McLaughlin, Van Dusen and Adams, Circuit Judges.
VAN DUSEN, Circuit Judge.
These cases, consolidated for appeal, involve the possible liability of a trustee in reorganization and his attorney for the payment of interest on, or a similar charge for the use of, that portion of a third interim allowance and fee granted by the district court without specification of a payment date, paid subsequent to such grant, and later found to be excessive by this court. We find on this record that payments for the use of this money improperly taken from the bankruptcy estate should be made by the above-mentioned fiduciaries.
The factual background of these reorganization proceedings for the debtor corporation is set out in In re Imperial "400" National, Inc., 429 F.2d 671 (3d Cir. 1970). On December 29, 1969, the district court entered an order, over the unanimous objections of the Creditors Committee, awarding third interim allowances to the trustee of $90,000 and third interim fees of $125,000 to the trustee's counsel. At the time this order was entered, the court and the abovementioned fiduciaries were notified by at least one creditor, counsel for the General Tire Pension Funds, that an appeal of the order would be filed. Prior to the filing of notices of appeal on January 20, 1970, payments of the third interim allowance and fee were made to the trustee and his counsel.*fn1 This court, in its August 1970 opinion, In re Imperial "400" National, Inc., 432 F.2d 232 (Appeals Nos. 18,804-18,809), reversed the district court order of December 22, 1969, and remanded for further proceedings, stating that "In no event, however, shall awards of interim compensation for the third period exceed $27,500. to the trustee or $45,000. to his attorney."*fn2
On October 13, 1970, a hearing was held before the district court and all parties consented to interim awards of $27,500 to the trustee and $45,000 to his counsel. Subsequently the excess of the earlier allowances over these agreed upon allowances were returned to the estate. On October 15, 1970, the trustee's counsel reimbursed the debtor's estate in the amount of $80,000 and the trustee made a similar reimbursement of $62,500 on November 9, 1970.
At the October 13, 1970, hearing, the question of interest on the above sums to be returned to the bankruptcy estate was raised. Upon motion of a creditor, the question of interest charges on the above-mentioned $80,000 and $62,500 was reconsidered on December 14, 1970.*fn3 On March 10, 1971, the district court entered an order exempting the trustee from any interest payments but requiring the trustee's counsel to pay the interest which had accrued on that portion of the allowance which he was required to return to the estate.*fn4
A trustee in reorganization is an officer of the court*fn5 who occupies a special fiduciary position,*fn6 and counsel for the trustee has equivalent fiduciary responsibilities to the estate in reorganization and the creditors.*fn7
On this record, we have concluded that the trustee and his counsel are required to repay to the bankruptcy estate interest at the prevailing rate of return being earned by the estate on its invested funds during 1970 on the above-mentioned $62,500 and $80,000,*fn8 from the above-mentioned applicable payment dates in January 1970 until the applicable dates of repayment in November and October 1970, respectively,*fn9 particularly because of these reasons presented by the facts of this case:
A. All members of the Creditors Committee and the creditors having the largest claims, as well as the SEC, objected to these interim fees and allowances, and at least one creditor notified the court and the above-mentioned fiduciaries of its intention to appeal from the December 22, 1969, order before any payments were made pursuant to that order. See, also, note 1 above.
B. The allowance and fee authorized by the district court were withdrawn by the trustee prior to the expiration of the time allowed for taking an appeal from the creditor-opposed court order granting the awards and after oral notice had been given that such an appeal would be taken. We agree with the position expressed by Judge Learned Hand in Central Hanover Bank & Trust Co. v. Herbst, 93 F.2d 510, 512 (2d Cir. 1937), that a fiduciary who has been awarded money by a court order is charged with notice that the award is conditional until the time to appeal it has expired and that the award will not protect him if reversed. In a case such as the instant action, where notice of an appeal has been given, the fiduciary who withdraws funds is guilty of a breach of his fiduciary duty.*fn10 The danger of such withdrawals, where a fiduciary is paying fiduciary funds to himself, is illustrated by the Central Hanover case, where the receiver who withdrew his allowance became insolvent prior to a reversal of the award of the allowance.*fn11
C. When a trustee has violated any duty which he owes as a trustee to the beneficiaries,*fn12 he is chargeable with:
"(a) any loss or depreciation in value of the trust estate resulting from ...