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CORWIN v. MARNEY, ORTON INVESTMENTS

No. 85-2401.

788 F.2d 1063 (1986)

Charles T. CORWIN, D.D.S., et al., Plaintiffs-Appellants, v. MARNEY, ORTON INVESTMENTS, a General Partnership, et al., Defendants-Appellees.

United States Court of Appeals, Fifth Circuit.

April 30, 1986.

Attorney(s) appearing for the Case

Michael "Mickey" S. Tomasic, Houston, Tex., for plaintiffs-appellants.

Larry R. Veselka, Vinson & Elkins, David L. Burgert, Houston, Tex., for Marney, Orton Investments.

Porter & Clements, John A. Irvine, Gregory A. Bolzle, Houston, Tex., for Sidney Orton.

Barry Alan Brown, Goldberg, Kusin & Brown, Houston, Tex., for Venita Vancaspel & Co.

Before JOLLY, and HILL, Circuit Judges, and HUNTER, District Judge.

ROBERT MADDEN HILL, Circuit Judge:

Plaintiff investors lost money in a Houston office building project and sued pursuant to federal securities laws and the Racketeer Influenced and Corrupt Organizations (RICO) Act, 18 U.S.C. §§ 1961-68. The district court properly dismissed most of the securities claims on statute of limitations grounds, but the court erred in dismissing plaintiffs' claim under Rule 10b-5, 17 C.F.R. § 240.10b-5 (1985), because a fact...

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