SECURITIES AND EXCHANGE COMMISSION
                         Washington, D.C.

Litigation Release No. 15302 / March 20, 1997

SEC v. Susan L. Hirsch, et al., Civil Action No. CV 497-060 (WM)
(S.D. Ga. March 20, 1997)

SEC v. Susan S. Smirnoff,  et al., Civil Action No. 97-1944 (DC)
(S.D.N.Y. March 20, 1997)

     The Securities and Exchange Commission today filed two
separate actions alleging that the defendants engaged in insider
trading in advance of the July 1995 announcement that Sandoz,
Ltd. was making a cash tender offer for the securities of Genetic
Therapy, Inc. ("GTI"), and tipped other defendants who improperly
traded in advance of the tender offer announcement.

     In SEC v. Susan L. Hirsch et al., an action filed in the
U.S. District Court for the Southern District of Georgia
(Savannah Division), the Commission alleged that Susan L. Hirsch,
a former senior account representative of Ruder-Finn, Inc., a New
York-based public relations firm, obtained confidential
information about Sandoz's confidential bid for GTI during the
course of her employment at Ruder-Finn in advance of the
Sandoz/GTI tender offer announcement, and improperly passed that
information to her brother Gregory M. Hirsch, a certified public
accountant in Savannah, Georgia.  The complaint alleges that
Gregory Hirsch tipped, and purchased GTI common stock and call
options jointly with, a friend in Savannah, Danny B. Kaminsky, in
advance of the announcement for profits of $251,190.  The
complaint further alleges that on Friday, July 7, 1995, the last
trading day before the tender offer announcement, Danny Kaminsky
purchased 45 GTI call option contracts through a brokerage
account of one of his friends, at a time when Danny Kaminsky knew
that Sandoz was going to announce its tender offer for GTI at $21
per share on the following Monday.

     The complaint also alleges that Gregory Hirsch and Danny
Kaminsky tipped others, including Lewis A. Kooden, Daniel H.
Klugman and Michael D. Kooden, all of Savannah, who purchased GTI
common stock and call options for illegal profits of $43,795,
$28,107 and $14,666, respectively.  In addition, the complaint
alleges that Michael Kooden caused others, who are not named as
defendants in the complaint, to trade in GTI securities and
profit in the amount of $16,794.

     The Commission is seeking permanent injunctions against
Susan Hirsch, Greg Hirsch, Danny Kaminsky, Lewis Kooden, Daniel
Klugman and Michael Kooden from violations of Sections 10(b) and
14(e) of the Securities Exchange Act of 1934 (the "Exchange Act")
and Rules 10b-5 and 14e-3 thereunder, as well as disgorgement of
illegal profits, prejudgment interest and civil penalties.
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     In SEC v. Susan S. Smirnoff et al., an action filed in the
U.S. District Court for the Southern District of New York, the
Commission alleged that Susan S. Smirnoff, a senior vice
president of Ruder-Finn, obtained confidential information during
the course of her employment in advance of the July 1995
Sandoz/GTI tender offer announcement, and passed that information
to her husband, Kirk J. Zachary, who purchased GTI call options a
few days before the announcement.  Simultaneous with the filing
of the complaint, Susan Smirnoff and Kirk Zachary consented,
without admitting or denying the allegations of the complaint, to
the entry of a final judgment permanently enjoining them from
violating Sections 10(b) and 14(e) of the Exchange Act and Rules
10b-5 and 14e-3 thereunder, and requiring them to disgorge
profits of $5,527 plus $728 in prejudgment interest, and to pay a
civil penalty of $5,527.

     The Commission acknowledges the assistance of the American
Stock Exchange in investigating this matter.