Scully v. Arkansas Department of Finance & Administration (In Re Valley Food Services, LLC)

MEMORANDUM OPINION

JERRY W. VENTERS, Bankruptcy Judge.

This matter comes before the Court on the Trustee’s motion for summary judgment on her complaint to avoid and to recover two allegedly preferential transfers (“Transfers”) that the Debtor made to the Defendant within ninety days before the Debtor filed its bankruptcy petition. One of the Transfers was a $35,000 payment for overdue compensating use taxes, and the second was a $243,328 payment for overdue soft drink taxes. At this juncture, only two general issues remain in dispute: (1) whether the funds transferred to the Defendant were…