THE BANKRUPTCY LAWS.

Ashburton Guardian, Volume 1, Issue 130, 24 July 1880, Page 2

THE BANKRUPTCY LAWS.

Wellington, July 21. The Bankruptcy Law Committee have reported to the House to the following effect The Committee resolved that an amendment was required in the direction hereinafter indicated, and that the Go-. vernment be requested to bring in a Bill i during the present session embodying the amendments proposed. The Committee further resolved that an amendment of the law of bankruptcy should form the subject of a final report. The Committee recommend that the present Debtors and Creditors Act be amended in the following respect 1, That meetings .of creditors should 'be held in the town in which the bankrupt carried On business, or the town nearest his place of residence if the place - of residence is not in the town. 2. That an official assignee be appointed by the Government for each Court having jurisdiction in bankruptcy, and that the credi-. tors shall have power to appoint one or . more trustees in each estate to act with' the official assignee, and to find security bi the satisfaction of the Judge to meet : the salaries and expenses of the official assignees. The committee recommend hat the minimum charge of —per cent, bet paid upon all assets that are brought under the jurisdiction of any Court. 3. Any person shall not be entitled to his discharge unless and until a resolution shall have been passed by a majority in number equal to three-fourths in value of the creditors, and at a meeting convened for the purpose of considering such resolutions. The majority shall not be a mere majority of those at the meeting, but of the whole body of creditors, so that it will be necessary for the debtor to secure a sufficient attendance of 'creditors, either in person or by proxy, for the, purpose of this provision. A person who has been scheduled by the debtor as a creditor, but who did not prove, shall be considered as one of the body of creditors, although of course he cannot vote till, he has proved. The object will be v to make assent to the right of dis- , charge, so that there shall be an actual consent to the discharge by a majority in number equal to three-fourths in value of those persons who are in effect creditors. The decision of the creditors in refusing to give or grant a discharge shall be subject to revision by the Court. 4. Thatthe present mode of arrangement by deed . be repealed, and that any debtor unable to meet his engagements be compelled to sign a declaration to that effect. That the filing of such a declaration shall operate to stay all hostile proceedings against the estate until the creditors have determined whether the estate shall be wound up by a trustee or in bankruptcy, and that the assent required to the release of the debtor be three-fourths in number and value of all creditors, Whether present or not. 5. That no bankrupt shall obtain his discharge except by order of the Judges of the Supreme Court or District Court, in open court. ;