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IN RE WALLERSTEDT

No. 90-1613.

930 F.2d 630 (1991)

In re Ryd WALLERSTEDT and Colleen Wallerstedt, Debtors. Ryd WALLERSTEDT and Colleen Wallerstedt, Appellees, v. David A. SOSNE, Trustee, Appellant.

United States Court of Appeals, Eighth Circuit.

Decided April 15, 1991.

Rehearing Denied June 5, 1991.

Attorney(s) appearing for the Case

Mina Saiedy Nami, St. Louis, Mo., for appellant.

Mark H. Zoole, St. Louis, Mo., for appellees.

Before JOHN R. GIBSON and BOWMAN, Circuit Judges, and HANSON, District Judge.

JOHN R. GIBSON, Circuit Judge.

David A. Sosne, trustee in the bankruptcy proceeding of Ryd and Colleen Wallerstedt, appeals from the district court's decision permitting the Wallerstedts to exempt certain state and federal income tax refunds from the bankruptcy estate under Mo.Rev.Stat. § 525.030(2) (1986). The trustee argues that when withheld and forwarded to the respective governmental treasuries, the Wallerstedts' wages lost their character as earnings, and...

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