  GRO J0422+32 is a member of the class of low-mass X-ray binaries (LMXBs). It
was discovered during an outburst in 1992. During the entire episode a
persistent power-law spectral component extending up to $\sim 1$ MeV was
observed, which suggests that nonthermal processes should have occurred in the
system. We study relativistic particle interactions and the neutrino production
in the corona of GRO J0422+32, and explain the behavior of GRO J0422+32 during
its recorded flaring phase. We have developed a magnetized corona model to fit
the spectrum of GRO J0422+32 during the low-hard state. We also estimate
neutrino emission and study the detectability of neutrinos with 1 km$^3$
detectors, such as IceCube. The short duration of the flares ($\sim$ hours) and
an energy cutoff around a few TeV in the neutrino spectrum make neutrino
detection difficult. There are, however, many factors that can enhance neutrino
emission. The northern-sky coverage and full duty cycle of IceCube make it
possible to detect neutrino bursts from objects of this kind through
time-dependent analysis.
