Real Estate Industry News SampleJun 20, 2002 00:42:15
REAL ESTATE: Trial In Suits Over Limited Partnerships Set July 2002
FREDERICK, Maryland (SunStream News) -- Trial in the class action against Real Estate Associates, Ltd. is set for July 16,2002 in the United States District Court for the Central District of California. The litigation was started in August 1998, when two investors holding an aggregate of eight units of limited partnership interests in Real Estate Associates Limited III and two investors holding an aggregate of five units of limited partnership interest in Real Estate Associates Limited VI. The suit also mentioned as defendants National Partnership Investments Corporation (NAPICO), the partnership’s managing general partner, and certain other affiliated entities. The suit alleges that the defendants breached their fiduciary duty to the limited partners of certain NAPICO managed partnerships and made materially false and misleading statements in the consent solicitation statements sent to the limited partners of such partnerships relating to approval of the transfer of partnership interests in limited partnerships, owning certain of the properties, to affiliates of Casden Properties Inc., organized by an affiliate of NAPICO. In August 1999, one investor holding one unit of limited partnership interest in Housing Programs Limited (an affiliated partnership in which NAPICO is the managing general partner) commenced a virtually identical action in the same court against the same defendants. The second action has been subsumed in the first action, which has been certified as a class action. In August 2001, plaintiffs filed a supplemental complaint, which added new claims, including for a recision of the transfer of partnership interests and an accounting. The defendants believe that the plaintiffs’ claims are without merit and intend to contest the actions vigorously.
ss/bal
Source: Class Action Reporter
Publication Date: 2002-06-20
NWS: LAW
IND: RLT
GEO: n-us-ca
 |
 |
