IN RE LONGHORN SECURITIES LITIGATION

MDL Docket No. 525.

573 F.Supp. 255 (1983)

In re LONGHORN SECURITIES LITIGATION.

United States District Court, W.D. Oklahoma.

September 28, 1983.


Attorney(s) appearing for the Case

Raymond N. Erlach, Hunt, Gram & Epstein, San Francisco, Cal., for Edward G. Hirn, Jack Mabray, etc., Penn Square Nat. Bank, et al., Frank Thomas, et al., Robert R. Agnew, et al., Frank C. Lenahan, et al., Robert R. Agnew, et al., Norman Hinman, et al.

Bart A. Boren, Bodnar, Williams & Boren, Oklahoma City, Okl., for American Bank and Trust, Edmond, Okl.

James E. O'Halloran, Jr., O'Halloran, Lively & Walker, Northbrook, Ill., H. Thomas Coghill, Coghill & Goodspeed, Denver, Colo., for D & G Enterprises, et al.

Murray E. Abowitz, Abowitz & Welch, Oklahoma City, Okl., for Longhorn Oil & Gas Co., et al., Longhorn Developmental Program, Ltd. et al., Longhorn Gas Programs Inc., et al., and Longhorn Specified Property Drilling Programs, Ltd., et al.

John A. McCaleb, Fenton, Fenton, Smith, Reneau & Moon, Oklahoma City, Okl., for Neal A. McCaleb.

Jay R. Bond, Oklahoma City, Okl., for Jack Coleman, et al.

Richard D. Hampton, Oklahoma City, Okl., for F. Joseph Scharon.

O. Christopher Meyers, Lawton, Okl., for William W. Cook, et al., Charles R. Gibbs et al.

David A. Cheek, McKinney, Stringer & Webster, Oklahoma City, Okl., for Citizen's Nat. Bank & Trust Co.

Eddie Y. Newcombe, Lawton, Okl., Security Bank and Trust Co. of Lawton.

William S. Dixon, Robert M. St. John, Rodey, Dickason, Sloan, Akin & Robb, P.A., Albuquerque, N.M., for Carl Brown and 1st Nat. Bank in Albuquerque.

John M. Eaves, Eaves & Darling, Albuquerque, N.M., for Conley G. Defferding, et al.

Kenneth A. Hunt, Query, Fairfield, Reecer, Strotz & Stribling, Albuquerque, N.M., for Jack Kennedy, et al.

John M. Law, Denver, Colo., for Fred B. Groves, et al.

Michael J. Peterson, Bosworth & Slivka, P.C., Denver, Colo., for JMJ Partnership, et al., 4-Square Investment Club, etc., et al., John R.P. Wheeler.

John W. Suthers, Timothy V. Dix, Sparks, Dix & Enoch, Norman A. Palermo, Phillip A. Vaglica, Quigley & Palermo, Bernard L. Trott, Terry D. Hendricks, Hendricks & Hendricks, Robert Dunlap, Gerald Tolley, Colorado Springs, Colo., for Inland Foods, Inc. et al., Roy Jackson, et al., Ronald M. Semevold, Randolph G. Lundeen, Ray L. Wilson, Lyle L. Guslander, James C. Wo, et al.

Peter J. Mitoff, Southfield, Mich., for Ralph Sophiea.

David J. Hutchinson, Hooper, Hathaway, Price, Beuche & Wallace, Ann Arbor, Mich., for MOG Investors, et al.

Edmond F. Devine, Ann Arbor, Mich., for Nat. Bank and Trust Co. of Ann Arbor, et al.

Stanley R. Kirk, Detroit, Mich., for Doylan B. Forney.

Ross R. Kinney, Quarles & Brady, Milwaukee, Wis., for Benjamin J. Free, etc., Mary Jane K. Hanson, Gene and Martin Siegel.

Alan Marcuvitz, Peregrine, Marcuvitz & Peltin, Milwaukee, Wis., for Gene Klurfeld.

Jack J. Gimbel, Milwaukee, Wis., for Martin Siegel.

Michael B. Apfeld, Godfrey & Kahn, Milwaukee, Wis., for Matt Meyer.

Richard D. Burbidge, Stephen B. Mitchell, Burbidge, Mabey & Mitchell, Salt Lake City, Utah, for Alan F. Frank, et al., G. Myron Harrison, Dr. Robert Horne.

Stewart H. Foreman, Shartisis, Friese & Ginsburg, San Francisco, Cal., for Authur J. Shartsis, et al.

