BANKRUPTCY.

Patea Mail, Volume VIII, Issue 1049, 20 June 1883, Page 2

BANKRUPTCY.

“A ‘Victim,” writing on bankruptcies and the legal profession, in an Auckland contemporary, says that before the recommendations of the Chamber of Commerce respecting the alterations required in the bankruptcy laws are made use of, Jit would be well to ventilate the question. He says—“ lam of opinion that the legal profession are responsible for most of the black cases. Two have gone through lately where, in each, there would have been probably 40s in the £, instead of nothing, but the freehold properties 'were made oven to the wives a few weeks before the filing. This, the creditors, are fold, is illegal,; but what can they do Hie trustee, says he cannot upset the conveyance to the wife, and tfce creditors willing cannot perhaps afford to prosecute the bankrupt. One of them is boasting alreadyof having made a house and five acres of land out of it. The solicitors for the bankrupts know the trouble it is to creditors opposing,, and how easy it is to get over them, and should any turn out very rusty they .are quieted by . getting security for their money.. _An opposing creditor in one of the cases I have mentioned told me he was ‘ shut up in that way. Ait present the whole profession are to blame until they, make a move to haye the black sheep struck off the rolls, and if that were done there .would he very few swindling bankruptcies. The £3O or £4O cash probably paid by the bankrupt to the solicitor for putting him through makes the creditors feel very sore, as they will often call to mind .circumstances which cause them to know he had been saving his ready cash for that, object. Very few bankrupts would be opposed if they honestly gave up 1 all to the creditors, but with the, help of his solicitor and the neglect of the official trustee, he is often able to make a new start with the creditors’money.” ■