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MOKOVER v. NECO ENTERPRISES, INC.

Civ. A. Nos. 89-0505B, 89-0693B and 90-0202B.

785 F.Supp. 1083 (1992)

Abraham M. MOKOVER as Trustee for Manor Furs Inc. Pension Plan v. NECO ENTERPRISES, INC., et al. Roger MONDSCHEIN v. NECO ENTERPRISES, INC., et al. Abraham M. MOKOVER, as Trustee for Manor Furs Inc. Pension Plan, and Roger Mondschein, on behalf of themselves and all others similarly situated v. NECO ENTERPRISES, INC., David LaRoche, Paul Buff, David Ryan, Bernard Dutra, Richard Hayes and Elliot Cohen.

United States District Court, D. Rhode Island.

March 2, 1992.

Attorney(s) appearing for the Case

Jonathan M. Plasse, Goodkind, Labaton & Rudoff, Richard Appleby, Lawrence P. Kolker, Wolf, Haldenstein Adler, Freeman & Herz, New York City, Matthew F. Medeiros, Flanders & Medeiros, Providence, R.I., for plaintiffs.

William M. Kolb, Temkin & Miller, Mark Pogue, S. Michael Levin, Stephen A. Fanning, Thomas H. Quinn, Jr., Edwards & Angell, Barry J. Kusinitz, Corrente, Brill & Kusinitz, Marc DeSisto, Carroll, Kelly & Murphy, Providence, R.I., for defendants.

OPINION

FRANCIS J. BOYLE, Chief Judge.

This case involves a stockholders' class action and two derivative stockholder actions brought against the directors of Neco Enterprises, Inc. ("NECO"), a Rhode Island corporation. The complaints allege that the Defendant directors breached their fiduciary duty to the corporation and violated Rule 14(a)-9 of the Securities Exchange Act of 1934, which prohibits the issuance of materially false or misleading proxy statements...

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