Harrison Digicom Says Investigation Revealed Stock Manipulation by Off Shore Brokerage Firm.

COSTA MESA, Calif.--(BUSINESS WIRE)--January 8, 1999--Harrison Digicom, Inc. (NASD/OTCBB: HARR) announced today that the company has put on hold a pending private placement offering upon evidence of stock manipulation by an off shore brokerage firm which was to participate in the transaction.

John W. Bush, President and Chief Executive Officer of Harrison, said he became suspicious by a sudden drop in the price of his company's stock, coupled with volume increases which were at an all time high, while the private placement was being negotiated. "Our investigation revealed that the off shore brokerage firm was selling stock in an attempt to drive down the price to obtain a more favorable deal.

"As soon as I learned about the stock manipulation, I put a stop to all pending placement transactions," Bush added. "We have an obligation to our shareholders to protect their overall investment in Harrison. This type of stock manipulation would have hurt our overall position in the marketplace. We have a solid group of investors who see the long term potential of Harrison. As we seek additional funds, we must continue to search for quality investors who will stay with us for the long haul."

Bush said the company is in the final stages of completing its financial requirements for 1999 and expects to finalize the financing in the next few weeks.

Harrison Digicom, Inc. has been in operation since 1995 under the name Harrison Industries, Inc. The company has continued to focus on international communications opportunities. AirTel USA is the marketing arm of Harrison Digicom, Inc. in the wireless industry, with special focus in the CDMA marketplace. Saigon ETMC is the manufacturing arm of Harrison that has been awarded a 49 year license in Vietnam for the production of electronic equipment. Harrison Digicom, Inc. is the holding company for the HARR Group of Companies.