payment of his debt out of the property of an undischarged Bankrupt, bankrupt is provided (k). 66 66 66 after close of bankruptcy, previous making up may file a verified by affidavit, of sums so paid or tendered. Bank. Rules, 1870, r. 172. statement. Where the bankrupt desires to make up the dividend of paying or 10s. in the pound and so obtain his discharge, under paragraph tendering a one of the above section, the practice is regulated by the sum with following rules of "The Bankruptcy Rules, 1870" :"Where a bankrupt who has not obtained his order of discharge shall, after the close of the bankruptcy, pay or tender "to the several creditors who have proved their debts, a sum, "which with the dividend paid previous to the close of the "bankruptcy shall make up a dividend of not less than ten shillings in the pound, and shall desire to obtain an order of discharge, he shall file with the registrar a statement, verified "by affidavit, of the sums so paid or tendered, and when and "where paid, with the receipts of the creditors or their repre"sentatives for the sums respectively paid to them written on 66 or attached thereto."- "The Bankruptcy Rules, 1870," r. 172. "The registrar shall appoint a day for the hearing of the application for the order of discharge, and a notice thereof "shall be gazetted twenty-one days before the day appointed, "and a copy thereof shall be sent by the registrar to each "creditor who has proved or claimed a debt under the bank"ruptcy."-" The Bankruptcy Rules, 1870," r. 173. Forms of notice to creditors (1), and of notice in Gazette (m) as required by above rule, are provided: 66 "Where a creditor cannot be found or is dead, and no representative is known, the bankrupt may deposit the money payable to such creditor with the registrar.' ruptcy Rules, 1870," r. 174. 66 "The Bank "At the hearing of the application, an order of discharge may be granted, if the Court is satisfied that a sum equal "to a dividend of ten shillings in the pound has been paid to "all the creditors who proved their debts, unless, on a represen"tation of creditors under section forty-eight of the Act, the "Court thinks it just to suspend or withhold such order.""The Bankruptcy Rules, 1870," r. 175. (k) Appendix V. Form No. 70. () Appendix V. Form 68. Registrar to appoint a day for hearing of application. Bank. Rules, 1870, r. 173. Forms of notice. Money may be deposited sentative of known. 1870, r. 174. charge on proof of pay ment of 10s. in £. Bank. Rules, 1870, r. 175. VOL. II. 4 X BOOK VI. THE JURISDICTION AND PRACTICE IN BANKRUPTCY. What costs Court may award, and how such costs may be recovered. Bank. Rules, 1870, r. 186. Order for costs to be sealed and filed. Bank. Rules, 1870, r. 187. All costs in discretion of Court, and enforced by execution. Bank. Rules, All costs to Court may limit number of witnesses. CHAPTER XVII. TAXATION AND RECOVERY OF COSTS. "THE Bankruptcy Rules, 1870," contain the following provisions with regard to the taxation and recovery of costs : "The Court may in all matters before it award such costs as "to it shall seem fit and just; and all costs so awarded by the "London Bankruptcy Court shall be recoverable in the same manner as costs awarded by a rule of any of the Superior "Courts of Common Law at Westminster may be recovered, "and all costs so awarded by a County Court shall be taxed "and recoverable in the same manner as costs ordered to be paid in any such Court in any action or suit."-"The Bankruptcy Rules, 1870," r. 186. 66 66 Every order for payment of money and costs, or either "of them, shall be sealed with the seal of the Court, and be signed by a registrar, and shall be forthwith filed with the "proceedings."-"The Bankruptcy Rules, 1870" (a), r. 187. "All costs shall be in the discretion of the Court, and shall "be paid by such persons as the Court shall order, and every "such order for payment of costs may be enforced by execu "tion."-"The Bankruptcy Rules, 1870," r. 188. "The costs directed by any such order to be paid shall be "taxed on production of an office copy of such order, and the "allocatur being duly stamped shall be signed and dated by the "master or registrar taxing the costs."-"The Bankruptcy Rules, 1870," r. 189. "The Court may in any matter limit the number of witnesses "to be allowed on taxation of costs, and their allowance for "attendance shall in no case exceed the highest rate of the Bank. Rules, "allowances mentioned in the scale in the schedule."-" The 1870, r. 169. Bankruptcy Rules, 1870," r. 169. (a) See In re Albezette; Ex parte Smith, L. R. 8 Ch. D. 599. 66 "The costs of witnesses, whether they have been examined or not, may, in the discretion of the Court, be allowed.""The Bankruptcy Rules, 1870," r. 170. The schedule to "The Bankruptcy Rules, 1870," contains a scale of costs in bankruptcy matters, which will be found printed in full in an Appendix to this Work (b). As regards the scale by which costs are to be allowed, "The Bankruptcy Rules, 1871," provide as follows: 66 Costs of witnesses may be allowed. Bank. Rules, 1870, r. 170. Scale of costs. When lower scale of costs to be allowed. "Where any costs in bankruptcy or liquidation are incurred subsequent to these rules, and the proveable debts of the "debtor do not exceed £750, or the estimated assets do not "exceed £200, a lower scale of attorney's costs shall be allowed, The Bank"namely, three-fifths of the charges ordinarily allowed, dis- ruptcy Rules, "bursements being added. If in error any charges have been 1871, r. 8. "allowed or paid on