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IN RE SUSSMAN

No. 13398.

289 F.2d 76 (1961)

In the Matter of David SUSSMAN and Charles Sussman, individually and as co-partners, trading as Charles Company, Bankrupts. Melvin Talus, John T. Durnin and Harry S. Mayer, Trustees, Appellants.

United States Court of Appeals Third Circuit.

Decided April 3, 1961.

Attorney(s) appearing for the Case

Alexander N. Rubin, Philadelphia, Pa. (Goff & Rubin, Philadelphia, Pa., on the brief), for appellants.

William Shapiro, Philadelphia, Pa., for appellees.

Before BIGGS, Chief Judge, and STALEY and HASTIE, Circuit Judges.

HASTIE, Circuit Judge.

The bankrupt, Charles Sussman, was a partner in a business which sustained heavy losses in the early months of 1956. Sussman individually, as well as the partnership, filed a petition in bankruptcy on June 7, 1956.

For the calendar years 1954 and 1955, Sussman had paid income taxes pursuant to joint returns filed by him and his wife. Mrs. Sussman had no income. The 1956 business reverses, which caused

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