Irving I. Bass, Trustee in Bankruptcy of Zipco, Inc., a Corporation, Bankrupt v. Robert H. Shutan

ORR, Circuit Judge.

Zipco Inc., a corporation, found itself in financial difficulties. Milo M. Turner at the time was its sole shareholder, director, president, and general manager. Prior to the institution of bankruptcy proceedings certain checks were issued by the corporation in payment of wage claims. The checks were dishonored by the bank upon which they were drawn because of insufficiency of funds. Turner, as an individual, and not in any connection with the corporation secured funds and paid to the individuals holding the checks the amounts thereof. He took in return an assignment of the…