BAUMEL v. ROSEN

Nos. 12648, 12649.

412 F.2d 571 (1969)

Milton J. BAUMEL, Appellee, v. Leonard ROSEN and Julius J. Rosen, and Rosen Investment Corporation, Appellants. Earl R. WEINER and Anita L. Weiner, Appellees, v. ROSEN INVESTMENT CORPORATION, Leonard Rosen, and Julius J. Rosen, Appellants.

United States Court of Appeals Fourth Circuit.

Decided May 22, 1969.


Attorney(s) appearing for the Case

H. Vernon Eney and Charles C. W. Atwater, Baltimore, Md. (Mylander & Atwater, Robert R. Bair, Stuart H. Rome, Alan D. Yarbro, Richard W. Emory, Jr., and Venable, Baetjer & Howard, Baltimore, Md., on brief) for appellants.

Morton E. Yohalem, Washington, D. C., and George Cochran Doub, Baltimore, Md. (Weinberg & Green, Baltimore, Md., H. Don Cummings, Washington, D. C., Zelig Robinson, Baltimore, Md., Joel Yohalem, Washington, D. C., and Lee N. Koehler, Baltimore, Md., on the brief) for appellees.

Before SOBELOFF, BOREMAN and BRYAN, Circuit Judges:


ALBERT V. BRYAN, Circuit Judge.

The Securities Exchange Act of 1934, 15 U.S.C. § 78a et seq., and an accompanying enforcement rule are the basis for the decrees now on appeal. These orders rescind the purchases by the defendants in 1957 from the plaintiffs of capital stock of the Gulf American Company, a Florida corporation.1 Affirmative misrepresentations by the defendants and their reticence in regard to other facts were found by...

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