SECURITIES AND EXCHANGE COMMISSION

          Litigation Release No.  16111 \ April 14, 1999

          SECURITIES AND EXCHANGE COMMISSION v. WHITWORTH ENERGY RESOURCES,
          LTD., ET AL., Civil Action No. 97-6980 CAS (SHx) (C.D. Cal.)

               The   Securities   and  Exchange  Commission  ("Commission")
          announced that, following  a  bench  trial, on April 2, 1999, the
          Honorable Christina A. Snyder, United  States  District Judge for
          the Central District of California, entered a Final  Judgment  Of
          Permanent  Injunction  And  Other Relief Against Defendants Peter
          Sacker,  Jerry  W.  Anderson and  Robert  M.  Kerns.   The  Court
          enjoined the Defendants  from further violations of the antifraud
          provisions of the Securities  Act  of  1933  and  the  Securities
          Exchange  Act  of 1934 and granted other relief.  Previously,  on
          May 18, 1998, the  Court  had  entered  an Order Granting Partial
          Summary  Judgment,  in  which it found that  the  Defendants  had
          defrauded  over 500 investors,  many  of  whom  are  elderly,  of
          between $16  million  and $19 million in at least 18 offerings of
          interests in oil and gas  leases  and wells made between 1992 and
          1997.

               Among other things, the Defendants  (1)  engaged in a Ponzi-
          like  scheme  where  they  told  investors  they  were  receiving
          distributions from revenue generated by the sale of  oil  and gas
          when  in  fact most of the monies were from other investors;  (2)
          failed to disclose that the operator of most of the wells claimed
          a substantial debt was owed to it and was withholding most of the
          revenues  from   the   wells   (over  $1  million);  (3)  falsely
          represented that certain wells owned  by  the  Hunt  brothers  in
          Texas  had  been  purchased when they had not; (4) "assigned" the
          same wells to at least  three  joint  ventures;  and  (5) grossly
          overstated,  by  a  factor of 20, the interest owned by Defendant
          Whitworth Energy Resources,  Ltd.  in  400 wells owned by a joint
          venture to which it belonged.

               The  defendants  were  permanently  enjoined   from  further
          violations of Section 17(a) of the Securities Act, Section  10(b)
          of the Exchange Act and Rule 10b-5 thereunder.  In addition,  the
          Defendants  have further each been ordered to disgorge their ill-
          gotten  gains  of  $643,113  (Sacker),  $981,625  (Anderson)  and
          $204,580  (Kerns),  together  with  prejudgment interest thereon.
          Additionally, each Defendant has been  ordered  to  pay a maximum
          third tier civil penalty equalling his gross pecuniary  gains  in
          the  five  years  prior  to  the action being brought of $551,845
          (Sacker), $822,781 (Anderson) and $167,150 (Kerns).

               Previously, on October 16,  1997,  and  September  22, 1997,
          respectively,   the   Commission   had   obtained  a  preliminary
          injunction   and  a  temporary  restraining  order   and   orders
          prohibiting violations  of  the antifraud provisions and freezing
          the Defendants' assets, prohibiting the destruction of documents,
          and appointing a Receiver.