Fed. Sec. L. Rep. P 92,929 Theodore B. Wessel v. L. M. Buhler and N. A. Jordan

Appellants, stockholders of Rocky Mountain Chemical Corporation (“RMC”), appeal from adverse portions of a judgment against L. M. Buhler, president of RMC, and from a judgment in favor of N. A. Jordan, an accountant, in their actions to recover damages for losses allegedly caused by the violations by Buhler and Jordan of Rule 10b-5 of the Securities and Exchange Commission, 17 C.F.R. § 240 .10b-5.

Appellants initiated the action against Buhler, certain other officers and directors of RMC, and Jordan, on their own behalf and for some 4000 other stockholders who had purchased RMC’s stock in reliance upon three prospectuses dated February 10, 1960, August 1, 1961, and March 11, 1963. Appellants’ class action averments were stricken by the district court on motion of appellees and their codefendants. All of the defendants, other than Buhler and Jordan, settled with the appellants before trial. At the close of appellants’ case in chief, the court granted Jordan’s motion for a directed verdict.; The cause proceeded to judgment against Buhler, who has not appealed. The jury returned separate verdicts as to each appellant, expressly finding liability to each and awarding damages to each,…