The Jersey City news. (Jersey City [N.J.]) 1889-1906, 1898-07-20
NEW BANKRUPTCY LAW
Referees Appointed by Judge
Kirkpatrick in the Dis
triet Court.
LEON ALBEIT FOR HUDSON
Synopsis Of the Provisions Of
the Act Which Is
Uniform.
Especial 10 ..The Jersey city News

several New jersey districts, including
Mercer, under the new national bank
ruptcy act. The others will be appointed
later.
This act makes the United States Dis
trict Courts bankruptcy courts and pro-
vides that all matters coming before it
shall be under the supervision of the
Judge. All petitions are fled with the
clerk of the court and testimony is taken
before the referees, one Of whom is to be
appointed for each county, which is to be
termed a district.
Those appointed yesterday were
Mercer-samuel D. Oliphant, Jr., of this
city.
camden-George J. Bergen. Camden
somerset-william G. Steele. somer-
vile.
M~orris-Joseph F. Randolph, Morris
town.
Middlesex-James Parker, Perth Am
boy.
Essex-Frederiek w. Leonard, New
s-S.
H-udson-Leon Albeit. Hoboken.
Their terms are for two years, their
commissions dating from August /. They
have to give bonds for s., 500 and their
pay is in fees. They get $40 for each pc
tition filed and a percentage on the
moneys divided by them out of the bank
rupt's property.
The new National Bankruptcy act
which was finally passed by Congress and
signed by President Mckinley. July l..
went into full operation on That day. All
State laws ceased to be effective on that
day, and now. for the first time in nearly
twenty years. proceedings in bankruptcy
throughout the United States are subject
to a uniform Law.
A national bankruptcy law was enacted
in 1867, but was repealed in 1878, and
since that time bankruptcy proceedings in
the United States have been conducted
in the different states under separate and
distinct laws. This has resulted in great
| confusion, and in many cases in great
injustice to creditors and debtors alike. as
in some of the states the provisions of the
law were such that debtors were enabled
to evade their just obligations and credi-
tors could secure advantages which often
worked an injustice to other creditors
who's claims were equally as good.
The national law Of 1867, which was re-
pealed in 1873. was very objectionable in
many of its features, and the new act,
which has just passed Congress, is free
from many of these objections. Under
the new act a debtor can be discharged
from all his debts except such as are due
for taxes levied by the Uunted States, the
state, county. district or municipality in
which he resides; judgments and actions
for frauds or obtaining property by false
pretenses or false representations, or for
wilfui and malicious injuries to the per-
son or property of another, or such as
have not been duly scheduled in time for
| proof and allowance, or where the debts
are created by the fraud of the bankrupt
or his embezzlement misrepresentation or
defalcation while acting as an officer, or
in any judiciary capacity
A bankrupt debtor is liable to inpris-
onment. not exceeding two years, for con-
| cealing. while a bankrupt. or after his
discharge as trustee for any of the prop
erty belonging to the estate in bank
| ruptcy. or for making false oath or ac-
count in or in relation to any proceedings
in bankruptcy. Any person is liable to
like punishment for presenting under oath
any false claim for proof against the es-
| tate of a bankrupt, or for using any such
| claim III COiIlpDSIllOn DeIoObdiiy "
| agent. proxy or attorney. or for receiving
any material amount of property from a
bankrupt after the fling of the petition
with intent to defeat the bankrupt act. or
for extorting or attempting to extort,
any money or property from any person
as a consideration for acting or forbear-
ing to act in bankruptcy proceedings.
The bankrupt will be refused a dis
charge for having committed any offense
punishable by imprisonment under the
act. or for having with fraudulent intent
to conceal his true condition might be as
certalned. A discharge may be revoked
at any time within one year after it is
granted If it shall be made to appear that
1t was obtained through the fraud of the
bankrupt.
The new law makes it an act Of bank
ruptcy for a debtor to conceal himself.
depart or remain away from his place of
business, residence or domicile, with in
tent to avoid the service of civil process
and to defeat his creditors. The law does
not make these acts of themselves acts
| of bankruptcy, but the subject is covered
in his way: Whenever an insolvent per-
| son has concealed himself. departed or
remained away, and proceedings are taxi
en- against him. and any Of his property
is attached or seized by a creditor the
failure Of the debtor to pay or release
the property five days before It is sold or
disposed of Is declared an act of bank
ruptcy. and hence no creditor can be
injured by the acts above specified and
made acts of bankruptcy.
The new law provides that If the debt.
or, while insolvent, suffers or permits any
creditor to obtain a preference through
legal proceedings. ard shall not remove
or discharge such preference five days
before a sale or a disposition of the prop
erty to satisfy such lien or preference. it
is an act Of bankruptcy. "A debtor who
| conveys, transfers, conceals or removes
or permits to be concealed or removed
any part of his property with intent to
| hinder. delay or defraud his creditors,
commits an act Of bankruptcy, provided
he is insolvent when a petition Is filed
against him. and the bill provides that il
the debtor is shown to nave committed
any of these acts the burden is on him
to prove that he is solvent when pro-
ceoded against and that the acts have
not heretofore injured a creditor.