Page:United States Statutes at Large Volume 53 Part 2.djvu/662

 PUBLIC LAWS-CH. 393-JULY 28, 1939 Federal claims. Proviso. Presumption of con- sent. Proceedings subse- quent to approval of petition. Assent by desig- nated portion of ag- gregate amount of claims, etc. Acceptance of plan as submitted or mod- ified. Other requirements of plan. Ante, p. 1135. Proviso. Scrutiny of facts. 41 Stat. 494 . 49U.8.C. j20a Necessary corporate action. Petitioner not barred from discharge as bankrupt, etc. Full disclosure of expenses, fees. etc., incurred. "SEO. 722. If the United States, or any agency thereof, or any cor- poration (other than the Reconstruction Finance Corporation) the majority of the stock of which is owned by the United States, is a creditor or stockholder, the Secretary of the Treasury is hereby authorized to act in respect of the interests or claims of the United States or of such agency or other corporation. If in any proceeding under this chapter the United States is a creditor on claims for taxes or customs duties (whether or not the United States has any other interest in or claim against the debtor as creditor or stockholder), no plan which does not provide for the payment thereof shall be approved by the court except upon the acceptance of a lesser amount or of a postponement by the Secretary of the Treasury certified to the court: Provided, That if the Secretary of the Treasury shall fail to accept or reject such lesser amount or such postponement for more than sixty days after receipt of written notice so to do from the court, accompanied by a certified copy of the plan, the consent of the United States insofar as its claims for taxes or customs duties are concerned shall be conclusively presumed. "A RTICLE V-PROCEEDINGS SUBSEQUENT TO APPROVAL OF PETITION "SEC. 725. If the special court shall find- "(1) That, at the time of the filing of said petition as provided in article III hereof, the proposed plan of adjustment had been assented to by not less than two-thirds of the aggregate amount of all claims of the petitioner affected by such plan, including at least a majority of the aggregate amount of claims of each such class; "(2) That the plan of adjustment as submitted or as modified by the court has been accepted as submitted or, if modified, then as modified by or on behalf of creditors affected by such plan holding more than three-fourths of the aggregate amount of the claims affected by said plan, including at least three-fifths of the aggregate amount of the claims of each affected class; (3) That the plan meets the requirements of clause (c), and the petitioner meets the requirements of clauses (a) and (b) of sub- paragraph (2) of the first sentence of section 710, and that the plan is fair and equitable as an adjustment, affords due recognition to the rights of each class of creditors and stockholders and fair consideration to each class thereof adversely affected, and will con- form to the law of the land regarding the participation of the various classes of creditors and stockholders: Provided, That in making the findings required by this clause (3), the court shall scrutinize the facts independently of the extent of acceptances of such plan, and of any lack of opposition thereto, and of the fact that the Commission, under section 20a of the Interstate Commerce Act, has authorized the issuance or modification of securities as proposed by such plan, and of the fact that the Commission has made such or similar findings; "(4) That all corporate action required to authorize the issuance or modification of securities pursuant to such plan shall have been duly taken; "(5) That the petitioner has not, in connection with said plan or the effectuation thereof, done any act or failed to perform any duty which act or failure would be a bar to the discharge of a bankrupt, and that the plan and the acceptance thereof are in good faith and have not been made or procured by any means, promises, or acts forbidden by this Act; and "(6) That, after hearings for the purpose, all amounts or consid- erations, directly or indirectly paid or to be paid by or for the [53 STAT.

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