In Re Randall Wayne Bush and Karen Anne Bush, A/K/A Karen Anne Peterson, Debtors Valley National Bank v. Randall Wayne Bush

ARNOLD, Circuit Judge.

This is an appeal from the judgment of the United States District Court for the District of South Dakota reversing a judgment of the United States Bankruptcy Court entered in an adversary proceeding in bankruptcy. In early 1980, Valley National Bank of Sioux Falls (Valley) lent Randall Bush and his wife, Karen, almost $8,000. The Bushes were unable to pay back the loan and eventually filed a Chapter 7 petition for relief in bankruptcy. Valley then brought suit in the Bankruptcy Court pursuant to 11 U.S.C. § 523(a)(2)(B) (Supp. V 1981), 1 objecting to the discharge in…