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BANK OF NEW YORK v. SHEFF

No. 137, Sept. Term, 2003.

854 A.2d 1269 (2004)

382 Md. 235

The BANK OF NEW YORK, Trustee, et al. v. Ronald SHEFF, et al.

Court of Appeals of Maryland.

July 28, 2004.

Attorney(s) appearing for the Case

William A. Davis (Noam B. Fischman, Mintz, Levin, Cohn, Ferris, Glovsky and Popeo, P.C., on brief), Washington, DC, for appellants.

Gerson A. Zweifach (Joseph G. Petrosinelli, John E. Joiner, Lucius T. Outlaw, III, Williams & Connolly, LLP, Washington, DC, Kevin J. McCarthy, McCarthy & Costello, Bowie, on brief), for appellees.

Argued before BELL, C.J., RAKER, WILNER, HARRELL, BATTAGLIA, GREENE, ELDRIDGE, JOHN C. (Retired, Specially Assigned), JJ.

WILNER, J.

This action arises from the sale of nearly $50 million in tax-exempt revenue bonds by Prince George's County, Maryland, in 1993. The ultimate recipients of the net proceeds and the true borrowers were health care providers in the District of Columbia-Prince George's County area that comprised the Greater Southeast Healthcare System. Everyone agrees that the county acted merely as a conduit; it issued the bonds, received the proceeds of

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