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MATTER OF PEOPLE

277 A.D. 1132 (1950)

In the Matter of the Application of The People of the State of New York, by George S. Van Schaick, as Superintendent of Insurance of The State of New York, for an Order to Take Possession of the Property of and Rehabilitate The Bond and Mortgage Guarantee Company In the Matter of the Plan of Readjustment of the Rights of the Holders of Investments in a Mortgage Covering Premises Known as Half Moon Hotel, Coney Island, Brooklyn, Guaranteed by Bond and Mortgage Guarantee Company. (Guarantee No. 186,039.) Abraham J. Herrick et al., Constituting the Law Firm of Herrick, Feinstein & Rossman, et al., Appellants; Jack L. Alpert et al., Respondents

Appellate Division of the Supreme Court of the State of New York, Second Department.

December 11, 1950.

Certain certificate holders filed objection to any allowances to the attorneys on the ground that the latter had, for their own account, purchased certificates from other certificate holders after entering upon their duties as attorneys for the trustee, and had received distributions, by virtue of their acquired holdings, the aggregate of which distributions were greater in amount than the aggregate price paid by them for these shares. The attorneys purchased shares in the...

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