The herald., 1896-05-09
Local, Eastern and Foreign
Commercial Dealings
WALL STREET SPECULATION
About the New National Bankrupt
Bill
Salient Points In the Measure Which Has
Passed the Houss Of Representatives.
Changes In the Local Markets

Business men will take a deep interest
In the national bankrupt bill, which passed
For twenty years agitation has been going
on, looking to a national law which would
get insolvency cases into the federal courts,
into any state where the failure might
take place, and all creditors be on an even
footing. In the last session OF congress
the Torrey bill came near being enacted.
A new bill. which differs somewhat from
that drawn by Judge Torrey. was intro
duced early In the present session or con
gress. and passed the house OF representa-
tives on Monday. Judge Torrey writes the
ttH,ogSnf tbe ST. Louis TsGe Globe pempcrat Den p'o 10" "
The bill provides that any corporation.
irrespective of the amount owed, may be-
come voluntary bankrupt. Persons, firms
and corporations Except farmers and wage
earners) who owe $1,000 or more and have
committed acts of bankruptcy. according to
the evidence In a fair and impartial trial.
\ before a jury IL desired. may be adjudged
Abankrupts upon the petition of creditors.
n Acts of bankruptcy by a person dnclud-
J ng firms and corporations) shall consist of
\. IS having within four months prior to the
filing of n petition against him run away or
stayed away to avoid service of civil pro
cess and to defraud his creditors. failed for
thirty days, or conditionally within such
time while insolvent, to secure the release
of property levied upon for $500 or over:
made a transfer of his property TO defraud
his creditors; made an assignment or adj
IN 'teeu ceurt ms MADE wSe an prefer s1
ence: confessed n judgment to defraud his
creditors; secreted his. property to avoid
legal process and 10 defraud his creditors:
suffered while insolvent an execution for
$500 or over to be returned no property
found. or suspended and not resumed for
thirty days while insolvent the payment
of his commercial paper for $500 or over.
Creditors need not proceed against debt
or who has committed acts of bankruptcy
any more than they need sue every debtor
who Is In default in payment
II the Judgment in a bankruptcXI suit IS
for the plaintiffs, the defendant will be adj
Judged a bankrupt. In that event he will
retain the exemptions allowed by the laws
Of the state in which he lives. and if an an
judgment is for the defendant. the petition
will be dismissed at the cost of plaintiffs,
The property of the bankrupt will remain
in his possession until after the trial. un-
less the creditors shall give bond and Sc
cure his attachment; in that event the debt
or may retain possession of his property
upon giving forthcoming bond. The
assistant Judge, and Will be appointed in
such numbers and in such localities as will
minstration of the act and serve the con-
venience Of all parties having bankruptcy
business.
bankrupt to his property and administer
the estate He will be elected by the cred.
II Whc ss den aWsy
fraudulently conveyed. The clerk will re-
ceive $40 filing fee in each case. and no
receive l per cent OF the net amount paid
IN dividends to creditors from estate adj
ministered before him. or one-half of
per cent in estates of which there is com
position and filing a fee in each case of so.
The trustee will receive per cent on the
first $4,000 paid in dividends to creditors 2
per cent on the second like amount and
per cent on additional amounts and in
each case a filing fee of IS.
The compensation of the referees and
trustees will not be paid until the estates
have been administered and the records
turned to court. Making the amount of the
fees received and the time of payment de-
pend upon the prompt and economical per-
formance of their duties by the referee and
trustee will result in the quick and eco
nomical administration of bankrupt
taieS
Claims may be proven by the simple oath
of the creditors, and will be allowed upon
being filed I'm person or sent by mail. with
out the payment Of any filing fee: if ii is
thought that an allowed claim is fraudu-
lent It may be suspended and investigated.
Preferences are forbidden. and those
which have been given may be set aside If
proceedings intervene within four months
after they have been given. Valid liens
will be upheld: fraudulent ones will be set
aside. Present legitimate business meth
DDS will not be interfered with by the bill.