In re Zimmerman

BARD, District Judge.

This is a petition for review of an order of the Referee disallowing petitioner’s claim for interest on a debt due it by the bankrupt.

Petitioner, James R. Kendrick Co., Inc., filed a proof of claim alleging a debt owing by the bankrupt in the amount of $8,771.05, in principal, and $5,606.73, in interest thereon, totalling $14,377.78. As collateral for his indebtedness, the bankrupt had assigned to the petitioner-claimant two life insurance policies upon which $7,588.79 has been realized as a result of the debtor’s death shortly after the filing of the involuntary petition…