Donald E. Sheldon & Co., Inc. One Wall Street New York, New York 10005

TO: All NASD Members

ATTN: Operations Officer, Cashier, Fail-Control Department

On July 30, 1985, the United States District Court for the Southern District of New York appointed a Temporary Receiver for the above-captioned firm.

Members may use the "immediate close-out" procedures as provided in Section 59(i)(2) of the NASD's Uniform Practice Code to close out open OTC contracts. Also, MSRB Rule G-12(h)(iii) provides that members may use the above procedures to close out transactions in municipal securities.

Questions regarding the firm should be directed to:

Temporary Receiver

Stanley T. Lesser, Esquire
Kaye, Scholer, Fierman,
Hays & Handler
425 Park Avenue
New York, New York 10022
Telephone: (212) 407-8000