CONGRESS. (UNIFORM SYSTEM OF BANKRUPTCY.) 



197 



examination at a place more than 150 miles distant 

 from his home or principal place of business, or to 

 examine claims except when presented to him, un- 

 less ordered by the court or a judge thereof for 

 cause shown, and the bankrupt shall be paid his 

 actual expenses from the estate when examined or 

 required to attend at any place other than the city, 

 town, or village of his residence. 



' SEC. 8. Death or insanity of bankrupts. a. The 

 death or insanity of a bankrupt shall not abate the 

 proceedings, but the same shall be conducted and 

 concluded in the same manner, so far as possible, as 

 though he had not died or become insane : Provided, 

 That in case of death the widow and children shall 

 be entitled to all rights of dower and allowance fixed 

 by the laws of the State of the bankrupt's resi- 

 dence. 



'\SEC. 9. Protection and detention of bankrupts. 

 n. \ bankrupt shall be exempt from arrest upon 

 civil process except in the following cases: (1) When 

 issued from a court of bankruptcy for contempt or 

 disobedience of its lawful orders ; (2) when issued 

 from a State court having jurisdiction, and served 

 within such Slate, upon a debt or claim from which 

 his discharge in bankruptcy would not be a release, 

 and in such case he shall be exempt from such ar- 

 rest when in attendance upon a court of bankrupt- 

 cy, or engaged in the performance of a duty imposed 

 by this act. 



'"i. The judge may, at any time after the filing of 

 a petition by or against a person, and before the ex- 

 piration of one month after the qualification of the 

 trustee, upon satisfactory proof by the affidavits of 

 at least two persons that such bankrupt is about to 

 leave the district, in which he resides or has his 

 principal place of business to avoid examination, 

 and that his departure will defeat the proceedings 

 in bankruptcy, issue a warrant to the marshal 

 directing him to bring such bankrupt forthwith be- 

 fore the court for examination. If upon hearing 

 the evidence of the parties it shall appear to the 

 court, or a judge thereof, that the allegations are 

 true and that it is necessary, he shall order such 

 marshal to keep such bankrupt in custody not ex- 

 ceeding ten days, but not imprison him, until he 

 shall be examined and released, or give bail condi- 

 tioned for his appearance for examination, from 

 time to time, not exceeding in all ten days, as re- 

 quired by the court, and for his obedience to all 

 lawful orders made in reference thereto. 



"SEC. 10. Extradition of bankrupts. a. Whenever 

 a warrant for the apprehension of a bankrupt shall 

 have been issued, and he shall have been found 

 within the jurisdiction of a court other than the 

 one issuing the warrant, he may be extradited in 

 the same manner in which persons under indictment 

 are now extradited from one district within which 

 a district court has jurisdiction to another. 



" SEC. 11. Suits by and against bankrupts. a. A 

 suit which is founded upon a claim from which a 

 discharge would be a release, and which is pending 

 against a pel-son at the time of the filing of a peti- 

 tion against him, shall be stayed until after an ad- 

 judication or the dismissal of the petition ; if such 

 person is adjudged a bankrupt, such action may be 

 further stayed until twelve months after the date of 

 such adjudication, or, if within that time such per- 

 son applies for a discharge, then until the question 

 of such discharge is determined. 



" b. The court may order the trustee to enter his 

 appearance and defend any pending suit against 

 the bankrupt. 



" c. A trustee may, with the approval of the court, 

 be permitted to prosecute as trustee any 'suit com- 

 menced by the bankrupt prior to the adjudication 

 with like force and effect as though it had been 

 commenced by him. 



"d. Suits shall not be brought by or against a 

 trustee of a bankrupt estate subsequent to two years 

 after the estate has been closed. 



"SEC. 12. Compositions, when confirmed. a. A 

 bankrupt may offer terms of composition to his 

 creditors after, but not before, he has been examined 

 in open court or at a meeting of his creditors and 

 filed in court the schedule of his property and list 

 of his creditors, required to be filed by bankrupts. 



" b. An application for the confirmation of a com- 

 position may be filed in the court of bankruptcy 

 after, but not before, it has been accepted in writing 

 by a majority in number of all creditors whose 

 claims have been allowed, which number must rep- 

 resent a majority in amount of such claims, and the 

 consideration to be paid by the bankrupt to his 

 creditors, and the money necessary to pay all debts 

 which have priority and the cost of the proceedings, 

 have been deposited in such place as shall be desig- 

 nated by and subject to the order of the judge. 



" c. A date and place, with reference to the con- 

 venience of the parties in interest, shall be fixed for 

 the hearing upon each application for the confirma- 

 tion of a composition and such objections as may be 

 made to its confirmation. 



l 'd. The judge shall confirm a composition if satis- 

 fied that (1) it is for the best interests of the credit- 

 ors; (2) the bankrupt has not been guilty of any of 

 the acts or failed to perform any of the duties which 

 would be a bar to his discharge ; and (3) the offer 

 and its acceptance are in good faith and have not 

 been made or procured except as herein provided, 

 or by any means, promises, or acts herein forbidden. 



"e. Upon the confirmation of a composition, the 

 consideration shall be distributed as the judge shall 

 direct, and the case dismissed. Whenever a com- 

 position is not confirmed, the estate shall be ad- 

 ministered in bankruptcy as herein provided. 



" SEC. 13. Compositions, when set aside. a. The 

 judge may, upon the application of parties in 

 interest, filed at any time within six months after 

 a composition has been confirmed, set the same 

 aside and reinstate the case if it shall be made 

 to appear upon a trial that fraud was practiced in 

 the procuring of such composition, and that the 

 knowledge thereof has come to the petitioners since 

 the confirmation of such composition. 



"SEC. 14. Discharges, when granted. a. Any per- 

 son may, after the expiration of one month and 

 within the next twelve months subsequent to being 

 adjudged a bankrupt, file an application for a dis- 

 charge in the court of bankruptcy in which the 

 proceedings are pending ; if it shall be made to 

 appear to the judge that the bankrupt was unavoid- 

 ably prevented from filing it within such time, it 

 may be filed within but not after the expiration of 

 the next six months. 



" b. The judge shall hear the application for a 

 discharge, and such proofs and pleas as may be 

 made in opposition thereto by parties in interest, 

 at such time as will give parties in interest a rea- 

 sonable opportunity to be fully heard, and investi- 

 gate the merits of the application and discharge the 

 applicant unless he has (1) committed an offense pun- 

 ishable by imprisonment as herein provided ; or (2) 

 with fraudulent intent to conceal his true financial 

 condition and in contemplation of bankruptcy, de- 

 stroyed, concealed, or failed to keep books of account 

 or records from which his true condition might be 

 ascertained. 



"c. The confirmation of a composition shall dis- 

 charge the bankrupt from his debts, other than 

 those agreed to be paid by the terms of the compo- 

 sition and those not affected by a discharge. 



' SEC. 15. Discharges, when revoked. a. The 

 judge may, upon the application of parties in in- 

 terest who have not been guilty of undue laches, 



