The regioselective reduction of a range of N-substituted-4,4-dimethylhomophthalimid derivatives gave the related carbinol amides that function as acyliminium ion precursors in the presence of Lewis or protic acids; the fate of the acyliminium ions is determined in part by the nucleophilicity of the beta-arylethyl group on nitrogen, the electrophile used to generate the ion, and the precise reaction conditions and led either to cyclisation reactions or methyl migration. (C) 2000 Elsevier Science Ltd. All rights reserved.