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BROWN v. BULLOCK

194 F.Supp. 207 (1961)

Ethel BROWN and Harry Brown, Plaintiffs, v. Hugh BULLOCK, Arthur F. Burns, Robert E. Clark, Nathaniel P. Hill, John M. Hincks, Grayson Kirk, Harris J. Nelson, Frank Pace, Jr., Maxwell D. Taylor, Calvin Bullock, Ltd., and Dividend Shares, Inc., Defendants.

United States District Court S. D. New York.

Supplemental Memorandum-Decision March 31, 1961.

Attorney(s) appearing for the Case

Rosenthal & Gurkin, New York City, for plaintiffs; Pomerantz Levy & Haudek, Rosenfeld & Silverman, Abraham L. Pomerantz, William E. Haudek, New York City, of counsel.

Hughes, Hubbard, Blair & Reed, New York City, for defendants Arthur F. Burns, Grayson Kirk and Frank Pace, Jr.

Cole, Grimes, Friedman & Deitz, New York City, for defendant Dividend Shares, Inc.

Sullivan & Cromwell, New York City, for defendants Calvin Bullock, Ltd., Hugh Bullock and Robert E. Clark; David W. Peck, Alfred Jaretzki, Jr., Marvin Schwartz, Richard Sexton, New York City, of counsel.

Walter P. North, Gen. Counsel, Mitchell S. Rieger, Associate Gen. Counsel, Joseph B. Levin, Asst. Gen. Counsel, Meyer Eisenberg, Atty., SEC, Washington, D. C., amicus curiae.

HERLANDS, District Judge.

Does the amended complaint against the eleven defendants state a claim upon which relief can be granted under the Investment Company Act of 1940, 15 U.S.C.A. § 80a-1 et seq.?

The question is raised by motions pursuant to F.R.Civ.P., rule 12(b) (1) and (6), 28 U.S.C.A., made by the attorneys for defendants Calvin Bullock, Ltd., Hugh Bullock and Robert E. Clark, and by the attorneys for defendants Arthur F. Burns, Grayson Kirk...

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