the-ordinances-of-the-legislative-counci-1890 — Page 657

ORDINANCE No. 5 OF 1864 . 621


Bankruptcy and Insolvency.

Interest upon
134. Upon every debt or sum certain payable at a certain time or
debts , when
otherwise, whereupon interest is not reserved or agreed for, and which provable,
though not
shall be overdue at the time of the filing of the petition for adjudication , reserved or
agreed for.
and provable thereunder the creditor shall be entitled to prove for interest,
to be calculated at a rate not exceeding twelve per centum per annum,

up to the date of the filing of such petition , from the time when such debt
or sum certain was payable, if such debt or sum be payable by virtue of
some written instrument at a certain time , or if payable otherwise, then
from the time when demand of payment shall have been made in writing,
so as such demand shall give notice to the debtor that interest will be
claimed from the date of such demand until the time of payment .

135. No creditor who has brought any action or instituted any suit Proving debt
to be an elec
against any bankrupt in respect of a demand prior to the adjudication , or tion not to
proceed
which might have been proved as a debt under the bankruptcy, shall prove against the
bankrupt by
a debt under such bankruptcy or have any claim entered upon the pro action.

ceedings without relinquishing such action or suit , and the proving or
claiming a debt under a petition for adjudication by any creditor shall be
deemed an election by such creditor to take the benefit of such petition
with respect to the debt so proved or claimed ; provided that such creditor
shall not be liable to the payment to such bankrupt or his assignees, of
the costs of such action or suit , so relinquished by him, and that where
any such creditor shall have brought an action or suit against such bank
rupt jointly with any other person, his relinquishing such action or suit
against the bankrupt, shall not affect such action or suit against such other
person : provided also that any creditor who shall have so proved or
claimed , if the petition for adjudication be afterwards dismissed may
proceed in the action as if he had not so proved or claimed .

136. No creditor having security for his debt, shall receive upon Creditors
having secur
any such security more than a rateable part of such debt, except in respect it not to
receive more
of any execution or extent served and levied by seizure and sale upon, or than other
creditors .
any mortgage of or lien upon any part of the property of such bankrupt
before the filing of the petition for adjudication .

137. The Court may at any time expunge or reduce a proof of debt How proof
may be ex
on such application and such evidence as it shall think fit, and for the punged.
purpose may summon and examine upon oath or otherwise any person

who shall have proved together with any person whose evidence may
appear to the Court to be material either in support of, or in opposition