Gardner

The law firm of Rosen and Taylor, on behalf of Creditors, Castle Cotton Mills n , mi- j Co., Pacific Fixture Co., and Ellis and , . -i. i • • Mouzey, filed an involuntary petition m , . , , , „ a -q , ,, . bankruptcy against Nathan Pakcyk, do- , . c-i i mg business as Silverpak Yardage.

The bankruptcy proceedings were referred to Honorable Hugh L. Dickson Referee m Bankruptcy, by an order of general reference. Thereafter the bankrupt consented to adjudication m bankruptcy and an order of adjudication was made and entered by the Referee.

Later Rosen and Taylor made application in their own names for compensation as attorneys for the petitioning creditors. They originally petitioned for $1500 but subsequently reduced the claim to $750. The referee disallowed the claim on the ground, among others, that the attorneys were not entitled to compensation out of the bankrupt estate because of their improper conduct in obstructing and resisting the attempt of the trustee in bankruptcy to recover assets of the estate.

Claimants Rosen and Taylor petitioned the United States District Court for review of the referee’s order, and the District Court affirmed. Petitioning creditors, Castle…