SECURITIES AND EXCHANGE COMMISSION

Litigation Release No. 17215 / October 31, 2001

   SEC CHARGES HENRY SALZHAUER, MICHAEL SALZHAUER AND VITO VALENTINI WITH
   FRAUD IN CONNECTION WITH BANK CONVERSIONS

   SECURITIES AND EXCHANGE COMMISSION v. VITO VALENTINI, 01 Civ.7295 (NG)
   (E.D.N.Y.)

   IN THE MATTER OF HENRY SALZHAUER AND MICHAEL SALZHAUER, Administrative
   Proceeding File No. 3-10629

   The Securities and Exchange Commission announced today that it filed
   an injunctive action against Vito Valentini, alleging that Valentini
   violated Section 10(b) of the Securities Exchange Act of 1934 and Rule
   10b-5. In a related administrative action, the Commission ordered
   Henry Salzhauer and Michael Salzhauer to cease and desist from
   violating Section 10(b) of the Securities Exchange Act of 1934 and
   Rule 10b-5.

   The injunctive action alleged that Vito Valentini participated in a
   course of conduct that defrauded Staten Island Savings Bank ("SISB"),
   Richmond County Savings Bank ("RCSB"), Independence Savings Bank
   ("ISB"), and these banks' depositors, in connection with the purchase
   of stock that was issued when these banks converted from
   mutually-owned institutions to publicly-traded corporations between
   October 1997 and March 1998. In the related cease and desist
   proceeding, the cease and desist order found that Henry Salzhauer and
   Michael Salzhauer orchestrated the course of conduct that defrauded
   SISB, RCSB and ISB and the banks' depositors. Henry and Michael
   Salzhauer consented to the entry of the cease and desist orders, and
   agreed to disgorge $1,207,019, and pay prejudgment interest of
   $312,425, without admitting or denying the Commission's findings

   The injunctive action, which was filed in the federal district court
   for the Eastern District of New York, named Vito Valentini, age 42,
   who resides in Ridgefield, New Jersey, as a defendant.

   The Commission's cease and desist order named the following
   respondents
   * Henry Salzhauer, age 65, resides in Sands Point, New York. Henry
       Salzhauer controls his family's real estate and investment
       businesses, including a hedge fund, the assets of which are
       invested almost exclusively in bank stocks.
       * Michael Salzhauer, age 38, resides in New York, New York.
       Michael Salzhauer is Henry Salzhauer's son and he works along with
       his father managing the family's real estate and securities