In re Cody

S.D. New York

In re Cody

31 F. Supp. 245, 1940 U.S. Dist. LEXIS 3570

DecidedJanuary 12, 1940

StatusPublished

This text of 31 F. Supp. 245 (In re Cody) is published on Counsel Stack Legal Research, covering District Court, S.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

In re Cody, 31 F. Supp. 245, 1940 U.S. Dist. LEXIS 3570 (S.D.N.Y. 1940).

Pincite

Opinion

HULBERT, District Judge.

The bankrupt petitions to review an order of the referee in bankruptcy sustaining specifications of objections and denying the discharge to the bankrupt.

The National Bankruptcy Act provides: “The court shall grant the discharge unless satisfied that the bankrupt has * * * or (3) obtained money or property on credit, or obtained an extension or renewal of credit, by making or publishing or causing to be made or published in any manner whatsoever, a materially false statement in writing respecting his financial condition; * •* * Provided, That if, upon the hearing of an objection to a discharge, the objector shall show to the satisfaction of the court that there are reasonable gro'unds for believing that the bankrupt has committed any of the acts which, under this subdivision c, would prevent his discharge in bankruptcy, then the burden of proving that he has not committed any of such acts shall be upon the bankrupt.”

Chandler Act, § 14, sub. c(3), 11 U.S.C.A. § 32, sub. c(3).

The bankrupt borrowed a sum of money from the objecting creditor and at the same time signed a financial statement setting forth that he had no debts. A part of this loan was paid off and thereafter the bankrupt arranged to borrow an additional amount and gave a similar statement. Both were false as shown by his schedule of liabilities. His efforts to extricate himself did not impress the referee whose determination is amply sustained by the proof. Petition dismissed and order affirmed.

Free access — add to your briefcase to read the full text and ask questions with AI

HULBERT, District Judge.

The bankrupt petitions to review an order of the referee in bankruptcy sustaining specifications of objections and denying the discharge to the bankrupt.

The National Bankruptcy Act provides: “The court shall grant the discharge unless satisfied that the bankrupt has * * * or (3) obtained money or property on credit, or obtained an extension or renewal of credit, by making or publishing or causing to be made or published in any manner whatsoever, a materially false statement in writing respecting his financial condition; * •* * Provided, That if, upon the hearing of an objection to a discharge, the objector shall show to the satisfaction of the court that there are reasonable gro'unds for believing that the bankrupt has committed any of the acts which, under this subdivision c, would prevent his discharge in bankruptcy, then the burden of proving that he has not committed any of such acts shall be upon the bankrupt.”

Chandler Act, § 14, sub. c(3), 11 U.S.C.A. § 32, sub. c(3).

The bankrupt borrowed a sum of money from the objecting creditor and at the same time signed a financial statement setting forth that he had no debts. A part of this loan was paid off and thereafter the bankrupt arranged to borrow an additional amount and gave a similar statement. Both were false as shown by his schedule of liabilities. His efforts to extricate himself did not impress the referee whose determination is amply sustained by the proof. Petition dismissed and order affirmed.

Cite This Page — Counsel Stack

Bluebook (online)

31 F. Supp. 245, 1940 U.S. Dist. LEXIS 3570, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-cody-nysd-1940.

Opinion

Related

Cite This Page — Counsel Stack