Petitioner was the president and controlling stockholder of Kim Walker, Inc. (KIM), a New York corporation engaged in the manufacture of women's clothing. On June 18, 1969, KIM filed a petition for an arrangement pursuant to chapter 11 of the United States Bankruptcy Act. (US Code, tit 11.) The State Tax Commission then filed two claims designated Claim No. 1 and Claim No. 2, as a creditor in the...
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