Thomas H. Dahlk, Fitzgerald, Brown, Leahy, Strom, Schorr & Barmettler, Omaha, Neb., for Richard C. Kekeise, et al., Edward E. Gatz, et al., David N. Kettleson, et al., Harold H. Brandt, et al.

Thomas F. Flaherty, Zweiback, Kasher, Flaherty & DeWitt, P.C., Omaha, Neb., for Northwestern Nat. Bank, et al., First Westroads Bank, Inc., Bank of the Midlands.

Keith I. Frederick, Schmit, Ford, Mooney & Frederick, Omaha, Neb., for Southwest Bank of Omaha, et al., Security Nat. Bank of Omaha.

Dean F. Suing, Katskee & Henatsch, Omaha, Neb., for Omaha Nat. Bank.

Henry C. Phibbs, II, Jackson, Wy., G. Bland Hoke, Jr., et al.

R. Michael Mullikin, Jackson, Wyo., for First Wyoming Bank, et al.

John B. Rogers, Cheyenne, Wyo., for Pacific Investments, et al.

Dean Carlton, Dallas, Tex., for Laurella J. Milfeld.

Gerrit H. Wormhoudt, Thomas J. Lasater, Fleeson, Gooing, Coulson & Kitch, Wichita, Kan., for Kansas State Bank & Trust Co., et al.

Gerald F. Hempstead, Suelthaus, Drueger, Cunningham, Yates & Kaplan, St. Louis, Mo., for Laurence Avins, County Bank of St. Louis, et al.

John T. Murphy, Jr., St. Louis, Mo., for Climate Engineering Corp.

S. Michael Thomas, Hanlon, Nouss, Inkley & Coughlin, Clayton, Mo., for United Missouri Bank of St. Louis.

Dudley C. Dunlop, Clayton, Mo., for Arthur J. De Shetler.

Rodney W. Sippel, Husch, Eppenberger, Donohue, Elson & Cornfeld, St. Louis, Mo., for Mark Twain State Bank.

Ford, Marrin, Esposito & Witmeyer, New York City, for CGZ Partnership, etc., et al.

Sol V. Slotnik, New York City, for Arlene Roberts.

Coles & Griffin, Ltd., Chicago, Ill., for David C. Burnidge.

Ralph Elliott, Robert Plager, Plager, Hasting & Krug, Freeport, Ill., for 1st Nat. Bank of Freeport.

Alan M. Oshima, Carlsmith, Carlsmith, Wichman & Case, Honolulu, Hawaii, for Bank of Hawaii.

Wallace S. Fujiyama, Fujiyama, Duffy & Fujiyama, Honolulu, Hawaii, for First Hawaiian Bank.

David E. Wagenseller, Shirk, Reist & Posey, Lancaster, Pa., for Sidney Lieberman.

John K. Villa, Williams & Connolly, Washington, D.C., for Carl W. Swan.

Jeffrey L. Smith, Cohen, Brame & Smith, P.C., Denver, Colo., for Jay L. Anderson.

Roger L. Keithley, Krys, Boyle, Golz & Keithley, Denver, Colo., for Dennis C. Russell.

Charles C. Green, Turner, Turner, Green & Baun, Oklahoma City, Okl., for Bill P. Jennings.

John N. Hermes, Reid E. Robinson, Oklahoma City, Okl., John Michael Clear, Bryan, Cave, McPheeters & McRoberts, St. Louis, Mo., Nancy E. Friedmen, Sheinfeld, Maley & Kay, Houston, Tex., for Stifel, Nicolaus and Co., Inc., Robert M. Cochran, J.D. Allen.

Cheryl A. Crandall, John E. Bush, Denver, Colo., for Central Bank and Trust Co. d/b/a Central Bank of Denver.

Robert C. Fisk, Finlayson, McKie & Fisk, Omaha, Neb., for Bank of Millard.

Paul Scott Dye, Baird, Holm, McEachen Pedersen, Hamann & Strasheim, Omaha, Neb., for Douglas County Bank and Trust Co.

Joseph Polack, Polack & Woolley, P.C., Omaha, Neb., for U.S. Nat. Bank of Omaha/Center Bank.

Meyer H. Coren, Viren, Epstein, Leahy & Coren, Omaha, Neb., for First Westside Bank.

Clayton Byam, Omaha, Neb., for American Nat. Bank.

William J. Mueller, Sodoro, Daly & Sodoro, Omaha, Neb., for Ames Bank.

Joyce Dixon, Dixon, Dixon & Minahan, P.C., Omaha, Neb., for First Nat. Bank of Omaha.

