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F.D.I.C. v. COLONIAL REALTY CO.

No. 1026, Docket 91-5073.

966 F.2d 57 (1992)

FEDERAL DEPOSIT INSURANCE CORPORATION, Plaintiff-Appellant, v. COLONIAL REALTY COMPANY, Jonathan Googel, and Benjamin Sisti, Defendants-Appellees.

United States Court of Appeals, Second Circuit.

Decided June 1, 1992.

Attorney(s) appearing for the Case

John R. Mallin, Hartford, Conn. (Anna Marie DiBartolo, Elia C. Walsh, Corcoran, Mallin & Aresco, P.C., of counsel), for plaintiff-appellant.

Hal M. Hirsch, Purchase, N.Y. (David L. Barrack, Howard P. Magaliff, Pamela J. Varin, Gainsburg & Hirsch), for defendants-appellees.

Before KEARSE and ALTIMARI, Circuit Judges, and TELESCA, District Judge.

TELESCA, Chief Judge:

As receiver to two insolvent lending institutions, the Federal Deposit Insurance Corporation ("FDIC") appeals from the District Court's affirmance of the order of the Bankruptcy Court directing the substantive consolidation of the bankruptcy estates of the defendant debtors — a general partnership and two of its general partners. On appeal to the District Court, the FDIC argued, inter alia, (i) that substantive consolidation was...

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