UNITED STATES SECURITIES AND EXCHANGE COMMISSION

          Litigation Release No. 15968 / November 5, 1998

          Accounting and Auditing Enforcement
          Release No.  1087 / November 5, 1998

          Securities and Exchange Commission v. Gerard Burns, et al.
          (United States District Court, S.D. Fla., Civil Action No. 97-
          3111-CIV-MOORE, Complaint filed September 29, 1997)

               The   Securities   and  Exchange  Commission  ("Commission")
          announced that on October  21,  1998  the  United States District
          Court  for  the  Southern  District  of Florida entered  a  final
          judgment  of permanent injunction ("Final  Judgment")  and  other
          equitable relief against Gerard Burns ("Burns"), former president
          of VDS Enterprises,  Inc.  ("VDS"),  which  was a publicly traded
          company in the environmental clean-up business.   The  Commission
          had  filed  its  suit  on September 29, 1997, seeking, as against
          Burns,   injunctive  and  other   equitable   relief,   including
          disgorgement, civil penalties and an officer and director bar.

               The Commission  alleged in its complaint that Burns and VDS,
          by  disseminating  false   information,  fraudulently  sold  $2.7
          million worth of VDS stock to  citizens of Spain, in violation of
          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 thereunder.   The  Commission
          further alleged that, as a control  person  of  VDS, Burns caused
          VDS to fail to keep adequate books and records, in  violation  of
          Section   13(b)(2)(A)   of  the  Exchange  Act,  and  in  certain
          instances, to falsify its  books  and  records,  in  violation of
          Section  13(b)(5)  of the Exchange Act and Rule13b2-1 thereunder,
          filed or caused to be  filed with the Commission materially false
          and misleading information,  in violation of Section 13(a) of the
          Exchange  Act  and  Rules  12B-20,   13A-1,   13A-11  and  13A-13
          thereunder, and made or caused to be made false statements to VDS
          auditors,  in violation of Section 13(b)(5) of the  Exchange  Act
          and  Rule  13b2-2  thereunder.   In  particular,  the  Commission
          alleged in its  complaint  that  Burns  provided  a VDS "Business
          Profile"   to   investors   which  overvalued  VDS'  assets   and
          shareholder equity by at least  300%  and 150%, respectively, and
          overvalued  service  contracts by at least  800%.   The  Business
          Profile also misrepresented  the  use  of stock sale proceeds, as
          well as Burns' background and experience,  and failed to disclose
          his  prior securities fraud conviction.  The  Commission  further
          alleged  in its complaint that the Form 8-K Burns filed or caused
          to be filed  with  the  Commission  misrepresented  the  value of
          certain  VDS  property  and  Burns'  background,  and  failed  to
          disclose  Burns'  criminal  conviction  as well as a $1.5 million
          judgment against him.

               The Final Judgment enjoins Burns from  future  violations of
          the  antifraud provisions of the Securities Act and the  Exchange
          Act, and  enjoins  Burns,  when  acting as a control person, from
          causing   violations   of   the  Exchange   Act's   recordkeeping
          provisions, from making or causing to be made false statements to
          auditors,  and  from filing or  causing  to  be  filed  with  the
          Commission  false  reports.   In  addition,  the  Final  Judgment
          permanently bars  Burns  from acting as an officer or director of
          any public issuer, and orders  Burns  to  pay  a  $100,000  civil
          penalty,   disgorgement   in   the   amount  of  $2,700,000,  and
          prejudgment interest in the amount of $1,063,960.