Central-Penn Nat. Bank v. N.J. Fidelity

New Jersey Fidelity and Plate Glass Insurance Company (New Jersey) was taken over by the commissioner of banking and insurance May 28th, 1932, and the bills are by creditors to recover from Commercial Casualty Insurance Company (Commercial) over a million dollars in securities, transferred by New Jersey, on the eve of its collapse, to Commercial, in payment for reinsurance of part of New Jersey's policy liability, on the ground that New Jersey was insolvent and had suspended its ordinary business for want of funds to carry on the same and that the transfer was in violation of section 64 of…