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IN RE SACO LOCAL DEVELOPMENT CORP.

Bankruptcy Nos. 281-00151 to 281-00154, Adv. No. 281-0229.

25 B.R. 880 (1982)

In re SACO LOCAL DEVELOPMENT CORP., Leather Comfort Corporation, Kirstein Leather Co. d/b/a Saco Tanning Corp., Kirstein Split Corporation, Debtors. Roderick R. ROVZAR, Trustee, Plaintiff, v. DIAMOND INTERNATIONAL, Defendant.

United States Bankruptcy Court, D. Maine.

December 21, 1982.

Attorney(s) appearing for the Case

Gregory Tselikis, Charles Miller, Bernstein, Shur, Sawyer & Nelson, Portland, Me., for plaintiff.

Karen B. Lovell, Smith & Elliott, Saco, Me., for defendant.

MEMORANDUM DECISION

FREDERICK A. JOHNSON, Bankruptcy Judge.

The chapter 7 trustee seeks to recover as avoidable preferences two payments by the debtor1 to Diamond International. Diamond asserts that the payments it received from the debtor are insulated from recovery by the trustee by 11 U.S.C. § 547(c)(2).

On March 26, 1981, the debtor filed for relief under chapter 11 of the Code and an order for relief was entered...

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