﻿<?xml version="1.0" encoding="utf-8"?>
<Return xmlns="http://www.irs.gov/efile" xmlns:xsi="http://www.w3.org/2001/XMLSchema-instance" xsi:schemaLocation="http://www.irs.gov/efile" returnVersion="2011v1.2">
  <ReturnHeader binaryAttachmentCount="0">
    <Timestamp>2013-01-29T16:03:22-06:00</Timestamp>
    <TaxPeriodEndDate>2011-12-31</TaxPeriodEndDate>
    <PreparerFirm>
      <EIN>131517563</EIN>
      <PreparerFirmBusinessName>
        <BusinessNameLine1>LOEB &amp; TROPER LLP</BusinessNameLine1>
      </PreparerFirmBusinessName>
      <PreparerFirmUSAddress>
        <AddressLine1>655 THIRD AVENUE 12TH FLOOR</AddressLine1>
        <City>NEW YORK</City>
        <State>NY</State>
        <ZIPCode>10017</ZIPCode>
      </PreparerFirmUSAddress>
    </PreparerFirm>
    <ReturnType>990</ReturnType>
    <TaxPeriodBeginDate>2011-01-01</TaxPeriodBeginDate>
    <Filer>
      <EIN>205845679</EIN>
      <Name>
        <BusinessNameLine1>CLARION FUND INC</BusinessNameLine1>
      </Name>
      <NameControl>CLAR</NameControl>
      <Phone>6463081230</Phone>
      <USAddress>
        <AddressLine1>255 WEST 36TH STREET NO 800</AddressLine1>
        <City>NEW YORK</City>
        <State>NY</State>
        <ZIPCode>10018</ZIPCode>
      </USAddress>
    </Filer>
    <Officer>
      <Name>ROBERT SHORE</Name>
      <Title>PRESIDENT</Title>
      <Phone>6463081230</Phone>
      <DateSigned>2013-01-16</DateSigned>
      <AuthorizeThirdParty>1</AuthorizeThirdParty>
    </Officer>
    <Preparer>
      <Name>FREDERICK H ROTHMAN</Name>
      <PTIN>P01275277</PTIN>
      <Phone>2128674000</Phone>
    </Preparer>
    <TaxYear>2011</TaxYear>
    <BuildTS>2016-02-25 16:41:14Z</BuildTS>
  </ReturnHeader>
  <ReturnData documentCount="5">
    <IRS990 documentId="RetDoc1038000001" referenceDocumentId="RetDoc1044400001">
      <NameOfPrincipalOfficerPerson>ROBERT SHORE</NameOfPrincipalOfficerPerson>
      <AddressPrincipalOfficerUS>
        <AddressLine1>255 WEST 36TH STREET NO 800</AddressLine1>
        <City>NEW YORK</City>
        <State>NY</State>
        <ZIPCode>10018</ZIPCode>
      </AddressPrincipalOfficerUS>
      <GrossReceipts>1606793</GrossReceipts>
      <GroupReturnForAffiliates>0</GroupReturnForAffiliates>
      <Organization501c3>X</Organization501c3>
      <WebSite>WWW.CLARIONFUND.ORG</WebSite>
      <TypeOfOrganizationCorporation>X</TypeOfOrganizationCorporation>
      <YearFormation>2006</YearFormation>
      <StateLegalDomicile>DE</StateLegalDomicile>
      <ActivityOrMissionDescription>TO ALERT AMERICANS ABOUT THE THREAT OF RADICAL ISLAM.</ActivityOrMissionDescription>
      <NbrVotingMembersGoverningBody>4</NbrVotingMembersGoverningBody>
      <NbrIndependentVotingMembers>2</NbrIndependentVotingMembers>
      <TotalNbrEmployees>10</TotalNbrEmployees>
      <TotalNbrVolunteers>2</TotalNbrVolunteers>
      <TotalGrossUBI>0</TotalGrossUBI>
