UNITED STATES
SECURITIES AND EXCHANGE COMMISSION         -------------------------------------
    Washington, D.C. 20549                              OMB APPROVAL
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          FORM N-17f-2                      OMB Number:               3235-0360
                                            Expires:              July 31, 1994

                                            Estimated average burden
                                            hours per response          ...0.05
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Certificate of Accounting of Securities and Similar

           Investments in the Custody of
         Management Investment Companies
   Pursuant to Rule 17f-2 [17 CFR 270.17F-2]

                                                                                            
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1. Investment Company Act File Number:                                                         Date examination completed:

811-8358                                                                                       June 30, 1999
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2. State identification Number:
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     AL                    AK                   AZ                    AR                    CA                     CO
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     CT                    DE                   DC                    FL                    GA                     HI
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     ID                    IL                   IN                    IA                    KS                     KY
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     LA                    ME                   MD                    MA                    MI                     MN
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     MS                    MO                   MT                    NE                    NV                     NH
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     NJ                    NM                   NY                    NC                    ND                     OH
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     OK                    OR                   PA                    RI                    SC                     SD
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     TN                    TX                   UT                    VT                    VA                     WA
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     WV                    WI                   WY                    PUERTO RICO
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     Other (specify):
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3. Exact name of investment company as specified in registration statement:

MUTUAL FUND TRUST
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5. Address of principal executive office (number, street, city, state, zip code):

Mary Squires, 1 Chase Square - Tower 7, Rochester, New York  14643
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INSTRUCTIONS

This Form must be completed by investment companies that have custody of
securities or similar investments.

Investment Company

1.   All items must be completed by the investment company.

2.   Give this Form to the independent public accountant who, in compliance with
     Rule 17f-2 under the Act and applicable state law, examines securities and
     similar investments in the custody of the investment company.

Accountant

3.   Submit this Form to the Securities and Exchange Commission and appropriate
     state securities administrators when filing the certificate of accounting
     required by Rule 17f-2 under the Act and applicable state law. File the
     original and one copy with the Securities and Exchange Commission's
     principal office in Washington, D.C., one copy with the regional office for
     the region in which the investment company's principal business operations
     are conducted, and one copy with the appropriate state administrator(s), if
     applicable.

          THIS FORM MUST BE GIVEN TO YOUR INDEPENDENT PUBLIC ACCOUNTANT

                                                                SEC 2198 (11-91)

                        Report of Independent Accountants

September 30, 1999


To the Trustees of
Mutual Fund Trust

We have examined management's assertion about Mutual Fund Trust's (the
"Trust's") compliance with the requirements of subsections (b) and (c) of Rule
17f-2 under the Investment Company Act of 1940 ("the Act") as of June 30, 1999
included in the accompanying Management Statement Regarding Compliance with
Certain Provisions of the Investment Company Act of 1940. Management is
responsible for the Trust's compliance with those requirements. Our
responsibility is to express an opinion on management's assertion about the
Trust's compliance based on our examination.

Our examination was made in accordance with standards established by the
American Institute of Certified Public Accountants and, accordingly, included
examining, on a test basis, evidence about the Trust's compliance with those
requirements and performing such other procedures as we considered necessary in
the circumstances. Included among our procedures were the following tests
performed as of June 30, 1999, and the period from April 30, 1999 (the date of
last examination) through June 30, 1999 with respect to agreement of purchases
and sales of securities and similar investments, without prior notice to
management:

o  Count and inspection of domestic securities and similar investments located
   in the vault of The Chase Manhattan Bank, New York (the "Custodian") at 4
   New York Plaza, 11th Floor, NY, NY;

o  Testing of securities and similar investments held in book entry form by
   the Federal Reserve Bank of New York and The Depository Trust Company via
   evaluation of the reconciliation procedures used by the Custodian and
   disposition of any reconciling items related to the Trust's positions;

o  Testing of the reconciliation of securities and similar investments,
   prepared by management of the Trust, between the books and records of the
   Trust and the Custodian;



o  Confirmation of securities with the transfer agent for investments in other
   mutual funds;

o  Confirmation of securities held at sub-custodians;

o  Agreed principal amounts of time deposits due shortly after June 30, 1999 to
   the Custodian's cash records subsequent to June 30, 1999;

o  Agreement of securities due, but not yet received, to the books and records
   of the Custodian indicating subsequent receipt of the securities at a
   sub-custodian;

o  Testing of selected purchases and/or sales or maturities of investment
   securities since our last examination from the books and records of the Trust
   to trade tickets and broker confirmations;

o  For global securities held in book entry form by sub-custodians outside
   of the United States:

     o  Testing of the reconciliation of custody records, prepared by management
        of the Trust, between The Chase Manhattan Bank, Bournemouth, England,
        the primary custodian outside of the United States, and the
        corresponding sub-custodians;

     o  Testing of the reconciliation of securities and similar investments from
        The Chase Manhattan Bank, Bournemouth, England to the records of the
        Custodian.

We believe that our examination provides a reasonable basis for our opinion. Our
examination does not provide a legal determination on the Trust's compliance
with specified requirements.

In our opinion, management's assertion that Mutual Fund Trust was in compliance
with the requirements of subsections (b) and (c) of Rule 17f-2 of the Investment
Company Act of 1940 as of June 30, 1999 with respect to securities and similar
investments reflected in the investment account of the Trust is fairly stated,
in all material respects.

This report is intended solely for the information and use of management of
Mutual Fund Trust and the Securities and Exchange Commission and should not be
used for any other purpose.



                 Management Statement Regarding Compliance with
            Certain Provisions of the Investment Company Act of 1940
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We, as members of management of Mutual Fund Trust (the "Trust"), are responsible
for complying with the requirements of subsections (b) and (c) of Rule 17f-2,
"Custody of Investments by Registered Management Investment Companies," of the
Investment Company Act of 1940. We are also responsible for establishing and
maintaining an effective internal control structure over compliance with those
requirements. We have performed an evaluation of the Trust's compliance with the
requirements of subsections (b) and (c) of Rule 17f-2 as of June 30, 1999 and
from April 30, 1999 (last examination date) through June 30, 1999.

Based on this evaluation, we assert that the Trust was in compliance with the
requirements of subsections (b) and (c) of Rule 17f-2 of the Investment Company
Act of 1940 as of June 30, 1999 and from April 30, 1999 (last examination date)
through June 30, 1999, with respect to securities and similar investments
reflected in the investment account of the Trust.



Mutual Fund Trust

By:




________________________________
Martin R. Dean
Treasurer
Mutual Fund Trust



________________________________
Colleen McCoy
Vice President
Chase Manhattan Bank