Mary Beth Frankman, Nelson & Harding, Omaha, Neb., for Packers Nat. Bank In Omaha.

Michael Kirschner, Hastie & Kirschner, Oklahoma City, Okl., for Utica Nat. Bank & Trust Co.

Edward F. Pohren, Omaha, Neb., for Northside Bank.

Burck Bailey, Oklahoma City, Okl., for William Patterson.

Grey W. Satterfield, Kornfeld, Satterfield, McMillin, Harmon, Phillips & Upps, Oklahoma City, Okl., for Continental Drilling Co.

Randall A. Peterman, Elam, Burke, Evans, Boyd & Koontz, Boise, Idaho, for First Interstate Bank of Idaho, N.A.

Michael Ryan, Milwaukee, Wis., for First Bank of Milwaukee, N.A.

Charles A. Crocco, Jr., Lunney & Crocco, New York City, for Citibank, N.A.

Robert S. Baker, Michael L. Bardrick, Oklahoma City, Okl., Richard M. Franklin, Baker & McKenzie, Chicago, Ill., for Cyril H.C. Fung.

Tym J. Kerr, Crowley, Fuller & Manning, Chicago, Ill., for Timothy Brennan.

Gregory R. Piche, R. Tim McKenna, Spurgeon, Haney & Howbert, Colorado Springs, Colo., for Exchange Nat. Bank.

William Stratton, Lawton, Okl., for Sheridan Bank.

R. Keith Jennings, Lawton, Okl., for Ft. Sill Nat. Bank.

James E. Work, Shirk, Work, Robinson & Williams, Oklahoma City, Okl., for Nichols Hill Bank.

Roland Tague, Groves, Bleakley & Tague, Oklahoma City, Okl., for Fidelity Bank, N.A.

Lowell T. Cage, Leger, Hall, Hill, Glover & Gage, Houston, Tex., for TOS Industries, Inc. d/b/a Texas Oil Field Supply, Inc.

Kenneth Spears, Spears & Forbes, Oklahoma City, Okl., for First Penn Corp.

Robert G. Perrine, Talley & McIlroy, Norman, Okl., for Eldon L. Beller.

Harold M. Durall, Oklahoma City, Okl., for Frank L. Murphy.

James W. Bill Berry, Oklahoma City, Okl., David M. Becker, Wilmer, Cutler & Pickering, Washington, D.C., for Ronald H. Burks.

John Snodgrass, David T. Hedges, Jr., Vinson & Elkins, Houston, Tex., for Elizabeth Merrick Cole, Gary M. Cook, James G. Randolph, Jerry Richardson, W.A. "Dub" Ross, Gene Smelser.

Jack G. Bush, Bush, Klaus & Underwood, Oklahoma City, Okl., for C.F. "Tag" Kimberling.

George F. Short, Short, Barnes, Wiggins, Margo, Adler & Worten, Oklahoma City, Okl., for Marvin K. Margo.

John Goodman, Oklahoma City, Okl., for John Preston.

James A. Kirk, Kirk & Chaney, Oklahoma City, Okl., for Bill Stubbs.

Fred S. Nelson, Hall, Estill, Hardwick, Gable, Collingsworth & Nelson, Tulsa, Okl., for John E. Rooney.

Kirk D. Fredrickson, Day, Fredrickson, Merrick & Patton, Oklahoma City, Okl., for Inv. Search, Inc.

Clem W. Fairchild, Linde, Thomson, Fairchild, Langworthy, Kohn & Van Dyke, Kansas City, Mo., for Lawrence C. Zink, et al.

David A. Welte, Polsinelli, White, Schulte & Vardeman, Kansas City, Mo., for Traders Bank of Kansas City.

Duke W. Ponick, Jr., Kansas City, Mo., for Metropolitan Bank.

Dennis R. Rilinger, Watson, Ess, Marshall & Enggas, Kansas City, Mo., for City Bank & Tr. Co., United Missouri Bank, Overland Park Bank & Trust Co.

Ford R. Nelson, Jr., Dietrich, Davis, Dicus, Rowlands & Schmitt, Kansas City, Mo., for Blue Ridge Bank & Tr. Co.

Lewis A. Heaven, Jr., Bennett & Heaven, Shawnee, Kan., for Shawnee State Bank.

Benjamin F. Mann, Blackwell, Sanders, Matheny, Weary & Lombardi, Hal E. Morris, Kansas City, Mo., for Commerce Bank of Independence.

