Smith v. Worthen National Bank (In Re Smith)

MEMORANDUM OPINION

MARY D. SCOTT, Bankruptcy Judge.

THIS CAUSE is before the Court upon the stipulations of fact and briefs of the parties. This adversary proceeding was initiated by the complaint, filed on April 3, 1992, wherein the debtor asserted that the bank had seized an account of the debtor, pre-petition, in payment of an unsecured debt. The debtor argues that inasmuch as the debt was unsecured, the funds must be returned to the debtor for distribution pursuant to the chapter 13 plan. The defendant Worthen National Bank (“the Bank”) asserts that it was secured by the funds in the…