Investing company liquidating trust

Bartkus, Pinto, Rodgers and Kopf, Morristown, NJ, for Appellee Prudential Insurance Company of America. Ford, Landman, Corsi, Ballaine & Ford, Newark, NJ, for Appellee Federal Home Loan Mortgage Corporation. Moldoff, Adelman, Lavine, Gold & Levin, Philadelphia, PA, for Appellees Oxford Fin Co., and Oxford First Corp. OPINION OF THE COURT ROTH, Circuit Judge: This case arises from the sale of residential realty in Florida. William and Rosanne Tenerelli, purchased lots and homes from General Development Corporation ("GDC") and its subsidiary GDV Financial, Inc. They claim that they were deceived by a fraudulent marketing scheme which induced them to purchase residential lots and homes at inflated prices. The court held that plaintiffs' RICO claims were time-barred; plaintiffs had failed to plead adequately the existence of a RICO conspiracy; and they had failed to satisfy the essential requirements for pleading aider and abettor liability under RICO.

Altieri, Shanley & Fisher, Morristown, NJ, for Appellee Painewebber, Inc. Colodner, Kirkpatrick & Lockhart, New York, NY, for Appellee Merrill, Lynch, Pierce, Fenner & Smith, Inc. Reisberg, Willkie, Farr & Gallagher, New York, NY, Robert E. Fitzgerald, Gunster, Yoakley, Valdes-Fauli & Stewart, West Palm Beach, FL, for Appellee National Bank of Canada. George Kielman, Federal Home Loan Mortgage Corporation, Legal Department, Mc Lean, VA, Gerald T.

Exhibit 1 Action of Trustees Under City Investing Company Liquidating Trust Agreement the Undersigned, Trustees Under the City Investing Company Liquidating Trust Agreement (The "Trust Agreement") Dated September 25, 1985, by and Between City Investing Company and the Undersigned, Hereby Take the Following Action Pursuant to Section 6.2 (Q) of the Trust Agreement: Resolved That, Because Certain Contingent Liabilities May Not Be Resolved Prior to September 25, 2005 the Existence of the Trust Is Hereby Extended Until the Earlier of (A) the Complete Distribution of the Trust Estate or (B) September 25, 2006, Unless an Earlier Termination Is Required by the Applicable Laws of the State of Delaware or by the Action of the Beneficiaries as Provided in Section 4.2 of the Trust Agreement or a Later Termination Is Required by the Trustees Pursuant to Section 6.2 (Q) of the Trust Agreement.

in Witness Whereof, the Undersigned Have Caused This Action to Be Taken as of the 29th Day of July of 2005. Carson Trustee _____________________________________ John J. Quirk Trustee _____________________________________ Lester J. Mantell Trustee" href="#" Exhibit 1 Action of Trustees Under City Investing Company Liquidating Trust Agreement the Undersigned, Trustees Under the City Investing Company Liquidating Trust Agreement (The "Trust Agreement") Dated September 25, 1985, by and Between City Investing Company and the Undersigned, Hereby Take the Following Action Pursuant to Section 6.2 (Q) of the Trust Agreement: Resolved That, Because Certain Contingent Liabilities May Not Be Resolved Prior to September 25, 2005 the Existence of the Trust Is Hereby Extended Until the Earlier of (A) the Complete Distribution of the Trust Estate or (B) September 25, 2006, Unless an Earlier Termination Is Required by the Applicable Laws of the State of Delaware or by the Action of the Beneficiaries as Provided in Section 4.2 of the Trust Agreement or a Later Termination Is Required by the Trustees Pursuant to Section 6.2 (Q) of the Trust Agreement.

The Inside Director Defendants include Edwin Hatch, Marshall Manley, Eben Pyne and George Scharffenberger, individuals who served as directors of GDC and City Trust for various periods from September 1985 onwards. Some, for example, underwrote the 5,000,000 in notes issued by GDC in its 1988 public offering.

GDC also borrowed in excess of 0 million,3 which was remitted to City as a dividend. The Financing Defendants include banks and financial institutions,4 who provided a variety of financial services to the other defendants.

Another "warehoused" new GDV mortgages until they could be pooled and sold, while also lending GDV money using these mortgages as collateral.

The Complaint further alleges that much information was concealed from prospective purchasers, including the very low resale value of the lots, the artificial nature of the original sale prices of the lots, and the fact that most purchasers defaulted within two years, allowing GDC to cancel their contracts and resell the same lots over and over again.

Prospective purchasers were invited to attend lavish "investment seminars" at which GDC represented that the value of the real estate continually appreciated, that there was a good resale market for the lots and houses, and that the real estate was an excellent investment.

Perretti, Jr., Riker, Danzig, Scherer, Hyland & Perretti, Morristown, NJ, for Appellees Cravath, Swaine & Moore and David G. Plaintiffs assert that the district court erred in dismissing their RICO claims and abused its discretion by denying them leave to amend their complaint.

Boyle, Kelley, Drye & Warren, Parsippany, NJ, for Appellee Greyhound Financial Corporation. Schiavone, Budd, Larner, Gross, Rosenbaum, Greenberg & Sade, Short Hills, NJ, for Appellee Federal National Mortgage Association. Edwards, Davis, Scott, Weber & Edwards, New York, NY, for Appellees David F. Following a remand for reconsideration of plaintiffs' claims in light of our decision in Jaguar Cars, Inc. Royal Oaks Motor Car Co., The present appeal is from the district court's decision on remand.

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