UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Litigation Release No. 17157 / September 27, 2001

, Civil No. 2 98CV884B (USDC Utah)

   On July 9, 2001, the Honorable Dee Benson, United States District
   Judge, District of Utah, signed an Order Granting Motion for Summary
   Judgment and Judgment of Permanent Injunction and Other Relief against
   WARPnet Holdings, LLC, a Missouri limited liability company, WARPnet,
   Inc., and Kevin A. Tauber. The defendants were enjoined from future
   violations of Section 17(a) of the Securities Act of 1933 and Section
   10(b) of the Securities Act of 1934 and Rule 10b-5 thereunder.

   The Commission's Complaint, filed December 11, 1998, alleged that
   Tauber and Warpnet sold units in WARPnet to investors in Utah and
   California by telling potential investors that they would receive a
   percentage of the profits to be realized by WARPnet from its service
   contracts with the Church of Jesus Christ of Latter-day Saints, the
   Salt Lake Organizing Committee for the Olympic Winter Games of 2002,
   the Western Governors' University, the Rolling Stones rock band, and
   other entities, and that WARPnet would repurchase any interests after
   one year at a profit to the investor of $2 per unit.

   The Court found that WARPnet and Tauber solicited funds from investors
   by selling "units" or "profits interest" of WARPnet or companies
   associated with WARPnet and that Tauber raised approximately $100,000
   from investors by claiming that he "personally knew" and was "good
   friends with" Utah Governor, Michael O. Leavitt, and Gordon B.
   Hinckley, president of the Church of Jesus Christ of Latter-day
   Saints. Among other material misrepresentations, Tauber stated that
   his company had signed an agreement with four major television
   networks, the Salt Lake Organizing Committee, and the Western
   Governors' University, none of whom had ever personally or
   professionally heard of Tauber or WARPnet. The Court found that by
   engaging in such conduct, WARPnet and Tauber violated Section 17(a) of
   the Securities Act and Section 10(b) of the Exchange Act, and Rule
   10b-5 thereunder.

   Defendants WARPnet and Tauber were ordered to pay disgorgement and
   prejudgment interest totaling $131,290.75. In addition, Tauber
   individually was ordered to pay additional disgorgement and
   prejudgment interest totaling $8,300.75. A civil penalty in an amount
   to be determined by motion of the SEC was also imposed on Tauber.

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Modified 09/27/2001