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IN RE KRUG

Bankruptcy No. 93-41762-12. Adv. No. 94-7006.

189 B.R. 948 (1995)

In re Harry D. KRUG, Debtor. PEOPLES STATE BANK AND TRUST CO., Plaintiff, v. Harry D. KRUG, Sunflower Bank, N.A., Board of County Commissioners of Russell County, Kansas and Johnny Boyd, Defendants.

United States Bankruptcy Court, D. Kansas.

November 21, 1995.

Attorney(s) appearing for the Case

Robert E. Nugent, III, Susan R. Schrag, Wichita, KS, for Plaintiff.

Bruce J. Woner, Timothy Girard, Topeka, KS, for Debtor/Defendant Krug.

Jerry E. Driscoll, Russell, KS, for Defendant Sunflower Bank.

Peter R. Williams, Russell, KS, for Defendant Board of County Comm. of Russell, Kansas.

Kenneth L. Cole, Russell, KS, for Defendant Johnny Boyd.

Eric C. Rajala, Chapter 12 Trustee, Overland Park, KS.

MEMORANDUM OPINION AND ORDER

JULIE A. ROBINSON, Bankruptcy Judge.

This litigation arises out of a failed lending relationship between Harry Krug, a cattle rancher, and the Peoples State Bank & Trust Company of Ellinwood, Kansas (PSB). When Krug failed to make timely payments and his financing negotiations with another bank stalled, PSB repossessed most of the cattle and commenced foreclosure proceedings. Krug raised lender liability counterclaims...

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