Rieser v. Baltimore & Ohio Railroad

CLARK, Chief Judge.

Plaintiffs are bondholders of the Alton Railroad Company, which has recently gone through reorganization pursuant to § 77 of the Bankruptcy Act, 11 U.S.C. § 205. In that reorganization plaintiffs received only 37.5 per cent of the face amount of their claims, and their old bond certificates were cancelled “except for purpose of evidencing right of the bearer or registered owner to a claim, if any, against the Baltimore and Ohio Railroad Company.” It is this claim which the plaintiffs are now attempting to enforce as unsatisfied creditors. The defendant dominated the debtor…