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IN RE BISON HEATING & EQUIPMENT, INC.

Bankruptcy No. 91-12212 B. Adv. No. 93-1111 B.

177 B.R. 785 (1995)

In re BISON HEATING & EQUIPMENT, INC., Debtor. Mark S. WALLACH, Trustee, Plaintiff, v. NEW YORK STATE DEPARTMENT OF TAXATION AND FINANCE, Defendant.

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

February 7, 1995.

Attorney(s) appearing for the Case

Penney, Maier, Mandel, Wallach & Crowe (William R. Crowe, of counsel), Buffalo, NY, for plaintiff.

David F. Butterini, Buffalo, NY, and New York State Dept. of Law (Steven Koton, Maryellen Weinberg and Jane Lauer Barker, Asst. Attys. Gen., of counsel), Brooklyn, NY, for New York State Dept. of Taxation and Finance.

CARL L. BUCKI, Bankruptcy Judge.

At issue in this Chapter 7 proceeding is whether sovereign immunity can shield the State of New York and its departments from liability under 11 U.S.C. § 549 to disgorge unauthorized post-petition transfers. Implicated in this analysis are the provisions of 11 U.S.C. § 106, which previously provided a limited waiver of sovereign immunity. As enacted on October 22, 1994, the recent...

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