Court found for debtor in nondischargeability action under the false financial statement in writing exception and the willful & malicious conversion of property exception. The lender did not rely on a written statement in approving the loan at issue
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Where creditor did not rely on debtor's financial statement to advance credit, the false financial statement in writing exception to discharge was inapplicable. Where creditor consented to debtor moving collateral out of state, there was no conversion
Court ruled that bank acquiesced in debtor's sale of collateral & failure to apply all proceeds to bank debt; debt was dischargeable because there was no intent to hinder, delay or defraud creditor, nor was there a willful & malicious property conversion
Debtors' real property was sold at tax sale but the sale was not confirmed pre-petition. County sought relief from stay to confirm sale and transfer the property to a buyer. Motion was denied because debtors propose to use the property to reorganize