The Helena independent. [volume] (Helena, Mont.) 1875-1943, 1890-09-26
True Inwardness Of the ObJec'
tons to the Torrey Bank
ruptcy Bill.
It Was Endorsed Before the
Board OF Trade
Saw It.
When Its Provisions Were Known they
Were Found Not 60 Good -
First Supposed.

The intimation was thrown out by an ar
ticie in the Journal yesterday that there
was something behind the action OF the
Board of Trade in Withdrawing its APP
proval of the Torrey bankruptcy bill.
Members of the board when seen about the
matter, made the following explanation OF
the reasons which caused them to reconsider
their endorsement. When the subject was
first brou2 ht up before the board, the men,
beers, feeling tat some uniform bankrupt
Law was necessary, approved the Torrey
bill. Note Of them had at that time seen q
copy of the measure. Later it was found
that the big business men of Chicago and
other places, had found some very
objectionable features in the bill. It was
then decided to examine more closely into
the matter. A committee Of three, Attor-
ney j. A. Walsh, Cashier A. G. johnson, of
the American National, and Gen. John G.
Harris. were requested to look into the SUBJ
ject, and they went over the bill carefully.
The result was that they found some things
In it which in their judgment would be
detrimental to the business interests of the
county, and unnecessarily severe in some
cases. They so reported to the board OF
trade, which thereupon reoonsidered it,
pIoylOub cuOOrbomcut OI tu0 m0d8uIo, 0uo
directed the secretary to inform the Mon
tans men in congress of the action taken.
Ono Of the provisions of the Torrey bill
il that man can be adjudged q bankrupt
II he has left or remained away from his
place of business with intent to defraud or
delay his creditors, or If he has suspended
aad not resumed payment OF his commer-
oial payment for thirty days. In the first
place, IL is claimed that Q man, finding
himself pressed for money, might be in
some other city trying to raise funds to
tide on his financial difficulties. The law
would place it in the power Of any one dis
clared q bankrupt, and throw the burden of
proof on him to show that he was
tent. In IVA" Il. other case $3.50 Il IS claimed
that the law could be 20 construed that il
merchants paper remained unpaid one
minute after the thirty days had expired,
through any cause, it would be in the power
of some one 70 have him declared bank
rupt. Another Questionable feature of the
bill is that when a merchant has given any
deed, mortgage or other preference within
four months before the filing Of voluntary
the person benefited thereby shall have
cause to believe that fraud was intended,
the trustee may recover the property or its
value. 1t is held under this provision a
man might secure preference without any
kn0Wlo0Go OF intent 70 oofrau0. month
or two. or even three months later the
debtor might become either q voluntary or
involuntary bankrupt. Then the party to
whom the deed or mortgage was made
would have to 20 to law to establish his
right all over again, the presumption being
that he was party to fraud.
One section of the bill provides that
there shall be but one referee for each con-
greesional district. That would allow
Montana but one. Mileage and other
travelling expenses for q referee in Mon
tana, in q case where the assets were small,
would come near eating up everything and
leave little for the creditors. Altogether
the bill 10 regarded very cumbersome and
expensive, as we'll @ very unjust in many
cases. The business men Of Helena are
satisfied to have some uniform bankrupt
Law, but one that would not contain so
many defects. They think the remedy
would be best reached by having all the
states pass uniform laws on the subject,
and letting the national government have
one agreeing with them in all its principal
features. This would leave the machinery
in the hands of the states, where the
parties all lived in the same state, and save
all the expensive machinery of q national
Law. Where the parties lived in different
states the federal law would protect all in
tereStS.