Dean

This is an appeal by a bankrupt from an order refusing a discharge in bankruptcy. The special master recommended a discharge but the District Court, after considering the evidence, denied the application. The trustee made two objections to the application for discharge. The first was based on a transfer of jewelry, worth about $1,400, to the bankrupt’s wife on the eve of bankruptcy, and the other a transfer of a chattel mortgage upon which about $9,200 was due three days before the bankruptcy proceedings were inaugurated. The trustee claims that these transfers were made to defraud creditors and the District Court sustained that contention as to the chattel mortgage, but sustained the finding of the special master as to the jewelry.

The bankrupt appellant contends that both these transfers, even if inadvisable and legally indefensible, were, nevertheless, made in good faith and not in contemplation of bankruptcy. The appellant claims that the jewelry in question was given to his wife on the day of their wedding, but retained by. him until the transfer of possession immediately before the bankruptcy proceedings were instituted. The bankrupt is a physician. He opened offices in…