U.S. Securities and Exchange Commission

Litigation Release No. 18346 / September 11, 2003

, Case No. 8 03-CV-1895-T-23TGW (M.D. Fla., filed September 8, 2003)

The Securities and Exchange Commission Obtains Emergency Orders Against
Viatical Capital, Inc., Charles Douglas York, Robert Kingston Coyne and,
Life Investment Funding Enterprises, Inc. In Connection With $61 Million
Securities Scam That Targeted At Least 1,900 Elderly And Unsophisticated
Investors Nationwide

   The Securities and Exchange Commission (SEC) announced that on
   September 8, 2003, a federal judge in the Middle District of Florida
   entered a temporary restraining order, asset freeze and other relief
   against a Florida corporation Viatical Capital Inc. (VCI), a Nevada
   corporation Life Investment Funding Enterprises, Inc. (Life
   Investment), Charles Douglas York, and Robert Kingston Coyne,
   enjoining them from violating the antifraud provisions and (as against
   VCI, York and Coyne) the securities registration provisions of the
   federal securities laws. The SEC's complaint against VCI, Life
   Investment, York and Coyne, alleges that they have engaged in a
   systematic fraud in connection with a scheme to solicit investment in
   various limited liability companies (LLCs) that invested in viatical
   settlements (i.e., a life insurance policy of a terminally ill person
   that is sold at a price less than the face value of the policy).

   According to the SEC's complaint, VCI prepared and disseminated
   quarterly statements to investors representing that certain LLCs owned
   viaticated insurance policies even though those policies had been
   rescinded, terminated or cancelled. The complaint also alleges that
   many of the viatical settlements in VCI's portfolio were fraudulently
   obtained, making the policies subject to cancellation, and that they
   were acquired from an unlicensed viatical settlement provider. In
   addition, the Complaint alleges that VCI, York and Coyne
   misrepresented and omitted to disclose material facts concerning the
   investment, including risk factors, rates of return, planned public
   offerings, and the checkered disciplinary histories of VCI, its
   related entities, and York and Coyne. The Complaint also alleges that
   VCI, York and Coyne misused investor proceeds by, among other things,
   using a quarter million dollars of investor funds to fund York and
   Coyne's own boat-leasing venture. Finally, the Complaint alleges that
   Life Investment recently filed with the SEC materially false and
   misleading registration statements in its attempt to become a public
   company (According to offering materials provided to investors, Life
   Investment would acquire the assets of each LLC, and conduct an
   initial public offering).