The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1879-08-21
bankrupt Laws.

u III
the institution Of bankruptcy AMONGST men
lis tnseparabls from q greater OF less de'
4 moraIiz atiou amongst bankrupts. SUCH are
the ingenious and upscrupn lous'y d ISM!
1 contrtyances to deceive and get the dement's
] :, release from debt without rueritins 1t,
and without fairly complying with the regu-
,,tions provided In the premises, that one is
sometimes inclined to think it greatly rnista'
/ Ken charity to allow bankruptcy and com.
/ n,e,e relief from honest obligations at all.
There is evidently tendency to democrat
ization wherever the process OF wiplng out
debt as with sponge begins. Ine more
relief there is, the more there is demanded.
The more OF debt there is forgiven the
more the released debtors demand, and the
more they will endeavor to blind the creditor
and cheat the law. This proneneSs OF poor,
errjnp man to relax his energies and repose
upou the charity OF the world is sad. The
increase OF pauperism in communities
where charitable institutions are multiplied
is painful evidence Of this.
| Bankrupt laws have troubled all clVillzed
lands, The undertaking OF the United
States, out of liberal spirit OF humanity
and commercial enterprise, to relieve ener-
gies and experience, and give them liberty
to return to walks Of activity and produc-
tive industry. has engendered degree OF
fraud and deception in the last ten years
exceeding all precedent for the same extent
of time. The English people, who are re-
markable for close scrutiny in all matters oil
debt and accountability, have found the un-
dertaking OF bankrupt law most perpex-
ing.
At the present time that country is en-
deayoring to frame system that shall be
more wisely guarded against fraud. AS de-
scribed, it provides that no bankrupt Shall
have discharge if his creditors have not
received, and on proper estimate OF the
assets are not likely to receive, total divi-
dends amounting to ten shilings in the
pound, or 30 per cent. OF the debts, unless
the incapacity OF the estate 80 to pay has
been caused by the trustees, not by
the bankrupt's, negligence and fraud.
Another clause requires that the bank
rupt, il a trader, should have kept
proper account-books for three years prior
to the filiug of his petition, and not greatly
increased his liabilities by carrying on trade
while insoIvent. Failing in either OF these
respects, he is precluded from discharge.
But third proposition touches the bank
rupt iu most vital part. 1t does not free
the bankrupt, whether trader or not, if he
has failed in consequence Of rash and haz-
ardous specuations or uniustif fable extrav.
aeance in living. A very large proportion
of bankruptcies are caused by precisely
those follies, and it is question not yet
satisfactorily decided in courts OF morals
and ethics whether man who has plunged
others as we'll as himself into reverses by q
reckless course OF seltishness ought to be
released by law from all responsibilities
upon the surrender OF barren quantity OF
cats and dogs, and encouraged to do it all
over again with fresh victims.
England may be well looked to with the
confidence that she will do the work very
guardedly. But, after all, can we very dc.
cidedIy hope that this bankrupt institution
will ever be very successfully perfected with
iI;stice to all parties and with wise and
charitable consideration for the unfortunate
class OF bankrupts? That form OF bankrupt
cy which impairs the moral sense and incul'
Gates apathy and relaxation OF industry and
integrity must, Of course, iniure the virtue
of community. impairing its energies and
| its prosperity.
| Where this tendency Of the public dispo
sition maniiests itself the statesman should
perceive the necessity Of increasing the
rigors Of the penalties imposed for acts OF
faithlessness and dshonor in commercial
life. That will be good seasoning to mea.
sures which are designed for relief and the
revival Of activity and industry amongst
! those who, by reverses and unforeseen dis.
asters, have fallen into temporary paraly.
| sis OF their energies.