IN RE COATED SALES, INC.

Bankruptcy Nos. 88-B-11331 (CB) to 88-B-11336 (CB), Adv. No. 88-5915A.

119 B.R. 452 (1990)

In re COATED SALES, INC., Debtors. COATED SALES, INC., Plaintiff, v. FIRST EASTERN BANK, N.A., Defendant.

United States Bankruptcy Court, S.D. New York.

October 11, 1990.


Attorney(s) appearing for the Case

Kaye, Scholer, Fierman, Hays & Handler by Lester Kirshenbaum, New York City, for Coated Sales, Inc.

Ruffa & Riso, P.C. by Gerard A. Riso, Harvey Lebowitz, New York City, for Michael Weinstein.

Paul, Weiss, Rifkind, Wharton & Garrison by Robert S. Smith, Karen A. Breslow, New York City, for First Eastern Bank, N.A.

Hellring Lindeman Goldstein & Siegel by Rachel N. Davidson, New York City, for Ernest Glantz.

Otterbourg, Steindler, Houston & Rosen, P.C. by Steven B. Soll, New York City, for Creditors Committee.

Greenberg Margolis by Kenneth J. Isaacson, Rosaland, N.J., for Richard Bober.


DECISION ON FIRST EASTERN BANK'S DEMAND FOR A JURY TRIAL ON COATED SALES, INC.'S PREFERENCE ACTION

CORNELIUS BLACKSHEAR, Bankruptcy Judge.

I. FACTS

On or about October 23, 1987, Coated Sales, Inc. ("CSI") borrowed $5,000,000 from First Eastern (the "First Eastern Term Loan"), pursuant to a 1-year unsecured term loan agreement. The First Eastern Term Loan was evidenced by a demand note, dated as of the same day. The First Eastern Term Loan remained...

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