Opinion ID: 542394
Heading Depth: 2
Heading Rank: 4

Heading: ABC's Alternative Grounds for Affirmance

Text: 35 Regardless of the foregoing conclusions, ABC contends that the Creditor Trustee's recovery claims must be dismissed, and the judgments below affirmed, on the ground that Chase & Sanborn was not in fact insolvent during the relevant time period, as required by 11 U.S.C.A. Secs. 547(b)(3) and 548(a)(2)(B)(i). This contention lacks merit. The bankruptcy court's contrary factual conclusion, see Bkr.Ct.Op. at 2, is more than amply supported by the record and is therefore not clearly erroneous. ABC also contends that any recovery by the Creditor Trustee is equitably barred because of fraudulent conduct by Chase & Sanborn toward ABC, in concert with Duque. This contention also lacks merit. The Creditor Trustee represents the creditors of Chase & Sanborn, and his claims are brought for their benefit; those claims cannot be barred because of any pre-bankruptcy frauds committed by Chase & Sanborn. See In re Davis, 785 F.2d 926, 927 (11th Cir.1986).