Abraham Blustein v. Eugene Sobel Company, Inc.

FAHY, Circuit Judge.

On December 15,1949, appellee Eugene Sobel Co., Inc., plaintiff in the District Court, contracted to purchase from appellant Abraham Blustein, defendant, the capital stock of the Blustein Company, a wholesale jewelry business located in the District of Columbia. The contract of sale included a warranty, set forth in the margin, 1 that the books of the Blustein Company properly reflected the liabilities of the company for income taxes. Plain - tiff, in a series of twenty-six checks dated August 13, 1954, through September 14, 1956, paid the Director of Internal Revenue…