Fed. Sec. L. Rep. P 95,919 Arnold Marshel v. Afw Fabric Corp., Barry L. Swift v. Concord Fabrics Inc.

This case, remanded to this Court by the Supreme Court of the United States, turns on one of the most debated questions in the securities field, whether or not a “going-private” transaction gives rise to a federal cause of action. We vacate the order of the district court, and remand the case with instructions to dismiss the prayer for injunctive relief as moot, and to await the imminent resolution of this issue by the Supreme Court.

The prior history of this litigation is contained in our opinion reported at 533 F.2d 1277 (2d Cir.), vacated, 429 U.S. 881, 97 S.Ct. 228, 50 L.Ed.2d 162 (1976).…