Industrial Bank, N.A. v. United States

MEMORANDUM OPINION

ROSEMARY M. COLLYER, District Judge.

In this case, a creditor and the Internal Revenue Service battle over who holds a superior interest in certain settlement monies. Industrial Bank, N.A. brought this suit against the United States and the Commissioner of the IRS seeking a declaratory judgment that it has the superior claim to approximately $160,000 in monies from a settlement agreement between the Small Business Administration and Nex-gen Solutions, Inc. The federal tax liens have priority in this case, and the government has a right of offset; thus, summary judgment will…