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IN RE CHARMAR INVESTMENT CO.

No. 72-1503.

475 F.2d 560 (1973)

In the Matter of CHARMAR INVESTMENT CO., Alleged Bankrupt. CITY NATIONAL BANK & TRUST CO. et al., Petitioners-Appellees, v. CHARMAR INVESTMENT CO., Alleged Bankrupt-Appellant.

United States Court of Appeals, Sixth Circuit.

Decided and Filed March 22, 1973.

Attorney(s) appearing for the Case

John E. Palcich, Columbus, Ohio, for alleged bankrupt-appellant.

Bradley Hummel, Columbus, Ohio, for petitioners-appellees; R. T. O'Brien, Folkerth, Calhoun, Webster, Maurer & O'Brien, Columbus, Ohio, on brief, for Charles L. Adrian; Gingher & Christensen, Columbus, Ohio, on brief, for Marlen Radbill; David H. Putnam, Columbus, Ohio, on brief, for City National Bank & Trust Co.

Before PHILLIPS, Chief Judge, and CELEBREZZE and PECK, Circuit Judges.

PECK, Circuit Judge.

On May 3, 1971, a creditors' petition for the involuntary bankruptcy of Charmar Investment Company, a small closely-held corporation, was filed in the District Court. It was contended that appellant conveyed its major asset1 to two shareholders and officers of appellant for insufficient consideration, thereby constituting a preference to the grantees. On June 25, 1971, the Referee granted a motion to dismiss the petition...

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