      <NetUnrelatedBusinessTxblIncome>0</NetUnrelatedBusinessTxblIncome>
      <ContributionsGrantsPriorYear>1024705</ContributionsGrantsPriorYear>
      <ContributionsGrantsCurrentYear>1351074</ContributionsGrantsCurrentYear>
      <ProgramServiceRevenuePriorYear>116253</ProgramServiceRevenuePriorYear>
      <ProgramServiceRevenueCY>243478</ProgramServiceRevenueCY>
      <InvestmentIncomePriorYear>312</InvestmentIncomePriorYear>
      <InvestmentIncomeCurrentYear>1220</InvestmentIncomeCurrentYear>
      <OtherRevenuePriorYear>12064</OtherRevenuePriorYear>
      <OtherRevenueCurrentYear>11021</OtherRevenueCurrentYear>
      <TotalRevenuePriorYear>1153334</TotalRevenuePriorYear>
      <TotalRevenueCurrentYear>1606793</TotalRevenueCurrentYear>
      <GrantsAndSimilarAmntsPriorYear>0</GrantsAndSimilarAmntsPriorYear>
      <GrantsAndSimilarAmntsCY>0</GrantsAndSimilarAmntsCY>
      <BenefitsPaidToMembersPriorYear>0</BenefitsPaidToMembersPriorYear>
      <BenefitsPaidToMembersCY>0</BenefitsPaidToMembersCY>
      <SalariesEtcPriorYear>77032</SalariesEtcPriorYear>
      <SalariesEtcCurrentYear>305417</SalariesEtcCurrentYear>
      <TotalProfFundrsngExpPriorYear>0</TotalProfFundrsngExpPriorYear>
      <TotalProfFundrsngExpCY>0</TotalProfFundrsngExpCY>
      <TotalFundrsngExpCurrentYear>271389</TotalFundrsngExpCurrentYear>
      <OtherExpensePriorYear>701925</OtherExpensePriorYear>
      <OtherExpensesCurrentYear>907510</OtherExpensesCurrentYear>
      <TotalExpensesPriorYear>778957</TotalExpensesPriorYear>
      <TotalExpensesCurrentYear>1212927</TotalExpensesCurrentYear>
      <RevenuesLessExpensesPriorYear>374377</RevenuesLessExpensesPriorYear>
      <RevenuesLessExpensesCY>393866</RevenuesLessExpensesCY>
      <TotalAssetsBOY>504857</TotalAssetsBOY>
      <TotalAssetsEOY>866776</TotalAssetsEOY>
      <TotalLiabilitiesBOY>46335</TotalLiabilitiesBOY>
      <TotalLiabilitiesEOY>14388</TotalLiabilitiesEOY>
      <NetAssetsOrFundBalancesBOY>458522</NetAssetsOrFundBalancesBOY>
      <NetAssetsOrFundBalancesEOY>852388</NetAssetsOrFundBalancesEOY>
      <InfoInScheduleOPartIII>X</InfoInScheduleOPartIII>
      <MissionDescription>CLARION FUND, INC.IS A U.S. BASED NON-PROFIT ORGANIZATION WORKING TO ALERT AMERICANS ABOUT THE THREAT OF RADICAL ISLAM. CLARION FUND PROMOTES INFORMAL EDUCATION, AND PRODUCES FEATURE-LENGTH DOCUMENTARIES TO PRESENT THE DANGERS AND INTENTIONS OF A GROWING RADICAL ISLAMIC MOVEMENT.</MissionDescription>
      <SignificantNewProgramServices>0</SignificantNewProgramServices>
      <SignificantChange>0</SignificantChange>
      <Expense>594075</Expense>
      <Revenue>243478</Revenue>
