In the Matter of John H. German, Bankrupt. Joseph Van Hooreweghe, Trustee v. First National Bank of Moline, Illinois

ENOCH, Circuit Judge.

The First National Bank of Moline, Illinois, sought to establish a lien on the proceeds of the sale of an automobile which was an asset of the Bankrupt’s estate. The Trustee in Bankruptcy and the Bank filed a stipulation of facts. The Referee in Bankruptcy held that on these stipulated facts the Bank did not have a valid lien against the Trustee on the proceeds of the sale because the Bank had not perfected its lien in accordance with Ch. 95%, § 3-201 et seq., Illinois Revised Statutes, 1959, the Illinois Motor Vehicle Act. Section 3-202 deals with perfection of security…