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CHURCHILL v. S. W. STRAUS INVESTING CORPORATION

No. 1017.

25 F.Supp. 316 (1938)

CHURCHILL v. S. W. STRAUS INVESTING CORPORATION.

District Court, D. Delaware.

November 10, 1938.

Attorney(s) appearing for the Case

John J. Bennett, Jr., Atty. Gen., and George F. Mullay and Robert P. Beyer, Asst. Attys. Gen., State of New York, counsel for State Tax Commission, State of New York.

J. P. Wenchel, Chief Counsel, and Raymond F. Brown and Emmet McCaffery, Sp. Attys., Bureau of Internal Revenue, all of Washington, D. C., and John J. Morris, Jr., U. S. Atty., of Wilmington, Del., for the United States.

Hugh M. Morris and Alexander L. Nichols, both of Wilmington, Del., for receivers.

NIELDS, District Judge.

The controversy is one between the United States and the State of New York in which each claims priority of payment out of the assets of an insolvent corporation.

March 3, 1933 a bill of complaint praying the appointment of receivers of the defendant corporation was filed in this court pursuant to section 3883 of the Revised Code of Delaware 1915, which provides:

"Whenever a corporation shall be insolvent, the Chancellor, on...

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