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         UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Litigation Release No. 14819 / February 16, 1996

Accounting and Auditing Relaease No. 761 / February 16, 1996

SEC v. MICHAEL MONUS, PATRICK FINN, JOHN ANDERSON AND JEFFREY
WALLEY, Case No. 4:95 CV 975, (N.D. OH, filed May 2, 1995)

     The Securities and Exchange Commission announced that an
     Agreed Order of Permanent Injunction was entered against
     John Anderson on January 10, 1996, by the Honorable Kathleen
     O'Malley, District Court Judge for the Northern District of
     Ohio.  The Order enjoins Anderson from violating the
     antifraud provisions of the federal securities laws,
     specifically Section 17(a) of the Securities Act and Section
     10(b) of the Exchange Act and Rule 10b-5 thereunder. 
     Additionally, the Order imposes a $10,000 civil penalty
     against Anderson.  

     Previously, on May 2, 1995, the Commission filed a complaint
     against John Anderson, as well as Jeffrey Walley, Patrick
     and Michael Monus, alleging violations of the antifraud
     provisions of the securities laws.  The Complaint alleged
     that from at least 1987 through 1992, Monus, Finn and
     Anderson, and, beginning in July 1990, Walley, while
     employed at Phar-Mor, Inc., engaged in a fraudulent scheme
     in which they falsified Phar-Mor's books, records and
     financial statements in order to artificially increase
     corporate profits.  As a result of the defendants'
     fraudulent activities, from fiscal year 1987 through 1991,
     Phar-Mor cumulatively overstated income by $290 million. 
     (In fiscal year 1992, the year in which the fraud was
     detected, Phar-Mor overstated income by approximately $238
     million.)  Further, the complaint alleged, false financial
     statements and records concealed Phar-Mor's growing
     financial problems and, during the course of the fraudulent
     scheme, induced investors to invest over $500 million in
     Phar-Mor.