

                                        ARTHUR
                                       ANDERSEN




                                                    ---------------------------
                                                    Arthur Andersen LLP


                                                    ---------------------------
                                                    1345 Avenue of the Americas
                                                    New York NY 10105-0032


          June 16, 1999


          Office of the Chief Accountant
          Securities and Exchange Commission
          450 Fifth Street, N.W.
          Washington, D.C. 20549





          Dear Sir/Madam:

          We  have read Item 4 included in the  Form 8-K dated May 27, 1999
          of  Paramount   Financial  Corporation  to  be   filed  with  the
          Securities and Exchange  Commission and are in agreement with the
          statements contained therein.

          Very truly yours,

          ARTHUR ANDERSEN LLP

