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Valley of Lakes RICO Class Action against PNCBANK, et al.
ripped edge: exhibits
MLA Management Associates Letterhead

=====================================================================
						    February 15, 1993

GENERAL:  On behalf of C.B.G., Limited and MLA Management 
Associates, Inc. , once again, we would like to thank everyone who 
has been so helpful over the past few months, in working with us to 
keep the services in the Valley flowing.  We have had a number of 
challenges both man-made and produced by mother nature.  We are 
particularly pleased with the response to our request for the 
payment of annual maintenance fees.  The cooperation of property 
owners during the December 3 day record blizzard was appreciated.

The income from '93 maintenance fees will allow us to continue the 
level of service anticipated in the budgets, together with the plan 
for improved roads maintenance in the spring.  The continued 
cooperation of all owners is essential to keep the costs of services 
in line.  Likewise, the work to be done on the pool and tennis area 
is being scheduled for early spring.

MAINTENANCE FEES AND BUDGETS: Over 800 property owners have paid 
their maintenance fees for 1993 as this is being prepared.  The 
grace period for payment continues until February 15th.  After that 
date, active efforts will be made to collect outstanding assessments 
to assure that all services can continue as budgeted.  Many thanks 
to all for their help during these difficult times.

The last three months of 1992 were extremely tight from a budget 
standpoint.  The amount of revenue coming in had to be supplemented 
by advances from First Eastern Bank, which must'be paid back.  These 
advances were required just to keep the security staff in place, do 
essential maintenance, including coping with major snow storms and 
major repairs to sewer and water systems, prepare reports to the 
bankruptcy courts as required for those functions under our 
supervision and communicate with owners.  The budgets for 1993 are 
key operating documents and will dictate the level of services that 
can be provided in the next few months.  We are working actively to 
collect the funds due from delinquent owners for 1992 and prior 
year's assessments.  These funds will be used to pay back bills for 
road maintenance and other services from these past few months.

COMMUNITY USE OF CLUBHOUSE: The Managing Agent has committed itself 
to providing a program of access to the Clubhouse and the pool and 
tennis complex for community and private parties.  Attached is a 
copy of the rules and regulations for requesting community use of 
the Clubhouse.  If an event is to be for community-wide 
participation, then there is no fee.  If an event is for a private 
party, the cost is $15 per hour (minimum 4 hours).  The fees will be



used to pay the extra cost for heat and lighting, etc., not included 
in the budget.  All events will be limited by the size of the 
Clubhouse.

LITTERING IN THE COMMUNITY - $500 REWARD: The Pennsylvania 
Department of Environmental Resources (DER) has made several visits 
to the community over the past few weeks.  There have been repeated 
incidents of improper disposal of trash in the community, including 
along roadways, next to amenities and commercial areas.  Please 
note, since the commercial facilities are not currently in 
operation, the only persons in the Valley are property owners and 
their respective contractors.  We have been forced to clean up trash 
illegally disposed of in the community at the expense of our budget.  
C.B.G., LIMITED HAS ANNOUNCED THAT THEY WILL PROSECUTE TO THE 
FULLEST EXTENT OF THE LAW ANY PERSONS OR FIRM FOUND TO HAVE 
IMPROPERLY DISPOSED OF TRASH ON THE COMMON PROPERTY OR IN COMMERCIAL 
AREAS.  A $500 REWARD IS OFFERED FOR INFORMATION LEADING TO THE 
ARREST AND CONVICTION OF PERSONS ILLEGALLY DISPOSING OF TRASH IN THE 
COMMUNITY.  Residents are reminded that they are responsible for 
their own household and contractor's trash and debris.  Call any 
time, day or night, if you suspect illegal dumping (717) 384-6286.

SUMMER PLANS IN SIGHT - LIFEGUARDS/MAINTENANCE WORKERS HELP WANTED: 
CERTIFIED EXPERIENCED LIFEGUARDS FOR VALLEY BEACH AND POOL '93 
SUMMER SEASON.  STOP AT SECURITY GATE FOR APPLICATION FOR 
EMPLOYMENT.  Lifeguards will be selected based on experience, 
maturity, physical ability, flexibility in working hours and 
willingness to work a variety of tasks associated with pool and 
beach operations, including guarding and maintenance.  A mature 
person is also being sought to supervise staff selected.

We are pleased, to place this notice.  We are confident that 
everything will be in readiness for the summer season.  We have 
budgeted for the operation of the pool and beach this summer on a 
schedule that will meet the needs of a majority of our property 
owners.  Due to limited finances, the beach will be guarded ONLY 
Friday, Saturday, Sunday and holidays between 12:00 noon and 5:00 
pm. Other times, parents must accompany children.  The pool is 
planned to be open weekends from Memorial Day (including Monday of 
Memorial Day) to July 4th and seven (7) days per week thereafter.
Pool hours will be 11:00 am to 6:00 pm on weekends and 12:00 noon to
5:00 pm weekdays - if finances permit!

