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IN RE FINE ARTS CORPORATION

No. 9405.

136 F.2d 28 (1943)

In re FINE ARTS CORPORATION. CITY OF GRAND RAPIDS v. SCHMIDT.

Circuit Court of Appeals, Sixth Circuit.

June 4, 1943.

Attorney(s) appearing for the Case

Clifford C. Christenson, of Grand Rapids, Mich. (Ganson Taggart, Clifford C. Christenson, Robert A. Johnson, and Laurent K. Varnum, all of Grand Rapids, Mich., on the brief), for appellant.

Harry Shulsky, of Grand Rapids, Mich. (Butterfield, Keeney & Amberg and Harry Shulsky, all of Grand Rapids, Mich., on the brief), for appellee.

Before HAMILTON, MARTIN, and McALLISTER, Circuit Judges.

HAMILTON, Circuit Judge.

The questions here raised are whether a court of bankruptcy in a reorganization proceeding should suspend its exclusive and non-delegable control over the administration of an estate in its possession pending submission to the state court of Michigan of a controversy between the debtor and the City of Grand Rapids as to the right of the trustee of the debtor to match the highest bid at a so-called "scavenger sale," of property sold by the...

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