The Second Circuit Court of Appeals has held that a prima facie case has not been presented under section 10(b) and rule 10(b)-(5) when an apparent fraudulent scheme did not collectively infect two separate transactions, nor affect the securities exchange market and/or the investing public.
Drachman v. Harvey, No. 35077 (2d Cir., July 21, 1971).
Alan C. Klein,
Corporations - Section 10(b) and Rule 10(b)-(5) of the Securities Exchange Act of 1934,
Duq. L. Rev.
Available at: https://dsc.duq.edu/dlr/vol10/iss4/11