Sentry Financial Service Corp. v. Pitrat (In Re Resources Reclamation Corp. of America)

OPINION

ELLIOTT, Bankruptcy Judge:

Sentry Financial Services Corp. appeals an order denying a motion to reconsider an earlier order sustaining the trustee’s objection to Sentry’s proof of claim. We reverse.

In January 1981, Sentry filed a proof of claim as a secured creditor for $79,470.00 plus interest from August 13, 1980. The proof of claim specified that “[t]his claim is a general unsecured claim, except to the extent that the security interest described ... is sufficient to satisfy the claim.” Sentry obtained possession of part of its collateral and sold it for $22,000.00, leaving Sentry…