Wechsler

Defendant United States of America, Department of the Treasury, Internal Revenue Service, appeals from an order for the distribution of funds deposited with the clerk of the court in an interpleader action in which Alvin Wechsler was plaintiff. The other defendants were M. M. Milstein, Glen L. Ward, Maurice David Meyers and Miles C. Babcock, respondents herein, and Bert Gervis. The order distributed the interpleaded funds to respondents. It made no reference to appellant’s claim, set forth in its answer, that the fund was encumbered by a federal income tax lien in the sum of $3,917.83.

The complaint alleged that plaintiff was in possession of funds representing settlement of a judgment in favor of Bert Gervis in a Los Angeles Superior Court action entitled Babcock v. Omansky, No. C 885 305. Plaintiff was attorney for Gervis in action No. C 885305, and had received competing claims to the fund from his client, from the four respondents herein and from appellant. He asked that upon deposit of the fund he be discharged and that the defendants litigate their respective rights to the fund.

Respondents answered the complaint, asserting various security interests in the cause…