Laurel Bank of Raytown, Raytown, Mo., pro se.

Jack B. Robertson, Field, Gentry, Benjamin & Robertson, Kansas City, Mo., for Mercantile Bank & Trust Co.

James Douglas Pickett, Winnsboro, Tex., for Ben Jones.

Jerry Russell, Dallas, Tex., for American Nat. Bank of Garland, Texas.

Barry R. Davis, Lee, Beuch, Davis & Coulson, Oklahoma City, Okl., for V.L. Fred Smith.

Matthew J. Iverson, Abraham & Fox, Chicago, Ill., for Roy Jackson, et al.

James P. Houghton, Albuquerque, N.M., Charles C. Baker, Richard B. Noulles, Ronald N. Ricketts, Gable & Gotwals, Tulsa, Okl., Kenneth E. Sherer, Freeman, McKenzie, Mathews, Sherer & Stepek, Mount Clemens, Mich., Richard C. Mellon, Elam, Burke, Evans, Boyd & Koontz, Boise, Idaho, Duncan L. Clore, Dallas, Tex., James A. Walker, Martin, Pringle, Oliver, Triplett & Wallace, Wichita, Kan., James M. Byrne, Lashly, Caruthers, Baer & Hamel, St. Louis, Mo., Richard C. Sutton, Jr., G. Richard Morry, Hamilton, Gibson, Nickelsen, Rush & Moore, Honolulu, Hawaii, S. Rex Lewis, Howard, Lewis & Peterson, Provo, Utah, John E. North, Jr., Omaha, Neb., Stephen V. Moser, Holland & Hart, Denver, Colo., Mark Solomon, Lionel, Sawyer & Collins, Las Vegas, Nev., James P. Houghton, Albuquerque, N.M., Daniel M. Donahue, Michael F. O'Brien, Paddock, McGreevy & Johnson, Rockford, Ill., for Federal Deposit Ins. Corp.

Michael H. Schaalman, Mark E. Sanders, Quarles & Brady, Milwaukee, Wis., for Gene Klurfeld, Martin Siegel.

H. Thomas Coghill, Coghill & Goodspeed, Denver, Colo., Bruce T. Wallace, Hooper, Hathaway, Price, Beuche & Wallace, Ann Arbor, Mich., for Carl Brown, Inland Foods, et al., JMJ Partnership, et al., Four Square Investment Club, et al., John R.P. Wheeler, G. Bland Hoke, et al., Laurence Avins, Climate Engineering Corp., Arthur J. De Shetler, Barry K. Gray.

Red Bridge Mercantile Bank, Kansas City, Mo., pro se.

R.G. Roberts, president, Citizens Nat. Bank, Fort Scott, Kan., for Citizens Nat. Bank.

Earnest W. Lohf, Lohf & Barnhill, P.C., Denver, Colo., William E. Shade, Shade, Doyle, Klein, Otis, Shaba & Frey, Charles A. Karowsky, Karowsky, Witwer & Oldenburg, Greeley, Colo., for John R. Serhant.

Douglas Edwards, Beckley, Singleton, DeLanoy & Jemison, Las Vegas, Nev., for Chester W. Eskey, Joseph W. Brown, John H. Payne.

John C. Whelton, Las Vegas, Nev., for Valley Bank of Nevada.

Greeley Nat. Bank, Greeley, Colo., pro se.

Horton, Barbaro & Reilly, Santa Ana, Cal., pro se.

Oster & Shuchman, Santa Ana, Cal., for Sunwest Bank, et al.

B.G. Iverson, Monroe, La., for John Mabray, etc.

Burton L. Wade, Thompson L. Clarke, St. Joseph, La., for Tensas State Bank.

D.R. Sartor, Jr., Snellings, Breard, Sartor, Inabnett & Trascher, Monroe, La., for Tensas State Bank, American Bank & Tr. Co. of Lafayette, et al.

James R. Lewis, Lewis & Lolley, Lafayette, La., for Thomas J. Hanchey.

John W. Hutchison, Voorhies & Labbe, Lafayette, La., for American Bank & Trust Co. of Lafayette, et al.

David Foltyn, Honigman, Miller, Schwartz & Cohn, Detroit, Mich., for Richard Sucher.

John H. Bernstein, Higgins & Okun, Omaha, Neb., for William Chrisman.

Daniel E. Duncan, Albuquerque, N.M., for Leroy J. Miller.

John M. Kulikowski, Albuquerque, N.M., for First Interstate Bank.

