5th Avenue Channel Corp.
Supplement to Prospectus Dated May 4, 2000
As described in "Business-Litigation" at page 32 of the Prospectus, the
SEC has been conducting an investigation as to whether we and other persons
misrepresented certain of our affairs in press releases and public filings
during 1998 and the early part of 1999. We were recently advised by the SEC
staff that as a result of its investigation it is considering recommending that
the SEC institute a public administrative proceeding or bring a civil injunctive
action against us and our President alleging violations of the anti-fraud and
reporting provisions of the federal securities laws. We have been given the
opportunity and intend to make a submission to the staff and the SEC setting
forth the legal, factual and policy reasons why such action should not be taken.
Although we continue to believe that our conduct in 1998 and early 1999 does not
warrant the imposition of such legal proceedings, we cannot predict whether we
will be successful in convincing the staff or the SEC of this position or of
otherwise reaching a satisfactory settlement.
Dated: June 30, 2000
