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ARROW DISTRIBUTING CORP. v. BAUMGARTNER

No. 85-1085.

783 F.2d 1274 (1986)

ARROW DISTRIBUTING CORP., Plaintiff-Appellant, v. Richard A. BAUMGARTNER, et al., Defendants-Appellees.

United States Court of Appeals, Fifth Circuit.

As Amended on Denial of Rehearing May 7, 1986.

Attorney(s) appearing for the Case

Morris J. Levy, New York City, Ronald E. Holub, Dallas, Tex., for Arrow Distributing Corp.

John A. Gilliam, Alan R. Bromberg, Dallas, Tex., for Baumgartner, Eaton & Padgett.

Burke & Burke, New York City, R. Edwin Pearce, Dallas, Tex., for Hogan Systems.

Before GEE, RUBIN and DAVIS, Circuit Judges.

ALVIN B. RUBIN, Circuit Judge:

A shareholder sued under § 16(b) of the Securities Exchange Act of 1934,1 on behalf of a corporation whose stock has been registered in accordance with the Act,2 to recover profits realized by the corporation's officers on the sale of corporation stock. The officers sold stock before the registration, then, after the registration and within six months of the date of sale...

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