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IN RE BERNARD & KATZ

No. 149.

38 F.2d 40 (1930)

In re BERNARD & KATZ, Inc. KNOWLES v. RITTER et al.

Circuit Court of Appeals, Second Circuit.

February 3, 1930.

Attorney(s) appearing for the Case

C. Edward Benoit, of New York City (Julius J. Abeson, of New York City, of counsel), for appellant.

Lesser Bros. and Nathaniel Choloney, all of New York City (William Lesser, of New York City, of counsel), for appellees.

Before L. HAND, SWAN, and MACK, Circuit Judges.

SWAN, Circuit Judge (after stating the facts as above).

The trustee's first contention is that the assignments were invalid to the extent of $5,500, because there was no "present consideration" therefor, within the meaning of section 67d of the Bankruptcy Act (11 USCA § 107(d). It was the practice of the parties, in computing the amount to be advanced upon the accounts assigned as collateral for such advance, to appraise the accounts at 92 per cent. of their...

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