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IN RE KETTLE FRIED CHICKEN OF AMERICA, INC.

Nos. 74-1645, 74-1646.

513 F.2d 807 (1975)

In the Matter of KETTLE FRIED CHICKEN OF AMERICA, INC., Bankrupt (two cases). Jesse W. STANLEY, Respondent-Appellant, v. Dan D. BROCK, Jr., Trustee in Bankruptcy, Petitioner-Appellee. William W. SCALF et al., Respondents-Appellants, v. Dan D. BROCK, Jr., Trustee in Bankruptcy, Petitioner-Appellee.

United States Court of Appeals, Sixth Circuit.

April 22, 1975.

Attorney(s) appearing for the Case

Nolan Carter, Jr., Allen, Duncan & Arnold, Joseph L. Arnold, Lexington, Ky., for respondents-appellants in 74-1645.

Joe C. Savage, Turley, Savage & Moore, Lexington, Ky., for respondent-appellant in 74-1646.

Frank S. Ginocchio, Dan D. Brock, Jr., Lexington, Ky., for petitioner-appellee.

Before WEICK and ENGEL, Circuit Judges, and O'SULLIVAN, Senior Circuit Judge.

ENGEL, Circuit Judge.

This is an appeal from a judgment of the district court requiring certain former shareholders of Kettle Fried Chicken of America, Inc. to refund to the trustee in bankruptcy payments they had received from the bankrupt corporation in repurchase of its capital stock at a time when its capital was found to be impaired. We affirm.

Kettle Fried Chicken of America, Inc., hereinafter Kettle, was incorporated under the laws of Delaware in March...

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