Coastal Finance Corp. v. COASTAL FINANCE, ETC.

This civil matter arises out of receivership proceedings and concerns conflicting petitons to reclaim the assets of an insolvent corporation. After a hearing in the Superior court, an order was entered granting the petition of Walter E. Heller and Company (Heller), a secured creditor, and denying the petition of certain holders of corporate notes and debentures (the investors). On appeal, the investors seek to set aside the claim of Heller and assert their own priority in the reclamation of corporate receivables.

Coastal Finance Corporation (Coastal), a small loan business and holding company…