Moore

On January 12, 1911, a petition in bankruptcy was filed against the Cleveland Oil Company, and thereafter that company was duly adjudged a bankrupt. The appellant'herein filed a claim against the bankrupt’s estate for the sum of $14,804.32. The trustee filed objection to the claim on the ground that the appellant had received preference payments as follows: That on September 15, 1910, the bankrupt had paid the appellant the sum of $2,000; that on October 31, 1910, the bankrupt had returned to the appellant oil well casings of the value of $2,823.37; and on December 31, 1910, the bankrupt had returned to the appellant two- pumps of the value of $300. Upon the testimony taken, the referee found that each of said payments constituted a preference, and ordered that the appellant’s claim be not allowed unless the preferences be surrendered. On a petition for review, the court below sustained the ruling of the referee. The payments were made within four months preceding the filing of the petition in bankruptcy, and they were made on a pre-existing debt owing by the bankrupt to the appellant. Under the Bankruptcy Act (Act July 1,1898, c. 541, § 60, 30 Stat. 562 [U. S. Comp. St. 1901, p.…