Page:United States Statutes at Large Volume 14.djvu/564

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534 THIRTY-NINTH CONGRESS. Sess. II. Ch. 176. 1867. fraudulent acts and all of them, set forth as aforesaid, are not proved, or that they were known to said creditor or creditors before the granting ot said discharge, then judgment shall be rendered in favor of the bankrupt, and the validity of his discharge shall not be atfected by said proceedings. Pnnmmnucns AND FRAUDULENT CONVEYANCES DECLARED vom. Pf¢i¤r¤¤¤¤¤ Sec. 35. And be it further enaotéd, That if any person, being insole and fraudulent - · · • · coma moss d5_ cnt, or in contemplation of msolvency, within four months before the elaredy void. filing of the petition by or against him, with a view to give a preference to any creditor or person having a claim against him, or who is under any liability for him, procures any part of his property to be attached, sequestered, or seized on execution, or makes any payment, pledge, assignment, transfer, or conveyance of any part of his property, either directly or indirectly, absolutely or conditionally, the person receiving such payment, pledge, assignment, transfer, or conveyance, or to be benefited thereby, or by such attachment, having reasonable cause to believe such person is insolvent, and that such attachment, payment, pledge, assignment, or conveyance is made in fraud of the provisions of this act, the same shall be void, and the assignee may recover the property, or the value of it, from the person so receiving it, or so to be benelited; and if any person being insolvent, or in contemplation of insolvency or bankruptcy, within six months before the filing of the petition by or against him, makes any pay- ment, sale, assignment, transfer, conveyance, or other disposition of any part of his property to any person who then has reasonable cause to believe him to be insolvent, or to be acting in contemplation of insolvency, and that such payment, sale, assignment, transfer, or other conveyance is made with a view to prevent his property from coming to his assignee in bankruptcy, or to prevent the same from being distributed under this act, or to defeat the object of, or in any way impair, hinder, impede, or delay the operation and effect ot, or to evade any of the provisions of this act, the sale, assignment, transfer, or conveyance shall be void, and the assignee may recover the property, or the value thereof, as assets of the bankrupt. And if such sale, assignment, transfer, or conveyance is not made in the usual and ordinary course of business of the debtor, the fact shall be prima facie evidence of fraud. Any contract, covenant, or security made or given by a bankrupt or other person with, or in trust for, any creditor, for securing the payment of any money as a consideration for or with intent to induce the creditor to forbear opposing the application for discharge of the bankrupt, shall be void; and if any creditor shall obtain any sum of money or other goods, chattels, or security from any person as an inducement for forbearing to oppose, or consenting to such application for discharge, every creditor so offending shall forfeit all right to any share or dividend in the estate of the bankrupt, and shall also forfeit double the value or amount of such money, goods, chattels, or security so obtained to be recovered by the assignee for the benefit of the estate. BANKRUPTCY or PARTNERSHIPS AND or C0m·0RA’rr0Ns. B¤'¤k1’£,P*°Y°f Sec. 36. And be it further enacted, That where two or more persons

,Q£:_°°d who are partners in trade shall be adjudged bankrupt, either on the petition of such partners, or any one of them, or on the petition of any creditor of the partners, a warrant shall issue in the manner provided by this

act, upon which all the joint stock and property of the copartuership, Join, md sq, and also all the separate estate of each of the partners, shall be taken, state estateto excepting such parts thereof as are hereinbefore excepted; and all the l’"‘k°“· creditors of the company, and the separate creditors of each partner, shall be allowed to prove their respective debts; and the assignee shall be chosen by the creditors of the company,.and shall also keep separate