IN RE VULCAN SOOT CLEANER CO.

No. 17831.

11 F.Supp. 388 (1935)

In re VULCAN SOOT CLEANER CO.

District Court, W. D. Pennsylvania.

January 29, 1935.


Attorney(s) appearing for the Case

D. E. Chaplin, of Clearfield, Pa., referee.

Breene & Jobson, of Oil City, Pa., for Union B. & T. Co.

Kountz & Fry, of Pittsburgh, Pa., for creditors.

Boulton & Boulton, of Clearfield, Pa., for Deposit Nat. Bank.


SCHOONMAKER, District Judge.

The Deposit National Bank of DuBois, Pa., filed a claim of $13,205, based on two notes of $8,000 and one for $5,000. The referee disallowed the portion of the claim based on the $8,000 note on the ground that it was given for purchase of bankrupt's preferred capital stock and could not be paid without prejudice to the right of creditors. We have this disallowance order now for review.

The bankrupt is a Delaware corporation, which...

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