The morning news. [volume] (Savannah, Ga.) 1887-1900, 1897-04-23
MEL SONS BANKRUPTCY BILL.
SYNOPSIS OF THE MEASURE PASSED
By THE SENATE.

Debtor, other Than a Corpora
.,o, owing $500 or More, Can
mace himself Under Its PrOvis-
.ons Preferences Four Months
p-ior to Filing the Petition Null
nd yoid-After the settlement the
c,nrt Grants a Final Decree Dis
torging and Acquiring the bank
ruDt From All His Debts and Liza
biIities.
washington, April 22.-The bankruptcy
b;u PASSED by the Senate to-day. was
Srarsd by Senator Nelson of Minnesota,
n5 is comparatively brief and simple,
..,,,red with the bill reported from the
s,ai,iary committee and known as the
S,orrev bill. The Nelson bill provides that
orv debtor, other than a corporation,
wing $500 or more. who is unable to pay
bic debts. may file his petition in the dis
tr, court of the United States for the
district or division thereof in which he re-
sides. asking for a discharge from his
debts. and offering to surrender all his
property for the payment of his debts,
except such as is exempt by the law Of
his dcmicile from execution and liability
for debts. The petitioner shall attach to
his petition a schedule and list of al. his
property, exempt and unexempt, and a
schedule and list of all his creditors and
the amount and nature of the debts due
each, and shall offer to surrender all his
unexempt property for the payment of his
debts, and shall conclude with a prayer
for full discharge from his debts and la
bilities. The petition shall be heard by
the court not Jess than thirty nor more
than ninety days from the time
it is filed. If the court upholds
the petition the estate of the bankrupt
is transferred to an assignee" for settle
ment. Creditors can resist the proceed
ngs before the court on certain enumera-
ted grounds of fraud, preference to cred
itors, etc. Preferences four months prior
to filing bankruptcy 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 a final
hearing and when all proceedings have
been regular, a final decree is given, dis
charging and acquitting the bankrupt
from all his debts and liabilities due any
of the creditors described in the schedule
attached to his petition, or to any of the
creditors who may at any time subsequent
thereto become a party to the proceed
ings. But such a discharge shall not in
clude any debts or obligations which shall
have been created in consequence of his
defalcaton as a public officer or as an
executor administrator, guardian or trus-
tee. or while acting in any other fiduciary
capacity; nor any debtor obligation to any
surety Of the bankrupt who has paid or
may pay any such fiduciary debtor any
part of it, nor any debtor obligation crea-
tea by the obtaining of moneys or prop
erty under false pretenses.'
The provision as to involuntary bank
ruptcy is as follows: THAT if any debtor
being a banker, broker, merchant, trader
or manufacturer 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 men
toned assign, transfer, convey, or in any
manner voluntarily cucumber any of his
property with the actual intent and pur-
pose on his part TO prefer or defraud any
Of his creditors, he shall be deemed a
bankrupt, and may be proceeded against in
court of bankruptcy as hereinafter pro-
Vided. creditor or creditors having debts
against such a bankrupt to the amount of
So or more may. within four months af-
Ter the act of bankruptcy has been com
mitted, file in the court of bankruptcy in
the district in which the bankrupt resides,
petition, under oath, setting forth among
other things the acts of bankruptcy afore-
said, and praying for an adjudication of
bankruptcy against the bankrupt and the
distribution Of his estate among his credi-
tors
The court then proceeds within thirty
days to hear the case The accused NAV
demand jury. On the hearing the court
or jury holds whether the accused is 1r
is not bankrupt. The other proceedings
are as in the case of voluntary bankrupt
cy fees in both classes of bankruptcy are
provided, viz: attorneys fees not above
aeO; assignee not above 50 per day. APP
peals are allowed except when entire
bankrupt estate is under s., 200.
COZ II Z. I.nIn