NewYorklawrequiredthateverytaxicabcompanycarry $10,000 of accident liability insurance for each cabinitsfleet.The purposeofthelawwastoen-surethatpassengersandpedestriansinjuredbycabsoperatedbythesecompanieswouldbeadequatelycompensatedfortheirinjuries.Carltonorganized10corporations, each owning and operating two taxi-cabsinNewYorkCity.Eachofthesecorporationscarried $20,000 of liability insurance. Carlton was the principalshareholderofeachcorporation.Thevehicles, the only freely transferable assets of these corporations, were collateral for claims of secured creditors.

The 10 corporations were operated more or less as a unit with respect to supplies,

repairs and employees. Walkovszkywasseverelyinjuredwhenhewasrundownbyoneofthetaxicabs.HesuedCarltonpersonally, alleging that the multiple corporate structure amountedtofrauduponthosewhomightbeinjuredby

the taxicabs. Should the court pierce the corporate veil to reach Carlton

individually?