The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1911-07-22
Kansas Has Little Need for
Bankruptcy Court.
Less Than 200 Last Year in
the State.
ONLY SEVEN FARMERS
Merchants Lead With Total Of
But SeVenty-SeVen.
Manufacturing Concerns Show
Less Than One Per Cent.

For the year ending July 1, there
were filed in the United States distrlcs
court 1870 bankruptcy cases, Of which
129 were voluntary and 81 involuntary.
OF this number but las have been
closed. netting the creditors a total OF
81. O52. 922 Il on Liabilities aggregating
81, 493. 585.47. At the present time there
are 229 bankruptcy proceedings penulnS
in this division Of the United states
court
Last year was not an unusual sea-
son for the filing of bankruptcy cases.
Neither were the liabilities of the par
ties and concerns affected unusually
heavy AS a rule about 200 bankruptcy
cases are filed in the Topeka court each
year. This includes bankruptcy actions
from every section OF the state. Shaw-
nee county made an excellent showing
last year and had comparatively Few
business failures.
One of the remarkable features sur
rounding the report this year is the
fact that seven OF the 145 cases closed
were those Of farmers. It is rarely
that a farmer finds his way to the
bankruptcy courts and last year more
farmers took advantage of the law
than at any time since its early opera
ton.
The record. which was compiled by
Frank B. Campbell of the district
taltIh = OllAEEs SllOWS lildL uuo6ChA Sb
creditors last year received an aggre-
gate of 20 per cent of their claims.
Secured creditors realized So per cent
One of the remarkable features about
the record is the fact that it cost but
IL per cent of the total assets realized
TO dispose Of these las cases. This in
cluded all court costs and other ex
penses surrounding the administration
of the affairs OF the bankrupts.
OF the 145 cases settled, the number
was divided as follows: Wage earners,
SS; merchants, n; farmers. z; nanufac-
turers, Z; professional men. 2; miscel-
laneOus, a, In "a cases the liabilities
of the bankrupt were less than 1000.
In IS cases were the liabilities more
than 81 900 and less than $4,000. There
were 16 cases in which the liabilities
were more than $4,000 and less than
$4,000. OF the 145 cases closed in but
"a Of the number did the liabilities ex-
coed $40 00O
Business Is Prospecting.
This condition shows that the we'll
established business firms of the state
are in excellent condition and pros
pering. The real source of trouble
has been with the small retailer who
has tried to expand his business ter
ritory on a limited capital and run
amuck with his creditors. Another
source Of grievance has been with the
wage Garner who has overcapitalized
a good local credit and was compelled
to take advantage of the provisions OF
the bankruptcy law in an effort to
receive a new start in life. These two
conditions were responsible for almost
80 per cent of the failures in the state
in the last year. It also accounts for
the comparatively small liabilities OF
the bankrupts.
The rock ribbed strength Of the state
is shown conclusively in the number Of
failures of manufacturing concerns in
Kansas. At the present time there are
more than 2,400 manufacturing plants
in Kansas actively engaged in business
OF these the total number of failures
was much less than .01 per cent for
the u months
Perhaps in the entire country the
per cent of failures among establish ed
business enterprises has no where
been as small as in Kansas. OF the
229 bankruptcy cases which are now
pending, some have been on record
several years and some of the 145
cases closed we're filed prior to the
1910 staten ent.