==========================================START OF PAGE 1======

          UNITED STATES SECURITIES & EXCHANGE COMMISSION

Litigation Release No.  15305 / March 26, 1997

SECURITIES AND EXCHANGE COMMISSION  v.  ENVIRONMENTAL CHEMICALS
GROUP, INC., CURTIS A. YOUNTS, JR., CALVIN SHENKIR, Jr., and
CALVIN MOERBE, Civil Action No. SA 96 CA 1319 (OLG) 

The Securities and Exchange Commission (the "Commission")
announced that on March 13, 1997, Judge Orlando Garcia, of the
United States District Court for the Western District of Texas,
San Antonio Division, entered Final Judgment by Default against
Environmental Chemicals Group, Inc. ("EnChem").  The Court's
Final Judgment enjoins EnChem from future violations of Sections
5(a), 5(c) and 17(a) of the Securities Act of 1933 and Sections
10(b), 13(a), 13(b)(2)(A) and (b)(2)(B) of the Securities
Exchange Act 1934, and rules 10b-5, 13a-1, 13a-13 and 12b-20
thereunder. 

The Commission's Complaint alleged, among other things, that
between 1992 and May 1996, EnChem and its officers and directors
filed periodic reports with the Commission and distributed press
releases and other materials that contained materially false and
misleading representations about the company's revenues, product
lines and business prospects.  
  
EnChem was the only remaining defendant in this civil injunctive
action, which the Commission filed on December 11, 1996.  As the
Commission announced previously, EnChem's former officers and
directors, without admitting or denying the allegations,
consented to the entry of an order permanently enjoining them
from further violations of Sections 5(a), 5(c) and 17(a) of the
Securities Act of 1933, Sections 10(b), 13(a), 13(b)(5) of the
Exchange Act, and Rules 10b-5 and 13b2-1 thereunder.  For further
information concerning SEC v. Environmental Chemicals Group,
Inc., et al., see SEC Litigation Release No. 15183, AAER Release
No. 862 (December 11, 1996).