Page:United States Statutes at Large Volume 53 Part 1.djvu/611

 CODIFICATION OF INTERNAL REVENUE LAWS SEc. 129. If a corporation be a subsidiary, an original petition by or against it may be filed either as provided in section 128 of this Act or in the court which has approved the petition by or against its parent corporation. SEa 130. Every petition shall state- (1) that the corporation is insolvent or unable to pay its debts as they mature; (2) the applicable jurisdictional facts requisite under this chapter; (3) the nature of the business of the corporation; (4) the assets, liabilities, capital stock, and financial condition of the corpora- tion; (5) the nature of all pending proceedings affecting the property of the cor- poration known to the petitioner or petitioners and the courts in which they are pending; (6) the status of any plan of reorganization, readjustment, or liquidation affecting the property of the corporation, pending either in connection with or without any judicial proceeding; (7) the specific facts showing the need for relief under this chapter and why adequate relief cannot be obtained under chapter XI of this Act; and (8) the desire of the petitioner or petitioners that a plan be effected. SEC. 131. A creditors' or indenture trustee's petition shall, in addition to the allegations required by section 130 of this Act, state- (1) that the corporation was adjudged a bankrupt in a pending proceeding in bankruptcy; or (2) that a receiver or trustee has been appointed for or has taken charge of all or the greater portion of the property of the corporation in a pending equity proceeding; or (3) that an indenture trustee or a mortgagee under a mortgage is, by reason of a default, in possession of all or the greater portion of the property of the corporation; or (4) that a proceeding to foreclose a mortgage or to enforce a lien against all or the greater portion of the property of the corporation is pending; or (5) that the corporation has committed an act of bankruptcy within four months prior to the filing of the petition. SEC. 132. The filing of a petition under this chapter shall be accompanied by payment to the clerk of a filing fee of $100 if no bankruptcy proceeding is pending, otherwise $70. Where $100 has been paid and an adjudication is entered under this chapter, $30 thereof shall be distributed by the clerk as in the case of a bankruptcy proceeding; but, if the proceeding under this chapter is dismissed and no order of adjudication is entered thereunder, such sum of $30 shall be refunded to the person paying it. SEC. 133. Upon the filing of a petition by creditors or an indenture trustee, a copy thereof, together with a subpena returnable within ten days or such longer time as the court for cause shown may have fixed, shall be served upon the debtor, as provided in subdivision a of section 18 of this Act for service of a petition and subpena for involuntary bankruptcy. ARTICLE V-ANsBWe SE. 136. Within ten days after the service of the subpena and of a copy of the petition, or within such further time as the court may for cause shown allow, an answer controverting the facts alleged in the petition may be filed by the debtor. SEC. 137. Prior to the first date set for the hearing provided in section 161 of this Act, an answer controverting the allegations of a petition by or against a debtor may be filed by any creditor or indenture trustee or, if the debtor is not Insolvent, by any stockholder of the debtor. ARTICLI VI-APPROVAL OBDISMISSAL Or PIrtTION SEm. 141 . Upon the filing of a petition by a debtor, the judge shall enter an order approving the petition, if satisfied that it complies with the requirements of this chapter and has been filed in good faith, or dismissing it if not so satisfied. SmC 142. If an answer is not filed by a debtor to a petition against it, or if the answer filed does not controvert any material allegation of the petition, the judge shall enter an order approving the petition if satisfied that it complies with the requirements of this chapter and has been filed in good faith, or dismissing it if not so satisfied. Sma 143. If the answer of a debtor shall controvert any of the material allega- tions of the petition, the judge shall, as soon as may be, determine, without the intervention of a jury, the issues presented by the pleadings and enter an order approving the petition, If satisfied that it complies with the requirements of this chapter and has been filed in good faith and that the material allegations are sustained by the proofs, or dismissing it if not so satisfied. CVI

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