KERNER, Circuit Judge.
This is an appeal from an order of the District Court affirming the referee's order disallowing the secured claim of the appellant in the sum of $2,400.
On May 6, 1941, the bankrupt, Peoria Braumeister Company, delivered a chattel mortgage to the appellant to secure its chattel mortgage note of $3,000. In return for this mortgage appellant gave bankrupt's president a check for $2500. Repayment of the loan was to be over a seven months...
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