On behalf of the defendant, evidence is generally adduced to show that the woman is of loose character; that another man has had connection with her, to whom the paternity of the child might be ascribed; or that, though the defendant has been intimate with her, the presumption that the paternity is his is rebutted by evidence of the time at which such connection took place.

enactments.

Bankruptcy.

The Bankruptcy Law of this State is now embodied in the "Bankruptcy Act of 1898," which consolidated all previous All persons, if of full age, are now equally liable to be made bankrupt, including a married woman in respect of her separate estate. Before any person can be made bankrupt, such person must have committed an "act of bankruptcy," that is, an act which entitles his creditors to present a petition for the sequestration of his estate.

CREDITORS' PETITION.

A creditor's petition may be presented where:

1. The debt or debts amount to at least £50; and
2. Such debt or debts are liquidated; and,

3. An act of bankruptcy has been committed within
six months before the presentation of the
petition; and,

4. The debtor has been domiciled (i.e., has made his home) in this State or has ordinarily dwelt there, within a year before the presentation of the petition.

Such petition should be served on the debtor personally, but, where this is impracticable, some other mode of service may be substituted.

EXAMPLES OF ACTS OF BANKRUPTCY.

An assignment of the whole of the debtor's property for the benefit of his creditors generally; a conveyance, gift, etc., made by him with intent to defeat his creditors; departing or remaining out of this State, or beginning to confine himself to his house, with the like intent; failure to satisfy an execution levied by seizure and sale of his goods within five days of the sale; filing a declaration of his inability to pay his debts; or giving notice of his intention to suspend payment, etc.

DEBTOR'S PETITION.

A debtor's petition may be presented by any debtor who is unable to pay his debts, and it must allege this inability; on presentation of such petition a sequestration order must be made. Sequestration of the debtor's estate by this means is termed "voluntary sequestration." The petition must be attested by a solicitor, J.P., commissioner for affidavits, or a registrar.

DUTIES OF BANKRUPT.

The bankrupt must attend all meetings of his creditors; deliver up his books of account, and give any information. required in respect of the same; attend the official assignee and execute deeds, etc.; and aid in the realisation and distribution of his property. Neglect of any of the above duties will render him liable to punishment as for contempt of court.

PROCEEDINGS DURING THE BANKRUPTCY.
Proceedings during the bankruptcy are as follows:

:

1. The bankrupt lodges his statement of affairs and delivers up his books of account, etc., to the official assignee.

2. First examination of the bankrupt-held in open

court.

3. First meeting of creditors.

4. Ordinary meetings of creditors.

5. Application for a certificate of discharge.

CERTIFICATE OF DISCHARGE.

The certificate may be applied for immediately after an order has been made releasing the estate, if debts are fully paid or a discharge has been obtained from the creditors; otherwise application may be made after the expiry of three months from the date of sequestration, the bankrupt having first given notice of his intention to apply in the "Gazette" and a local newspaper. After the expiry of twelve months from such date he cannot apply, without the leave of the Judge, unless he has advertised his intention to apply before the expiration of that period.

as at

An appeal may be made from the decision of the Judge in Bankruptcy to the Full Court in the same manner common law, except that the time within which such appeal may be made is fourteen instead of eight days.

RIGHTS OF SECURED CREDITOR.

A secured creditor (i.e., a person holding a mortgage, charge, or lien, on any property of the debtor) may, in respect to the proof of his debt—

1. Sell his security and prove for the balance (if any) remaining due, after deducting the net proceeds of the sale; or,

2. Surrender his security for the benefit of the creditors generally, and prove for his entire

debt; or,

3. Adopt neither of these courses, but state in his proof particulars of his security and his valuation thereof, and rank for a dividend in respect of the balance due him after deducting the amount of such valuation.

But the official assignee (or trustee) may, if he be dissatisfied with such valuation, require that the property be offered for sale; or he may redeem it at its assessed value.

VOLUNTARY SETTLEMENTS.

A voluntary settlement is one not made in good faith for a valuable consideration—such as money, or money's worth, or in consideration of marriage.

