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IN RE TEXAS CONSUMER FINANCE CORPORATION

No. 72-2663.

480 F.2d 1261 (1973)

In the Matter of TEXAS CONSUMER FINANCE CORPORATION, Debtor. FIRST SOUTHWEST CORPORATION et al., Appellants, v. TEXAS CONSUMER FINANCE CORPORATION, Appellee.

United States Court of Appeals, Fifth Circuit.

June 22, 1973.

Attorney(s) appearing for the Case

Bill F. Bogle, Fort Worth, Tex., for appellants.

Atwood McDonald, Fort Worth, Tex., for appellee.

Before COLEMAN, MORGAN and RONEY, Circuit Judges.

RONEY, Circuit Judge:

Does a Bankruptcy Court have jurisdiction in a Chapter XI proceeding to order the surrender for cancellation of the outstanding preferred stock of the bankrupt corporation? We answer this question in the negative and reverse the order of the District Court.

In this proceeding under Chapter XI of the Bankruptcy Act, 11 U.S.C.A. § 701 et seq., Texas Consumer Finance Corporation, a Texas corporation, is the Debtor. The subject securities...

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