The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1901-06-08
MEETS WITH APPROVAL
BANKRUPTCY LAW Is GIVING Salts
FACTION TO THE COUNTRY.
semi-AnnuaI Report ON Operations of
the Act-Comments of T.. L.
BrandenburE-Stati

WASHINGTON, June THE summary
OF the semi-annual reports of the operation
OF the bankruptcy law for the period end
ing March 81, 1901, recently submitted TO the
attorney general by +. c. Brandenburg, in
charge of bankruptcy matters in the De
partment of Justice. shows that during this
period 9.516 voluntary petitions were filed.
as against 5000 for the preceding six
months, 1920 for the six months ending
March 81. 1900, 1O.l24 for the six months
ending Sept. 80. 1899. and 9O52 for the six
months ending March 81. 1899. thus showing
no appreciable variation from the average
number of petitions filed since the law went
into operation. though it is over 200 less
than for the corresponding period of last
year. For the same period 1.O76 petitions In
involuntary bankruptcy were filed. this
being slightly in excess of the average for
the past two years and a half.
The report shows that large percentage
of those taking advantage of the voluntary
feature of the law are old insolvents seek
ing this means of resusctating themselves
in the business world. During the past six
months of the voluntary cases 1867 have
been closed. In these the total liabilities,
direct and contingent. have been sS4.955,O97.
ton as dividends have been $3,5S7.447
The total liabilities in 700 cases were less
than $500; in $40 cases between $500 and
$1,000. and in 5000 cases between $1,000 and
$1,000. the balance beng for larger sums in
varying amounts. Ii also appears that 747
who filed petitions were farmers. 1888 wage
earners, 1.50 merchant, l23 manufacturers,
1f3 professional men, and the balance had
occupations of a miscellaneous character.
OF the involuntary cases 325 were closed
during the year, in which the total liabli-
ties were A,626,9iS, while the total assets
realized were $S79, 597.
In Hawaii only three petitions have been
filed, two for voluntary bankruptcy and one
for involuntary bankruptcy
Mr.. Brandenburg says that il may be
safely said that, with one or two excep-
lions, for which Congress doubtless will
make provision at an early date. the law is
meeting almost universal appreciation. As
time passes its superiority over many Of
the state insolvency and assignment laws
in reducing the expense of administration
to a minimum with the resultant maximum
dividends. together with the appearance of
preferences. either through legal proceed
ingS or fraud, he says, is redounding TO the
advantage of the business world. The eX-
perience gained by the commercial interests
Under the present law, he says, mas afford
ed a keener insight into its practical adj
vantages than was expected could nave
been anticipated and, while the existence
of the present law Is no guaranty against
not endeavor to use its machinery to his
advantage and to the detriment of the cred
itor whenever possible. yet the opportuni-
ties under the various state assignment and
Insolvency laws were so much greater and
the frauds frequently so much more fla
grant that the federal law has come TO be
looked upon one of the most beneficent
and advantageous TO the business world
that has been placed upon our statute
books for many years.
Mr. Brandenburg adds that as rule the
number of petitions in bankruptcy vary
with the States having the greatest popula-
;ion and amount of business. Thus the
States showing the greatest number OF VOL
untary petitions filed during the last six
months are: Illinois. 1872; New York. 1858:
Massachusetts. 1000; Iowa. 100; Ohio, 439.
and Alabama 422, while the lowest number
are shown in the State of Nevada, where
none was filed; Arizona and Hawaii, 2
each: Delaware 3; New Mexico, s. and
Idaho. 10. OF the involuntary petitions the
greatest number were filed i'm the follow
ing States: New York 230; Pennsylvania,
1872: Illinois. 20: Massachusetts. 81: Ken
tucky. so. and Georgia and Texas, As each.
while in the States of Kansas and Nevada
no petitions were fled and in Hawaii and
New Mexico one each, and Delaware, In
dian Territory, North Dakota and Oregon,
two each.