CFTC News Release 4397-00
    For Release May 1, 2000

CFTC FILES TEN ACTIONS ALLEGING FRAUDULENT INTERNET PROMOTION OF
   COMMODITY TRADING SYSTEMS AND ISSUES CONSUMER ADVISORY

CFTC Issues Ten Orders Against Fraudulent Internet Promoters; CFTC also
   Warns the Public to Be Wary
   of Websites which Claim that Purchasers of Trading Systems and Advisory Services Will
   Make Substantial Profits and Be Exposed to Minimal Risk of Loss

WASHINGTON -- The Commodity Futures Trading Commission (CFTC) announced today that it
   has commenced a coordinated enforcement initiative aimed at cleaning up websites that
   fraudulently promote commodity trading systems and advisory services. Commodity
   trading systems typically are computerized programs that signal members of the public
   when to buy and sell futures and options contracts based on technical analysis of
   market trends. As part of its initiative, the CFTC is:

-- instituting and simultaneously settling ten administrative proceedings; and

-- issuing a Consumer
   Advisory warning the public about false and misleading claims on websites
   touting the purported performance of trading systems and advisory services.

According to CFTC Chairman William J. Rainer:

The Internet provides many benefits to the investing public, but it can also provide
    a means for some web operators to make misleading or fraudulent claims about their
    investment strategies. Today's actions by the CFTC should help remind consumers
    to be very skeptical when someone promises amazing investment profits with little or
    no risk. And these actions should also be a warning to the sellers of these systems
    that the CFTC will vigorously pursue fraudulent advertising and solicitation -- on
    the Internet and through traditional media.


Phyllis Cela, Acting Director of the CFTC's Division of Enforcement, also
   commenting on the CFTC's enforcement initiative, said:

In the last couple of years, we have seen an increase in the number of commodity
    trading systems fraudulently advertised on Internet websites. Unscrupulous promoters
    have misrepresented that they have earned enormous profits by trading according to
    the signals generated by their trading systems. The CFTC’s investigations have
    revealed, however, that the claimed results were false and often were based on
    hypothetical or simulated trading, not actual trading in futures and options markets.
    Through today’s enforcement actions and Consumer Advisory, the CFTC reminds the
    public to investigate exaggerated profit claims before committing personal savings to
    risky trading ventures.


The CFTC's enforcement initiative has been coordinated with similar actions taken
   today by the Federal Trade Commission and the Securities and Exchange
   Commission.

CFTC Finds that Ten Internet Promoters of Trading Systems and Advisory Services
   Engaged in Fraud

In the ten orders issued today, the CFTC found that promoters of commodity trading
   systems and advisory services (collectively, "respondents") made fraudulent
   performance claims on their Internet websites. Many of the respondents falsely claimed
   that performance results were based on real trading, when, in fact, the results were
   based on hypothetical trading. Some respondents also falsely claimed personal success
   in trading with their systems. One respondent claimed significant profits based on
   hypothetical trading but never disclosed that he had actually lost money trading with
   his system. In addition, in one case, the CFTC found that the respondents -- the
   promoter of the trading system and a registered introducing broker -- made false
   claims concerning a rebate plan the introducing broker was offering customers of the
   promoter. Respondents neither admitted nor denied the findings entered by the CFTC.

The following respondents and their websites were the subjects of the CFTC orders:

|**Firm or Individual (click to view Order):**                                                                         | **Website Address:**                                       
|--------------------------------------------------------------------------------------------------------------------- | -----------------------------------------------------------
|Oasis Publishing Corp. and Gordon J.
        White                                                                   | http://www.pr-success.com/
      http://www.risktaker.com/
|Mohammed Najib Taybi                                                                                                  | http://www.yenman.com/                                     
|John B. Reily                                                                                                         | http://www.bonds2000.com/                                  
|Paul B. Judd and Paul Judd International
        Corp.                                                               | �                                                          
|Michael P. Calo d/b/a First Financial
        Trading                                                                | http://www.insiders-report.com/                            
|Christopher F. Salter d/b/a Christopher
        Fernwick                                                             | www.learntoprofit.com/futures/index.htm                    
|RS of Houston                                                                                                         | http://www.rsofhouston.com/                                
|Eron Demian Read d/b/a New Age Trading
        Techniques
       Global Futures Exchange & Trading
        Company | http://www.natt.net/                                       
|Trendy Systems, LLC; Allan P.
        Harris; Joseph Prewitt                                                         | http://www.trendysystems.com/                              
|Ellery Coleman d/b/a Granite
        Investments                                                                     | www.choicedaytrades.com                                    

The ten orders require the promoters to cease and desist from violating the provisions
   of the Commodity Exchange Act (CEA) and the CFTC's regulations which the
   Commission found they violated; to undertake, among other things, to make no
   unsubstantiated profit or risk claims; and to pay $10,000 civil monetary penalties,
   unless respondents have demonstrated to the Commission that they do not have the
   financial ability to pay such a penalty.

Advisory Warns Members of the Public to Beware of Websites Selling Commodity
   Trading Systems that Guarantee High Profits with Minimal Risks

The CFTC's
   Advisory, also issued
   today, warns the public to be skeptical when promoters of commodity trading systems
   and services claim that their systems and services earn high profits with minimal
   risks. The Advisory further warns that some trading systems trigger frequent
   trading signals, which result in substantial commissions and fees that can have a
   substantial effect on profitability. Consumers are reminded that no trading system can
   guarantee profits and, whether or not a trading system is used, trading commodity
   futures and options is typically a high-risk endeavor.

The Advisory points out that at times these websites falsely claim that
   performance results are based on real trading, when, in fact, the results are based on
   hypothetical trading. As the Advisory emphasizes, hypothetical trading results
   do not reflect actual trading results; instead, trading systems promoters typically
   pretend that they traded futures contracts at market prices that occurred some time in
   the past. The Advisory notes that hypothetical trading results do not account
   for real market conditions that affect trading decisions and may not take into account
   the financial ability of the trader to handle trading losses. Hypothetical results
   also may not account for the cost of purchasing and using the systems and trading
   including commissions, and may be susceptible to rigging by promoters who select
   historical trades that would have yielded the greatest returns.

The Advisory provides a checklist of questions to help consumers in deciding
   whether to use a trading system, and reminds consumers: "If it sounds to be good
   to be true, it probably is too good to be true."

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