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IN RE WELLINGTON RESOURCES CORP.

Bankruptcy Nos. 382-00016-F, 382-00017-F.

23 B.R. 596 (1982)

In re WELLINGTON RESOURCES CORPORATION, Debtor. In re WHITEHALL MINING COMPANY, INC., Debtor.

United States Bankruptcy Court, N.D. Texas, Dallas Division.

September 28, 1982.

Attorney(s) appearing for the Case

Philip I. Palmer, Jr., Dallas, Tex., Robert Yaquinto, Trustee, Dallas, Tex., for Wellington Resources Corp.

Jeffery Hart, Asst. Atty. Gen., Austin, Tex., for State of Tex.

MEMORANDUM OPINION

JOHN C. FORD, Bankruptcy Judge.

On August 24, 1982, a hearing was held in the Bankruptcy Court to determine whether assets were fraudulently acquired by the Debtors prior to the commencement of these proceedings. If assets were acquired by fraud, then a trust ex maleficio in the nature of a constructive or involuntary trust would take those assets out of the Court. Assuming the cestui que trust could successfully identify and trace the...

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