Miami National Bank v. Manelous Stavros, Trustee in Bankruptcy for Pan American Distributing Corp., Bankrupt

Appellant, Miami National Bank, filed its petition for adjudication of validity and priority of its claim of lien in the bankruptcy of Pan American Distributing Corporation. The bank alleged that it held the bankrupt’s note for $300,000 secured by nonnegotiable warehouse receipts covering merchandise of the bankrupt stored in field warehouses of Lawrence Warehouse Company established in Miami, Florida, and Atlanta, Georgia.

The Referee held several hearings after which he found that the bank had a first and best lien on the merchandise of the bankrupt in the custody of the warehouse company at…