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IN RE 2111 ASSOCIATES-CHICAGO

No. 77-1387.

580 F.2d 705 (1978)

In re 2111 ASSOCIATES-CHICAGO, Alleged Bankrupt. Edward G. GRANT and Hilton J. Herrman, Trustees of the Estate of J. Robert Carlton, Appellants, v. BANK OF VIRGINIA and Edward S. Hirschler, Appellees.

United States Court of Appeals, Fourth Circuit.

Decided July 27, 1978.

Attorney(s) appearing for the Case

Howard W. Dobbins, Richmond, Va. (Richard M. Price and George A. Warthen, II, Wallerstein, Goode & Dobbins, Richmond, Va., on brief), for appellants; Benjamin C. Ackerly, Richmond, Va. (J. Waverly Pulley, III, Robert M. Rolfe, Hunton & Williams, Richmond, Va., on brief), for appellee Bank of Virginia.

John S. Graham, III, Richmond, Va. (George B. Little, R. Hunter Manson, Paul S. Bliley, Jr., Browder, Russell, Little, Morris & Butcher, Richmond, Va., on brief), for appellee Edward S. Hirschler.

Before HAYNSWORTH, Chief Judge, RUSSELL, Circuit Judge, and HOFFMAN, Senior United States District Judge.

HOFFMAN, Senior District Judge:

The trustees in a Chapter XII proceeding involving J. Robert Carlton1 appeal from an order of the district court which reversed a prior order of the bankruptcy court. We think it clear that the district court was correct and we affirm.

On April 29, 1976, Carlton filed his petition under Chapter XII of the Bankruptcy Act. On June 3, 1976, the Bank of Virginia (Bank) filed an involuntary petition in...

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