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SUPPLEMENT TO THE PROSPECTUS DATED OCTOBER 22, 1996
THE AMERICAN HERITAGE FUND, INC.
On February 26, 1997, the Fund's investment in the securities of Senetek
PLC ("Senetek") represented approximately 46% of the Fund's total assets and net
assets. The Fund's last purchase of securities of Senetek occurred in 1994. As
set forth in the Fund's Prospectus, the restriction limiting investments of more
than 50% of the value of total assets in the securities of any one issuer is
applied solely at the time of any proposed transaction. Senetek is a small
foreign company and the Fund's investment therein is speculative.
Richard K. Parker has resigned as the President and Treasurer of the Fund
and American Heritage Growth Fund, Inc. ("AHGF") and as President, Treasurer and
director of American Heritage Management Corporation ("AHMC") for personal
reasons. Mr. Parker has transferred his equity ownership in AHMC to Northern
Westchester Industries, Inc., a newly organized corporation all of the
outstanding shares of which are owned by him. Heiko H. Thieme will remain as the
Chairman of the Board of Directors, Chief Executive Officer and Secretary of
both the Fund and AHMC and will continue to be primarily responsible for the
Fund's portfolio. Mr. Parker will continue to serve as a member of the Board of
Directors of the Fund and AHGF.
Reference is made to disclosure in the Prospectus under the caption "Legal
Proceedings" with respect to an action by the Fund against Kouri Capital Group,
Inc. and Pentti Kouri. The parties have agreed to dismiss the action without
prejudice. In the event that the Fund cannot achieve a satisfactory settlement,
the Fund intends to re-institute the action against both of the Defendants.
February 28, 1997
