Sears v. Stelzner

HANEY, Circuit Judge.

A decree granted judgment against appellant and another, in a suit brought by appellee as trustee in bankruptcy to recover for an alleged withdrawal of funds belonging to the bankrupt corporation by the appellant and another, and appellant brought this appeal.

Klipstein, the appellant, is a brother-in-law of one Stelzner, and was engaged in the “title business”. Stelzner and two other men on July 17, 1920, caused to be incorporated under the laws of California the “Globe Drug Company, Inc.” hereinafter referred to as the bankrupt, with 25,000 shares of capital stock of the…