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COMMOPTS, INC. v. CHINN

No. 74-3085.

536 F.2d 891 (1976)

COMMOPTS, INC., a corporation, Bankrupt-Appellant, v. Frank CHINN et al., Creditors-Appellees.

United States Court of Appeals, Ninth Circuit.

June 8, 1976.

Attorney(s) appearing for the Case

Richard S. Burriss (argued), Los Altos, Cal., for bankrupt-appellant.

Joseph Maltaman (argued), Daly City, Cal., for creditors-appellees.

Before CHAMBERS, MERRILL and KENNEDY, Circuit Judges.

OPINION

MERRILL, Circuit Judge:

Officers of Commopts, Inc., on behalf of the corporation, transferred to themselves over $100,000 of corporate funds. Certain employee-creditors petitioned for an adjudication in bankruptcy, contending that that payment constituted an act of bankruptcy under 11 U.S.C. § 21(a)(1), in that the corporation by this act of its officers "concealed, removed, or permitted to be concealed or removed * * * part of [the corporation...

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