In re Newark Athletic Club

MEANEY, District Judge.

This matter comes before the court by way of petition by the Trustee in Bankruptcy requesting instructions as to whether the referee is entitled to a certain sum as commissions under section 40, sub. c. of the Bankruptcy Act, 11 U.S.C.A. § 68, sub. c.

Facts.

1. The Newark Athletic Club after extensive attempts to reorganize, which failed because of objection of a second mortgage bondholder, was found to be insolvent in proceedings before this court on April 16, 1940. On the same day and in the same court, the Prudential Insurance Company of America, the holder of a first…