Wheeling register. [volume] (Wheeling, W. Va.) 1878-1935, 1897-05-01
r11r RANkRrPrCY BILL.


not find it convenient to permit the
House to take up the Nelson bank
ruptcy bill. which was passed by the
Senate last Thursday. 1t is piece oil
legislation in which the business world
is deeply interested just now.
The Nelson bill differs materially
from the Torrey bill, especially in its
greater brevity and simplicity. 1t pro-
yides that any debtor, other than cor
poration. owing $500 or more, who IS
unable to pay his debts, may file his
petition in the United States district
court asking for a discharge from his
debts and offering to surrender all his
property except that exempt by State
laws. The petition must be accompan-
led by a complete schedule of his prop
erty. unexempt and exempt, and full
statement of his debts. Hearing on the
petition must be had between thirty and
ninety days after the filing. Creditors
NAV resist on certain enumerated
grounds of fraud, preference to credl-
tors. etc. Preferences four months
prior to the filing of bankruptcy petit
ton are null and void. and transfers OF
property within six months are void.
Provision is made for distributing the
estate among creditors. After the set
Element the court gives 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 position or to
any of the creditors who may at any
time subsequent thereto become party
10 the proceedings. But such discharge
shall not include any debts or obliga-
tions which shall have been created in
consequence of his defalcation as a pub
lie officer or as an executor, administra-
tor. guardian or trustee, 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 created
by the obtaining of moneys or prop
ertv under false pretenses."
Proceedings in involuntary bank
ruptcy may be taken by a creditor or
creditors TO the amount of $500 or over
against amy debtor being banker
broker, merchant, trader or manufac-
turer" who owes 5000 or over and is
unable to pay his debts and who within
four months of the time of filing petit
ton against him shall assign, transfer,
convey. or in any other manner volun-
tarily cucumber any of his property with
the actual intent and purpose on his
part to prefer or defraud any of his
creditors" Within thirty days after the
filing of the petition the court is to
hear the case. The accused may de-
mand Jury. On the hearing the court
or Jury holds whether the accused is or
is not a bankrupt. The other proceed
ings are as in the case of voluntary
bankruptcy. Fees in both classes OF
bankruptcy are provided, viz: attorneys
fees. not above 500; assignee. not above
50 per day. Appeals are allowed except
when the entire bankrupt estate IS
under $4,000.
The principal difficulty the bill will
have to encounter in the House lies in
the non-existence of the proper COM
mittee for its consideration. While 1t
is in the power of the House to take
ND the measure and act upon it without
reference, such a proceeding would be
irregular. Mr.. Bailey, acting for the
Democratic side. may ask its reference
10 the Committee on Judiciary and that
the committee be appointed. Unless
Sneaker Reed has changed his deter
mination. that will lead to lively
fight and the bankruptcy bill being a
non-partisan measure and strongly
messed by the business public. it would
not be surprising if the Speaker found
rebels against his decree in his own
party.
Journalistic changes and rumors OF
ercb arc mite FREQUENT at the State