Law360, New York (October 22, 2015, 4:24 PM EDT) -- So-called "red flags" were not "sufficient to impose a duty on [a gambling casino] to investigate" a Chapter 11 debtor's pre-bankruptcy fraudulent transfers to its insiders who gambled at the casino, held the U.S. Court of Appeals for the Seventh Circuit on Oct. 13, 2015. In re Equipment Acquisition Resources Inc. 2015 U.S. App. LEXIS 17805 at *14 (7th Cir. Oct. 13, 2015). Affirming the district court's dismissal of the Chapter 11 plan administrator's complaint against the casino, the court explained that the casino may have "had some indication that the insider's money came from" the debtor, but "it had no reason to suspect that this money was obtained by fraud." Moreover, "even if [the casino] had investigated, it is unlikely — in fact, virtually impossible — that [the casino] would have uncovered the fraud or [the debtor's] financial distress." Id. at *14-15   Relevance...