<PAGE>
This is filed pursuant to Rule 497(e).
File No. 2-35566
<PAGE>
SEQUOIA FUND, INC.
Supplement to Prospectus July 1, 1996
This supplement to the current prospectus of Sequoia
Fund, Inc. supersedes information listing the name and
address of the Fund's custodian.
Custodian
_________
The Bank of New York
90 Washington Street
New York, New York 10286
<PAGE>
This is filed pursuant to Rule 497(e).
File No. 2-35566
<PAGE>
SEQUOIA FUND, INC.
Supplement to Statement of July 1, 1996
Additional Information
This supplement to the current statement of additional
information of Sequoia Fund, Inc. supersedes certain
information under the heading "Custodian, Counsel and
Independent Accountants."
CUSTODIAN, COUNSEL AND INDEPENDENT ACCOUNTANTS
______________________________________________
The Bank of New York, 90 Washington Street, New York,
New York 10286, acts as custodian for the Fund's securities
portfolio and cash. Subject to the supervision of the Board
of Directors, The Bank of New York may enter into sub-
custodial agreements for the holding of the Fund's foreign
securities.
69900020.AN6
