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IN RE MIDLAND UNITED CO.

No. 9138.

159 F.2d 340 (1947)

In re MIDLAND UNITED CO. Appeal of EVANS.

Circuit Court of Appeals, Third Circuit.

Decided January 30, 1947.

As Amended February 3, 1947.

Attorney(s) appearing for the Case

Harold Evans, of Philadelphia, Pa. (David A. Kerr, and MacCoy, Brittain, Evans & Lewis, all of Philadelphia, Pa., on the brief), for appellant.

Ben W. Heineman, of Chicago, Ill. (Max Swiren and Swiren, Heineman & Antonow, all of Chicago, Ill., on the brief), for Midland United Utilities Co.

Robert S. Rubin, of Philadelphia, Pa. (Roger S. Foster, Sol., Morton E. Yohalem, Counsel, Public Utilities Division, and Alexander Cohen, Atty., all of Philadelphia, Pa., on the brief), for Securities and Exchange Commission.

Before GOODRICH and O'CONNELL, Circuit Judges, and KALODNER, District Judge.

KALODNER, Circuit Judge.†

The issue here is whether an attorney for a protective committee for a senior security of a debtor in reorganization is disqualified from compensation for his services to the debtor estate, and reimbursement of his expenses, by reason of purchases by him and his wife of the securities of subsidiaries of the debtor, during the course of the reorganization.

The Court below ruled that there was a disqualification...

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