The Wairarapa Daily. SATURDAY, JULY 8, 1882. BANKRUPTCY LAW.

Wairarapa Daily Times, Volume 4, Issue 1120, 8 July 1882, Page 2

The Wairarapa Daily. SATURDAY, JULY 8, 1882. BANKRUPTCY LAW.

A joint committee -of both' Houses have recently reviewed the .bankruptcy laws, not only of New Zealand but of neighboring colonies and of' Great Britain. They have as it were covered the ground—gone into the Alpha and Onega of bankruptcy, and have reluctantly come to the' conclusion that human nature is too much ..for .them j: that, all and vexation of Spirit," and that fraud cannot be suppressed, Like the preacher they "find "that the thing which hath been is that which and that though God; hath made.maii upright .he has-fpuh'd out many inventions." The report of the Committee is in. the very spirit, of. Eccle'siastes, In'the'matfer; of ■bank-' ruptcy there is "n'6 new .thing under the,sun, and. the assets in : estates are like the .riches which per Ist in evil travail. The only prospect the committee offer to the public and the creditors is falling back on the old

principle of official recommend that official assignees \phalT. be creditors trustees, and they change" creditors truste.eEi.tosupervisors, .■■The difference between the official assignee and the supervisor is that while, the latter can only collect 2| per cent,, out of an/estate, the'former can make 5 per cent, ■'■. There ;are-iperhaps more leeches under the new ■ proposals than under the old system, but it dees not follow that more blood will be -drawn In nine cases out of ten in the bailkrupcies with which the public are: familiar there'is no'dividend"- expenses absorb all, The. creation-or 'multiplication of additional leeches is not likely to increase the sum of- the spoil of the estates, The Committee recommends a re-arrangement of the legal procedure, .in bankruptcy, butthis is of little consequence. It merely means altering the proportions into which a carcase is' divided between big and little courts of law. One.recommendation is of some I value, .and. that is to ; . punish fraud or grosp- nrueonduct on the part -of a bankrupt by'imprisbnment. If one ortwo examples, were';made of culpably. dishonest traders, • the beneficial, effects on the commerce of the colOnj would beimmehseV ,In some:countries it is criminal, to. incur .liabilities without a iair.prospect, .of being able to -meet them: In-New Zealand it is considered' ; criinnial not to incur them, '"-We fear that the 'commercial' lone: of this' colony is a low one, and while such is ■tbo case no bankruptcy law which may, be p'assed will prove of any great, prac-' tipal. Value. The real.remedy is in the .hands of the,principal chambers of commerce, but • they do not: care; to adopt it.; •' ;;, >■ ':[ ;;•:,