SECURITIES AND EXCHANGE COMMISSION


LITIGATION RELEASE NO. 14916 / May 22, 1996 

SECURITIES AND EXCHANGE COMMISSION v. JONATHAN N. GOOGEL,
BENJAMIN J. SISTI, KEVIN P. SISTI, KENNETH A. ZAK, WILLIAM P.
CANDELORI, PETER J. CURLEY, AND EDMUND M. AUTUORI, Civil Action
No. 3:95-CV-420 (TFGD), (D. CT.)
 
     The Commission announced that, on May 15, the Honorable T.F.
Gilroy Daly of the U.S. District Court for the District of
Connecticut issued a Final Judgment of Permanent Injunction
against Kevin P. Sisti ("Sisti"), a former partner of Colonial
Realty Company ("Colonial").  Sisti, who consented to this order
without admitting or denying the Commission's allegations, was
enjoined from further violations of the registration and
antifraud provisions contained in Sections 5(a), 5(c) and 17(a)
of the Securities Act of 1933, Section 10(b) of the Securities
Exchange Act of 1934 and Rule 10b-5 promulgated thereunder. 
Sisti was also ordered to disgorge $507,646, plus prejudgment
interest thereon, provided, however, that payment of such amount
was waived based on his demonstrated inability to pay.

     The complaint, filed on March 9, 1995 against Sisti,
Jonathan N. Googel, Benjamin J. Sisti, William Candelori, Peter
J. Curley, Kenneth A. Zak, and Edmund M. Autuori (collectively,
the "Defendants"), alleged violations of several antifraud and
securities registration provisions of the federal securities laws
in connection with a fraudulent unregistered public offering by
Colonial of 1200 limited partnership units in the Colonial
Constitution Limited Partnership ("CCLP") between September 1,
1989 and September 1990.  During the offering period, CCLP
interests totaling more than $30 million were purchased by over
700 investors residing in 28 states and the District of Columbia.

     Colonial, located in West Hartford, Connecticut, was a
syndicator of real estate limited partnerships.  According to the
complaint, Colonial salespeople, with the knowledge, approval
and/or participation of the Defendants, solicited investors with
numerous false and misleading statements, and utilized high-
pressure sales tactics, to encourage them to invest.  The
Defendants knew, or were reckless in not knowing, that Colonial's
offering materials contained material misstatements and omissions
regarding the revenues, operations, financial reserves, rental
income, and cash flow of Constitution Plaza, the underlying asset
of CCLP.  Although the CCLP offering was purportedly a private
placement to accredited investors, Colonial sold limited
partnership units to far more than the 35 nonaccredited investors
permitted by Commission regulations.

     The complaint also alleged that, with the knowledge,
approval and/or participation of various Defendants:  Colonial
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concealed its financial problems from investors as the CCLP
offering progressed; Defendants Googel, B. Sisti and Candelori
signed false certifications in connection with the sale of
investor notes to financial institutions; and Colonial failed to
disclose that distributions to investors in its partnerships were
funded frequently by "loans" from other partnerships.  In
September 1990, shortly after the CCLP offering was suspended,
Colonial was forced into bankruptcy and CCLP limited partners
subsequently lost their entire investment.

(For further information, See Litigation Release Nos. 14432,
14448, 14612 and 14723)