Page:United States Statutes at Large Volume 47 Part 1.djvu/1492

 1468 Claim for future rent Vol.30,p. 363. Receiver. Appointm ent when, duti es. Creditors' meeting . Not ice and incl o- sores. Appearance of cred- itor to controvert facts in petition. Determination of. Procedure at first meeting. E xami nati on of debtor trustee, etc. Application for con- firmation of composi- tion . When may file. D ate and pla ce of hearing on. Confir mation of pro- posal. Application for ex- tension, pr oof require d. 72d C ONGRESS. SESS. II. CH. 204. MARCH 3, 1933 . against the debtor or his property including a claim for future rent, whether or not such claims would otherwise constitute provable claims under this Act. A claim for future rent shall constitute a provable de bt and shall be liquidated under section 63(b) of th is Act. "(b) After the filing of such petition or answer the court may upon r eason able notic e to credi tors and a ttorn eys of rec ord a ppoin t a custodian or receiver, who shall inventory the debtor's estate and exe rci se su ch supervision and control ove r the conduct of the debtor's business as the creditors at any meeting or the court shall direct . "(c) The custodian or receiver, or if none has been appointed, the court, shall promptly ca ll the first meeting of creditors, stating in the notice that the debtor proposes to offer terms of composition or extension, and inclosing with the notice a summary of the inventory, a brief statement of the debtor's indebtedness as shown by the sched- ules, and a li st of the names andd addresses of the secured creditors and the fif teen large st un secur ed cr edito rs, w ith the am ounts owin g to ea ch as sh own by the schedules. Any creditor may appear at or bef ore the fi rst meeting and controvert the facts alleged in the peti- tion. In such case the court shall determine as so on as may be the issues presented, without the intervention of a jury, and unless the mat er ial allegations are sustained by the proofs shall dismiss the petition. "(d) At the first meet ing (1) the deb tor may be examined ; (2) the creditors may nominate a trustee, who shall thereafter be appointed by the court in case it becomes necessary to liquidate the estate as p rovid ed in subd ivisi on (1) of this secti on ; and (3) the court shall, after hearing the parties in interest, fix a reasonable time within whic h app licat ion for co nfirm ation shal l be made . The court may later extend such time for cause shown, and may require, as a condit ion of suc h ext ensio n, ad ditio nal t erms for the pr otect ion of and i ndemn ity a gains t los s by the e state as may be prop er . "(e) An appl icati on for the conf irmat ion' of a compo sitio n or extension proposal may be filed in the court of bankruptcy after, but not before, it has been accepted in writing by a majority in num- ber of all creditors whose claims if unsecured have been allowed, or if secu red are pr opose d to be af fecte d by an ex tensi on pr oposa l, which number must represent a majority in amount of such claims and the mo ney or sec urity nece ssary to pay all deb ts wh ich h ave prior ity u nless waiv ed and the cost s of the p rocee dings and in ca se of a composition the consideration to be pa id by the debtor to his credi tors, have been depo sited in s uch p lace as sh all be des ignat ed by and subject to the order of the court. "(f) A date and place, with reference to the convenience of the parti es in inte rest, shal l be fixed for a hea ring upon each appli catio n for the confirmation of the composition or extension proposal, and such objections as may be made to its confirmation . "(g) The court shall co nfi rm the pro po sal if satisfied that (1) it i nclud es an equi table and feasi ble m ethod of l iquid ation for se cur ed creditors whose claims are affected and of financial rehabili- tation for the debtor ; (2) it is for the best interests of all creditors ; (3) that the debtor has not been guilty of any of the acts, or failed to pe rfo rm any of the duties, whi ch would be a ground for de nyi ng his discharge ; and (4) the offer and its a ccept ance are in goo d fai th, and have not b een m ade or pro cured exce pt as here in pr ovide d, or by any means, promises, or acts herein forbidden. In application for extensions the court shall require proof from each creditor filing a cl aim t hat s uch claim is fr ee fr om us ury as defined by the laws of the place where the debt is contracted.
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