Page:United States Statutes at Large Volume 53 Part 2.djvu/661

 53 STAT.] 76TH CONG. , 1ST SESS.-CH. 393 -JULY 28, 1939 "SEc. 714. The special court, after hearing, promptly shall enter an order approving the petition as properly filed under this chapter if satisfied that such petition complies with this chapter and has been filed in good faith, or dismissing such petition if not so satisfied. "SEC. 715. If the petition is approved by the special court, the said court, during the pendency of the proceedings under this chapter, shall have exclusive jurisdiction of the petitioner and of its property wherever located to the extent which may be necessary to protect the same against any action which might be inconsistent with said plan of adjustment or might interfere with the effective execution of said plan if approved by the court, or otherwise inconsistent with or con- trary to the purposes and provisions of this chapter: Provided, how- ever, That nothing herein contained shall be construed to authorize the court to appoint any trustee or receiver for said properties or any part thereof, or otherwise take possession of such properties or control the operation or administration thereof. 1137 Approval or dis- missal after hearing. Jurisdiction of peti- tioner if petition ap. proved. Proviso. Restriction on ap- pointment of trustee, etc. ' A R TICLE IV--HEARINGS "SEC. 720. The special court shall fix a date for a hearing to be Hearings; notices to held promptly after the filing of the petition and notice of such hear- all persons in interest. ing or hearings shall be given to all persons in interest in such rea- sonable manner as the court shall direct. In such proceeding, the court may allow such interventions of persons in interest as it may deem just and proper, but any person in interest shall have the right to present evidence and be heard thereon, in person or by attorney, with or without intervention. "SEC. 721. After such hearing, the special court may approve the Court findings. plan as filed or propose to modify such plan and as hereinafter pro- vided approve the same as so modified. If the court shall propose to proposal to modify modify the plan, then: (a) if such modification substantially alters slbstantiauly altering the basis for the specific findings included in the order made by the basis. Commission under section 20a of the Interstate Colmmerce Act, the 41 Stat. 494 plan as so proposed to be modified shall be resubmitted to the Com- . S.C mission and shall not be finally approved by the court until the Conlmission (but not a division thereof) has authorized the issuance or modification of securities as proposed by the plan as so nlodified (other than securities held by, or to be issued to, Reconstrlction Finance Corporation) making the findings required by clause (c) of subparagraph (2) of the first sentence of section 710, even in a case Ante, . 15. where the original order of the Commission under said section 20a was made prior to April 1, 1939; and (b) if such modification sub- Adversely affecting stantially or adversely affects the interests of any class or classes of creditors' interests. creditors, such plan shall be resubmitted, in such manner as the court may direct, to those creditors so affected by such modification and shall not be finally approved until after (1) a hearing on such modi- Hearing on pro. fication, to be held within such reasonable time as the court may fix, poed modification- at which hearing any person in interest may object to such modifica- tion, and (2) a reasonable opportunity (within a period to be fixed Opportunity to by the court), following such hearing, within which such affected wthdrawassents. creditors who have assented to the plan may withdraw or cancel their assents to the plan, and failure by any such creditor to withdraw or cancel an assent within such period shall constitute an acceptance by such assenting creditor of the plan as so modified. After such Approval and con- authorization and finding by the Commission, where required hereby, mroationd of plan as and after such hearing and opportunity to withdraw or cancel, where required hereby, the court may make the proposed modification, and as provided in section 725 finally approve and confirm the plan as so modified.

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