UNITED STATES SECURITIES AND EXCHANGE COMMISSION

     Litigation Release No. 15493 / September 15, 1997                        

     SECURITIES AND EXCHANGE COMMISSION V. ALPHA DIVERSIFIED INDUSTRIES, INC.,
     RALPH W. LEBLANC, AND ROBERT M. BINGHAM, Civil Action No. 97-2814, Section
     E-3 (E.D. La.)


          The Securities and Exchange Commission announced that a complaint was
     filed by the Commission on September 10, 1997, in the United States
     District Court for the Eastern District of Louisiana, against Alpha
     Diversified Industries ("Alpha"), a Colorado corporation with its principal
     office located in Metairie, Louisiana; Ralph W. LeBlanc ("LeBlanc"),
     president and chairman of the Board of Directors of Alpha; and Robert M.
     Bingham ("Bingham"), vice-president and a director of Alpha during the
     relevant period. 

          The complaint alleges that from March 1991 through February 1996, the
     defendants offered and sold over 4 million shares of Alpha common stock to
     more than 85 investors in over a dozen states for approximately $567,000. 
     The defendants sold these shares by misrepresenting, among other things,
     Alpha's business operations and its expected revenues, the value of Alpha's
     patents, and that federal and state approval of the offerings were
     obtained.  The complaint further alleges that the defendants omitted to
     disclose to investors various material facts, including the defendants'
     earlier failed efforts to promote Alpha's product and that most of the
     money coming into Alpha came from other investors and not from product
     sales.  

          The complaint seeks permanent injunctions enjoining Alpha, LeBlanc and
     Bingham from further violations of Section 17(a) of the Securities Act of
     1933, and Section 10(b) of the Securities Exchange Act of 1934 and Rule
     10b-5 thereunder.  The Commission further seeks disgorgement of all ill-
     gotten gains received by Alpha, LeBlanc and Bingham with prejudgment
     interest, the imposition of civil penalties against LeBlanc and Bingham,
     and sworn accountings from Alpha, LeBlanc and Bingham of all funds received
     by each defendant in connection with the sale of Alpha securities.
         
          Bingham, without admitting or denying the allegations made against
     him, has consented to a judgment of permanent injunction, entered on
     September 12, 1997, which: (a) enjoins him from future violations of
     Section 17(a) of the Securities Act and Section 10(b) of the Exchange Act
     and Rule 10b-5; (b) orders that he furnish a sworn accounting of all
     monies, properties and benefits received from the sale of Alpha stock or
     from the operations of Alpha; and (c) orders that he pay disgorgement and a
     civil penalty in amounts to be determined at a later date.






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