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IN RE FRIED FURNITURE CORP.

No. 66 B 8.

293 F.Supp. 92 (1968)

In the Matter of FRIED FURNITURE CORP., a/k/a Kingsley Furniture Co., Bankrupt.

United States District Court E. D. New York.

July 8, 1968.

Attorney(s) appearing for the Case

Handelsman, Arutt & Knox, New York City, Samuel A. Arutt, New York City, of counsel, for trustee.

Joseph P. Hoey, U. S. Atty. for Eastern Dist. of New York, Brooklyn, N. Y., Patrick T. Philbin, Asst. U. S. Atty., of counsel, for Small Business Ass'n.

MEMORANDUM AND ORDER

WEINSTEIN, District Judge.

The trustee in bankruptcy challenges the finding of the Referee that the Small Business Administration (S.B.A.) has a lien on the proceeds of the sales of the bankrupt's chattels. Failure of the S.B.A. to file a financing statement under the Uniform Commercial Code, it is contended, prevented the perfecting of its security interest in a loan made by the Royal National Bank (Bank). For the reasons stated below...

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