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ALFADDA v. FENN

No. 1291, Docket 90-9129.

935 F.2d 475 (1991)

Abdulaziz A. ALFADDA, Abdullah Abbar, Abdulla Kanoo, Abdulaziz Kanoo, Yusif Bin Ahmed Kanoo (a partnership company), and Ahmed A. Zainy, Plaintiffs-Appellants, v. Richard A. FENN, Jamal Radwan, Saudi European Investment Corporation N.V., Saudi European Bank, S.A., Alef Investment Corporation N.V., and Alef Bank, S.A., Defendants-Appellees.

United States Court of Appeals, Second Circuit.

Decided June 5, 1991.

Attorney(s) appearing for the Case

Geoffry D.C. Best, New York City (LeBoeuf, Lamb, Leiby & MacRae, New York City, Gwenellen P. Janov, Elena M. Naughton, Anthony M. Sabino, of counsel), Craig B. Glidden, Houston, Tex. (Beirne, Maynard & Parsons, Houston, Tex., Jeffrey R. Parsons, of counsel), for plaintiffs-appellants.

George A. Davidson, New York City (Hughes Hubbard & Reed, New York City, Daniel H. Weiner, of counsel), for defendant-appellees Jamal Radwan, Saudi European Inv. Corp. N.V., Alef Inv. Corp. N.V., and Alef Bank, S.A.

Thomas J. Kavaler, New York City (Cahill Gordon & Reindel, New York City, Patrick L. Rocco, of counsel), for defendant-appellee Richard A. Fenn.

Joseph F. Haggerty, New York City (Shearman & Sterling, New York City, Danforth Newcomb, Peter L. Lindseth, of counsel), for defendant-appellee Societe de Banque Privee, S.A., formerly Saudi European Bank, S.A.

Before LUMBARD, FEINBERG, and McLAUGHLIN, Circuit Judges.

LUMBARD, Circuit Judge:

Plaintiffs appeal from the November 26, 1990 order of the Southern District of New York, Lawrence M. McKenna, Judge, dismissing their amended complaint for lack of subject matter jurisdiction. Plaintiffs, investors in defendant, Saudi European Investment Corporation N.V. (SEIC) allege that they were defrauded1 when their stake in SEIC was diluted by sales in contravention of an offering prospectus, and that...

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