McNaboe v. Columbian Mfg. Co.
Opinion of the Court
In brief, the question presented for decision is whether a party who has had stolen money restored to him, he being in entire ignorance both of the theft and the restoration, has received a preference under the bankruptcy act?
We are so clearly of the opinion that he has not received a preference that we find it unnecessary to add anything to the discussion of the proposition found in the opinion of the judge of the Circuit Court.
The judgment is affirmed.
Reference
- Full Case Name
- McNABOE v. COLUMBIAN MFG. CO.
- Cited By
- 3 cases
- Status
- Published
- Syllabus
- Bankruptcy — Preference—Stolen Funds. TUo president of a bankrupt corporation, being tbe Eastern agent of defendant corporation, with knowledge of the bankrupt’s insolvency on several occasions, misapplied funds belonging to defendant to file use of the bankrupt without defendant’s knowledge or consent, and then, when the bankrupt’s failure could no longer be suspended, he sold certain of the bankrupt’s assets, and with the proceeds repaid defendant the money misappropriated, also without defendant’s knowledge. Held, that the repayment of the money so stolen from defendant did not constitute a preference recoverable by the bankrupt’s trustee.