In the Matter of Trans-United Industries, Inc., Debtor. Rywelle Associates, Inc. v. Robert E. Cohn, Trustee, Textile Banking Company, Intervenor

Rywelle Associates, Inc. (“Rywelle”) appeals from an order of Judge Blumen-feld denying its petition to reclaim 726 shares of stock in the United Metal Cabinet Corporation (“Metal”) over the objection of Robert E. Cohn, Trustee in Bankruptcy (“Trustee”) of Trans-United Industries, Inc. (“T-U”). On December 30, 1960, while still solvent, T-U entered into an agreement with Samuel and Nathan Hammer to purchase from them 726 shares of Metal stock. In June 1962, T-U sought to obtain a $600,000 loan from Textile Banking Company (“Textile”), to which it had already mortgaged most of its assets to…