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17. Debtor's business was not paying its undisputed debts as they became due. Intending to protect the assets, Debtor transferred them to a corporation controlled
17. Debtor's business was not paying its undisputed debts as they became due. Intending to protect the assets, Debtor transferred them to a corporation controlled by a sibling. The understanding was that Debtor would receive stock after resolution of the financial problems. Five months later, Debtor filed for bankruptcy. Will a trustee who has discovered the transfer be able to recover the assets? A. The trustee cannot recover the assets because the transfer was more than 90 days before the petition was filed in bankruptcy B. The assets can be recovered as a fraudulent conveyance. C. The assets can be recovered as a preferential transfer. D. The assets cannot be recovered because the corporation is a senarate legal entity
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