Time Oil Co. v. Wolverton

OPINION

HAMLIN, Circuit Judge:

This bankruptcy appeal comes before us in an unusual posture. All of the bankrupt’s creditors have been paid 100 cents on the dollar. A creditor, however, appeals from the denial by the United States District Court for the Northern District of California of a petition to review the Referee in Bankruptcy’s decision denying its claim upon surplus monies remaining in the bankrupt’s estate.1

The issue herein presented, characterized by the district court as one of first impression, was succinctly summarized by the referee:

“A preferential transfer is made to secure an…