Page:Federal Reporter, 1st Series, Volume 2.djvu/859

 852 FEDERAL REPORTER. �the direction of a committee of creditors, pursuant to sectici 43 of the bankrupt act. No schedules were ever filed in the case. No reports have been made to the register. No account hasbeen rendered except one dated December 31, 1879, which has been submitted to the committee and by them confirmed. It shows, or purports to show, the receipts and disbursements of the trustee, including amounts paid for expense of admin- istration, and for dividends, and an undistributed balance of $3,549.4e. The trustee has never been examined under any order of the court or the register; the account rendered by him to the committee is not verified, nor was it accompanied by vouchers. �Two of the creditors, whose debts together amount to about two-thirds of ail the debts proved, applied to the register for an order for the examination of the trustee, and accordingly the register issued a summons requiring the trustee to appear for examination, and to produce upon such examination ail books of account belonging to the bankrupts, and ail the books kept by him as trustee, and ail his vouchers. The questions certified by the register are — (1) whether the regis- ter had power to issue the summons; (2) whether these ap- plying creditors have the right to examine the trustee in this proceeding before the register pursuant to the summons; and (3) whether they bave the right on such examination to call for the production of said books and papers. �It has been held that after the due appointment of a trustee, under section 43 of the bankrupt act, the rights and powers of creditors inconsistent with the f uU and free exercise of the power and authority given by the statute to the trustee to settle and wind up the estate under the direction of the cpm- mittee are taken away. In re Jay Cooke & Co. 11 N. B. E. 1. And in the case of In re Trowbridge, 9 N. B. E. 274, it was said by Judge Longyear: "The proceeding contemplated by section 43 is evidently intended to be one by arrangement and not by judicial process or proceedings. The power and juris- diction of the court are, however, retained over the matter in order that it may interfere whenever it may beoome neces- eary for the preservation and enforcement of the rights of ail ����