Otis & Co. v. Insurance Bldg. Corporation

PETERS, District Judge.

This is an appeal from an order of the District Court for the District of- Massachusetts denying to Otis & Co. compensation for services and expenses in the proceeding for the reorganization of the appellee corporation. The court held that Sec. 249 of Chapter X of the Bankruptcy Act, 11 U.S.C.A. § 649, prohibited the granting of any compensation under the facts which appeared, in substance, as follows:

The petition in the proceeding was filed and approved June 3, 1938. Thereafter, and during the proceeding Otis & Co. acted as “agent and representative” of the bondholders…