Hartman v. Lauchli

WOODROUGH, Circuit Judge.

Hartman Corporation of America is a Missouri manufacturing corporation which prospered in St. Louis during World War II making airplane engine starters for the government, but when in May of 1947 it attempted to 'borrow $600,000 from the Reconstruction Finance Corporation which had loaned it a great deal more than that in the past, its application was refused and its president, managing officer and owner of nearly all of its capital stock, Milton Hartman, for the first time realized that it was in financial .difficulties. He did not think it was insolvent as it showed…