Weidhorn v. Levy - 253 U.S. 268 (1920)
U.S. Supreme Court
Weidhorn v. Levy, 253 U.S. 268 (1920)
Weidhorn v. Levy
Argued January 28, 29, 1920
Decided June 1, 1920
253 U.S. 268
A referee in bankruptcy is not a separate court, nor endowed with any independent judicial authority, but merely an officer of the court of bankruptcy, having no power except as conferred by the order of reference, read in the light of the act, and whose judicial functions are subject always to the review of the bankruptcy court. P. 253 U. S. 271.
Under the Bankruptcy Act and the general orders in bankruptcy, a referee, by virtue of a general reference under Order XII(1), has not jurisdiction over a plenary suit in equity brought by the trustee in bankruptcy against a third party to set aside a fraudulent transfer or conveyance under § 70e, and affecting property not in the custody or control of the court of bankruptcy. Pp. 253 U. S. 270-274.
A decree of the district court vacating a decree made by the referee in such a suit and dismissing the bill upon the ground that the referee exceeded his powers under the order of reference is reviewable in the circuit court of appeal by petition to revise under § 24b of the act. P. 253 U. S. 269.
253 F. 28 reversed.
The case is stated in the opinion.