SEC. 12. At the meeting held in pursuance of the notice, one of the registers of the court shall preside, and the messenger shall make return of the warrant and of his doing thereon; and if it appears that the notice to the creditors has not been given as required in the warrant, the meeting shall forthwith be adjourned, and a new notice given as required. . . .]

At the first meeting after the adjudication or after a vacancy has occurred in the office of trustee, the creditors shall appoint one or three trustees. (Sec. 44, a.) When present at the first meeting of his creditors, and at such other time as the court shall order, the bankrupt must submit to an examination concerning the conduct of his business, the cause of his bankruptcy, his dealings with his creditors and other persons, the amount, kind and whereabouts of his property, and, in addition, all matters affecting the administration and settlement of his estate. (Sec. 7, a.)

Proof of claims.- A preferred creditor may, in many cases, surrender his security or preference at the first meeting of creditors, and prove his claim. (In re Saunders, 13 N. B. R. 164; 2 Lowell. 444; Fed. Cas. 12371.) At the first meeting of creditors in the case of an involuntary bankrupt, proofs of certain claims against the estate were presented, but, the names of the alleged creditors not appearing on the bankrupt's schedule, it was ordered that the proofs should be postponed until after the election of an assignee. (In re Milwain, 12 N. B. R. 358; 1 N. Y. Wkly. Dig. 76; Fed. Cas. 9623.) The register has no power either to admit or postpone a contested claim which he considers valid, but must report it to the court if the vote upon it could affect the choice of assignee. (In re Bartusch, 9 N. B. R. 478; Fed. Cas. 1086.)

Examinations of bankrupts.-Only the bankrupt or a creditor is entitled to be represented by counsel, either before a register or the court, unless where a witness is made a party to a new collateral proceeding by being cited to answer for an alleged contempt. (In re Fredenburg, 1 N. B. R. 34; 2 Ben. 133; Fed. Cas. 5075.) An attorney at law appearing before a register to represent a party in interest is to be recognized as such unless some one puts him to proof, by a rule therefor; but all others must produce formal powers of attorney. (In re Scott, Collins & Co., 15 N. B. R. 73; Fed. Cas. 12519.) A power of attorney authorizing a person to appear for a creditor is not required to be acknowledged. (In re Powell, 2 N. B. R. 17; Fed. Cas. 11354.) An order for the examination of a bankrupt must be applied for by petition or affidavit duly verified, showing good cause therefor. (In re Adams, 2 N. B. R. 33; 2 Ben. 503; 36 How. Pr. 51; Fed. Cas. 39.) And a register may allow such order for an examination by each creditor. (In re Adams, 2 N. B. R. 92; 3 Ben. 7; 36 How. Pr. 270; 1 Chi. Leg. News, 107; Fed. Cas. 40.) A bankrupt may be examined, not

withstanding the creditor failed to appear upon the day fixed for the original examination. (In re Robinson et al., 2 N. B. R. 162; 2 Amer. Law T. Rep. Bankr. 87; Fed. Cas. 11942.) The first meeting of creditors had been held, and an order made for the examination of the bankrupt by a certain creditor, but the date was several times postponed. The bankrupt finally obtained an order to show cause why he should not be discharged, to the granting of which the creditor objected, and an examination was allowed. (In re Seckendorf, 1 N. B. R. 185; 2 Ben. 464; 15 Pittsb. Leg. J. 450; 1 Amer. Law T. Rep. Bankr. 122; Fed. Cas. 12600.) He was also required to submit to examination, which, under a previous order, had been abruptly terminated by non-attendance of assignee's counsel. (In re Van Tuyl, 2 N. B. R. 25; Fed. Cas. 16881.) At the public meeting after the application for a discharge before the register, or at any adjourned session of it, the bankrupt's examination may be finished (In re Sherwood, 1 N. B. R. 74; 25 Leg. Int. 76; 1 Amer. Law T. Rep. Bankr. 47; 6 Phila. 461; Fed. Cas. 12774); and the examination may be adjourned beyond the return day of the order to show cause. (In re Mawson, 1 N. B. R. 41; 1 Amer. Law T. Rep. Bankr. 46; Fed. Cas. 9320.) See also EVIDENCE, sec. 21, ante.

