In re Dresser
| Citation | 146 F. 383 |
| Decision Date | 22 May 1906 |
| Docket Number | 249. |
| Parties | In re DRESSER. |
| Court | U.S. Court of Appeals — Second Circuit |
Herbert H. Maass, for appellant.
R Burnham Moffat (Robert D. Murray, of counsel), for appellees.
Before WALLACE, TOWNSEND, and COXE, Circuit Judges.
By this appeal it is sought to reverse a judgment of the District Court refusing the bankrupt's discharge. 144 F. 318. The court decided that the specifications of objection filed by certain creditors who had purchased drafts drawn by the American Tubing & Webbing Company, and accepted by Dresser & Co., were established by the proofs. The question presented is whether Dresser had (1) 'obtained property on credit from any person upon a materially false statement in writing made to such person for the purpose of obtaining such property on credit;' or had (2) 'in the course of proceedings in bankruptcy refused to obey and lawful order of, or to answer any material question approved by, the court,' within the meaning of section 14, subd. b, cls 3, 6, Bankr. Act. July 1, 1898, c. 541, 30 Stat. 550 (U.S. Comp. St. 1901, p. 3428) Act, Feb. 5, 1903, c. 487, Sec. 4, 32 Stat. 797 (U.S. Comp. St. Supp. 1905, p. 684). The facts proved in support of the first objection, concisely stated, were these: Dresser concerted with a corporation having intimate business relations with his firm of Dresser & Co. to raise money by the sale through a broker of accommodation drafts to be drawn by the corporation and accepted by the firm. The scheme contemplated that the proceeds of the drafts should be paid by the broker to the corporation, go into its bank account, and be used by it to the extent required by its financial necessities, and the balance be sent to the firm. To facilitate the sale of the drafts by inducing purchasers to buy, a written statement, false in material facts respecting the financial condition of the firm, was made by Dresser, and placed in the hands of the broker; and in making sales of the paper the broker communicated the substance of the contents of the statement to the various purchasers to whom he sold the drafts. The corporation sent the firm a large part of the proceeds of the drafts sold by the broker to purchasers, who bought them upon the faith of the contents of the statement.
The only part of the contention for the appellant which deserves serious consideration is the argument that to bring the case within the meaning of clause 3 it is necessary to prove that the false statement was delivered by the bankrupt himself to the creditor from whom the property was obtained, or at least that it was meant to be delivered to the particular person of whom the property was obtained, and that in any case the statement itself must have been shown to the person from whom the property was obtained.
The provisions of the section are not to receive the strict construction given to...
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Chase Manhattan Bank, NA v. Frenville, Bankruptcy No. 80-02589
...Supreme Court originally drew a distinction based upon the fact that the debtor sought a privilege and was not asserting a right. In Re Dresser, 146 F. 383, 16 Am.B.R. 561 (C.C.A., 2, 1905). Thus, under the old bankruptcy act, if a bankrupt sought a discharge, he was compelled by the provis......
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In re Walsh Trucking Co., Inc.
...have made a distinction between Fifth Amendment rights and the privilege sought by a debtor to obtain a discharge from his debts. In re Dresser, 146 F. 383, 16 Am.B.R. 561 (2d Cir., 1905). Under the old Bankruptcy Act, sections 14c and 14c(6), if a bankrupt sought a discharge, he was compel......
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In re Litton, Bankruptcy No. 185-02866
...self-incrimination could result in denial of the debtor's discharge, (Kaufman v. Hurwitz, 176 F.2d 210 (4th Cir.1949); In re Dresser, 146 F. 383 (2d Cir.1906)), the Bankruptcy Code provides that a debtor's discharge will not be denied where the privilege has been properly invoked. Section 7......
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Nat'l Physicians Holdings Co. v. Enright (In re Enright)
...essential financial information in a bankruptcy case. In re Heraud, 410 B.R. 569, 580 (Bankr. E.D. Mich. 2009); see also In re Dresser, 146 F. 383, 385 (2d Cir. 1906) (stating that there "is no doubt that it is within the power of Congress to grant or to refuse a discharge to a bankrupt upo......