Murray Drabkin v. District of Columbia, Murray Drabkin, Trustee v. District of Columbia

D.H. GINSBURG, Circuit Judge:

The liquidation of Auto-Train Corp. (Auto-Train) requires this court once again to address the question of whether a pre-bankruptcy payment by Auto-Train was a voidable preference or, alternatively, was from a trust. See In re Auto-Train Corp., Inc., 810 F.2d 270 (D.C.Cir.1987). The payment here concerns amounts of withheld employee income taxes, paid to the District of Columbia (District) within the 90-day period prior to Auto-Train’s filing of a Chapter 11 reorganization petition. The bankruptcy court, summarily affirmed by the district court, held that the…