Reconstruction Finance Corp. v. Missouri-Kansas-Texas R. Co.

JOHNSEN, Circuit Judge.

During a seven year receivership of the Fort Smith and Western Railway Company, it was impossible to pay the operating expenses, and the court finally ordered the property sold. Free of liens, the assets brought $444,500. Claims totalling over $566,000 were filed for unpaid operating expenses and for money borrowed on receiver’s certificates. The court, after a reference to a special master and a review and modification of the master’s recommendations, made an order classifying and allowing these claims as follows:

First priority — Judicial costs.....(not determined)…