85 N.J. Eq. 5 | New York Court of Chancery | 1914
(orally).
I am prepared to decide this application now. I think this is a case in which, with propriety, the application for the enforcement of the decree pending the appeal may and should be granted. The bill and answers and the affidavits on the final
It appears now fairly, I think, on these motion papers, that the same sort of opposition to, or rebellion against, the authority of this court has been attempted, in keeping from the receiver the possession of books and assets and documents of the company at a time when no appeal was pending from the court’s decree adjudging insolvency and appointing the receiver.
Now, this is not a manufacturing corporation; it is not a business companjr carrying on transactions, the interruption of which might work some detriment to the company; on the contrary, it is what is known as a holding company; it simply has possession of securities which, under the preliminary injunction still in force, it has not the power and has not the liberty to sell, encumber, or otherwise dispose of. An appeal has been taken from the decree. That appeal cannot be heard until March next, and in the usual course, doubtless would not be decided until next June. If the decree of this court should be affirmed, and in the meantime, the receiver’s hands should be tied, he would have no opportunity to pursue this company for the possession of its assets until some time next summer. I cannot see any impropriety whatever in putting him, so far as the court can put him in the possession of this company’s property, namely, these securities, pending this appeal; and if, on its determination the decree should be reversed, the receiver by a single act, and in a few hours, could restore to the company the possession of its property, which, in his possession in the meantime, would be safeguarded and not invaded. So that I think this is, as I have said, pre-eminently a case where with propriety a decree may be, and I think should be, in all the circumstances, enforced pending the appeal.