Supreme Court.

Star (Christchurch), Issue 58, 21 July 1868, Page 3

Supreme Court.

Tina Day, (Boforo Mr Justice Grcsson,) Ills Honor. aat in tho Court Cbamboro at 11 o'clock thin morning. UK KJWAM) "M'MNOH JIUOTI Ml'tt ItAIISTON, Ou the /ippllciitloii of Mr CWH-dinw, this gentleman was readmitted as a solicitor of tbo rm promo Court of Now Zealand, on pay* mint of tho fen. In B_iN).iim*TOV. MO WIT/MAM JI_.MII._ON INNI6 I'INOUINO. Mr Nottldgo applied for au order annulling all tho proceedings in this matter. Mr Cotlroll, on behalf of tho bankrupt, appeared to oppose, liln Honor said bo did nofc 800' how the order could bo made without tho consent of tbo bankrupt, Jn tho caso of Edward Oardulo, tlio bankrupt made application to annul the proceedings, with the consent' bf tho creditor-*, and tho order \vn» made, 110 was not aware of any provision hi tho Aot for tho erodltorn applying to annul— certainly not without tbo consent of the bankrupt. All' Nottldgo nald tbat tbo procccdingn had como to a dead lock, Although a provisional trustee had bcon appointed, the properly was vented in the bankrupt. Tbo creditors could not continue tho proceedings in bankruptcy, f If h Honor s Why could thoy not petition? What is tlio eaiiiio of tho dead lock P Mr NottltlKu i Thoro was no meeting of crodltors, The debtor can never obtain hia discharge, aud tlio erediiora oannot touch the proporty. I havo applied for leavo lo procowl against tho bankrupt, but your Honor declined to make the ordor, ll la Honor j How do you moan to proceed against the bankrupt ? Mr Noltltlao t AKitlnst Iho properly of the bankrupt. Your Honor refused thut .application, thinking It would act prejudicially against hoimo of the creditors. Now I apply on behidfof. all tho erwlitorn who havo proved, to annul the procccdinj-iJ i and If neither application bo allowed, tho property is locked up for over in the provisional trustee. Mr Cotlroll snld that bin oll.nl was willing to consent to any cou.ao which would conduce to his own protection and tbo just and equal distribution of ids .stale, 110 was moid anxious to proceed if tho Court would allow him, It was not his client's fault tbat there had been no meeting of creditors. IMh Honor fifiM that if tho bankrupt petitioned to annul tbo former proceedings, thero was no reason why tho order «hould not bo made, if the creditors consented. Mr Nottldgo said that if Mr Cottroll would undertake to fllo a fresh declaration in bankruptcy, which would enable the matter to go right through, ho would undertake not to issue execution. Mr Cottrcll said that so long bb his client was protected from arrest, and bis estate equally administered, ho would consent to any courso. Ills client had dono everything to bring about a distribution, 110 instruoted

tibn that his cstato was a good ono, and would ruallso nearly 20s in tho pound, Ills Honor did not sco how he could mako tbo ordor to-day, Thoro would bo nn understanding botweon tho learned counsel to-day, that Mr Cottrcll was to apply ;to annul the bankruptcy, by presenting \ pdltlon, with tbo consent of the creditors. Then tho order oould bo mado on a future day. Mr Nottldgo : It comes to tho samo thing If tbo creditors apply with tho consent of tho bankrupt. Aftor somo further discussion, Ills Honor mado tbo order to annul tbo proceedings, Mr Cottrcll consenting j tho understanding b< ing that Mr Nottldgo ii not to lssiio oxcouth-n, and that Mr Cottroll ohould fiio a fresh d<>elaralion of bankruptcy Immediately, DJIFJ-OTfl IN TUB lIAmtIIUPTOV AOT. Mr Wynn Williams stolod thftt Mr Nollid|<o bad written to Mr Maefarlan, pointing out cortaln amondtuoiita which woro necesnary in tlio Bankruptcy Act. At present, if tlicro was no meeting of creditors, tho proceedings camo to a standstill, as had been demonstrated In tho case Just disposed of. ilo wished Ids Honor to express an opinion on the matter, in order that it might bo reported and bo of some effect whon tho pro* posed amendments woro brought before tho Legislature. It waa nc-csimry Mat iho Court should havo power to direct tho contlminnco of tho proceedings in iho regular way In oases whoro thoro woro no meetings of creditors. It was importnnt that tbo Act nhoultl bo amonded in this respect, Iliir Honor i It strikes mo that tho Act Is dol'cotlvo In not providing for eases whoro tho first mooting of creditor- bus fallen throuuh. I havo staled that moro than once * but so far as I can judgo from a report in an Otago nowapnpor, Judgo Chapman doesn't agree -.villi mo. Ho snld that tho 53rd section met tbo cane, but I don't see that it does. Mr Nottldgo j Although tbo provisional trustee takes possea-don, If thoro l« no mooting of creditor-- tho proporty must remain vested tn iho bankrupt, and beyond tho control of, or conversion by, tbo creditor-, Ills Honor s I certainly think it would be most doAlrablo that these matters should be cleared up by amending tho Aot. Ido not know, unfortunately, what tho opinion of my brother judgos upon tho ptlnt is, Mr Williams said that tho amendment required was, that tho estate nhoultl vest In the triifitoo In all eases, whether thoro was a mooting of orodltors or not. Tlio Registrar staled lhat thoro wero sixtoon casos in which thero had boon no moot* logo of creditors, and tho estates wero consequently lookod up. (lis Honor ! 1 havo stated moro than once — I don't know whethor I am right or not— that I do not sco my way to working tho Act whcro tho creditors havo not proved— whore tbo first meeting bas fallen through. Mr Nottidge said tbat bo had looked through tho Act nnd found aomo vory Important errors in tbo printing, Theso. bo bad pointod out to Mr Maefarlan, nn wim-iam nowniw. Mr Wynn Williama applied for an order of adjudication and meeting of creditors, Ills Honor- mado tho order, and fixed tbo mooting of creditors for Wednesday, tho 29th July, at 1 1 o'clock, ImMlllMllmmmtmmWmmmmWmmmKmmVim