The Cape Girardeau Democrat. (Cape Girardeau, Mo.) 1876-1909, 1891-08-15

- ''i I'Tp''tAtiih 'hiF
W. :. MCCoE:ICK.
ST. L.OrIS. Aug. 1. 1871.
Mr.. " s. Mo crHick. Salt Lake CITY. Tfah:
DEAR SIR-I have your favor Of the 18th
uliimo. and thank you very much for writ
ing ut length. and earnestly nope that you
will bear with me while ! controvcri your
position. and in r ply hereto give me the
frli Benefit Bf yntir further VIEWS tru: the
subject, aud also more fully Illustrate your
position by L nIly submitting for consider
alton amendment to the measure which
would maLc it conform To your views of
what Il bankrupt law should be. as contcm-
plated by the federal constitution.
our bill is so entirely different from the
old bankruptcy law that your statement that
you have carefully pcruscd the 'TOrrcy
bankruptcy bill and finu it M better or
worse than the old one can only b, credit
ed on the grnunI that you are unfamiliar
with or fOrSetfui of the provisions of the
old law.
II you will considerably examine the two
measures together, you will find that their
framework, the details Of their provisions,
and the methods 10y which the desired re.
suits are attained. are quite different, and
that tine defects of the old law have been
remcdicd.
The greatest objections to the old law, as I
understand; and the ones which are para.
mount in securing its repeal after being in
force eleven years. were the delays encoun-
tered in lis administration and the large
amount Of fees which were received by the
bankruptcy officers.
Our first task in the drafting of this meas
urc was to make provisions for overcoming
delays and reducing expenses of admins
tration. Two hundred and sixty five com
mercial, industrial and professional bodies
in different parts of the country have en-
dOrscd the bill, several! hundred leading
business men, bankers and lawyers. In all Of
the states, have become officers and com
mittccmen of our national organization.
We think that both of these facts bear testi-
mony to our success.
In order TO expedite the administration of
the law, We arranged TO so pay the officers
as to interest them in hurrying, and very
carefully limited the amounts to.be paid. the
details of which are As follows:
The clerk of the court will receive a filing
fee of 80 in advance. and will not receive
any additional sums. lie will, therefore. be
interested in expcditing the proceedings in
each ease.
The referee. j. @. the assistant judge. Who
approximately corresponds to the register
under the Old law. will be paid by the gov
ernmcn; as other judicial officers are paid;
the amount will b 5000 per annurn aud SO
per case, payable after the case has been
cDnclnutu anu the TttDEus nave Dten re
turned to the court. lie will. therefore,, be
Interested in ending each case as soon a.
possible.
The trustee, who is to represent the cred
tiers. will receive a commission. not upon
the income of the estate nor simply the out
go, but only upon the dividends actually
paid to creditors. He, therefore,, will be in
tercsted in having the dividends paid quick
ly, and as large a. possible. Tn amount is
3 per centum on the first 5000 or part there
OF, paid in dividends, 2 per centum on the
second sum of like amount, and / per centum
on additional sums.
The above provisions will, we are conf
dent, result in the quick and Inexpensive
administration of bankruptcv estates.
What you mean by your statement that
"the bill has evidence Of 4 we'll paid attor-
ney's plea for a client with n doubtful case.'
l do not know. II You wish to compliment
the bill as a very carefully prepared piece
of Legislation, / beg t. thank you, and to say
that your views are in accord with the lead
ing business men and bankers of the coun-
try, and a large majority of the members OF
the house of representatives of the last con-
gress. Concerning the "well-paid" part of
your sentence ] beg to assure you that the
Endorsement of the bill by the leading COM
mercial, industrial and professional bodies
and the approval of il by the honest in
solvents of the country, hundreds of thou
sands of whom will be relieved from their
burdens of debt pursuant to its provisions,
Will constitute me a well paid attorney"
As to the plea for a client with a doubtful
ease" will call your attention to tho fast
that this legislation was provided for In the
federal constitution ut the time Of its adop-
ton, and is in line with legislation on the
subject in all civilized countries. Our gov
crnment presents the solitary spectacle of a
nation with a national commerce, but with
out n national bankruptcy law. The passage
of this measure will promote honesty, pre-
vent dishonesty, diminish the number OF
failures, increase the amount paid by in
solvent estates, reduce the hazards of
business, enable honest poor men who can
not pay their debts to get a new start in life,
and cheaper the price OF commodities. 1t
does not, therefore,, seem to us to be a
doubtful case"
The bill is not in line, as you suggest, with
trusts, which have in view Capitalization,
nor will it be the ruin of merchants with
small capital. but, on the contrary, II will
prevent rehabilitation and the ruin of such
merchants. Under the laws now in force in
most of the states and territories, merchants
with small capital are absolutely and uncon-
ditionally at the mercy of the Wholesale
dealers and bankers; that is, as soon as one
OF them is even suspected of Insolvency. or
as soon as n single creditor conceives the
suspicion that he Is about to prefer his
banker or another creditor, such creditor
leyies an attachment, and the result Is a
struggle between the creditors and against
the debtor, which, irrespective Of his actual
financIal condition, necessarily results in a
sacrifice sale OF his property, the dissipation
OF bis good will, and OF bis being lett With Q