Walsh v. Dutil (In Re Demko)

MEMORANDUM OPINION

BERNARD MARKOYITZ, Bankruptcy Judge.

The chapter 7 trustee has brought this preference action seeking to avoid and to recover a $4,000 transfer debtor Karen Louise Demko made to defendant Kenneth Dutil as partial satisfaction of a pre-petition debt she owed to defendant.

Defendant denies that he was an “insider” for purposes of § 547(b)(4) and maintains that the chapter 7 trustee therefore may not avoid and recover the transfer as a preference because it occurred more than ninety days before debtor filed her chapter 7 bankruptcy petition.

We conclude that defendant was an…