Axel N. Eliasen, Robert v. Rollheiser, and Allan L. Apter, on Behalf of Themselves and All Others Similarly Situated v. Itel Corporation

POSNER, Chief Judge.

Three years ago Itel Corporation, which owned all the common stock plus 78 percent of the Class B debentures of the Green Bay & Western Railroad Company, sold the railroad. The owners of the remaining Class B debentures, who are the plaintiffs in this class action against Itel, claim to be entitled to share in the proceeds of the sale over and above the $1,000 face value of each debenture that they received when, in accordance with the terms of their debenture certificates, the debentures were repaid out of the proceeds of the sale. They argue that in refusing to honor…