The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1897-04-28
A BANKRUPTCY BILL
Provisions Of the Measure
that Passed Senate.

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Washington, April 22-The bank
ruptcy bill passed by the senate to-
day was framed by Senator Nelson of
Minnesota, and is comparatively brief
and simple, compared with the bill
reported from the judiciary committee
and known as the Terry bill. The
Nelson bill provides that any debtor,
other than corporation, owing $500
ormore, who is unable to pay his
debts may file his petition in the dis.
trict court of the United States for
the district or division thereof in
which he resides, asking for a dis
charge from debts, and offering to
surrender all his property for the
paym of his debts. except such as
is exempt by law Of his domiciIe
from execution ani libility for debts.
The petitioner shall attach to his Pc
tition schedule and list of al! his
creditors and the amount and nature
of his debts due each, and shall offer
to surrender ali his uaexenpt pro-
perty for the payment of his debts,
and shall conclude with prayer for
full discharge from his debts and
liabilities. The petition shall be
heard by the court no less than 80
nor more than 80 days from the
time it is filed If the court unholds
the petition, the estate of the bank.
rupt is transferred to an "assignee"
for settlement Creditors can resist
the proceedings before the court on
certain enumerated grounds of fraud,
preference to creditors, etc. Pre-
ference four months prior to the filing
Of bankrutcy petition are null and
void, and transfers of property within
six months are void.
Provision is made for distributing
the estate among creditors. After
the settlement, the court gives final
hearing, and when all proceedings
have been regular a final degree is
given "discharging and acquitting"
the bankrupt from all his debts and
liabilities due any of his creditors in
the schedule acknowledged in his
petition OF to any of the creditors,
who may at any time subsequently
thereto become party to the pro-
ceedings. But such discharges shall
not include any debts or obligations
which have been created in conse-
qrence of his defalcation as a public
officer or as an executor, administra-
tor, guardian, or trustee. or while
acting in any Of the other judiciary
capacity.
The provision as to involuntary
bankruptcy is as follows:
"That if any debtor being banker,
broker, merchant. trader o. manufac-
turer, who owes $500 or over, and
who is unable to pay his debts. shall
at any time within four months of the
time of the filing of the petition
hereinafter mentioned assign. trans.
fer; convey or in any way disposed
of his property with the actdal intent
and purpose on his part to prefer or
defrand any of his creditors, he shall
be deemed bankrupt and may be
proceeded against in court of bank
rupicy as hereinafter provided. A
creditor, or creditors, having debts
against such a bankrupt to the
amount of$50O or more may. within
four months after the act of bank
ruptcy has been committed, file in
the court of bankruptcy in the district
in which the bankrupt resides, petit
tion under oath, setting forth, among
other things, the acts of bankruptcy
aforesaid and paying for an adjudica-
ton Of bankruptcy against the bank
rupt and the distribution of his estate
among his creditors "
The court then proceeds within 80
days to hear the cause The accused
may demand jury On the hearing
the court orjury holds whether the
accused is or is not a bankrupt The
other proceedings are as in the case
of voluntary bankruptcy Feesin both
classes of bankruptcy are provided
viz Attorneys fees not above $l00:
assignee not above So per day Ap-
peals are allowed except when the
entire bankrupt estate is under $5,-
600