New York Court of Appeals

William A. Carson, as Trustees in Bankruptcy of Leonard S. Zartman

July 8, 1930254 N.Y. 218

Summary

The New York Court of Appeals affirmed the lower courts, holding that the Federal Reserve Bank acted as an agent, not an owner, in collecting checks and cash for member banks, and therefore is not liable as a creditor for a voidable preference under §60‑b of the Bankruptcy Act.