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INTERNATIONAL DATA BANK, LTD. v. ZEPKIN

No. 86-2052.

812 F.2d 149 (1987)

INTERNATIONAL DATA BANK, LTD., Appellant, v. Eugene ZEPKIN; Harold Grossman; Southern Investment Corporation, a Virginia corporation; BIC, Ltd., a Virginia corporation, Appellees.

United States Court of Appeals, Fourth Circuit.

Decided February 20, 1987.

Attorney(s) appearing for the Case

Robert E. Brown (Howell, Daugherty, Brown & Lawrence, Norfolk, Va., on brief), for appellant.

Beth H. Stann (H. Vincent Conway, Jr., Downing, Conway & Beale, Newport News, Va., on brief), for appellees.

Before CHAPMAN and WILKINSON, Circuit Judges, and BOYLE, United States District Judge for the Eastern District of North Carolina, sitting by designation.

WILKINSON, Circuit Judge:

Eugene Zepkin and Harold Grossman issued a stock prospectus for their new firm, International Data Bank (IDB). The outside investors, who have since ousted Zepkin and Grossman, now control IDB. IDB has sued Zepkin and Grossman, claiming that the prospectus included a fraudulent statement in violation of federal securities laws. IDB seeks treble damages and attorneys' fees for civil violations of the Racketeer Influenced and Corrupt Organizations...

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