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WRIGHT v. HEIZER CORP.

Nos. 76-1140, 76-1700, 76-1701 and 76-1702.

560 F.2d 236 (1977)

Peter WRIGHT and Beneficial Standard Corporation, Plaintiffs-Appellants, Cross-Appellees, v. The HEIZER CORPORATION, Defendant-Appellee, Cross-Appellant, and International Digisonics Corporation, Defendant-Appellee.

United States Court of Appeals, Seventh Circuit.

Decided June 30, 1977.

As Modified September 9, 1977.

Attorney(s) appearing for the Case

Edward Slovick, James S. Gordon, Theodore M. Becker, J. Samuel Tenenbaum, Chicago, Ill., for Wright and Beneficial Standard.

Max Wildman, Bernard Harrold, Jerald P. Esrick, Robert E. Kehoe, Jr., Chicago, Ill., for defendant, Heizer Corp.; Ray Garrett, Jr., Wildman, Harrold, Allen & Dixon, Chicago, Ill., of counsel.

Before CASTLE, Senior Circuit Judge, and TONE and WOOD, Circuit Judges.

TONE, Circuit Judge.

These consolidated appeals arising out of a single case present issues under § 10(b) of the Securities Exchange Act of 1934, 15 U.S.C. § 78j, and Rule 10b-5 thereunder. Both plaintiffs join in a shareholders' derivative claim, asserting that the dominant shareholder defrauded the corporation in a series of five securities transactions. In addition, one of the plaintiffs asserts a claim against...

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