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   UNITED STATES SECURITIES AND EXCHANGE COMMISSION

   Litigation Release No. 15728 / May 1, 1998

   SECURITIES AND EXCHANGE COMMISSION v. AUSTRIA TRUST COMPANY, LTD.,
   BOBBY LEE RODGERS, and GLEN MOYER, and CITY (U.K.), LTD. (Relief
   Defendant) Civil Action No. 98-2370-GV (W.D. Tenn.)

   The Securities and Exchange Commission announced that a Complaint For
   Injunctive And Other Relief was filed by the Commission on April 23,
   1998, in the United States District Court for the Western District of
   Tennessee against defendants Austria Trust Company, Ltd. ("Austria
   Trust"), Bobby Lee Rodgers ("Rodgers"), and Glen Moyer ("Moyer"), and
   City (U.K.), Ltd. ("City U.K."), as relief defendant. Austria Trust
   was formed in Belize by Rodgers and Moyer, who jointly own and operate
   the company from offices in Memphis, Tennessee. City U.K. is an entity
   in the United Kingdom which purports to specialize in the recovery of
   investments in "bank instruments" which fail to produce promised
   returns to investors.

   The complaint seeks to permanently enjoin Austria Trust, Rodgers and
   Moyer from further violations of Sections 5(a), 5(c) and 17(a) of the
   Securities Act of 1933, Section 10(b) of the Securities Exchange Act
   of 1934 and Rule 10b-5 thereunder. The Commission also seeks 1)
   disgorgement of all ill-gotten profits received by the defendants and
   prejudgment interest thereon; 2) the imposition of civil penalties
   against Austria Trust, Rodgers and Moyer; 3) an accounting of all
   funds received from the scheme by Austria Trust, Rodgers, Moyer and
   City U.K.; and 4) an order imposing a constructive trust over and
   requiring the repatriation and disgorgement of funds held by City
   U.K..

   The Commission's complaint alleges that, between 1994 and the present
   time, Austria Trust, Rodgers and Moyer violated the antifraud
   provisions of the securities laws by offering and selling securities
   in the form of investment contracts in connection with a prime bank
   scheme. The investment contracts are purported to be secured by
   instruments denoted as "Divisionary Certificates of Bank Guarantee,"
   alleged to be issued by one of the top 25 European banks. In fact,
   neither the trading programs nor the divisionary certificates exist.
   In one program sold by the defendants in the fall of 1996, at least 19
   individuals invested a total of $2,700,000 with Austria Trust. The
   funds were sent to Europe but they have not been invested as
   represented by Austria Trust. Instead, $2,500,000 of the funds have
   purportedly been recovered or are being held by City U.K..
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