THE BANKRUPTCY LAW.
A deputation, representing the commercial interests of the country, and headed by Sir John Ramsden, waited upon Lord Palmerston on Tuesday to learn the intentions of the Government with regard to the bankruptcy law, and to advocate a measure in conformity with that brought in last session by Lord John Russell. Sir John Ramsden, Mr. S. Morley, and Mr. Hastings of Worcester, were the chief spokesmen.
Lord Palmerston thanked the deputation for calling upon him. He fully felt the importance of the subject, but seeing how much Lord John Russell has on his hands, he could not promise that Lord John would- take up th • matter. However, there was the Attorney-General on his left hand, a most able champion of the commercial interests, and he would tell them that it is the intention of Government to deal with the subject, with the hope of a satisfactory arrangement. it Richard Bethell made an informing and explanatory speech.
" Gentlemen—I can assure you it has been to me a source of great plea- sure to attend this meeting on the invitation of my noble friend. I can also assure you the important matters you have placed before his Lordship's con- sideration have been for a long time the subject of my most anxious atten- tion. It has also, as he has told you, enraged -the attention of my noble friend. Indeed, he has gone so far as to direct the attention of myself and of my legal colleagues—gentlemen practically acquainted with the whole question—to the preparation of a measure likely to satisfy the reasonable wants of the commercial community; and he has placed us in communica- tion with that portion of his Government which has special charge of all such matters; and we, let me add, have lost no time in examining the ques- tion, and getting the intended measure into a state of preparedness to be submitted to the anxious consideration and determination of the Cabinet. What that determination may be I cannot take upon myself to say, but I may tell to you what are my own individual views, in the spirit of which the bill is being prepared ; but I beg that you may be kind enough to re- member that I merely state my individual views, or what are at present the impressions on my own mind, although these may, before the bill passes through the Legislature, receive considerable modifications. Still, it may be satisfactory to the gentlemen present to ascertain that between their views and mine there, is no material difference. I agree with you that this subject is not to be regarded as purely and exclusively one of a legal character, but that it is one in which the commercial interests are chiefly involved, and that it should be so disposed of that the law of bankruptcy and insolvency may be brought into harmony with the convictions and feelings of the commercial community, and the whole system of its administration based upon their interests and made cons sistent with the principles of justice. In fact, gentlemen, your opinion ought to be embodied in this law. I entirely disapprove of adding to the number of enactments upon the subject, and also of that part of the present system which leaves large and important commercial districts without a competent commercial tribunal. Since I entered Parliament it has ever been my aim, so far as my humble efforts could go, to reduce the whole body of our laws into a state of simplicity, order, and consis encys but in our bankruptcy. laws, as they now stand, there is neither simplicity nor order. In My opinion the foolish and illogical distinction between traders and non-
traders ought to be abolished ; and, addreihing rnyseIrto Me task before me, I rifest have come tcrthat determination. The matter onsi in-
dividual I have an n- dividual &cling is that the prileipletratinsolvenor °BOA to be intelligible, and that a few simple tests ou0. to be laid down, on thb existence of which the eseditorsswould be entit]ledlo take possession of: threpropeity of the in- solventrfor eqpal distribution. I think that the Court in the interim, that is up to the time of the adjudication, should by its officials take care to pre- serve and protect the property for them, and that for that purpose, and for that purpose only, some official person, be he official assignee, or call him by what name you please, should be employed ; but from the moment that the insolvency is declared I consider the property of the bankrupt to be the property of his creditors, and that they are the best judges of how it ought to be administered. You must, however, in this matter pot lose sight of experience. There are many in this room who can remember what took place before 1831—I am sorry to say that I am old enough to do so. I can well remember that prior to that period there were very great complaints made by the commercial community of the want of some system of bankrupt ad- ministration. Indeed, your present complaints are not louder ; but let us from their result draw some kind of lesson and caution. You then sur- rounded the Government of the day with your• complaints, and the result was the introduction of that cumbrous reform which you are now wishing-to have removed. You were, in fact, overloaded with a cumbrous machinery which interferes with your interests ; and your anxiety now is to get rid of that very thing which was introduced to meet a similar anxiety. I only mention this to show how necessary it is for you to proceed with caution with respect to the object which you have in hand. My opinion is that itis entirely unnecessary to overlay the proceedings with the expense of officials, and I think it monstrous that they should feed, on the property of the creditors. After the property has passed over to the creditors, and that those who are the creditors has been ascertained ,for which purpose judicial interference will be still necessary, they ought, as I think, to have the ut- most facility of administering the estate, and of withdrawing it from the in- terference of the Court, if they should think it necessary ; that interference being only required to compel a complete disclosure of the bankrupt's pro- perty ; and, let me add, to direct criminal proceedings when it is appre- hended that there has been anything like concealment. I quite concur with the deputation that the criminal law with respect to fraudulent bankrupts ought to be made as stringent as is compatible with the spirit of our criminal law gene- rally, and also that it should be administered by the ordinary tribunals of the country. I have mentioned to you only the general principles of the measure I am preparing, but the completion of it will be to me the subject of the most careful attention. That measure, so far as it has grown to completeness under my hands, has been based on the views I have mentioned to you, and embodies the advice which we have received from several quarters. When ready for legislation it will be submitted to the Cabinet and be fully Con- sidered, and, so far as the expression of my own opinion will be &sufficient assurance, you may rely that its consideration. will be approached, not with a view of protecting or consulting legal interests, but to make the measure satisfactory to the great trading. interests of this country. To me it will be not only a pleasure but a great benefit, if the gentlemen who are here from different parts of the country will favour me with writing to me their views ; I shall be most happy to receive theory and I here engage myself to consider and attend to them, and I hope the result of my labours will prove that your demands have been responded to by her Majesty's Government. I would be glad, too, if you would favour me with suggestions for a system of bankruptcy suited to our colonies and dependencies, some of which—China, for instance—are wholly destitute of anything of the kind." Mr. Hastings remarked that a bill such as the learned gentleman had sketched to them would meet the views and receive the support of the commercial community, who did not regard Sir Richard Bethel as a lawyer. (Sir Richard Bethell--" Thank you.', Great laughter.) They regard him as a great.and philosophical statesman.
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