ROAD WORK PLANNED:  We are well aware of the,severe problems created
by the variations in weather this winter to the roads.  This is
particularly true of roads in E & EA. . The water conditions and
freeze thaw cycles have compounded difficult situations.  We are in
the process of securing bids for both regrading existing shale 
roads, applying additional stone to roads, patching potholes in 
paved roads and to do ditching and drainage work essential to 
maintain roadways.  At the present time ' there are no funds in the 
budget to build new roads.  IF YOU HAVE A PARTICULARLY BAD SECTION 
OF ROAD, PLEASE COMPLETE A SUGGESTION AND COMPLAINT FORM AT THE 
SECURITY GATE AND WE WILL PUT IT ON OUR PRIORITY LIST.




			 USE AGREEMENT
			VALLEY OF LAKES
	     SWIM, TENNIS CLUB & OTHE-R AMENITIES

General Rules and Requlations:

The Swim and Tennis Club may, at the discretion of the Managing 
Agent, be used by individual Valley of Lakes property owners in good 
standing for personally conducted, family-oriented, social events
and community events. 	Owners may also conduct events open to all
property owners, upon request.

The Managing Agent, however, specifically reserves the right to
refuse the use of the facility to owners not in good standing, for 
failure to pay outstanding maintenance fees, or property owners with 
outstanding violations of covenants and restrictions or rules and
regulations.

Property owners wishing to use the facility must fully complete a 
use application and submit it to the Managing Agent at least four 
(4) weeks in advance of the requested date.  The Managing Agent will 
schedule the event, should it not conflict with any other planned 
event, within seven (7) business days of receipt and mail approval 
or disapproval to applicant and forward notice of application to 
C.B.G., Limited for information.

Applications for community events open to all owners in good 
standing shall be responsible individual property owners who shall 
sign the application and appropriate acknowledgment of 
responsibility.  Large events, over 25 persons, may require 
assignment of a paid employee or responsible volunteer and require 
reimbursement of cost, which may be collect in the form of an
activity fee.

If the application fbr private event is approved, the property owner 
will deliver the sum of $15.00 per hour reserved (minimum 4 hours = 
$60.00) rental fee (private parties only) plus a cash deposit of $
50.00 payable to C.B.G.-MLA General Account at least seven (7) days 
prior to the event.  This money will be used to offset cost of extra 
heat, lighting, staff, wear and tear and deposit shall be returned 
in one (1) week, net of any damage or clean up expense.

The property owner(s) submitting the request agrees to abide by all 
rules contained in this agreement, and assumes all responsibility 
for the conduct, safety and welfare of persons attending the event.

The property owner(s) also agrees to hold harmless any and all 
persons responsible for the facility.





Specific Rules:

Applicant and his/her guests shall art all times prior to use remain 
an owner or guest of owner in good standing as defined above.

Upon the opening of the building for an event, the property owner 
will examine and immediately report any visible damage or disrepair.  
Should he/she not do so, he/she will be responsible for any such 
damage found after his/her use.

No alcoholic beverages will be permitted on the premises at any 
time.

Applicant(s) shall, at all times the event is conducted, be 
personally present at the event.

Unless specific arrangements have been made prior to the event, set 
up must be accomplished no more than four (4) hours before the 
scheduled event is to begin.

No decorations, signs, etc. may be put onto the walls, ceiling or 
windows which may damage them.

Any and all food, beverages, decorations, signs, etc. will be 
removed by the property owner(s).  Spillages will be completely 
cleaned up and the facility left broom-clean.

All garbage and trash will be removed by the property owner for 
disposal at their private residences.  Cost of trash removal will 
be deducted from deposit if applicant does not remove same.

Should noise complaints be received, the property owner will receive 
one (1) warning to quell the annoyance.  Upon a second call, should 
security personnel find cause, the event will be immediately 
terminated and the facility closed.

At the conclusion of the event, the property owner will call the 
security office, or in their absence, the security officer at the 
Nuremberg entrance, to inspect and close the premises.  The property 
owner is responsible for the premises until this officer or
responsible designee closes it.

On the day following the event, an inspection will be made of the
facility.  Should any damage or disrepair be found, or all cleanup
conditions not met, the Managing Agent will use some or all of the
deposit money to put the facility back into proper order.  Monies 
not used will be returned.


Valley of Lakes RICO Class Action against PNCBANK, et al.

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