News Release

Released: June 25, 1993  Contact: Ron Messent  660-4857

The British Columbia Securities Commission today released its decision on an application by Commission staff to extend temporary orders against Steven Jeffrey Greenwald and Jay Robin Greenwald.

The Commission extended temporary orders removing the Greenwalds' trading rights and prohibited them from becoming or acting as directors or officers of any reporting issuer until the investigation by Commission staff into the affairs of Axagon Resources Ltd. is completed, a hearing is held and a decision is rendered.

The Greenwalds were directors and officers of Axagon from June 1991 until November 1992. The Commission concluded that there is prima facie evidence that Axagon issued 4,162,858 shares to the Greenwalds for no or inadequate consideration and that the Greenwalds caused Axagon to issue disclosure documents containing serious misrepresentations. The Commission also concluded that there is evidence raising a real concern that the Greenwalds traded Axagon shares in contravention of section 68 of the Act, which prohibits improper insider trading.

Temporary orders were made against the Greenwalds by the Superintendent of Brokers on November 12, 1992, and were previously extended by the Commission pending today's decision. The Commission emphasized that no final determinations have been made in the matter but concluded on the basis of the evidence that it is necessary and in the public interest to extend the temporary orders.

Copies of the Commission's decision (12 pages) may be obtained in person at 1100 - 865 Hornby Street, Vancouver, British Columbia.