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A.B.E. INDUSTRIAL HOLDINGS ANNOUNCES INQUIRY

 A.B.E. INDUSTRIAL HOLDINGS ANNOUNCES INQUIRY
 BOCA RATON, Fla., Dec. 9 /PRNewswire/ -- A.B.E. Industrial


Holdings, Inc. (OTC), formerly Consolidated Financial Corporation, a publicly held Delaware corporation (the "company") announced today that the Miami office of the Enforcement Division of the U.S. Securities and Exchange Commission is currently engaged in a confidential, informal inquiry into transactions reported by the company and reflected in its disclosure and into apparently reported indications of serious irregularities, possibly involving the company's securities in Europe. The company's treasurer, Dennis E. Dixon said that through his efforts and the efforts of the company's vice president, Malcolm Douglass, the company is cooperating fully with the SEC inquiry and has furnished all information and materials requested to this point.
 Dixon said that in the company's limited view, the SEC's inquiry is largely focused on issues concert?he validity of the company's sole asset, a $33 million mortgage encumbering an operating vineyard in the vicinity of the city of Tours, France, the value of the vinyard, the validity of an offer to purchase the company's mortgage from Fidelity Trust AG of Geneva, Switzerland, negotiated and obtained by the company's president, Dieter F. Eckert, and the evident existence of counterfeit certificates in Europe purporting to represent common stock of the company.
 The company acquired the mortgage for restricted common stock in June 1991 from Aktiengesellschaft fur Beteiligungen in Europa, S.A. Upon completion of the transaction Aktiengesellschaft fur Beteiligungen in Europa, S.A. controlled more than 90 percent of the company's common stock and its officers and directors were appointed officers and directors of the company.
 Dixon further indicated that when some of the parameters of the SEC's confidential informal investigation became apparent, he and Douglass undertook a company inquiry to determine, if possible, whether the company was defrauded in the vineyard mortgage-for-stock transaction by Aktiengesellschaft fur Beteiligungen in Europa, S.A., its affiliate or others; whether any person is trading or otherwise dealing in the company's valid securities in some impermissible manner, and to determine the source, quantity and purpose or purposes of counterfeit certificates purporting to represent common stock of the comany.
 While not yet conclusive, Dixon said preliminary indications of those efforts are that: the underlying value of the vineyard may be substantially less than reflected in the formal valuation undertaken at the company's insistence by Aktiengesellschaft fur Beteiligungen in Europa, S.A. and presented to the company by its own officers and directors, Dieter F. Eckert and Anton Christmann by Aktiengesellschaft fur Beteiligungen in Europa, S.A.; the retail per-bottle price of the vineyard's current wine may be significantly less than the value represented by the company's president Dieter F. Eckert, by Aktiengesellschaft fur Beteiligungen in Europa, S.A. and by principals of the vineyard itself at the time of completion of the stock-for- mortgage transaction in June of 1991; counterfeit certificates appear to have been manufactured or caused to have been manufactured by the company's officers, Dieter F. Eckert and Anton Christmann, or their affiliates, for some sort of distribution to shareholders of Aktiengesellschaft fur Beteiligungen in Europa, S.A. for a purpose or purposes which have not yet become apparent to the company; and the discount letter of offer of purchase of the vineyard mortgage from Fidelity Trust AG, obtained and presented by the company's president, Dieter F. Eckert, is likely not genuine and not issued by a Swiss bank as elaborately assured by Eckert.
 Dixon said further that the company, through his efforts and those of Douglass, is continuing to cooperate fully and promptly with the ongoing confidential, informal investigation by the Miami Enforcement Division of the Securities and Exchange Commission and demands made by the company and by Dixon and Douglass to Eckert and Christmann, as a result of the indications of irregular, improper and possible illegal activities and circumstances, have gone without satisfactory explanation by Eckert and Christmann or by Aktiengesellschaft fur Beteiligungen in Europa, S.A. Dixon further indicated that the division and tension created by these matters within the company have precluded and continue to preclude a unified company approach to these serious issues and indications, but that in the event that the value of the vineyard has, in fact, been significantly misrepresented by Eckert and by Aktiengesellschaft fur Beteiligungen in Europa, S.A., and in the further event that the balance of the mortgage payment due Dec. 31, 1991 is not in fact timely made, it will be necessary for the company to foreclose its mortgage upon the vineyard, to seek proceeds from subsequent judicial sale of the vineyard and to secure recovery of capital stock issued to Aktiengesellschaft fur Beteiligungen in Europa, S.A. if justified, for failure of consideration and fraud.
 The company stated, in the event that any of these serious negative matters or issues rises to the level of conclusive fact, the company will be significantly adversely affected. All of managements' efforts are already dedicated solely to those matters. If the company's or the SEC's investigation ultimately conclusively indicate that the company has, indeed, been defrauded or that counterfeit stock certificates are or were, in fact, being used by affiliates for illegal purposes in Europe or elsewhere, Dixon indicated that the company on behalf of its shareholders will vigorously pursue any and all available relief and remedies in the circumstances.
 -0- 12/9/91
 /CONTACT: Dennis Dixon of A.B.E. Industrial Holdings, Inc., 407-367-7303/ CO: A.B.E. Industrial Holdings, Inc. ST: Florida IN: FIN SU:


JJ-AW -- FL005 -- 0509 12/09/91 11:27 EST
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Publication:PR Newswire
Date:Dec 9, 1991
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