Harry Lewis v. Robert S. Odell, and Howard Butcher III

HAYS, Circuit Judge:

Appellant commenced this action alleging that appellee Butcher, while a director of Penn Central Company, used material inside information for the benefit of himself, the brokerage firm of Butcher & Sherrerd, of which he is a partner, and its customers, and International Utilities- Corporation, of which he was also a director. Appellant seeks recovery on behalf of Penn Central and its railroad subsidiary, Penn Central Transportation Company. 1

Appellant originally brought the action under section 10(b) of the Securities Exchange Act of 1934, 15 U.S.C. § 78j(b) (1970), and…