Securities & Exchange Commission v. American Principals Holdings, Inc. v. Finalco, Incorporated, Claimant/real Party in Interest-Appellant

This is an interlocutory appeal in a receivership proceeding involving a number of related partnerships. Finalco appeals from the district court’s order affirming a compensation payment to the receiver and authorizing a spinoff of some of the partnerships. The dispositive issue is whether such an order is appealable under 28 U.S.C. § 1292 (a)(2). We hold that it is not appeal-able and therefore dismiss the appeal for lack of jurisdiction.

The underlying receivership was instituted at the behest of the Securities and Exchange Commission after an investigation of the activities of American Principals Holdings, Inc. (APHI). APHI is a holding company whose corporate subsidiaries organized, promoted, and managed limited partnership investment programs that were sold to the general public. In 1984, an investigation revealed that APHI had engaged in a pattern of commingling and misappropriation of funds belonging to some of the partnerships. Eighty-one APHI partnerships were brought into the receivership estate.

Fifty-four of the partnerships were involved in business dealings with real estate ventures, while the remaining twenty-seven leased computer equipment purchased from Finalco.…