SECURITIES AND EXCHANGE COMMISSION
                                   Washington, D.C.

     Litigation Release No.  15736  / May 12, 1998

     Securities and Exchange Commission v. Brad E. Hollinger, Civil Action No.
     98 CV 1187 (D.C.D.C.)

     The Securities and Exchange Commission today filed an insider trading
     action against Brad E. Hollinger, a former senior vice president of
     Continental Medical Systems, Inc. (CMS).  The complaint alleges as follows: 
     In March 1995, through his position as an officer of CMS, Hollinger
     obtained material, inside information concerning Horizon Healthcare
     Corporation s imminent plans to acquire CMS.  While in possession of this
     information, Hollinger directed and caused the purchase, on March 30, 1995,
     of 5,000 shares of CMS common stock through a family member s brokerage
     accounts.  The following day, CMS and Horizon publicly announced the
     execution of a definitive merger agreement in which Horizon agreed to
     acquire CMS.  By engaging in the above conduct, Hollinger violated Section
     10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated
     thereunder.  

          Simultaneously with the commencement of this enforcement action,
     Hollinger consented, without admitting or denying the allegations in the
     complaint, to the entry of a final judgment permanently enjoining him from
     violating Section 10(b) of the Exchange Act and Rule 10b-5.  In settlement,
     Hollinger agreed to pay $49,719.76, representing disgorgement of the
     trading profits of $21,625, prejudgment interest of $6,469.76, and a civil
     penalty of $21,625.
























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