THE NEW BANKRUPTCY ACT.

Manawatu Standard, Volume IV, Issue 34, 9 January 1884, Page 2

THE NEW BANKRUPTCY ACT.

(From Pastoral and. -Agricultural New.) The^omcial assignees*-of whom there is to be one for each Supyeine Court, or vather'Batikruptcy <3o ! ufrti Wstrrc'tf— are Ao be officers of the Com t wilh a public office, and thus directly amenable; to - the supervision and order of the Court, ' ■where any flagrant neglect or delay is alleged against them. When it is 1 remembered how impossible it almost •was. target some creditors' >'tmistee»'t-o do anything towards effectually winding up any estate, and declaring dividend?, this chauge from an irresponsible ijo a responsible officer, cannot but be valued as a decided boon to longsufteying creditor*. Should, however, the official assignee tie himself £ credi T6r"bTariy~^a^krUpt^Btate--tJf^which otherwise heMonld have the administration,- 1 - lie ■is thereby rendered incapable from acting as, assignee of that estate. '• Tri such a case happening, the Qourt has power to appoint another p'e&bd, not being? a'ere/Jitbiy jfo be as--sig^uefc of ,!th,'at particular estate, on his giving proper security. The poWers ami duties of the official assignee are, as;might.be expecteJ, , both extensive ; an.d inatherative. H#' ; musV, ) ' ; %s l far as . piraticabje, consult 1 ! the ] wishes lof | the creditors with respect to the ad- ' ministration of the bankhipti'sproperty, ,anil for that purpose, where ad viable, specially call them together. All the books and papers of the bankrupt are, immediately on the bankruptcy, to bo" taken possession of by him and taken to his office. If the creditors or the' supervisors (of whom inoivj hereafter), ' were appointed, require the bankrupt to file an 'account of hi's trading 1 ; the' assignee ,xa. without delay to examine the bankrupt v respecting the manner he kept his .the date of his laijt stocktaking, and of those proceeding, and fe'spect- , ing any matter which 'may 'enable the to judge ofafittin'g time for the , bankrupt to ootnmehcb hijs tfccfdiints so that, 'as well as may be, the' objects ..which the creditors amlsiipervisors had iv view may be attained. HeisenjoirieiH; to dispose of all perishable property without delay, and take prompt action .m any matter necessary to' protect the estate from loss before the meeting of creditors. It is ho wlio Mas to advertise all matters necessary for the parpose of the bankruptcy, commencing with the first notice " of i fife bstt&rup'toy. ' 'It is jusiruife un>y m summon and president "all meeClngs-of creditors,-*© -issue proxy f »rmsLfQr use at aIL meetings, report to the creditors any proposal of the bankrapt with reference to the liquidating his affairs, reoeive, accept, or reject (subject to appeaß proofs of debt, and take such part a«r,the creditors direct m the public-examination of the bankrupt. Besides the official assignee, whp, o{ course administers all estates, the creditors may, at" the; first general or any subsequent -meeting, appoint some of their nuriftier for the purpose of superintending the -administration of 'the" bankrapt's property, called supervisors, who are thereiipon entitled to remunera- ' .tipn out of the estate. ,»■ Instead of tne familiar declaration of insolvency, which -immediately it was; filed and .gazetted ipsa facto made' the debtor a bankrupt;, 'he "must now file a • petition, m the Court, alleging, that he is unable to pay his debts and praying to be adjudged a bankrupt, and which ' Las to be attested m the, same manue.r as the declaration of insolvency. Ixu-, mediately this petition, is". 'filed,, /the a«->> signee takes possession; of the, .debtor's property or business, pending die order" of .adjudication^ which, however .is forthwith made, adjudgiqgj the debtor a bankrupt. Where thVdredifors comr mence the bankruptcy^ the. modeiof procedure is almost identical :>yith that under the existing Act, as also are the, acts of. bankruptcy, but which no,w ex tend lo six months prior, instead qf, Ihreq months, pending the order of 'ad-/ judication^'/the propert^fof the debtor vests m the assignee,^i'd after the a<.|^ judication has been y >made ife bebames visible among the Qf&cM>rs, The bankruptcy hay relation back and commences ut;the('d;Ue ofthe act of sbankryptcy relied upon, or to the date orthe^irsVac'J* of, bankruptcy . within twelve months ' proceeding, if more than one act proved or discovered. * ' ; ) t i "' The bankriipt has to 1 deliver up tor the assignee at his public office all his^ book's and papers, and difc'covei' any ! others m the custody of 'otbfer' persona, and 1 hencefd rth from tira'e 'to time furnish, all 'in formation' and paiticHlars necessary to enable the assignee ito prepare a balsinee sheet of the' estate. He has further to supply the assignee,' within three days s\fter filing his petition, or after a.djuclioation where the creJifcprs petition, with! a verified statei ment of his assets and. liabilities— other- - [ wise he obtains no protection unider the i bankruptcy. , v! ' [To, be" con^inue^] :\