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IN RE NATIONAL METALCRAFT CORP.

BAP No. 97-6068.

211 B.R. 905 (1997)

In re NATIONAL METALCRAFT CORPORATION, Debtor. Eric W. LAM, Trustee, Respondent, v. The CONNELLY GROUP, L.P., Petitioner. Irvin G. Johnson, Defendant.

United States Bankruptcy Appellate Panel of the Eighth Circuit.

Decided September 8, 1997.

Attorney(s) appearing for the Case

J. Powell Carman, David D. Farrell, Thompson & Coburn, St. Louis, MO, Jeffrey S. Bittner, Davenport, IA, for petitioner.

Barry M. Barash, Barash & Stoerzbach, Galesburg, IL, for appellee.

Before DREHER, SCHERMER, and SCOTT, Bankruptcy Judges.

SCOTT, Bankruptcy Judge.

I

The trustee in this bankruptcy case filed an adversary proceeding to recover funds which Irvin Johnson, the president of the debtor corporation, expended at a river boat casino. The defendant Connelly Group which operates the river boat casino filed a motion for summary judgment on the basis that it is not a transferee under section 550 of the Bankruptcy Code. The Bankruptcy Court denied the motion on the grounds that material...

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