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IN RE ENGEL

Bankruptcy Nos. 87-00077E, 87-00078E, Adv. No. 87-0077.

96 B.R. 602 (1989)

In re William ENGEL d/b/a Engel's Van Service, William L. Engel and Mary Ellen Engel, Individually, and F.E. Kerr Company, Debtors. David J. GRABAN, Esq., Interim Trustee, Plaintiff, v. McDOWELL NATIONAL BANK, Defendant.

United States Bankruptcy Court, W.D. Pennsylvania.

March 6, 1989.

Attorney(s) appearing for the Case

P. Raymond Bartholomew, Sharon, Pa., for McDowell Nat. Bank.

Ronald T. Heiman, Sharon, Pa., for debtors.

David J. Graban, Sharon, Pa., Interim Trustee.

OPINION

WARREN W. BENTZ, Bankruptcy Judge.

Issue

This is a preference action. The issue is whether accounts receivable of the debtors, which were either paid into the debtors' bank account at McDowell National Bank (the "Bank") and set off by it, or otherwise collected by the Bank, were preferences, where the Bank had a duly perfected security interest in the debtors' accounts receivable and other real and personal property, but the amounts...

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