The Wichita daily eagle. [volume] (Wichita, Kan.) 1890-1906, 1898-07-15
WALL IS APPOINTED
Referee Under the Federal
Bankruptcy Law
WORTH THREE THOUSAND
Provisions of the Law Which
He viii Execute.

law recently passed by congress.
The position of referee for this federal
court district under the new bankruptcy
law, it is estimated, will pay about s., 900
per annum for the first few years, and a
number of candidates for the appoint
ment presented their Endorsements to
Judge Foster. Among them were Attor-
neys c. E. Corey, c. T. Hulett and r. c.
Underwood of Fort Scott.
There are five districts, as follows:
Kansas City Kan, District-Counties Of
Wyandotte. Leavenworth. jefferson, At
Gibson, Doniphan, Brown, Nemaha, John
son and Miami.
Topeka District-Counties of Shawnee,
jackson, Marshall, Washington, Riley,
Pottawatomie, Geary, Wabaunsee. Nor
ris Lyon, Usage, Douglass and Frank
lin.
Fort Scott District-Counties of Green
wood, Coffey, Anderson, Linn, Woodson,
Allen. Bourbon, Elk, Wilson, Neosho,
Crawford, Chautauqua, Montgomery,
Labette and Cherokee.
Salina District-Countes of Clay, Dick
inson, Mcpherson, Saline, Ottawa, Cloud,
Republic, Ellsworth, Lincoln, Mitchell.
Jewell, Russell, Osborne, Smith, Ellis.
Rocks. Phillips, Trego, Graham, Norton,
Cove, Sheridan, Decatur, Logan, Thomas,
Rawlins Wallace, Sherman and Chey-
enne
Wichita District-Counties of Cowley,
Butler. Chase, Marion, Harvey, Sedgwick,
Sumner, Harper, Kingman, Barber Reno,
Rice, Barton, Stafford, Pratt Comanche,
Kiowa, Edwards, Pawnee, Rush. Ness,
Hodgeman, Ford, Clark, Meade, Gray,
Lane, Scott, inney, Haskell, Seward, Ste
vens. Grant, Kearney, Wichita, Greeley,
Hamilton, Stanton and Morton.
The bankruptcy law will give relief to
many struggling debtors and lend new
courage to those who have been depressed
and hindered in business enterprises by
the burden Of debt which has come to
Them as a legacy of the boom days. The
act is Voluminous, consisting Of seventy
sections, and with much detail and partic-
ularity, provides for the proceedings
through which creditors shall be protect
ed in their rights and the debtors dis
charged and freed from the load of debt
which they cannot pay.
Two classes of cases are mentioned; one
where the insolvent debtor voluntarily
applies to the court for his discharge,
having turned over for his creditors all
his non-exempt property; the other where
petition is fled by one or more Of the
creditors asking that this debtor be ad-
judged a bankrupt and that his property
be disposed of for the benefit of his cred
itors. This law puts an end to the prac-
tice which has been so common in this
state Of a falling debtor giving prefer
ence to one creditor over others, by exc
cutting mortgages on his property. A cred
ltor cannot now get an advantage, either
by an attachment or through a judgment.
if other creditors object, by a levy upon
the property of an insolvent-the act spe-
cticany invaiidating all preferences so
obtained within four months prior to the
fling of a petition in bankruptcy. This
Will ae of practical advantage to honest
business men-especially merchants-who
are often forced TO the wall by the hasty
action Of creditors, moved more by the
fear Of one another, lest one get the start
In securing claims. 1t VIII now be to the
interest of all to give the best chance pos
sible to an honest, though, perhaps, IN
fortunate debtor
The voluntary features Of the law are
of greater interest to Kansas people.
many of whom have been forced out of
business for themselves because of past
misfortunes and ever present debts. Any
person who owes debts and the aggregate
Of whose property. at a fair valuation. is
not sufficient in amount to pay his debts.
may have the benefits of the act. The
method Of procedure is simple and mex
pensive. The debtor must file a petition
alleging certain essential facts in the
United States district court for his dis
trict. and with it make deposit of SIS for
costs. At the same time he must file a
schedule Of his property. showing the
amount and kind, its location and value
also a list of his creditors, stating their
residences the amount due each. the
Consideration for the respective debts, etc
A hearing is had without delay on such
petition and the necessary adjudicatiOns
mace and proceedings rad. Next follows
the application of The debtor for his dis
charge. which may be made at any time
sf,er the expiration of one month and
within twelve months after the adiudica-
ton Of bankruptcy. This discharge re-
leases the debtor from all his debts, ex-
ceoting several specified classes. succh as
taxes debts fraudulently contracted ana
debts OWNS to creditors not included in
the schedule required.
The act contains various provisions as
TO notices 20 creditors. creditors meetings
and powers. and provides severe penal
ties for all wiIfuI evasions of the law and
frauds upon creditors. Provision is also
made for the appointment Of referees. by
whom, doubtless, most of the detail work
will be done, TO the relief Of the courts.
The number Of referees is left largely
TO the discretion Of the court In this
stats five will be appointed. distributed
so as 10 best accommodate the business.
One of the best FEATURES Of this act. as
compared with former bankrupt acts. Is
in the matter of costs. They are all
al minimum. Under this act. il Will
not be said that bankrupt estates are
eaten up by the costs 20 the detriment Of
both debors and creditors. n many re-
spects the proper execution OF this Law
will result in great advantage 10 the
business interests Of the state In the fu-
ture. The benefits TO be derived from lis
humane provisions for the discharge %
debtors will inspire hundreds Of debtors