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                SECURITIES AND EXCHANGE COMMISSION
                        Washington, D.C. 

Litigation Release No. 15253 / February 11, 1997


SECURITIES AND EXCHANGE COMMISSION v. LINDA A. HODGE AND THE
HODGE GROUP, P.C., United States District Court for the Southern
District of New York, 94 Civ. 7113 (LLS)

     The Commission announced today that, on January 24, 1997,
the United States District Court for the Southern District of New
York entered a Final Judgment on consent against defendants Linda
A. Hodge ("Hodge") and The Hodge Group, P.C. ("The Hodge Group").

Under the terms of the Final Judgment, Hodge and The Hodge Group,
without admitting or denying the allegations in the Complaint,
are each enjoined from committing securities fraud and they are
required to pay, jointly and severally, $36,144.28 in
disgorgement and prejudgment interest.  Hodge is also required to
pay a civil penalty of $29,000.

     The Complaint alleges that in August 1992 Hodge and The
Hodge Group prepared and signed a false audit opinion in
connection with a fraudulent offering of the securities of Air
Tech Industries, Inc. ("Air Tech"), and that Hodge
misappropriated $29,000 raised from investors in that offering. 
Hodge and The Hodge Group are alleged to have violated Section
17(a) of the Securities Act of 1933, and Section 10(b) of the
Securities Exchange Act of 1934 and Rule 10b-5.

     The disgorgement and prejudgment interest to be paid by
Hodge and The Hodge Group will be held by the Court for the
benefit of persons who submit valid claims arising under the
federal securities laws by reason of the conduct alleged against
defendants in the Complaint.  Such claims must be filed by
January 25, 1997. 

     In December 1995, Hodge pleaded guilty to one count of
criminal contempt in connection with her misappropriation of
funds raised from investors in the Air Tech offering.

     For more information, see Litigation Release Nos. 13754
(August 11, 1993); 13757 (August 17, 1993); 13781 (September 9,
1993); 14275 (September 30, 1994); and 14298 (October 18, 1994).