OUR BANKRUPTCY LAWS.

Lake Wakatip Mail, Issue 904, 18 February 1875, Page 4

OUR BANKRUPTCY LAWS.

(Fran the Wellington Tribune.) The subject of bankruptcy is not pleasant, bat from time to time—happily not often in these piping times of peace and prosperity—it has to be encountered in one shape or another, and generally in rery questionable shape, and therefore until our law is got into a groove more f&rorable to honest dealing than at present, it is a duty to return to its consideration accordingly. What is our law ? Nobody seems exactly to know. It is related of the best of our New Zealand judges that he asked a juryman, who ap|?eareOT>efore him for examination, if he understood the Bankruptcy Act. The reply, more ready than modest was—"Yes, perfectly." " Then, that is a great deal more than I do," was the quiet rejoinder of the judge. The thing is a piece of patch work, without strength or consistency. The Southern Cross has a sort of leaning to the plan pursued in Batavia, which is thus described < Immediately on becoming bankrupt the names of the parties are placarded about the town and in the Exchange, as if prima facie infamous. The books are then examined by the officer appointed for that purpose. If the estate does not pay 60 per cent., and the bankrupt can be proved to hare done business after he knew the met, he is pot into prison as a criminal for a * number nf years, end declared " aloosh," which signifies infamous, or without character. After the aloosh" person is excommunicated, his word is not to be taken; he is* not allowed to be a witness, even on oath ; and if a man trusts hhn he does it at his own risk—he has no legal remedy against him. On the other hand, if a mpn takes bis books to the public officer, and declares that he has given up all he has, and it does not appear that he has been doing business, knowing he was a bankrupt, and after investigation there are no suspicious circumstances, his creditors must sign his papers. Thus tie creditors are protected without oppressing the debtor, the rogue is distinguished from tlie honest man; and a person is obliged by a terrible pfnalty to know the state of his affairs, and when once embarrassed to refrain from " speculation to retrieve himself. We are afraid that the above is too much of a good thing, and it certainly does not fit in with our national idea of fitness. But even hints are -useful in an emergency.