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                     UNITED STATES OF AMERICA
                            Before the
                SECURITIES AND EXCHANGE COMMISSION


SECURITIES EXCHANGE ACT OF 1934
Release No. 37039 / March 28, 1996

Administrative Proceeding
File No. 3-8978


---------------------------                            
                           :
In the Matter of           :
                           :
JOHN DANKOVICH and         :
LINDA DANKOVICH,           :     ORDER INSTITUTING PROCEEDINGS,
                           :     MAKING FINDINGS AND IMPOSING
     Respondents.          :     REMEDIAL SANCTIONS PURSUANT TO
                           :     SECTION 15(b) OF THE SECURITIES
                           :     EXCHANGE ACT OF 1934 
                           :
                           :     
---------------------------:


                                I.

          The Commission deems it appropriate and in the public
interest that public administrative proceedings be, and they are,
instituted pursuant to Section 15(b) of the Securities Exchange
Act of 1934 ("Exchange Act") against John Dankovich and Linda
Dankovich ("Respondents") to determine whether action is
necessary in light of the permanent injunction entered against
Respondents by the United States District Court for the District
of Columbia on March 22, 1996, permanently restraining and
enjoining Respondent John Dankovich from violating Section 17(a)
of the Securities Act of 1933 ("Securities Act"), Sections
7(f)(1), 10(b), 15(a) and 15(c) of the Exchange Act, and Rules
10b-5, 15b1-1 and 15c1-2 thereunder, and Regulation X promulgated
by the Board of Governors of the Federal Reserve System; and
Respondent Linda Dankovich from violating Section 17(a) of the
Securities Act, Sections 10(b), 15(a) and 15(c) of the Exchange
Act, and Rules 10b-5, 15b1-1 and 15c1-2 thereunder. 

          In anticipation of the institution of these
proceedings, Respondents have each submitted an Offer of





Settlement for the purpose of disposing of the issues raised by
these proceedings.  The Commission has determined that it is
appropriate and in the public interest to accept Respondents'
Offers of Settlement.

          Solely for the purposes of these proceedings and any
other proceedings brought by or on behalf of the Commission or to
which the Commission is a party, Respondents, without a hearing
pursuant to the Commission's Rules of Practice, 17 C.F.R. 
201.1
et seq., and without admitting or denying the matters set forth
herein, except as to those referred to in Part II.B., infra,
which Respondents admit, consent to the issuance of this Order
Instituting Proceedings, Making Findings and Imposing Remedial
Sanctions pursuant to Section 15(b) of the Exchange Act (the
"Order").


                               II.

                     FINDINGS AND CONCLUSIONS

          The Commission finds that:

          A.     From on or about July 1994 through on or about
April 1995, Respondents, and each of them, acted as broker-
dealers within the meaning of Section 15(b) of the Exchange Act
in connection with their activities involving the fictitious
brokerage firm T. Morgan & Associates; and

          B.     On March 20, 1996, the Commission filed a
Complaint against Respondents in Securities and Exchange
Commission v. John Dankovich and Linda Dankovich, 96CV00550 
(D.D.C. 1996).  Simultaneously, Respondents filed their consent
to the entry of a Final Judgment, without admitting or denying
the allegations in the Complaint, except as to jurisdiction,
which they admitted.  On March 22, 1996, the United States
District Court for the District of Columbia entered a Final
Judgment permanently enjoining Respondent John Dankovich from
future violations of Section 17(a) of the Securities Act,
Sections 7(f)(1), 10(b), 15(a) and 15(c) of the Exchange Act, and
Rules 10b-5, 15b1-1 and 15c1-2 thereunder, and Regulation X
promulgated by the Board of Governors of the Federal Reserve
System; and Respondent Linda Dankovich from future violations of
Section 17(a) of the Securities Act, Sections 10(b), 15(a) and
15(c) of the Exchange Act, and Rules 10b-5, 15b1-1 and 15c1-2
thereunder.  

                               III.

                RESPONDENTS' OFFERS OF SETTLEMENT

          Respondents have each submitted an Offer of Settlement
in which they consent to the Commission's issuance of this Order,
as set forth above, barring them from association with any
broker, dealer, investment company, investment adviser, or
municipal securities dealer.

                   
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                               IV.

                              ORDER

          Based on the foregoing, the Commission deems it
appropriate and in the public interest to accept the Offer of
Settlement of John Dankovich and the Offer of Settlement of Linda
Dankovich.

          Accordingly, IT IS ORDERED that Respondents be, and
hereby are, barred from association with any broker, dealer,
municipal securities dealer, investment adviser or investment
company.  The sanction ordered herein shall become effective
immediately.


          By the Commission.





                                   -----------------------------
                                           Jonathan G. Katz
                                           Secretary