Pierce Butler

“ Plaintiff believed that the property could be preserved for equitable distribution among those entitled thereto only upon the granting of equitable relief including the appointment of receivers, and that, unless the court would deal with the property as a trust fund for the payment of creditors, it would be sacrificed to the great loss of creditors. More would be realized from a sale if the business was being carried on. ”

“ Taken in connection with its insolvency, now conceded, respondent's answer admitting the allegations of the complaint and its consent to the decree appointing receivers amounted to the handing over of all its property and business to the receivers to be administered, under the direction of the court, as a trust fund to pay respondent's debts. In substance, the things done by respondent amounted to a voluntary assignment of all its property within the meaning of section 3466. The United States is entitled to priority. ”

“ Pullen (C. C. A.) 277 F. 650; Davis v. Miller-Link Lumber Co. (C. C. A.) 296 F. 649. Cf. Equitable Trust Co. v. Connecticut Brass & Mfg. Corp. (C. C. A.) 290 F. 712; Davis v. Michigan Trust Co. (C. C. A.) 2 F. (2d) 194. ”