A voluntary settlement will be void or voidable (i.e., of no effect, or liable to become of no effect) as against the official assignee (or trustee) in the following cases :—

(b) Where the settlor becomes bankrupt within five

year after the date of the settlement-it is void. (b) Where the settior becomes bankrupt within five years after such date, unless the person claiming under the settlement can prove that

(1) The settlor could, at the time of settlement, pay all his debts without having recourse to the property settled; and that,

(2) The settlor's interest in the property passed to the trustee of the settlement on the execution thereof-it is voidable.

DEBTOR'S STATEMENT OF AFFAIRS.

Upon a sequestration order being made against his estate, the debtor must lodge in the bankruptcy office and deliver to the official assignee a statement verified on oath and showing his assets, debts and other liabilities, and the names, addresses, and occupations of his creditors and of persons indebted to his estate.

WHAT BOOKS OF ACCOUNT MUST DISCLOSE, ETC.

Books of account kept by the bankrupt must sufficiently disclose his business transactions and financial position within three years preceding the bankruptcy; and the bankrupt must, on request of the official assignee, furnish him with a trading and profit and loss account, and a cash and goods account, for a period not exceeding two years before the date of the sequestration, or for a longer period, if the Judge so orders.

PROPERTY WHICH THE BANKRUPT MAY RETAIN.

Property held in trust by him for any other person; tools of trade, wearing apparel, and bedding of himself and his family up to a total value of £20; any personal property allowed him by the creditors; and the whole or part of any assurance policy effected upon his own life, according to the following scale: that is, if the policy has endured for two years, he is entitled to retain £200, if for five years £500, if for seven years £1000, and if for ten years £2000. And, as pointed out in connection with the law of husband and wife, there is also a saving in case of assurance policies effected by a husband or wife on his or her life and expressed to be for the benefit of his or her wife or husband and children.

DEBTS PAID OUT OF THE ESTATE IN PREFERENCE

TO OTHERS.

Wages of a clerk, servant, or workman, to the extent of £50, for services rendered the bankrupt during six months immediately preceding the sequestration order; three months' rent, or the actual amount due, if less is owing; and also any sum the official assignee (or trustee) thinks fit to allow an articled clerk or apprentice, in respect of any premium paid by him, in cases where his employer becomes bankrupt prior to the expiry of his articles or apprenticeship; but written notice of the fact must be given to the official assignee or

trustee.

DEBTS FROM WHICH A CERTIFICATE WILL NOT RELEASE THE BANKRUPT.

Debts due the Crown, unless discharged by the State Treasurer; periodical payments (if any) ordered to be made by the bankrupt to his creditors; liability as a judgment debtor in actions for seduction or libel, or as a respondent or co-respondent in divorce, or under an affiliation order-except so far as the Judge thinks just.

EXAMINATION UNDER SECTION 30 OF THE ACT.

On application of the official assignee (or trustee) the Judge may cause the bankrupt, or his wife, or any person who has had dealings with him to be summoned and examined on oath; and, if the witness admits, or it is proved, that he is indebted to the bankrupt or has any of his property in his possession, an order may be made for payment or delivery of such debt or property to the official assignee or trustee.

The witness must not refuse to answer without lawful excuse, or he will be liable to committal to gaol for not exceeding fourteen days.

COMPOSITION WITH CREDITORS.

The creditors may entertain a proposal for the payment of a certain sum in the £ at their first or any other meeting; but such a composition will not be binding unless confirmed by a special resolution of the creditors at a subsequent meeting and approved by the Judge; where the payment in priority of the debts before mentioned, and of at least seven shillings and sixpence in the £ is not provided for, the Judge must refuse his approval. If the composition is approved of, a trustee is usually appointed to administer the debtor's property or manage his business.

GROUNDS FOR REFUSING A CERTIFICATE.

The following are grounds for refusing to grant the bankrupt a certificate of discharge, viz.: the omission to keep books of account showing three years' transactions; wilful delay in surrendering his estate; continuing to trade or obtaining credit up to £50 after knowing himself to be insolvent; rash and hazardous speculation inducing the bankruptcy; carrying on business with fictitious capital, etc.

PETITION AGAINST THE ESTATE OF A DECEASED

PERSON.

Any creditor or creditors, whose debt (or debts) amounts. tc £50, may present such petition where the executor or administrator has committed an act of bankruptcy by reason of which the creditors may be defeated or delayed in obtaining payınent of their debts. Or the executor or administrator may present a petition against his testator's or intestate's estate, if he thinks this course warrantable.