Exhibit 99.1




                               [GRAPHIC OMITTED]


         IPofA AFFILIATES TERMINATE MERGER AGREEMENT WITH FIRST MONTAUK


Red Bank, NJ - December 29, 2006 - First Montauk Financial Corp. (OTC/BB: FMFK),
a nationwide provider of investment services through independent financial
professionals, announced today that it has received notification from
representatives of FMFG Ownership, Inc. and FMFG AcquisitionCo, Inc., affiliates
of Investment Properties of America, LLC (collectively referred to as "IPofA"),
that IPofA is terminating the merger agreement with First Montauk Financial
Corp. The merger agreement, as amended, provides for its termination by either
party if the transaction is not completed by December 31, 2006.

First Montauk has been in the process of obtaining regulatory approval from the
National Association of Securities Dealers, Inc. ("NASD") for the merger, and in
that connection has been awaiting material information from IPofA and its
principal owner, Mr. Edward Okun that the NASD had previously requested in
connection with its review of the transaction. To date, neither IPofA nor Mr.
Okun has provided the requested information.

IPofA has alleged that it is terminating the merger agreement due to the NASD
having not yet approved the change of ownership application required under the
terms of the merger agreement, notwithstanding that the NASD granted an
extension until January 5, 2007 for IPofA and Mr. Okun to furnish the requested
information. In addition, IPofA has alleged that it is terminating the agreement
due to First Montauk's material breach of one of more of its representations,
warranties, covenants or agreements.

First Montauk strongly denies that IPofA's purported termination is appropriate
and that First Montauk has materially breached any of the provisions of the
merger agreement.

The Board of Directors is reviewing its options with respect to the merger
agreement as well as alternatives that may be in the best interests of the
shareholders of First Montauk.

First Montauk Financial Corp. is the parent company of First Montauk Securities
Corp., a registered securities broker/dealer headquartered in Red Bank, NJ.
First Montauk conducts securities brokerage, insurance, investment banking and
advisory business and has approximately 270 registered representatives and
services over 50,000 retail and institutional accounts, which comprise over $3
billion in customer assets.

Investment Properties of America, LLC is a full-service, investment and
management company grounded in its philosophy of creativity, diversity,
consistency and integrity. IPofA acquires, owns and operates properties,
primarily leased to major national and regional retail companies under net
leases.

The Private Securities Litigation Reform Act of 1995 provides a safe harbor for
forward-looking statements. This press release may contain certain statements of
a forward-looking nature relating to future events or future business
performance. Any such statements that refer to the Company's estimated or
anticipated future results or other non-historical facts are forward-looking and
reflect the Company's current perspective of existing trends and information.
These statements involve risks and uncertainties that cannot be predicted or
quantified and, consequently, actual results may differ materially from those
expressed or implied by such forward-looking statements. Such risks and
uncertainties include, among others, risks and uncertainties detailed in each
Company's Securities and Exchange Commission filings, including each Company's
Annual Reports on Form 10-K and Quarterly Reports on Form 10-Q. The
forward-looking statements speak only as of the date of this release. Each of
the Companies undertake no obligation to update publicly any forward-looking
statement, whether as a result of new information, future events or otherwise.


Contact:

First Montauk Financial Corp.
Victor K. Kurylak,
President and
Chief Executive Officer
(800) 876-3672, ext. 4230
info@montaukfinancial.com
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