Selection of trustees.- If the schedule of a voluntary bankrupt discloses no assets, and if no creditor appears at the first meeting, the court may order that no trustee be appointed. (Orders XV.) When at the first meeting of creditors but one creditor proves his debt, he has the right to choose the assignee. (In re Haynes, 2 N. B. R. 78; 1 Gaz. 78; Fed. Cas. 6269.) The right of creditors to choose one or more assignees or trustees at the first meeting cannot be denied, and after an assignee has been appointed he may, at a subsequent meeting, be removed and trustees appointed in his stead. (In re Jones, 2 N. B. R. 20; Fed. Cas. 7447.) A creditor cannot change his vote, on the ground of his own mistake in voting after the meeting of creditors has adjourned, and thereby give the register power to appoint the assignee. (In re Scheiffer et al., 2 N. B. R. 179; 1 Chi. Leg. News, 261; Fed. Cas. 12445.)

See also APPOINTMENT OF TRUSTEES, Sec. 44, ante.

Estoppel.-A creditor who assents by word or act, or even by silence, at a meeting of creditors, is estopped to set up a deed as an act of bankruptcy. (In re Mass. Brick Co., 5 N. B. R. 408; 2 Lowell, 58; 4 Amer. Law T. 220; Fed. Cas. 9259.)

Composition meetings of creditors.- A composition absolutely discharges the debts of those creditors whose names, addresses and debts are placed in the statement produced at the meeting of creditors, and no other discharge is needed. (In re Becket, 12 N. B. R. 201; 2 Woods, 173; 7 Chi. Leg. News, 243; Fed. Cas. 1210.) The creditors affixing confirmatory signatures to the resolution of composition need not have been present at the creditors' meeting; nor need their signatures be attached at such meeting, but they must have been attached at or before the hearing. (In re Scott, Collins & Co., 15 N. B. R. 73; 4 Cent. Law J. 29;

Fed. Cas. 12519.) A resolution of composition cannot be recorded where the statement of assets and of debts shows that the requisite proportion of creditors have not confirmed it, although the statement is inaccurate. A statement of debts and assets can be corrected only at a meeting of creditors. (In re Asten et al., 14 N. B. R. 7; 8 Ben. 350; Fed. Cas. 594.) Where notice of the first meeting does not reach creditors, and the court is satisfied that their votes would have changed the result, and that they did not attend through failure of the notice, on their application the meeting should be re-opened and each vote received; but this relief should be sought promptly, and if one waits until the second meeting has convened, he cannot have the first meeting re-assembled without good cause for the delay. (In re Spencer, 18 N. B. R. 199; Fed. Cas. 13229.)

The rulings of the register on the right to vote in a composition meeting are subject to review by the court to determine whether the requisite majority of those present has assented to the composition; and when the right of a party to prove his claim and vote at a composition meeting is denied by the register, his course is to ask an adjournment of the meeting until his right as a creditor be determined by the court before the final vote. (In re Spencer, 18 N. B. R. 199; Fed. Cas. 13229.) Attaching creditors have no right to participate in a composition meeting. (In re Shields, 15 N. B. R. 532; 4 Dill. 588; 4 Cent. Law J. 557; 24 Pittsb. Leg. J. 190; Fed. Cas. 12784.) A resolution of composition may be confirmed, although it does not provide for the expenses of an attachment, if there has been no first meeting of creditors and no appointment of an assignee. A resolution of composition which is passed without calling the first meeting of creditors and electing an assignee does not dissolve an attachment issued within four months before the commence ment of such proceedings. (In re Clapp & Co., 14 N. B. R. 191; 2 Lowell, 468; Fed. Cas. 2785.) When the resolution of composition has been definitely passed upon by the creditors assembled, the business of the meeting is over. (In re Spillman, 13 N. B. R. 214; 23 Pittsb. Leg. J. S7; Fed. Cas. 13242.) When a debtor has had a meeting of his creditors duly held, and has had his proposition for a settlement passed upon, he should not be permitted to annoy his creditors by requiring their attendance at further meetings; but where it clearly appears that the object of the meeting failed, by reason of the failure to properly instruct the attor neys who represented the dissenting creditors, it is proper to direct another meeting for the purpose of again considering the debtor's offer of a composition. (In re McDowell et al., 10 N. B. R. 459; 6 Biss. 193; 6 Chi. Leg. News, 413; Fed. Cas. 8776.) Objection to the confirmation of a composition which was opposed by two creditors on the ground that at the first meeting one of the debtors was excused from examination on account of illness, by vote of the creditors, was held to be frivolous. (In re Wilson et al., 18 N. B. R. 300; Fed. Cas. 17785.) Small minority of creditors present at a composition meeting have a right to insist upon opportunity for examination of bankrupt before vote is taken, but such

