SECURITIES AND EXCHANGE COMMISSION

Litigation Release No. 17747 / September 26, 2002

SEC FILES SECOND CONTEMPT MOTION AGAINST ROC HATFIELD
AND GLOBAL DIAMOND FUND, INC.

SECURITIES AND EXCHANGE COMMISSION V. MARADA GLOBAL CORPORATION, et al.,
Case No. 94-CV-1504 (M.D. Fla.)

   The Securities and Exchange Commission (SEC) announced that on April
   10, 2002, it filed with the United States District Court for the
   Middle District of Florida, an Application for an Order to Show Cause
   why Roc Hatfield and Global Diamond Fund, Inc. (GDF) should not be
   held in civil contempt for failing to comply with the Court's Order of
   March 26, 2002, requiring them to file a sworn accounting.

   On March 26, 2002, the SEC filed its first motion for contempt and for
   other emergency relief against Hatfield and GDF for violating the
   Final Judgment of Permanent Injunction and Other Relief entered on
   September 8, 1995, in , Case No. 94-CV-1504-CIV-T-26MAP (M.D. Fla.).
   The Marada final judgment prohibited Hatfield from violating the penny
   stock, registration and antifraud provisions of the federal securities
   laws.

   The SEC alleged that from at least September 2001 through the filing
   of the first contempt motion, Hatfield and GDF (a private Florida
   corporation founded and operated by Hatfield in St. Petersburg,
   Florida) violated Sections 5(c) and 17(a) of the Securities Act of
   1933 and the Marada final judgment by fraudulently offering
   unregistered securities in the form of nine-month 24% APR high yield
   secured notes. On April 25, 2002, the SEC amended its motion to also
   allege that Hatfield and GDF were in contempt of the Marada final
   judgment by violating Section 5(a) of the Securities Act and Section
   10(b) of the Securities Exchange Act of 1934 and Rule 10b-5
   thereunder.

   On March 26, 2002, the Court entered an order freezing Hatfield and
   GDF's assets, an order prohibiting the destruction of documents and
   expediting discovery, and an order requiring Hatfield and GDF to
   provide, within 5 business days, a sworn accounting of all monies,
   among other relief. Neither Hatfield nor GDF filed their sworn
   accountings. The SEC requested that the Court find Hatfield and GDF in
   civil contempt and incarcerate Hatfield until he complied with the
   Court's Order. On April 19, 2002, Hatfield and GDF filed their sworn
   accountings.