John H. Kent, Jr., Trustee in Bankruptcy of C. M. Jones & Company v. Walter E. Heller & Company

The court says the bankrupt corporation’s deed was given “to secure loans previously advanced and to be advanced.” The statement that there were “loans previously advanced” rests only on defendant’s answer and contradicts plain*482tiff’s complaint. The complaint says neither the bankrupt nor the plaintiff trustee in bankruptcy received any part of the proposed loans for which the bankrupt gave promissory notes for $720,000, and to secure which it conveyed its land, buildings, and machinery to defendant. The defendant’s answer contradicts these statements of the complaint and says the defendant…