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MALDONADO v. DOMINGUEZ

No. 97-1345.

137 F.3d 1 (1998)

Miguel MALDONADO, et al., Plaintiffs-Appellants, v. Ramon DOMINGUEZ, et al., Defendants-Appellees.

United States Court of Appeals, First Circuit.

Decided February 27, 1998.

Attorney(s) appearing for the Case

Hilda Surillo-Peña, with whom Jaime Sifre-Rodríguez, Luis A. Meléndez-Albizu and Sánchez-Betances & Sifre, Hato Rey, PR, were on brief, for appellants.

Jorge Pérez-Díaz, with whom Pietrantoni Méndez & Alvarez, San Juan, PR, was on brief, for Dean Witter Reynolds, Inc.

Amanda Acevedo-Rhodes, with whom Luz Ivette Rivera and Luz Ivette Rivera & Asociados, Hato Rey, PR, were on brief, for appellee Ramón Domínguez.

Before TORRUELLA, Chief Judge, CYR, Senior Circuit Judge, and DiCLERICO, District Judge.

TORRUELLA, Chief Judge.

Plaintiffs invested in and became directors of a corporation called the Puerto Rico International Bank ("PRIBANK"), which was designed to create huge profits for its investor-directors by leveraging its collateral with low interest loans in order to purchase higher interest mortgage obligations. When PRIBANK failed, the plaintiffs brought this suit, claiming that the investment bankers marketing the PRIBANK stock defrauded them by failing to...

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