City of Amarillo, Amarillo Independent School District v. W. S. Eakens and Lloyd King, Reorganization Trustees

SIMPSON, Circuit Judge.

We review on appeal an affirmance by the district court of an order entered by a referee in bankruptcy (Referee hereinafter) that reduced substantially the real and personal taxes claimed by local taxing authorities (appellants hereinafter) .

During a Chapter X proceeding for the reorganization of the Herring Hotel Corporation the reorganization trustees (Trustees hereinafter) filed objections to tax claims submitted by the appellants. The Trustees felt that the taxes should be disallowed'; 'or in the alternative should be allowed only in part. In support of their…