UNITED STATES SECURITIES AND EXCHANGE COMMISSION

     Litigation Release No. 15542 / October 24, 1997

     SECURITIES AND EXCHANGE COMMISSION V. DAVID SCOTT HEREDIA  CV-97-6091

          The Securities and Exchange Commission announced the filing of a
     complaint ("Complaint") in the United States District Court for the Eastern
     District of New York against David Scott Heredia ("Heredia"), a former
     registered representative at Stratton Oakmont, Inc. ("Stratton"), seeking
     to permanently enjoin Heredia from violating the antifraud provisions of
     the federal securities laws, and seeking disgorgement, plus prejudgment
     interest, and civil penalties from the defendant.  Heredia is 26 years old
     and currently resides in Orlando, Florida.

          Stratton is a now defunct broker-dealer which had previously been a
     defendant and respondent in several Commission enforcement actions.  These
     actions alleged, in part, that several of Stratton's registered
     representatives were engaging in fraudulent high-pressure boiler-room sales
     practices, including making baseless price predictions and material
     misrepresentations and omissions regarding certain over-the-counter
     securities, and/or encouraging or permitting unauthorized trading in
     Stratton customer accounts.  According to the Complaint, from at least May
     1994 through at least February 21, 1995, Heredia, while a registered
     representative at Stratton, repeatedly and fraudulently made material
     misrepresentations and omitted to disclose material facts to customers in
     an effort to solicit securities transactions.  The Complaint alleges that
     Heredia made baseless price predictions to at least two customers regarding
     the securities of companies for which Stratton had underwritten the initial
     public offerings, including, but not limited to, the securities of Octagon,
     Inc., Select Media Communications, Inc. and/or United Leisure Corporation. 
     The Complaint further alleges that Heredia made several unauthorized
     purchases of these securities, in the accounts of at least two customers,
     and that Heredia fraudulently claimed to possess material nonpublic
     information about several of the companies listed above, and failed to
     execute customer sell orders.  As a result of his fraudulent activities,
     Heredia's customers suffered total losses of at least $250,000 and Heredia
     earned approximately $6,500 in commissions.  For further information see
     Lit Rel. ## 13195, 13421, 13955, 14355, 14360, 14380, 14426, 14498, 14506,
     15313, & 15333.