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NEWMAN v. STEIN

Nos. 855, 856, Dockets 72-1386, 72-1502.

464 F.2d 689 (1972)

Arthur NEWMAN et al., Plaintiffs-Appellees, v. Howard M. STEIN et al., Defendants-Appellees, and Morrie Benson and Rose Lerman, Objectants-Appellants.

United States Court of Appeals, Second Circuit.

Decided June 29, 1972.

Attorney(s) appearing for the Case

Abraham L. Pomerantz, New York City (William E. Haudek, Daniel W. Krasner, and Pomerantz, Levy, Haudek & Block, New York City, of counsel), for plaintiff-appellee Newman.

Charles Trynin, New York City, for plaintiff-appellee Goldberg.

Leibowitt, Milberg, Weiss & Fox, New York City, for plaintiff-appellee Silverman.

Stuart A. Jackson, New York City (John H. Carley, Frank J. Franzino, Jr., and Royal, Koegel & Wells, New York City, of counsel), for defendants-appellees, The Dreyfus Corp. and others.

W. Crosby Roper, Jr., and Covington & Burling, Washington, D. C., for defendant-appellee, The Dreyfus Fund Inc.

H. Richard Penn, Charles B. Salfeld, and Bachner, Tally & Mantell, New York City, for defendant-appellee Bachner.

Robert B. Levin, New York City (Bernard J. Coven, P. C., New York City, of counsel), for objectant-appellant Lerman.

Russell Troutman, P. A., Winter Park, Fla., for objectant-appellant Benson.

Before FRIENDLY, Chief Judge, and LUMBARD and MULLIGAN, Circuit Judges.

FRIENDLY, Chief Judge:

The Dreyfus Fund Incorporated (the Fund), a diversified open-end investment company registered under the Investment Company Act of 1940, is among the largest and has been one of the most successful mutual funds. The Dreyfus Corporation (the Corporation) has been its investment adviser, receiving for its services a fee at the annual rate of 1/2 of 1 percent of the average daily market value of the Fund's net assets. It has also been the Fund...

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