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MATTER OF PARK RUG SHOPS STORES (ABRAHAM)

55 Misc.2d 600 (1967)

In the Matter of Park Rug Shops Stores, Inc., (Formerly Doing Business under the Names of Martin Sussman Floor Coverings, Inc., and Norman Tile Center, L. I. Corp.), Assignor. Jacob W. Abraham, Assignee.

Supreme Court, Special Term, Kings County.

December 29, 1967

Attorney(s) appearing for the Case

Sidney Koenig for petitioner. Louis J. Lefkowitz, Attorney-General, for State of New York. J. Lee Rankin, Corporation Counsel, for City of New York.

MURRAY T. FEIDEN, J.

This is a motion to settle the account of the assignee for the benefit of creditors and for related relief. The Department of Finance of the City of New York and the Industrial Commissioner for New York State unemployment insurance taxes seek an order directing the assignee to pay the tax claims of aforesaid governmental agencies before paying claims of customer depositors.

Section 574 of the Labor Law provides for priority...

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