SECURITIES AND EXCHANGE COMMISSION


           Litigation Release No.  16014A / January 6, 1999

           SECURITIES AND EXCHANGE COMMISSION v. AMERICAN TELECOM
           INTERCONNECT, INC., STEVEN BARKUS, MICHAEL LOMBARDO, BRADLEY
           TURNER, DAVID MUNOZ, I.B.T. FINANCIAL GROUP, INC., J.R. MUNOZ,
           and PREMIER CAPITAL INVESTMENTS, Defendants and LINQ UP AMERICA
           (LOS ANGELES), INC., and AMERICA'S CHOICE COMMUNICATIONS, INC.,
           Relief Defendants, 96 Civ. 2952 (DDP)

             The Securities and Exchange Commission announced today that on
           June 10, 1998, the United States District Court for the Central
           District of California entered final judgments of permanent
           injunction and other relief by consent against American Telecom
           Interconnect, Inc. ("ATI"), a company in the business of selling
           and leasing back telephone equipment; Steven Barkus ("Barkus"),
           an officer, director and 49% shareholder of ATI,  Michael
           Lombardo ("Lombardo), president, director and 51% shareholder of
           ATI, Bradley Turner ("Turner"), an independent contractor
           responsible for organizing and operating ATI's marketing
           program, I.B.T. Financial Group, Inc. ("IBT"), a company through
           which ATI securities were sold, David Munoz, seller of the ATI
           securities to the public and president of IBT, and J.R. Munoz,
           seller of the ATI securities and president of Premier Capital
           Investments ("PCI").   Previously, on March 24, 1998 the Court
           ordered the entry of a judgment by default against PCI; and on
           February 24, 1998 entered final consent judgments of relief
           against relief defendants Linq Up America (Los Angeles), Inc.
           ("Linq Up") and America’s Choice Communications, Inc. ("ACC"),
           companies 49% owned by Barkus and 51% owned by Lombardo.

             In a complaint filed on February 14, 1996, the Commission
           alleged that ATI fraudulently raised, primarily through the
           efforts of Turner, IBT, David Munoz, PCI, and J.R. Munoz,
           approximately $3.7 million from investors from June 1992 through
           February 1994.  The complaint alleged that the defendants
           fraudulently offered and sold, through misrepresentations and
           omissions of material facts, unregistered, nonexempt securities
           issued by ATI in the form of sale-and-lease-back transactions of
           telephone equipment and notes.  The ATI Securities were sold to
           more than 175 investors in over 30 states.

             Lombardo, Barkus, ATI, ACC, Linq-Up, Turner, David Munoz, IBT,
           and J.R. Munoz each consented, without admitting or denying the
           allegations contained in the Commission's complaint, to the
           entry of final judgments (i) permanently enjoining each of them
           from violating the anti-fraud provisions of the federal
           securities laws, Section 17(a) of the Securities Act of 1933
           ("Securities Act"), and Section 10(b) of the Securities Exchange
           Act of 1934 ("Exchange Act") and Rule 10b-5; (ii) permanently
           enjoining each of them from violating the registration
           provisions of the federal securities laws, Sections 5(a) and
           5(c) of the Securities Acts; (iii) permanantly enjoining David
           Munoz, J.R. Munoz and Turner from violating Sectoin 15(a)(1) of
           the Exchange Act, (iv) ordering Lombardo to disgorge $336,464,
           plus prejudgment interest thereon in the amount of $178,492;
           ordering Barkus to disgorge $246,004, plus prejudgment interest
           thereon in the amount of $130,508; ordering ATI to disgorge
           $2,759,686, plus prejudgment interest thereon in the amount of
           $1,464,027, and assessing a civil penalty in the amount of
           $2,759,686; ordering Turner to disgorge $229,777 plus
           prejudgment interest thereon in the amount of $121,898; ordering
           IBT to disgorge $180,366, plus prejudgment interest thereon in
           the amount of $87,150.51, and assessing a civil penalty in the
           amount of $180,366; ordering David Munoz to disgorge $9,114 plus
           prejudgment interest thereon in the amount of $4,580, and
           assessing a civil penalty of $20,000; and ordering J.R. Munoz to
           disgorge $12,590, plus prejudgment interest thereon in the
           amount of $6,300 and assessing a civil penalty of $20,000; (v)
           ordering ACC to disgorge $498,233 (representing the amount ACC
           received from defendant ATI’s conduct alleged in the
           Commission’s complaint), plus prejudgment interest thereon in
           the amount of $264,316; and ordering Linq Up to disgorge
           $813,970 (representing the amount Linq Up received from
           defendant ATI’s conduct alleged in the Commission’s complaint),
           plus prejudgment interest thereon in the amount of $431,816.

             On March 24, 1998, the Court ordered the entry of a judgment by
           default against PCI, ordering PCI to disgorge $198,690, plus
           prejudgment interest in the amount of $86,411.80 and assessing a
           civil penalty of $198,690.

             On the basis of Lombardo’s, Barkus’ and Turner’s sworn
           representations and financial statements, the Commission has
           agreed that the payment of disgorgement and prejudgment interest
           by each of them is waived based on their demonstrated inability
           to pay.

           For further information see Litigation Release No. 14892.