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IN RE LEHRENKRAUSS

September 28, 1935

In re LEHRENKRAUSS et al.


The opinion of the court was delivered by: BYERS

BYERS, District Judge.

This matter is before the court upon examination of the report of the referee dated September 14, 1935, respecting applications:

(a) For ad interim allowances to the trustees.

 (b) For ad interim allowance for their attorney.

 (c) For ad interim allowance for an attorney representing an intervening petitioning creditor.

 (d) Final allowance to accountants employed by the Receivers in Bankruptcy.

 (e) Appraisers' fees, in appraising sundry properties for the trustees.

 The matters were presented for hearing at a meeting of creditors duly held on September 11, 1935, the proceedings of which are filed with the report.

 Considering the foregoing in inverse order, the disposition of each will be:

 (e) The appraisers' fees as recommended by the referee at $3,765.00 are approved.

 (d) Accountants' final allowance of $3,000.00 is approved.

 (c) The application of Isidore M. Silberman for an allowance for services said to have been rendered by him, because he was the attorney for an intervening creditor who was permitted to be joined and made a petitioning creditor by order dated December 8, 1933, was denied by the referee.

 The report states that the referee is of the opinion that there is no provision of the Bankruptcy Act (11 USCA § 1 et seq.) under which the allowance could be made.

 It is clear that such an application could be entertained only to permit of a showing that services were rendered which contributed to bringing about the adjudication. In re Consolidated Factor's Corporation (C.C.A.) 59 F.2d 193. The petition is apparently circumstantial concerning professional assistance said to have been rendered to the attorneys for the petitioning creditors at and in preparation for 21a (11 USCA § 44 (a) hearings held prior to adjudication. As to whether such assistance was rendered, is put in issue by the latter attorney who wrote to the erferee on September 6, 1935, on the subject in part: "I wish to state that at no time during these proceedings were Messrs. Silberman and Steinfeld associated with me, directly or ...


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