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         UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Litigation Release No. 15142 / November 1, 1996

SECURITIES AND EXCHANGE COMMISSION v. CROSS FINANCIAL SERVICES,
INC., OWEN R. FOX, CARROLL E. SIEMENS, BRUCE FRANKLIN, MICHAEL J.
COLELLO AND DOUGLAS S. CROSS, Civil Action No. 94-4228 RAP(Ex)
(C.D. Cal. June 23, 1994).

     The Securities and Exchange Commission announced that on
October 22, 1996, it filed a motion seeking a judgment of civil
contempt against Defendant Michael J. Colello ("Colello") based
upon his failure to comply with a July 16, 1996, supplemental
order of the Honorable Richard A. Paez, U.S. District Court Judge
for the Central District of California, requiring Colello to
repatriate all of his foreign assets, to sign letters directed to
Swiss officials and banks in connection with the ordered
repatriation, and to take all further steps necessary to
effectuate repatriation.  The Court had previously ordered
Colello, a relief defendant in the Commission's civil enforcement
action, to disgorge over $2.6 million, and to repatriate his
foreign assets.  The July 16 order was entered following an
application by the Commission for an order to show cause why
Colello should not be held in contempt of an earlier March 26,
1996, order requiring his repatriation of assets.  For further
information see LR-14135, LR-14173, LR-14649, LR-14728, LR-14763
and LR-14887.