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IN RE KASHMIR REFINISHING CO.

No. 174.

94 F.2d 652 (1938)

In re KASHMIR REFINISHING CO., Inc. ZELBY v. KARSH.

Circuit Court of Appeals, Second Circuit.

February 7, 1938.

Attorney(s) appearing for the Case

Herman G. Robbins, of Brooklyn, N. Y. (Samuel B. Pollak, of New York City, of counsel), for appellant-trustee.

Smyth & Smyth, Jr., of New York City (George Natanson and Walter J. Fried, both of New York City, of counsel), for appellee-mortgagee.

Before MANTON, AUGUSTUS N. HAND, and CHASE, Circuit Judges.

AUGUSTUS N. HAND, Circuit Judge.

On August 1, 1936, Kashmir Refinishing Company, Inc., executed and delivered a chattel mortgage to the appellee, Karsh, covering certain machinery and equipment of the company to secure payment of a loan of $3,000 and interest. Karsh made the loan to the company by two checks for $2,400 and $600, respectively, whereof $600 was immediately returned to the lender as a bonus. The loan was reduced by a payment of $500, so that there remained...

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