SECURITIES AND EXCHANGE COMMISSION


          Litigation Release No. 16113 \ April 20, 1999

          Securities and Exchange Commission v. Leonard Rosenberg, Jack
          Silver, and SG Investment Family Limited Partnership, 99 Civ.
          2819 (LBS) (S.D.N.Y.)

               The Securities and Exchange Commission announced that it
          filed a complaint on April 19, 1999 in federal court in Manhattan
          charging two biotechnology scientists and an investment
          partnership with illegal insider trading in the securities of
          Panax Pharmaceutical Co., Ltd. ("Panax"), a pharmaceutical
          company that is now known as Inkine Pharmaceutical Company, Inc.
          According to the Complaint, the defendants purchased Panax
          securities in January 1997 when they knew confidential
          information about important corporate developments at Panax.

               Named in the Complaint are:

               Leonard Rosenberg ("Rosenberg"), age 41, vice-president of clinical trials
               at SciRex Corporation, a clinical research firm that helps
               pharmaceutical companies obtain financing and regulatory
               approval for biomedical products.

               Jack Silver ("Silver"), age 53, the Chief of the Division of
               Molecular Medicine at North Shore University Hospital in
               Great Neck, New York.

               SG Investment Family Limited Partnership ("SG") is a general
               partnership of which Silver is a partner.

               According to the Complaint:

                Rosenberg and Silver independently obtained inside
          information about:  (1) Panax’s acquisition of rights to exploit
          a new product that aids in colonoscopies ("Colon Pill"), which
          was first publicly announced on January 15, 1997; and (2) Panax’s
          planned merger with Sangen Pharmaceutical Company ("Sangen"),
          which was first publicly announced on January 21, 1997.
          Rosenberg learned about these developments through his employment
          with SciRex, which assisted Panax in evaluating the Colon Pill.
          Rosenberg, on behalf of SciRex, signed an agreement that, among
          other things, required SciRex and Rosenberg to keep confidential
          information concerning Panax.  Despite this agreement, Rosenberg
          bought Panax securities on January 10, 13, and 20, 1997 in an
          account in the name of his wife and in another account that he
          held jointly with her.  When he purchased Panax securities on
          January 10 and 13, 1997, Rosenberg knew that Panax had signed an
          agreement to acquire rights to the Colon Pill and planned to
          announce that fact on January 15, 1997.  When he purchased Panax
          securities on January 20, 1997, Rosenberg knew that Panax had
          signed an agreement to merge with Sangen and planned to announce
          that fact the next day.  Rosenberg realized at least $15,435 in
          ill-gotten gains from these trades.

               Silver learned from Sangen’s president about Panax’s plans
          to merge with Sangen and acquire the Colon Pill through his
          participation in confidential negotiations to sell Sangen certain
          pharmaceutical technology which, in turn, would make Sangen an
          attractive merger partner to Panax.  Silver expressly agreed to
          keep that information confidential and refrain from purchasing
          Panax securities.  Despite that agreement, Silver purchased Panax
          common stock on January 14 and 16, 1997 in a brokerage account in
          the name of SG.  Silver and SG realized at least $8,653 in ill-
          gotten gains from these trades.

               The Complaint alleges that, by engaging in the above
          described conduct, Rosenberg, Silver and SG committed securities
          fraud, in violation of Section 10(b) of the Securities Exchange
          Act of 1934 ("Exchange Act") and Rule 10b-5 thereunder.  In the
          Complaint, the Commission seeks final judgments permanently
          enjoining Rosenberg, Silver and SG from future violations of
          Section 10(b) of the Exchange Act and Rule 10b-5, disgorgement of
          their respective trading profits plus pre-judgment interest, and
          civil penalties pursuant to the Insider Trading and Securities
          Fraud Enforcement Act of 1988.

               Without admitting or denying the substantive allegations in
          the Complaint, Rosenberg, Silver and SG have consented to the
          entry of final judgments permanently enjoining them from
          violating Section 10(b) of the Exchange Act and Rule 10b-5.
          Rosenberg has agreed to pay disgorgement of $15,435 plus
          prejudgment interest of $2,878.81, and $15,435 in civil
          penalties.  Silver and SG have agreed to pay, jointly and
          severally, disgorgement of $8,653 plus prejudgment interest of
          $1,613.89, and civil penalties of $8,653 and $4,326.50
          respectively.