Fed. Sec. L. Rep. P 93,474 Alexander Tcherepnin v. Robert Franz, J. J. Lowenthal, Class of Intervening

PELL, Circuit Judge.

This court once again is confronted with a problem stemming from the collapse of City Savings Association (CSA), a savings and loan institution chartered by the State of Illinois and presently under the control of federal receivers. The main contention of the appellants here, a group of depositors-shareholders, is that the district court erred in concluding that another group of depositors-shareholders (the plaintiffs in the action) has a preference in the distribution of CSA’s assets. The appellants assert they, too, were defrauded in violation o,f the anti-fraud…