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         UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Litigation Release No. 15282 / March 11, 1997

UNITED STATES v. PHILLIP JOHN MILLIGAN, a/k/a  John Milligan 
(MARCH 11, 1997) UNITED STATES DISTRICT COURT FOR THE EASTERN
DISTRICT OF NEW YORK (M-97-0363)

          The United States Securities and Exchange Commission
("SEC") announced today that in connection with a coordinated
investigation, on March 11, 1997, the United States Attorney for
the Eastern District of New York filed an Affidavit in Support of
Arrest Warrant (the  Complaint ), obtained an arrest warrant and
arrested Phillip John Milligan, a/k/a  John Milligan  and  John
Phillip Milligan .  The Complaint states that Milligan is the
President of J.P. Milligan, Inc. ( JPMI ) a registered broker-
dealer, with offices located at 65 Broadway, New York, New York. 

               The Complaint charges Milligan with conspiracy to
commit securities fraud by, inter alia,  (1) filing with the
Commission and the National Association of Securities Dealers
false documents to conceal the true owners of JPMI, (2) preparing
false documents concerning the assets of and financial prospects
for Pilot Transport, Inc., a public company formerly based in
Lighthouse Point, Florida, to gain a listing on the National
Association of Securities Dealers Quotation system, and (3)
receiving payments to recommend to JPMI customers the purchase of
Pilot shares without disclosing such payments to the customers. 
The Complaint alleges that Milligan was a co-conspirator in the
securities fraud scheme charged in United States v. Grant R.
Curtis, Leo J. Mangan, Timothy H. Masley, Pedro Gomez, Ray Irangy
and James W. Nearen, 96 CR 874,  and that Pilot, as well as other
companies, was the subject of that scheme.

               The Complaint further charges that, in connection
with the Commission s investigation of this and related matters,
Milligan falsely and evasively testified under oath and attempted
to influence (through threats of violence and other means)
witnesses in the investigation to testify falsely.                
                                    The
Commission's investigation continues.

     (See also Litigation Release No. 15109, October 4, 1996)