Decker v. Central Soya Co. (In Re Decker)

OPINION

THOMAS C. GIBBONS, Bankruptcy Judge.

The issue in this case, arising under the Bankruptcy Act of 1898 (the Act), is whether a creditor has a voidable preference under § 60 of the Act (former 11 U.S.C. § 96) upon obtaining a levy on the debtors’ property more than four months prior to the commencement of bankruptcy and reducing that levy to cash through the sale of the property immediately prior to the filing of bankruptcy.

The parties have stipulated to the following facts. Judgment was entered against the debtors in favor of Central Soya Company, Inc. (Central Soya) in the Court of…