National Builders Bank of Chicago v. Schwartz

EVANS, Circuit Judge.

The issues on this appeal concern the power of the District Court to direct the trustee in a summary proceeding to collect debtor’s accounts receivable, previously pledged and assigned to appellant to secure advances made by it, against and over the objection of said appellant. The order was entered on the pleadings. No evidence was taken.

The proceedings in bankruptcy (commonly called 77B, 11 U.S.C.A. § 207, proceedings) were instituted, March 8, 1938. Previously, debtor, being pressed for money, had separately assigned and pledged certain accounts receivable to appellant…