MEMORANDUM OPINION AND ORDER
REGAN, District Judge.
This is an action for refund of income taxes in the aggregate amount of $54,539.34 plus interest. The tax years involved are 1958 and 1959. The issue is whether the V. Viviano & Bros. Macaroni Mfg. Co. (Viviano), which was merged into Mound City Macaroni Co. (Mound City) in January, 1962 realized taxable income when certain of its creditors to which Viviano owed a total of $237,290.64 accepted $87,000...
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