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                SECURITIES AND EXCHANGE COMMISSION
                         WASHINGTON, D.C.

LITIGATION RELEASE NO.   14999 / August 5, 1996

SECURITIES AND EXCHANGE COMMISSION v. KENTON CAPITAL, LTD., et
al., Civ. No. 95-0829 (GK) (D.D.C., filed May 3, 1995).

     The Securities and Exchange Commission announced that on
July 18, 1996, Judge Gladys Kessler of the United States District
Court for the District of Columbia entered a Final Judgment of
Permanent Injunction against Joseph Silvestri and a Final
Judgment of Disgorgement against Charles Smith and Atlantic
Pacific Guarantee Corporation.     The Commission's Complaint,
filed May 3, 1995, and amended on July 17, 1996 (the
"Complaint"), alleges that Silvestri, who claims to be an
insurance underwriter, obtained purported guarantee bonds which
were provided to investors in certain "bank instrument" trading
programs offered by Kenton Capital, Ltd.  The Complaint alleges
that the promoters of such trading programs solicited investors
beginning in the middle of March 1995 through early May 1995, and
promised investors annual returns ranging from 34,200% to over
1,200,000%.  

     The Complaint alleges that Kenton used investor funds to
purchase the guarantee bonds, which purportedly guaranteed the
repayment of the principal amount of each investment.  The
Complaint further alleges that Silvestri received fees of
approximately $40,970.51 from investor funds.  The Complaint
alleges that Atlantic Pacific, a Nevada corporation with its
princial office located in Santa Monica, California, and its
president, Smith, provided the guarantee bonds and received
approximately $126,584.00 in investor funds.  

     Without admitting or denying the Commission's allegations,
Silvestri consented to the entry of a final judgment permanently
enjoining him from future violations of Sections 5(a), 5(c) and
17(a) of the Securities Act of 1933 and Section 10(b) of the
Securities Exchange Act of 1934 and Rule 10b-5 promulgated
thereunder, and ordering him to disgorge the sum of $40,970.51,
plus prejudgment interest of $3,193.19, for a total sum of
$44,163.70.  Based upon Silvestri's demonstrated financial
inability to pay, the Commission waived the payment of
disgorgement and did not seek the imposition of a civil penalty. 
Similarly, without admitting or denying the Commission's
allegations, relief defendants Atlantic Pacific Guarantee
Corporation and its president, Charles Smith, consented to the
entry of a final judgment ordering them to pay, jointly and
severally, disgorgement of $126,584.00, plus prejudgment interest
of $9,984.35, for a total sum of $136,568.35.  

     On May 3, 1995, the Court issued a temporary restraining
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order and an asset freeze in this action.  (See Lit. Rel. No.
14490, May 4, 1995).  All of the other defendants consented to a
preliminary injunction on June 23, 1995.  (See Lit. Rel. No.
14544, June 26, 

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1995).  Silvestri was not named as a defendant in the case until
the Complaint was amended on July 17, 1996.