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IN RE BENNETT FUNDING GROUP, INC.

Nos. 97-5068, 97-5072.

146 F.3d 136 (1998)

In re The BENNETT FUNDING GROUP, INC. Bennett Receivables Corporation, Bennett Receivables Corporation II, Bennett Management & Development Corporation, Debtors. OFFICIAL COMMITTEE OF UNSECURED CREDITORS, Creditor-Appellant, Richard C. Breeden, Trustee-Appellant, v. MANUFACTURERS AND TRADERS TRUST COMPANY, Creditor-Appellee.

United States Court of Appeals, Second Circuit.

Decided July 10, 1998.

Attorney(s) appearing for the Case

Harry M. Gutfleish, Wasserman, Jurista & Stolz, Millburn, NJ, for Creditor-Appellant.

M.O. Sigal, Jr. (William T. Russell, Jr. and Hyang-Sook Lee, Simpson Thacher & Bartlett, New York City, on the brief), for Trustee-Appellant.

Mark W. Warren, Manufacturers and Traders Trust Company, Buffalo, NY, for Creditor-Appellee.

Before: KEARSE and WALKER, Circuit Judges, and RESTANI, Judge.

RESTANI, Judge:

This is an appeal by a bankruptcy trustee from a Bankruptcy Appellate Panel decision affirming a decision of the Bankruptcy Court that permitted a creditor bank to exercise a right of setoff under 11 U.S.C. § 553 (1994) against an account maintained by the debtor in the creditor bank. The right of the debtor to withdraw from the account was partially restricted, but the account was in most other respects a general account maintained by the debtor...

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