Steven Fairfield, Query, Fairfield, Reecer, Strotz & Stribbling, Albuquerque, N.M., for Jack Price.

John Beckstead, Greene, Callister & Nebeker, Salt Lake City, Utah, for Zions First Nat. Bank.

John C. McMurry, Oklahoma City, Okl., for plaintiffs.

Peter F. Lindborg, Albuquerque, N.M., for Conley G. Defferding, et al.

A.P. Murrah, Jr., Oklahoma City, Okl., for Omaha Bank Group, First Interstate Bank.

James P. Linn, Ricki S. Darby, Linn & Helms, Oklahoma City, Okl., for Michigan Nat. Bank.

Blair J. Trautwein, Hathaway, Speight & Kunz, Cheyenne, Wyo., for First Wyoming Bank.

Frank V. Ariano, Elgin, Ill., for Larkin Bank.

Joyce A. Dixon, Dixon, Dixon & Minahan, Omaha, Neb., for First Nat. Bank of Omaha.

Donald E. Downen, Gigray, Miller, Downen & Weston, Caldwell, Idaho, for Edward G. Hirn.

P. Mark Thompson, Hawley, Troxell, Ennis & Hawley, Boise, Idaho, for Longhorn Oil & Gas, Longhorn Gas Programs, Inc., Carl Swan, J.D. Allen, John Lang.

Paul Walters, Edmond, Okl., for Bobby Brown, Jerry Brown, Richard Anderson, Imozelle Anderson.

James A. Jennings, Oklahoma City, Okl., for Liberty Bank.

Richard Young, Lawrence Ponoroff, Colorado Springs, Colo., Stephen L. Elliott, Kemp, Smith, Duncan & Hammond, Albuquerque, N.M., Kaye, Scholer, Fierman, Hays & Handler, New York City, Darrell L. Warta, Jay F. Fowler, Foulston, Siefkin, Powers & Eberhardt, Wichita, Kan., J. William Conger, Harzog, Conger & Cason, Oklahoma City, Okl., for Longhorn Gas Programs, et al.

Joel Wilkinson, Dallas, Tex., for Laurella Milfeld.

John B. McClane, Godfrey, Decker, McMackin, Shipman, McClane & Bourland, Fort Worth, Tex., for Longhorn Oil & Gas, Longhorn specified properties, Carl Swan.

George W. Bramblett, Jr., Haynes & Boone, Dallas, Tex., for Bill Jennings.

James R. Gilliland, Gilliland, Hays, Gilliland & Dillon, Hutchinson, Kan., for Central State Bank of Hutchinson.

Dennis O. Smith, Hutchinson, Kan., for Bank of Kansas South Hutchinson.

Thomas Cummings, Clayton, Mo., for County Bank of St. Louis.

Robert L. Roark, McKinney, Stringer & Webster, Oklahoma City, Okl., for CGZ Partnership et al.

Stephen Moore, Thomas, Thomas, Keeling & Moore, Rockford, Ill., for Ronald M. Semevolos.

Thomas Laughlin, Connolly, Oliver, Goodard, Coplan & Close, Mark Boswell, Rockford, Ill., for American Nat. Bank & Trust Co. of Rockford.

Vernon Char, Peter J. Herman, Damon, Key, Char & Bocken, Honolulu, Hawaii, for Lyle Guslander, et al.

Thomas J. Dunn, Joseph L. Werntz, Moses, Dunn, Gecley, Espinosa & Tuthill, Albuquerque, N.M., for C. Blake Chanslor.

Martin E. Threet, Albuquerque, N.M., for American Bank of Commerce.

Gerald D. Mindell, Arthur F. Radke, Paul K. Vickrey, Chicago, Ill., John B. Estes, Harry A. Woods, Jr., Oklahoma City, Okl., for Continental Illinois Nat. Bank & Trust Co. of Chicago.

Jon J. Key, Reno, Nev., for William O. Pearce.

Edward J. McIntyre, Gray, Cary, Ames & Frye, San Diego, Cal., Jones, Givens, Gotcher, Doyle & Bogan, Inc., Graydon D. Luthey, Jr., Tulsa, Okl., for third party witnesses.


ORDER

EUBANKS, Chief Judge.

What began in late 1981 and early 1982 as a few, scattered securities fraud suits has grown to be a massive, multidistrict litigation. In re Longhorn Securities now encompasses over eighty individual actions, involving hundreds of plaintiffs and well over fifty defendants, including: Longhorn Oil and Gas Company and its officers, directors, subsidiaries, related entities, stockbrokers...

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