Detroit Trust Co. v. Campbell River Timber Co.

HANEY, Circuit Judge.

Questions concerning the extent of the power of a bankruptcy court to issue injunctions, the sufficiency of an injunction bond and of the good faith of the debtor, have been raised by an appeal from three orders made in a corporate reorganization .proceeding.

Appellee, Campbell River Timber Compahy, Limited, a Washington corporation, hereinafter called the company, was organized in 1926, for the purpose of acquiring and logging timber on Vancouver Island in British Columbia. It thereafter acquired about 27,504 acres of timber, and to obtain working capital, it executed a…