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IN RE POTTER

No. 460, Docket 30428.

367 F.2d 513 (1966)

In the Matter of Donald S. POTTER d/b/a Potter Real Estate Co., Bankrupt. Phillip J. McNELLIS as Trustee, Plaintiff-Appellant and Cross-Appellee, v. Herman DUBNOFF, Defendant-Appellee and Cross-Appellant.

United States Court of Appeals Second Circuit.

Decided September 21, 1966.

Attorney(s) appearing for the Case

Laurence Sovik, Syracuse, New York City (Smith, Sovik, Terry, Kendrick), McAuliffe & Schwarzer, Syracuse, N. Y., on the brief), for appellant.

Victor Levine, Syracuse, N. Y. (Eli Gingold, Syracuse, N. Y., on the brief), for appellee.

Before MOORE, FRIENDLY and FEINBERG, Circuit Judges.

FEINBERG, Circuit Judge:

This case poses the question whether a trustee in bankruptcy can recover from a creditor principal and interest paid by an insolvent bankrupt to the creditor on allegedly usurious loans. Phillip J. McNellis, as trustee in bankruptcy of the estate of Donald S. Potter, claimed before the referee in bankruptcy that loans by creditor Herman Dubnoff were tainted with usury. The referee's decision was in large part favorable to the trustee, but...

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