SECURITIES AND EXCHANGE COMMISSION Litigation Release No. 15958 / October 27, 1998 S.E.C. v. The Future Superstock, Inc. and Jeffrey C. Bruss, Docket No. 98C6772 (U.S.D.C., N.D.Ill.) The Securities and Exchange Commission announced the filing of a Complaint in the United States District Court for the Northern District of Illinois, on October 27, 1998, seeking a permanent injunction, disgorgement, civil penalties and other relief against The Future Superstock, Inc. ("FSS") and Jeffrey C. Bruss. The Complaint alleges that since the spring of 1996, an Internet newsletter called The Future Superstock, which is published by FSS and researched and written by Bruss, has recommended to the newsletter's more than 100,000 subscribers and to visitors to the newsletter's web site (www.futuresuperstock..com) the purchase of approximately 25 microcap stocks which were predicted to double or triple in the next three to twelve months. In most instances, the prices of recommended securities increased for a short period of time after a recommendation was made in The Future Superstock, after which the prices of those stocks dropped substantially. It is alleged that in making these recommendations FSS and Bruss have violated the federal securities laws by failing to provide adequate disclosure in a number of significant areas: (1) for over two years neither the newsletter nor the web site disclosed that Bruss or FSS received compensation, in cash and stock, from nearly every issuer profiled; (2) FSS and Bruss have failed to disclose that in many instances they have sold stock in the issuer shortly after the dissemination of a recommendation in The Future Superstock caused its price to rise; (3) FSS and Bruss have represented in the profiles that they performed independent research and analysis in evaluating the issuers profiled by the newsletter when, in fact, little, if any, research was conducted in preparing the profiles; and (4) the statements made in the profiles regarding the success of past stock picks made in The Future Superstock have been false and misleading. It is alleged that by engaging in such conduct FSS and Bruss have violated Sections 17(a) and 17(b) of the Securities Act of 1933 and Section 10(b) of the Securities Act of 1934 and Rule 10b-5 thereunder.