The Timaru Herald. THURSDAY, JULY, 1891.

Timaru Herald, Volume LIII, Issue 5195, 16 July 1891, Page 2

The Timaru Herald. THURSDAY, JULY, 1891.

The new: Bankruptcy Bill; which was read a second time m the House on Tuesday night, ia mainly one of consolidation, but it also ; provides for, a great many changes m matter? of detail, and some of the alterations are of considerable importance. In the course of the debate it was suggested that the Bill ought to be referred to a committee of mercantile men, but m reply it was poiuted out that it had already been submitted to the various Chambers' of Commerce and, m its present form, hud met with their approval. ..- The Official Assignees bud also been consujted and their opinions were favourable. ■ The discussion on the motion for- the second- reading was a brief one, and the Bill was referred m due course to the Statutes Revision Committee. The Government appear to be m earnest about the measure, and unless some unforeseen circumstances arise, there is a 'probability that it will be passed" tbis session. Wo : do uofc expect great things from any amendment m the law of bankruptcy, but, on tho whole, the new Act will be an improvement on the old together with its existing amendments. As the Minister pointed out, tbe Bill is very similar to the English Act of 1883. An explanatory memorandum ia prefixed to tbe Bill, showing for each clause and sub-section what is tbe corresponding provision, if any, m tbe present JNe\v Zealand Acts and m tbe English Act. The plan i 3 a very commendable one, and might with advantage be oftener resorted to. Amongst the important changes proposed are those relating to offences m bankruptcy. The penal sections of tbe present Act have given risfi to a great deal of dissatisfaction. It is proposed to abolish tbe summary jurisdiction of Bankruptcy Judges m relation to offences, und to substitute i.he following procedure. In the first place it is made the duty of the Assignee to institute proceedings if be thinks that an offence has been committed. He is to laythefaots before the Crown Prosecutor, who, if he thinks there is a good primn, facieca.se, will issue a certificate to that effect. It will then be the duty of the Assignee to Jay an information, and the whole proceedings will be conducted by t.he Crown officers as m an ordinary criminal case. Tho offences are all much) misdemeanours, and arc therefore indictable, aud when the magistrates commit, there will be ii trial before a Judge aud jury. The whole expense will be borne by tbe Crown, unless the Judge directs them to be paid out of the estate. Theße provisions meet with our unqualified approval, aud it may be regarded as certain tbat if tbe Bill becomes law a substantial cbeck will be given to a number of offences which m the pust have generally gone unpunished. The creditors will no longer have to put their bands m their pockets to prosecute, nor will it be m their power to protect n dishonest bankrnpt.who for one renson or another has cscited their sympathy or made a successful bid for their forbearance. It should bo ndded that power is given to the justices to deal with any charge summarily if the person charged consents. Another somewbat important change is tbat tbe Supreme Court is constituted tho court having jurisdiction m bankruptcy. Tho. District Courts aro no longer to be the principal courts, but tbe Governor will have power to confer bankruptcy jurisdiction on a. District Court, aii"d also to confer a limited jurisdiction (up to' £300) on Resident Magistrates Courts; m districts where no Supreme Court Judge resides. There is an important; alteration m relation to Assignees. They will not be appointed to a district, but. will be attached to a particular, office of tho Conrt. Tbe reason alleged for the change is that the whole property of the bankrupt,'' in whatever district it ia situate, is vested m the Assignee. , There is no provision' for Deputy Assignees. It is thought better that those Deputies whose districts ore important, and who at present practically work independently of. tho Assignees, should be Assignees. - But full power is given to appoint agents to represent them at a' 'distance.'. There is an alteration m the law regarding the | 'discharge of a bankrupt. The necessity of applying to the Court to fix a day for the'ttpfjltcation is done away with, and it will 'no 'longer 'bo necessary .', to obtain a recommendation of a discharge ixom the creditors ; : but the application can be opposed by any -creditor.' There is a new clause, tnlceu from the English Act, providing for the revocation of an order of discharge on certain conditions. The memorandum says that "it may be considered of doubtful policy," an opinion which we thoroughly endorse. The above are a few of the prominent changes which are provided for m the Billi but there' are tunny others which practice may show to be equally important.