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IN RE SPARTA CANNING CO.

No. 5148.

73 F.2d 732 (1934)

In re SPARTA CANNING CO. SCHEPPKE et al. v. RICE.

Circuit Court of Appeals, Seventh Circuit.

November 20, 1934.

Attorney(s) appearing for the Case

B. R. Goggins, T. W. Brazeau, and R. B. Graves, all of Wisconsin Rapids, Wis., and H. J. Masters and L. A. Hansen, both of Sparta, Wis., for appellants.

William R. McCaul, of Tomah, Wis., for appellee.

Before EVANS, SPARKS, and FITZHENRY, Circuit Judges.

SPARKS, Circuit Judge.

This appeal involves the question as to the right of appellants, who were directors of a corporation which subsequently suspended business and filed a voluntary petition in bankruptcy, to preferences in the assets of the corporation. Appellee, the trustee for the Sparta Canning Company, filed a petition praying that the Referee in Bankruptcy order appellants to show cause why certain chattel mortgages alleged to constitute fraudulent preferences...

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