Page:United States Statutes at Large Volume 47 Part 1.djvu/1499

 72d C ONGRESS. SESS. II. CH. 204. MARCH 3, 1933 . 1475 copies thereof shall be filed with the commission and served by the petitioning creditors forthwith upon the railroad corporation ; the service of. railroad corporation shall, within ten days after such service, answer such petition ; if such answer shall admit the jurisdiction of the when. Answer by railroad ; court, that the claims of the petitioning creditors constitute the amounts necessary to entitle them to file such petition under this section, and that the railroad corporation is either insolvent or unable to meet its debts as they mature, the court shall, upon the filing of the recommendations of the commission in writing, enter Order of court if peti- tion filed in good faith. an order approving the petition as properly filed under this section if sati sfied th at it com plies wi th this section and has been fil ed in good faith or disapprove it if not so satisfied ; and if so approved the proceedings thereon shall continue with like effect as if the rail- Disapproval. road corporation had itself filed a petition under this section ; if such answer shall deny either the jurisdiction of the court or that the r ues friable wh en answer denies jurisdic- claims of the p etitionin g credit ors cons titute s uch nece ssary am ounts tion, etc. or that the railroad corporation is insolvent or unable to meet its debts as they mature, the court shall summarily try the issues, and if afte r the fi ling of t he recom mendatio ns of th e commis sion in writ- ing it shall find that the petition complies with this section, and has been filed in go od fa ith, the c ourt s hall enter an or der a pprov ing titioder approving pe- the petition as properly filed under this section, and the proceedings thereon shall continue with like effect as if the railroad corporation had itself filed a petition under this section ; otherwise the court Dismissing. shall dismiss the petition. "(b) A plan of reorganization within the meaning of this section Reorganization plan. (1) shall include a proposal to modify or alter the rights of creditors generally, or of any class of them, secured or unsecured, either w hat included . through the issuance of new securities of any character or otherwise ; (2) may include, in addition, provisions modifying or altering the rights of stockholders generally, or of any class of them ; (3) shall provide adequate means for the execution of the plan, which ma y, so far as may be consistent with the- provisions of sections 1 and 5 of th e Int erstat e Com merce Act as ame nded, incl ude th e tra nsfer or conveyance of all or any part of the property of the debtor to another c orporati on or to other c orporati ons or t he consol idation of the p rop- erties of the debtor with those of another railroad corporation, or the merger of the debtor with any other railroad corporation and the issuance of securities of either the debtor or any such corporation or corporations, for cash, or in exchange for existing securities, or in satisfaction of claims or rights, or for other appropriate purposes ; and (4) may deal with all or any part of the property of the debtor. The term `securities' shall include evidences of indebtedness, either "securities," co n- secured or unsecured, bonds, stocks, certificates of beneficial interest strued. therein, and certificates of beneficial interest in property. The term "stockholders ." `stockh olders' shall inc lude the holders of voti ng trust certifi cates. The term `creditors' shall, except as otherwise specifically provided " Creditors ." in this section, include, for all purposes of this section and of the reorganization plan, its acceptance and confirmation, all holders of claims, interests, or securities of whatever character against the debtor or its property, including claim for future rent, whether or not such claims, interests, or securities would otherwise constitute provable claims under this Act. "(c) Upon approving the petition as properly filed the judge (1) petition approved . when may -temporarily appoint from a panel of standing trustees qualified for suc h servic e to be s elected and desi gnated i n advanc e by the com- Appointment of trus- mission a trustee or trustees of the debtor's estate, who shall have all tees. the title and, subject to the control of the judge and consistently