UNITED STATES SECURITIES AND EXCHANGE COMMISSION

          LITIGATION RELEASE NO.  16000 /  December 14, 1998

          SECURITIES AND EXCHANGE COMMISSION v. TWO-THIRDS INTERNATIONAL
          INC., PETER J. ZACCAGNINO III, JOHN L. KLEIN a/k/a JOHN KLEIN
          LOFFREDO, MERRILL H. KLEIN AND STERLING INTERNATIONAL BAHAMAS
          LTD., No. 98-1324-Civ. ORL-18A (USDC M.D. Fla./Orlando Division)

               The Commission announced today that the U.S. District Court
          for the Middle District of Clorida issued a preliminary
          injunction in a pending action involving the fraudulent sale and
          valuation of historical bonds, including bonds issued in the 19th
          century by now defunct railroads and allegedly backed by gold.
          Following a hearing, Judge G. Kendall Sharp entered the
          preliminary injunction, including an asset freeze, on December
          14, 1998 against Two-Thirds International, Inc. ("TTI") and its
          president, Peter J. Zaccagnino III, of Kissimee, Florida, and
          Sterling International Bahamas Ltd. ("Sterling"), and its
          officers, John L. Klein ("J. Klein") and Merrill H. Klein ("M.
          Klein") of Miami, Florida.  The order, which continues the
          Court's temporary restraining order entered on December 1, 1998,
          prohibits TTI and Zaccagnino from offering and selling the bonds
          as investment quality instruments or offering to place the bonds
          in  prime bank-type "trading programs."  Additionally, the order
          prohibits J. Klein, M. Klein  and Sterling from preparing and
          disseminating fraudulent authentication and valuation documents
          relating to the historical bonds.

               The order entered by Judge Sharp contains preliminary
          findings, including that  Zaccagnino and TTI represented to
          investors that the historical bonds at issue had value as
          investments and could be placed in  prime bank-type trading
          programs, purportedly approved by the Federal Reserve Board, that
          would generate exorbitant rates of return.  The order also found
          that M. Klein, J. Klein and Sterling issued valuations stating
          that individual historical bonds were worth between $492,000 and
          $10.8 billion.   The order also found that, in fact, the bonds
          had value only as historical memorabilia and the prime bank
          trading programs touted by Zaccagnino and TTI were fictitious.
          The Court concluded that the Commission established a prima facie
          case that TTI, Zaccagnino, J. Klein, M. Klein and Sterling,
          through their false and misleading statements, violated Section
          10(b) of the Securities and Exchange Act of 1934 and Rule 10b-5
          thereunder and/or Section 17(a) of the Securities Act of 1933.

               The Commission's complaint alleged that Zaccagnino and TTI
          raised approximately $4.8 million through the sale of  the  bonds
          to scores of investor at prices up to $330,000 each, and that
          Zaccagnino and TTI falsely represented that the bonds were worth
          up to $908 million each.  The complaint included allegations that
          J. Klein and M. Klein misrepresented their qualifications as
          appraisers as well as the nature of the process used to
          "authenticate" the bonds prior to valuation, and that, for their
          services, J. Klein, M. Klein and Sterling were paid $1,500 per
          valuation and received a total of approximately $400,000 between
          April and October 1998.

               In the preliminary injunction, Judge Sharp continued the
          asset freeze and other provisions of the previously issued
          temporary restraining order as to the two named relief
          defendants, Best Systems, Inc. and Wonder Glass Products, Inc.
          The Commission's complaint alleged that the two entities received
          a total of more than $1.5 million in investor proceeds from the
          fraud.

               This is the fourth civil injunctive action filed by the
          Commission's Central Regional Office to halt the fraudulent sales
          of historical bonds of United States railroads and other
          entities.  SEC v. Daniel E. Schneider et al., Civ. No. 98-CV-14-D
          (D. Wyo.; preliminary injunction issued Feb. 13, 1998); SEC v.
          Albert E. Carter et al., No. 98CV-0440B (D. Utah; complaint filed
          June 18, 1998); SEC v. Gerald A. Dobbins et al., No. 98-229 (C.D.
          Cal.; preliminary injunction issued May 19, 1998).

               Various law enforcement agencies worked closely with the
          Commission in obtaining emergency relief in this matter.  The
          Commission wishes to thank both the Bureau of the Public Debt of
          Department of Treasury, and the Division of Banking Supervision
          and Regulation of the Board of Governors of the Federal Reserve
          System for their assistance in this matter.