UNITED STATES SECURITIES AND EXCHANGE COMMISSION


     Litigation Release No. 15421 / July 24, 1997

     SECURITIES AND EXCHANGE COMMISSION V. SOUTHWEST INCOME TRUST, ET AL., Civil
     Action No. 97-0953 PHX RCB

          The Securities and Exchange Commission ("Commission") announced that
     on July 11 and July 21, 1997, the Honorable Robert C. Broomfield, United
     States District Judge, issued Judgments respectively against an Arizona
     accountant, Steven Robert Shoop ("Shoop"), and a California attorney,
     Anthony Ghirardello Marriott, for their roles in a $10.7 million scheme
     involving the fraudulent sale of investments in a Treasury securities
     trading program.

          The Commission alleges in its Complaint that the defendants, including
     Shoop and Marriott, raised the $10.7 million from approximately 149
     investors in Arizona and California through the sale of interests in
     investment trusts ("Trusts") and other programs.  The defendants
     represented to investors that:  investor funds would only be used to
     purchase and trade Treasury securities; investors would receive 1% per
     month in profits from trading Treasury securities; if the 1% monthly return
     from trading profits were not achieved, investors' funds would be returned;
     and only after payment of the 1% monthly return, would the trustees of the
     Trusts, sales agents, and others be paid from excess trading profits.

          The Complaint further alleges that contrary to these representations,
     the defendants operated a Ponzi-like scheme that paid investors their 1%
     monthly return from other investors' funds, failed to return investors'
     funds after suffering large trading losses, misappropriated investor funds
     for their personal benefit, and transferred over $3 million of investor
     funds to Bahamian bank accounts.

          The Judgment against Shoop permanently enjoins him from future fraud
     and registration violations of the federal securities laws.  Specifically,
     the Judgment enjoins Shoop from future violations of Sections 5(a), 5(c)
     and 17(a) of the Securities Act of 1933 ("Securities Act"), Section 10(b)
     of the Securities Exchange Act of 1934 ("Exchange Act") and Rule 10b-5
     thereunder.  The Judgment also continues a freeze on Shoop's assets until
     further order of the Court.  The Judgment additionally orders that Shoop
     shall pay disgorgement, prejudgment interest and, if appropriate, civil
     penalties in amounts subsequently to be determined by the Court.  Shoop
     consented to the entry of the Judgment without admitting or denying the
     Commission's allegations.

          The Judgment against Marriott permanently enjoins him from future
     fraud violations of the federal securities laws.  Specifically, the
     Judgment enjoins Marriott from future violations of Section 17(a) of the
     Securities Act, Section 10(b) of the 

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     Securities Exchange Act and Rule 10b-5 thereunder.  The Judgment also
     continues a freeze on Marriott's assets until further order of the Court. 
     The Judgment additionally orders that Marriott shall pay disgorgement,
     prejudgment interest and, if appropriate, civil penalties in amounts
     subsequently to be determined by the Court.  Marriott consented to the
     entry of the Judgment without admitting or denying the Commission's
     allegations.

          On May 5, 1997, the Commission obtained a temporary restraining order
     against Shoop and Marriott to freeze their assets to protect investor
     funds.

          The other defendants to the Commission's action are:  Southwest Income
     Trust; Advantage Income Trust; and Investors Trading Trust; Palo Verde 136,
     Inc.; Advantage Marketing Group, Inc.; Charles D. Brown; FLC Corporation;
     and Donn K. Phillips. All of these other defendants are located in Arizona.

          The Complaint alleges that all defendants violated Section 17(a) of
     the Securities Act, Section 10(b) of the Exchange Act and Rule 10b-5
     thereunder.  The Complaint further alleges that the Trusts, Shoop, and
     Charles D. Brown sold unregistered securities in violation of Sections 5(a)
     and 5(c) of the Securities Act, and that the Trusts operated an
     unregistered investment company in violation of Section 7(a) of the
     Investment Company Act of 1940.

          The Commission acknowledges the cooperation and assistance provided in
     this matter by the Securities Division of the Arizona Corporations
     Commission.

























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