right is waived by moving for vote before such examination has been had. (In re Little, 19 N. B. R. 234; 2 N. J. Law J. 211; Fed. Cas. 8392.) The creditors are to decide on the sufficiency of the excuse for a debtor's absence from their meeting, and the court should not disturb such decision without good cause shown. (In re Wronkow et al., 18 N. B. R. 81; 26 Pittsb. Leg. J. 2; 15 Blatchf. 38; Fed. Cas. 18105.)

c. The creditors shall at each meeting take such steps as may be pertinent and necessary for the promotion of the best interests of the estate and the enforcement of this Act.

d. A meeting of creditors, subsequent to the first one, may be held at any time and place when all of the creditors who have secured the allowance of their claims sign a written consent to hold a meeting at such time and place.

[Act of 1867. SEC. 27. At the expiration of three months from the date of the adjudication of bankruptcy in any case, or as much earlier as the court may direct, the court, upon request of the assignee, shall call a general meeting of the creditors, of which due notice shall be given, and the assignee shall then report, and exhibit to the court and to the creditors just and true accounts of all his receipts and payments, verified by his oath, and he shall also produce and file vouchers for all payments for which vouchers shall be required by any rule of the court; he shall also submit the schedule of the bankrupt's creditors and property as amended, duly verified by the bankrupt, and a statement of the whole estate of the bankrupt as then ascertained, of the property recovered and of the property outstanding, specifying the cause of its being outstanding, also what debts or claims are yet undetermined, and stating what sum remains in his hands. At such meeting the majority in value of the creditors present shall determine whether any and what part of the net proceeds of the estate, after deducting and retaining a sum sufficient to provide for all undetermined claims which, by reason of the distant residence of the creditor, or for other sufficient reason, have not been proved, and for other expenses and contingencies, shall be divided among the creditors; but unless at least one-half in value of the creditors shall attend such meeting, either in person or by attorney, it shall be the duty of the assignee so to determine. SEC. 28. If by accident, mistake, or other cause, without default of the assignee, either or both of the said

second and third meetings should not be held within the times limited, the court may, upon motion of an interested party, order such meetings, with like effect as to the validity of the proceedings as if the meeting had been duly held.]

In the event that no trustee is appointed by reason of the fact that the schedule of a voluntary bankrupt discloses no assets, and if no creditor appears at the first meeting, the court may order that no meetings other than the first meeting shall be called. (Orders XV.) Whenever by reason of a vacancy in the office of trustee or for any other cause, it becomes necessary to call a special meeting, the court may call such meeting. (Orders XXV.)

e. The court shall call a meeting of creditors whenever one-fourth or more in number of those who have proven their claims shall file a written request to that effect; if such request is signed by a majority of such creditors, which number represents a majority in amount of such claims, and contains a request for such meeting to be held at a designated place, the court shall call such meeting at such place within thirty days after the date of the filing of the request. f. Whenever the affairs of the estate are ready to be closed a final meeting of creditors shall be ordered.

[Act of 1867. SEC. 28. . That the like proceedings shall be had at the expiration of the next three months, or earlier, if practicable, and a third meeting of the creditors shall then be called by the court, and a final dividend then declared, unless any action at law or suit in equity be pending, or unless some other estate or effects of the debtor afterwards come to the hands of the assignee, in which case the assignee shall, as soon as may be, convert such estate or effects into money, and within two months after the same shall be so converted, the same shall be divided in manner aforesaid. Further dividends shall be made in like manner as often as occasion requires; and after the third meeting of creditors no further meeting shall be called, unless ordered by the court.]

The trustee must lay before the final meeting a detailed statement of the administration of the estate; and make final reports and file final accounts with the court fifteen days before the day fixed for the final meeting of the creditors (sec. 47, a), of which ten days' notice must be given all creditors. (Sec. 58, a.)