were an official
appointed by law, and man Of high standing
and suitable capacity. He should, of course,
give bonds. The position would be one of
honor and influence and might better be sal
AIRED than dependent on fees. AT present
the fees and expenses of bankruptcy though
much lighter than they used TO be, are some
what oppressive. The provisions of the law
are defective IN respect to frauds and dlshon-
est preference of creditors chiefly because the
phraseoogy is too diiiusiye and there is an
attempt to cover too much ground. what Is
chiefly needed here, is greater simplicity.
similar objection applies to the present method
of ellectng a composition with creditors; 1t Is
too formal, complicated, difficult but of the
usefulness of permitting such composition, there
isno question whatever. \ composition should be
simply settling affairs in such way rs 10 set the
baukrupt on his LEGS with the least possible
DELAY. 1t has been suggested that in amend
inc the specification of what constitutes fraud,
if would be well to include cases where goods
have been bought on false pretences to add
to the show of assets; but a change OF the
law in this particular might open the door to
a blackmAilng business in the Jayne style by
threatening the penalties for fraud against
men who never intended it. At best, no bank
rnpt law can enforce perfect justice in all
eases; the hope is that it will do the best
po,siblr for the majority. No question should
be raised rs to whether voluntary or inv0lun-
tlry bankrupts deserve the most favor; either
may be honest, either may be raScals The
law should be c0ntrived to help the honest
men and to hurt the rascals-Whether debtors
or creditors. Even if amended in no other
particular than as to the appointment OF an
Official assignee in place of one selected by
creditors, it will be Il very fair law.
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POLITICAL NOTES.