El Paso herald. (El Paso, Tex.) 1901-1931, 1919-05-24
BANKRUPTCY Or
NO IS DEBATED
julius Krakauer and A. A.
Martin Discuss Fed
eral Measure.

A Joint debate on the advisability Of
supporting the bill which is to be in
troduced at the next regular session OF
congress providing for the repeal Of
the national bankruptcy act, was
waged between Julius Krakauer, who
took the affirmative Of the question.
and A. A. Martin. credit manager
OF the Momsen-Dunnegan-Ryan com
panv, who maintained the negative,
at the monthly meeting OF the Tri-
state Credit Mems association. held
in the grill room OF the Sheldon hotel
Friday night. At the conclusion OF
the debate, a vote OF thanks was eX-
tended the speakers, and the contest
was voted a tie. Malcolm H Mac
Cauum presided at the meeting.
Secretary c. F. Blanchard spoke IN
favor of the retention Of the bank
ruptcy law, during the round table
talk which followed the debate, but
said that act should be amended in
several particulars He proposed
amendments as to the definition of
insolvency. the conditions for dis
charge from bankruptcy, the curtail-
ment Of fees, the expedition Of the
procedure, and advocated a require
ment providing for IS days notice
TO creditors before g voluntary petit
ton could be filed
Lytton r Taylor, an attorney OF
Las Cruces. recited some of his ex-
periences in bankruptcy proceedings
in various states. and was strongly
in favor OF amendment Of the present
law.
In advocating the repeal OF the
bankruptcy laws, Mr.. krakauer stated
ing bankruptcy acts were occasioned
by economic conditions which grew
out of financial panics which had pre-
ceded them. and that as soon as these
conditions had been adjusted, all acts
prior to the present one had been
repealed. During the time that we
have been actively engaged in the
war, we have gone through the great
est test. the most severe test, that
cur national financial system could
be put to, and our federal reserve
law has withstood this test so de-
otsively that never again need We
fear a panic IN this country ne
said. i believe that possibility is
as effectively destroyed as anything
can be; and with This possibility re-
moved. the reason. the occasion the
necessity OF the bankruptcy law Of
1898 is done away with.
Need for the Law Past.
That law was passed TO relieve
the accumulated conditions arising
from the severe panics Of 1888 and
1897, where innocent men were drawn
into the maelstorm OF financial de-
struction that conferred in the east
Since the danger OF panics is re-
moved, I believe that the pernicious
features Of bankruptcy laws so Tar
oVerbalance their good that there IS
no argument 10 be made in favor
OF their retention The bankruptcy
law is a broad gateway over which
there is 8 sign. Here is temptation.
and il might just as well go on and
say. Enter ye, both honest and dis
honest. and enjoy our panacea-' Il
I were putting up the sign I would
letter IL 'Quack business
There are lots OF remedies for the
honest man who has failed. and for
the dishonest man-hanlSruptc For
all there is this panacea SO vel adj
vertised by the quack, the legal Tul-
ture, who tells his clients that for
s35 he can get them a discharge in
bankruptcy. and they can 20 back
into business without any-Well. they
are not marked men on account OF
that. There IL no curse for being re-
lieved Of obligations that way Men
who beat their grocery bills. their
doctor bills. their milk bills. all are
discharged in bankruptcy
Temptation to Dishonesty.
for the man who processes hon
ssty. and has IN his mind and heart