DICKINSON, District Judge.
This case may be viewed as an action by a Trustee in Bankruptcy to avoid preferential payments made by a debtor who was afterwards adjudged a bankrupt. The cause of action rests upon the Bankruptcy Statute which in effect avoids all transfers of property within the prohibitive period which results in a preference. The test in effect is whether the creditor receiving payment knew or had reasonable ground for believing, that the debtor was...
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