SECURITIES AND EXCHANGE COMMISSION

          LITIGATION RELEASE NO.  15889 / September 18, 1998

          SECURITIES AND EXCHANGE COMMISSION v. SANJAY SAXENA AND MUMTAZ
          SAXENA, Civil Action No. 98-cv-11918-EFH (D. Mass., filed
          September 18, 1998)

                   SEC SUES REPEAT VIOLATOR OF THE SECURITIES LAWS

          The Securities and Exchange Commission ("Commission") today
          announced the filing of a complaint against Sanjay Saxena, a
          former registered investment adviser and newsletter publisher,
          and his wife, Mumtaz Saxena.  The complaint alleges that the
          Saxenas violated the antifraud and registration provisions of the
          federal securities laws, and that Saxena violated a previous
          Commission order permanently barring him from the securities
          industry.  The complaint alleges that Saxena's role in the
          formation and operation of an investment adviser and two
          investment companies violated the Commission's bar order, and
          that Saxena used his wife as a front to create the appearance
          that he had not violated the order.

          The complaint alleges that the Saxenas made material
          misrepresentations and omissions in connection with the
          solicitation of investors and the operation of the investment
          companies.  Between February 1996 and February 1997, the Saxenas
          conducted unregistered public offerings of interests in the
          investment companies by soliciting thousands of potential
          investors, mostly Saxena's newsletter subscribers, through direct
          mailings and internet notices that contained material
          misrepresentations.  They subsequently sold approximately $3.4
          million in interests in the two investment companies to 32
          persons and entities.  The Saxenas received approximately
          $280,000 in management fees from the investment companies.

          The complaint alleges that, between March and November 1995, also
          in violation of his bar order, Saxena acted as an investment
          adviser for certain accounts at a broker-dealer, for which he
          collected approximately $27,000 in advisory fees.

          The complaint seeks permanent injunctions, disgorgement of the
          Saxenas' fees (plus prejudgment interest), civil monetary
          penalties, and an order commanding Saxena to comply with the
          Commission's bar order.

          The prior issuance of the Commission's bar order against Saxena
          arose from its lawsuit against him in 1994.  In that action, the
          Commission obtained a temporary restraining order and asset
          freeze based on allegations that he misappropriated over $600,000
          that he had solicited from his newsletter subscribers for a
          pooled investment.  The Commission also alleged that Saxena sent
          false monthly statements of the pooled investment to investors.
          On February 25, 1995, Saxena consented to the entry of a final
          judgment of permanent injunction restraining him from further
          violations and an order to disgorge $703,000 (representing all
          monies owed to investors), and to pay prejudgment and
          postjudgment interest.  On February 28, 1995, the Commission
          entered its order permanently barring Saxena from the securities
          industry.


          [See prior Litigation Release Nos. 14348, 14419].