the higher scale, and the proveable debts "shall afterwards be ascertained not to exceed £750, or the 66 gross proceeds of the assets not to exceed £200, the excess "shall be disallowed, and if paid shall be repaid to the trustee." "The Bankruptcy Rules, 1871," r. 8. It is to be noticed, that, by the above rule, a lower scale of Effect of solicitors' costs is to be allowed :-(1.) Where the proveable above rule. debts of the debtor do not exceed £750; OR (2.) the estimated assets do not exceed £200. Moreover, if by mistake any charges have been allowed on a higher scale, the excess is to be disallowed, and if paid the trustee is to repay them. It has been held that this rule does not apply to a case of composition (c). BOOK VI. THE JURISDICTION AND PRACTICE IN BANKRUPTCY. Bankruptcy to when all the CHAPTER XVIII. THE CLOSE OF THE BANKRUPTCY. FORMER Bankruptcy Acts did not provide for the close of bankruptcy proceedings. "The Bankruptcy Act, 1869," howestate has been ever, contains an express provision on the subject, which is in the following terms: realized. The Bank ruptcy Act, Form of trus- Regulations as to accounts of ruptcy. 66 "When the whole property of the bankrupt has been realized "for the benefit of his creditors, or so much thereof as can, in "the joint opinion of the trustee and committee of inspection, "be realized without needlessly protracting the bankruptcy, or a composition or arrangement has been completed, the trustee "shall make a report accordingly to the Court, and the Court, "if satisfied that the whole of the property of the bankrupt has "been realized for the benefit of his creditors, or so much "thereof as can be realized without needlessly protracting the "bankruptcy, or that a composition or arrangement has been "completed, shall make an order that the bankruptcy has closed, and the bankruptcy shall be deemed to have closed at "and after the date of such order. 66 "A copy of the order closing the bankruptcy may be pub"lished in the London Gazette, and the production of a copy of "such gazette containing a copy of the order shall be con"clusive evidence of the order having been made and of the "date and contents thereof."—32 & 33 Vict. c. 71, s. 47. A form of report by the trustee to the Court is provided (a). A form of order closing the bankruptcy is also furnished (b). The following rules of "The Bankruptcy Rules, 1871," relate to the accounts of a closed bankruptcy : "At the expiration of twelve months from the declaration of "such dividend (c), or, if the bankruptcy be closed within twelve (a) Appendix V. Form 51. (b) Appendix V. Form 52. (c) I.e., Of any dividend. See Rule 18, set out ante, p. 1398. 66 comptroller "months of such declaration, then at the close of the bank- Trustee to ruptcy, the trustee shall forward to the comptroller a list of forward to "the dividends unclaimed, together with vouchers showing the list of divipayment of such dividends as have been paid."- "The Bank- dends unruptcy Rules, 1871," r. 18. 66 "Upon the receipt of such list the comptroller shall send to "the trustee an order by the accountant in bankruptcy upon "the Bank of England to receive the amount of the dividends "which remain unclaimed, and the trustee shall within one "week of the date of such order pay into the Bank of England "the sum mentioned in such order."- "The Bankruptcy Rules, 1871," r. 19. 66 66 Any other monies arising from the property of the bankrupt remaining under the control of the trustee at the close "of the bankruptcy of any bankrupt, shall, in like manner, be paid by the trustee into the Bank of England."—"The Bankruptcy Rules, 1871," r. 20. Let us now ascertain what are the duties of the registrar upon the close of the bankruptcy. claimed. Bank. Rules, 1871, r. 18. Comptroller to send trustee an order by accountant in bankruptcy Bank. Rules, 1871, r. 19. Money to be paid by trustee into Bank of England. Bank. Rules, 1871, r. 20. Duties of the registrar. On release of the trustee, registrar again becomes It has been seen (d) that the registrar, until a trustee in bankruptcy is appointed, discharges the duties appertaining to that office. On the other hand, after the close of the bankruptcy, when the trustee has obtained his release, the registrar again, as it were, steps into the place of the trustee, and does certain things incidental to the bankruptcy which, after its close, necessarily remain to be performed. Thus, as we have trustee. already seen (e), the registrar takes possession of the trustee's official books and papers (f). So the registrar is required to realize the outstanding property, and may declare a dividend from the proceeds thereof in the same manner as if he had been the trustee by reason of there being no trustee acting during the continuance of the bankruptcy (g). The following rules of "The Bankruptcy Rules, 1871," relate to the duties of the registrar after the close of a bankruptcy : "All monies received by a registrar acting as trustee after "the close of a bankruptcy, shall in like manner be paid by him "into the Bank of England within one month of the receipt of "the same."-"The Bankruptcy Rules, 1871," r. 21. "The governor and company of the Bank of England shall "receive and carry to the credit of the account of the accoun"tant in bankruptcy, all monies so directed to be received by any order of the accountant."-"The Bankruptcy Rules, 1871," r. 22. 66 Monies received by registrar to be paid into Bank of England. Bank. Rules, general. (1) Ante, p. 1330. (e) Ante, p. 1390. (f) Rule 249, ante, p. 1390. |