The state republican. (Jefferson City, Mo.) 1871-1896, 1891-01-08
THE BANKRUPTCY BILL.
One of the Most Important Meas
ures Now Before Congress.
synopsis of the Provisions of the Torrcy
Bankruptcy Bill AS Passed by the
House, and which is in the
Hands of the Senate.


In view of the interest manifested III
the Torrey bankruptcy bill, which was
passed by the National House of Rep
resentatives on July - last, and on
which action is now pending in the SEN
ate, we give below synopsis of its pro-
visions. The bill has received the APP
proval of a National convention com
posed of representatives of all the prin-
cipal commercial bodies in the United
| States, and has the Endorsement of
thousands of citizens of every vocation
throughout the country.
The provisions of the bill are, IN
brief, as follows:
| United states District Courts have original
| jurisdictiun but State Courts may try con
troversics involving property rights.
| Referees are to he appointed and thcir ter
| ritories assigned by Circuit Courts at II tmo
when the District Judge ia on the bench
Trustees will be appointed hv the creditors.
The referee shall caus" AN expeditions
| and economical administration of the estate,
| and return the records into the court
The trustees shall reduce the estate to cash
| and distribute it in dividends to the creditors
| as soon as possible.
| A $40 fec shall be paid To the clerk when the
| in the case
| The Government shall receive one per
cent. on dividends paid by estates and half
| that amount on dividends paid in compost
| ton.
The trustee shall receive from the estate
| five per ccntum on the first 500 paid ont in
| dividends, two per ccntum on the second
| 5000 and one per ccntum ON additional
amounts
The referee shall receive not to exceed
! pIn : f. Ia .,h
Both amounts, together with his expenses,
are to be paid by the Government
| The number of referees shall he one for
| each judicial district. and such additional
number ~ may be necessary to expeditions.
! " transact the business of the court, not to
| exceed S30.
| Acts OF bankruptcy shall consist of twithin
| six months before the filing of Il petition in
bankruptcy cOnccalmcnt to avoid the scrv'
| ice of civil process, removal of property to
| prevent its being levied upon, departure or
| absence with intent to delay or dcfraud cred
| itors failure for thirty days to secure the re-
| lease of property levied upon. aking II con-
| vcyancc with intent to dcfraud or delay cred
| itors making IL written declaration OF IN
solvency, making an assignment procuring
| n Judgment or suffering Judgment with IN
| tent to dcfraud or delay creditors, suffering
| an execution to be returned unsatstcd, sus
| pending and not rcsumng payment of com
mcrcial paper for thirty days, Voluntarily
| pctltlOnlnB TO Dp aHJunRtu bankrupt nl'tk'
| ing II conveyance or suffering property to bo
| taken while insovrnt for the purpose of Civ
| ing II preference, or dealing in options while
| insolvcnt
person who owes $500, except a National
bank or IL municipal corporation, may be-
| come II voluntary bankrupt.
person who owes $500, except n National
bank, a farmer, II municipal or religious as
sociation, or n wage worker, may bccon" an
involuntary bankrupt
Compositions may be confirmed after, not
before, the bankrupt has been examined in
open court or at a meeting of creditors, and
after the filing of the schedule of assets and
list Of creditors. The court will not confirm
the composition unless it is for the best IN.
tercst of all the creditors, and unless the
bankrupt has not been guilty of amy acts
which would prevent his discharge. Th"y
will be set asih" within six months after
being made in the event fraud was prac-
ticcd, upon the hearing for confirmation.
4 discharge will be granted to person,
not corporation, whcnapplicd furattcrtwo
and within six months after tn" adjudication,
unless 1t appears that tn" bankrupt has
failed to keep proper books of account
committed felony, committed per-
jury, failed to act in good faith, given
preference which has not been surrendered,
know ingly made n false statement to secure
credit, bribcd any officer or cr, ditur, fraud
ulCntly transferred property which has not
been surrendered or neglected his duties rs
a bankrupt. The discharge Will be set aside
within two years after being granted upon
proof that it was fraudulcnty obtained.
The exemptions of II bankrupt shall be the
same ns mr." provided by the laws ot tn" state
in VIII ch the proceedings are pending ut the
tim" Of the filing of the petition,
| Preferred creditors are those who have,
within four months before the filing of Il pc
ttion, procured property from an m~olv"nt
with intent to defeat the Opcrati of this
act, TO obtain II greater pcrcrnthg" thhn
other creditors, or tn prevent the property
from coming to the trustee in bankruptcy II
pref renee has been given, the property or
the value thereof may b" recovered by the
trustee.
Debts which hay" priority are those which
are due as taxes when tn" property is sub
jcct thereto. other debts having priority
are. the clerks fee, the percentage fees tho
cost Of administration, wages due employees
according to the laws of the state, and debts
which have priority under the laws of the
| United States.
Dividends shall be declared and paid of an
equal percentage on all allowed claims OF
the same class rs soon rs possible.
Liens obtained by compulsory process
within four months before the iing of n pc
ttion in bankruptcy shall he dissolved by
an adjudication. Liens given prior to an nd-
, Indication in good faith, and not in cuntcn-
plation of bankruptcy and for n present con-
sidcraton, shall not be affected by the act.
Provisions made for filing petitions;
the issuance and return Of process: the MAX
ing of adjudcatOns by the Court, or, in tho
absence of the Judge, the transfer of tho
case to the referee, the taking of
appeals and issuance of writs of error;
the arbitration or compromise of contro-
vcrsss the examination of bankrupts and
other persons concerning the affairs of tho
bankrupt; jury trials; notices in ncwspa'
| pcrs; taking oaths; making rules, forms,
and orders by the supreme Court computa-
tion of time the giving of bonds by referees; ;
| punishment for contempt; the punishment
| of crimes committed by persons. bankrupts,
| and officers; the death of trustees or
bankrupts; the collection of bank
, | ruptcy statistics; the qualification of ref
| erccs the manner of keeping records OF
referees the arrest of the bankrupt and the
seizure OF his property; the giving of notices
, | to the creditors the filing of petitions
, against bunkrupts; the proof of claims ;
| liquidating unlquidated claims; the quail
| ihcation OF voters mt meetings of creditors ,
Investment of cash IN certain cases; the
| designation of depoe,torics for FUNDS; the
J | disposition of the unclaimed dividends, set ),
offs counter claims, and the transmission OF
the bankrupts title to property
= Rather Tangled.-But it Goes-'I
l say, Blobson, me boy, do me favor"
= "What is il now, JACKIE" Let me have
, the loan of that 'fiver again | paid you
last night. Brown wants tn lend it to
| uounU Chumley. so as Chumlpv can pa "