In re Barry Yao Co.

These bankruptcy proceedings are now before the Court upon a petition for review of an order by the Referee in Bankruptcy allowing attorneys’ fees to special counsel for the receiver and to the attorney for the creditors.

Proceedings were originally commenced in August of 1954 by the filing of an involuntary petition under § 18, sub.. a of the Act [ 11 U.S.C.A. § 41 , sub. a] against (1) Barry Yao Company, a co-partnership, consisting of Lottie Barry, Bill Barry (Lottie’s husband), and Jimmy Yao, copartners; and (2) Lottie Barry, Bill Barry, and Jimmy Yao, individually. Following intervention by various creditors, a receiver who eventually became trustee was appointed and took possession of the assets of the alleged bankrupts. Bankruptcy Act § 69,. 11 U.S.C.A. § 109 .

*377 For reasons to be mentioned later, the proceedings against Lottie Barry, as an alleged general partner, were subsequently dismissed with prejudice. Thereafter in April of 1956, Bill Barry and Jimmy Yao consented to an adjudication of bankruptcy, and an order was entered accordingly. Bankruptcy Act § 18, subs, d, g, 11 U.S.C. § 41 , subs, d, g.

In due course the proceedings drew to a close, petitions for fees…