UNITED STATES SECURITIES AND EXCHANGE COMMISSION


          Litigation Release No. 15712 / April 20, 1998

          SEC  v. Ted E. Mong, Liberty Bell Association, Inc., and McKenzie
          Matthew, Inc., U.S.D.C. S.D. Ohio, No. C2-96-989, filed September
          30, 1996.

          The Commission  announced  that the Honorable James Graham of the
          United States District Court  for  the  Southern District of Ohio
          entered  an  Order of Permanent Injunction  and  Other  Equitable
          Relief (Order)  By Default against Liberty Bell Association, Inc.
          (Liberty Bell) and  McKenzie  Matthew, Inc. (McKenzie), for their
          misrepresentations and omissions in connection with the offer and
          sale   of  promissory  notes  to  approximately   45   individual
          investors.   Liberty  Bell  and  McKenzie,  two Ohio corporations
          based in Newark, Ohio, raised more than $1.6  million  by selling
          promissory notes to investors from approximately March 1993 until
          August 1995.

          In  its  Complaint, the Commission alleged that Liberty Bell  and
          McKenzie,  through Defendant Ted E. Mong (Mong), their President,
          and  others,   misrepresented   the  risk  of  investing  in  the
          promissory notes, the return investors  would receive and the use
          of investor proceeds.  In particular, the Commission alleged that
          individuals who purchased promissory notes  from Liberty Bell and
          McKenzie  were  told  that  investor  funds would  be  loaned  to
          successful companies, that investors could  earn  up  to  a  230%
          return  on  their investment and that their funds were completely
          secured by U.S.  Government bonds, government securities and real
          estate equity.  Instead, the Commission alleged that Liberty Bell
          and McKenzie directed  investor funds to two struggling companies
          that  used  investor  funds  for  operating  capital,  while  the
          promised collateral for  investor  funds  did not exist.  Most of
          the investors who bought promissory notes from  Liberty  Bell and
          McKenzie  lost  nearly their entire investment.  The Court deemed
          the  Commission's   allegations  to  be  true.   Based  on  these
          allegations, the Commission  charged  Defendants Liberty Bell and
          McKenzie with violations of Section 17(a)  of  the Securities Act
          and Section 10(b) of the Exchange Act and Rule 10b-5 thereunder.

          The  Order  permanently  enjoins  Liberty Bell and McKenzie  from
          further  fraudulent  conduct  in  violation   of   the  antifraud
          provisions  of  the federal securities laws.  The Order  requires
          Liberty Bell to disgorge  its  ill-gotten  gains of $1,251,600.36
          and to pay $329,711.96 in prejudgment interest  on  that  amount.
          The  Order  further  requires McKenzie to disgorge its ill-gotten
          gains  of  $223,698.59  and  to  pay  $88,058.73  in  prejudgment
          interest on that amount.   The Court also found in the Order that
          civil  penalties  were  appropriate   against  Liberty  Bell  and
          McKenzie but reserved determination of  the  amount  of  any such
          penalties  for  a  future date.  The action against Mong is still
          pending.