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IN RE JORGES CARPET MILLS, INC.

Bankruptcy No. 1-80-02516, Adv. No. 1-83-0023.

50 B.R. 84 (1985)

In re JORGES CARPET MILLS, INC., Debtor. C. Kenneth STILL, Trustee, Plaintiff, v. AMERICAN NATIONAL BANK & TRUST COMPANY OF CHATTANOOGA, Defendant.

United States Bankruptcy Court, E.D. Tennessee.

May 7, 1985.

Attorney(s) appearing for the Case

Thomas S. Kale, Spears, Moore, Rebman & Williams, Chattanooga, Tenn., for plaintiff.

Shelley D. Rucker, Miller & Martin, Chattanooga, Tenn., for defendant.

RALPH H. KELLEY, Bankruptcy Judge.

The trustee in bankruptcy for Jorges Carpet Mills brought this action against the defendant bank to recover a payment of $2,561.47 to the bank. The trustee contends that Jorges' chief executive, Charles Housch, made the payment on his personal debt, with Jorges' money and the payment was therefore fraudulent as to Jorges and recoverable by its trustee in bankruptcy. 11 U.S.C.A. § 548. The trustee also contends that the payment...

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