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MATTER OF PAULEY

Bankruptcy No. GK94-80389, Adv. No. 94-8030.

205 B.R. 501 (1997)

In the Matter of: Doral PAULEY and Jane Pauley, Debtors. John KINSLER, Ruth Kinsler, James Eppley, Ruth Eppley, Betty Eppley, Stanley Knudson, Ervin McCarthy, Michael McCarthy, Joseph Mercier, John Rigato, Thomas Novacheff, Robert Frank Sanchez, Virginia Sanchez, Sam Spagnoli, Angelo Spagnoli, William Spagnoli, Daniel Baja, Joanne Baja, Catherine Hebets, Thomas Bates, Lillian Bates, Sam DiRosa, George Dobson, Jack Eckhard, Francesca Eckhard, Verlin Eppert, Rosalie Eppert, Myron Homer, Gail Homer, Agnes Joseph, Courtney Joseph, and Roman Czaplicki, Plaintiffs, v. Doral PAULEY and Jane Pauley, Defendants.

United States Bankruptcy Court, W.D. Michigan.

February 24, 1997.

Attorney(s) appearing for the Case

Roger Leemis, Southfield, MI, for Plaintiffs.

Doral and Jane Pauley, in pro. per.

MEMORANDUM OPINION REGARDING PLAINTIFFS' FIRST AMENDED COMPLAINT TO DETERMINE DISCHARGEABILITY OF A DEBT

JAMES D. GREGG, Bankruptcy Judge.

The principal issue before this court is whether debts arising from alleged violations of state and federal securities laws should be deemed per se nondischargeable pursuant to sections 523(a)(2)(A) and 523(a)(4) of the Bankruptcy Code.1

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