Executive Associates, Inc. v. Southern National Bank (In Re Executive Associates, Inc.)

MEMORANDUM OPINION ON MOTION FOR NEW TRIAL

EDWARD H. PATTON, Jr., Bankruptcy Judge.

On June 3, 1982 Executive Associates, Inc. filed a voluntary petition for relief under Chapter 11. At the time the petition was filed the debtor maintained a bank account with Southern National Bank and was also indebted to that bank on an outstanding loan. After the order for relief the debtor continued to maintain the same account with the bank and made deposits and withdrawals as debtor-in-possession. With full knowledge of the bankruptcy proceedings the bank placed an administrative hold or “freeze” on the…