==========================================START OF PAGE 1====== SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. Litigation Release No. 14993 / July 30, 1996 Securities and Exchange Commission v. Equity AU, Inc. Case No. 96-CV-01775 (D.D.C.) (filed July 30, 1996) On July 30, 1996, the Commission filed a complaint in the United States District Court for the District of Columbia against Equity AU, Inc. The complaint alleges that Equity AU, a publicly-owned gold mining and exploration company located in Mena, Arkansas, failed to make available to the investing public current and accurate information about its financial condition and results of operation through the filing of periodic reports with the Commission as required by the Securities Exchange Act of 1934 ("Exchange Act"). Specifically, the complaint alleges that Equity AU has not filed its Annual Report on Form 10-K for the fiscal year ended December 31, 1995, four Quarterly Reports on Form 10-Q, and seven Notifications of Late Filing with respect to its delinquent reports and failed to timely file two Annual Reports on Form 10-K and a Quarterly Report on Form 10-Q. The Commission seeks to compel Equity AU to file certain delinquent periodic reports and to enjoin Equity Au from further violations of Section 13(a) of the Exchange Act of 1934 and Rules 12b-25, 13a-1 and 13a-13 thereunder. Simultaneously with the filing of the Commission's complaint, Equity AU consented to the entry of a Final Judgment granting the relief sought by the Commission and admitted that it had not filed and had filed late the periodic reports as described above.