      <Description>IRANIUM: IRANIUM WAS PRODUCED IN 2010, AND LAUNCHED IN FEBRUARY 2011. DISTRIBUTION EFFORTS WERE THE PRIMARY FOCUS OF CLARION FUND THROUGHOUT THE YEAR.IRANIUM, NARRATED BY ACADEMY AWARD NOMINATED AND EMMY AWARD WINNING IRANIAN ACTRESS SHOHREH AGHDASHLOO, PRESENTS THE DANGEROUS SCENARIOS POSED TO THE WORLD BY A NUCLEAR IRAN. WWW.IRANIUMTHEMOVIE.COMTHE PROBLEM THAT AMERICA AND THE WORLD FACES TODAY WITH IRAN BEGAN IN 1979. SINCE THE INCEPTION OF THE ISLAMIC REVOLUTION, IRAN HAS DISPLAYED A DANGEROUS RELIGIOUS IDEOLOGY AND AN ABSOLUTE HATRED FOR THE WEST. IRANIUM EXPLORES THE PRINCIPLES OF THE REVOLUTION, AND VISUALLY DEMONSTRATES THE HATRED AND VIOLENCE EXHIBITED BY IRAN'S BRUTAL LEADERSHIP. NOW, 30 YEARS AFTER THE START OF THE REVOLUTION, IRAN IS ON THE CUSP OF CROSSING THE NUCLEAR THRESHOLD. THE DEVELOPMENT OF A NUCLEAR PROGRAM HAS ONLY ADDED TO THE ALREADY IMMENSE THREAT POSED BY THIS DANGEROUS REGIME. IRANIUM WAS EXTREMELY SUCCESSFUL AND HAD ENORMOUS IMPACT IN REACHING MILLIONS OF AMERICANS EDUCATING THEM ABOUT THIS THREAT.THE RELEASE OF OUR AWARD-WINNING DOCUMENTARY IRANIUM PROVED TO BE THE MOST IMPORTANT FILM WE COULD POSSIBLY MAKE AND MILLIONS AROUND THE WORLD WHO SAW THE FILM AGREE.OVER A DOZEN PREMIER SCREENING EVENTS IN AMC THEATERS ACROSS THE U.S.500 GRASSROOTS SCREENINGS ACROSS NORTH AMERICAPREMIERE SCREENING ON CAPITOL HILL, ATTENDED BY 5 CONGRESSMEN AND MANY STAFFERSREP. ELIOT ENGEL (D-NY, 17TH DISTRICT) DISTRIBUTED 435 DVDS TO EACH MEMBER OF CONGRESSSCREENED REPEATEDLY IN IRAN VIA SATELLITE TV ON CHANNELS ACCESSIBLE TO 60 PERCENT OF IRANIANSONE-HOUR PRIMETIME IRANIUM SPECIAL ON FOX NEWS, HOSTED BY SEAN HANNITY AND SEEN BY THREE MILLION VIEWERSCOVERED NATIONALLY ON THE BBC AND FOX NEWS, INCLUDING A FEATURE ON FOX &amp; FRIENDS; ALSO FEATURED ON THE MICHAEL MEDVED SHOW, LARS LARSON, THE JOHN BACHELOR SHOW, DENNIS MILLER, CBC, NEWSMAX, NATIONAL REVIEW ONLINE, CBN NEWS, PRESSTV, THE HILL, THE DAILY CALLER, AND MORE.SPOTLIGHTED IN A 30-MINUTE SPECIAL ON THE MULTI-NATIONAL CHRISTIAN BROADCAST NETWORK, HOSTED BY ERICK STAKELBECK.FEATURED IN DECEMBER, 2011 ON DAYSTAR, THE LARGEST CHRISTIAN TELEVISION STATION IN THE WORLD, WITH A REACH OF MORE THAN 650 MILLION HOUSEHOLDS.DISTRIBUTED BY COMCAST VIDEO ON DEMAND, NETFLIX, HULU INTERNET TVVIEWED ONLINE IN OVER 150 COUNTRIES, BY MORE THAN 100,000PROPELLED TO THE LEFT SIDE OF THE FREEDOM OF SPEECH DEBATE IN CANADA: THE FILM CAUSED A DIPLOMATIC ROW BETWEEN THE CANADIAN AND IRANIAN GOVERNMENTS, AND THE IRANIAN FOREIGN MINISTRY REPEATEDLY CONDEMNED IRANIUM BY NAME DURING PRESS CONFERENCES IN TEHRANSPECIAL JURY AWARD WINNER, HOUSTON WORLDFEST 2011 FILM FESTIVAL; OFFICIAL SELECTION IN FOUR ADDITIONAL FILM FESTIVALS, INCLUDING THE ALABAMA INTERNATIONAL FILM FESTIVAL, THE SAN FRANCISCO INTERNATIONAL FILM FESTIVAL, AND THE NEW YORK CITY INTERNATIONAL FILM FESTIVAL.IN NOVEMBER, 2011, CLARION FUND MODERATED AN URGENT PANEL DISCUSSION ON IRAN WITH CLIPS FROM IRANIUM AT NEW YORK CITY'S 92ND ST. Y. THE PANELISTS WERE FORMER ASSISTANT SEC. OF DEFENSE RICHARD PERLE, IRANIAN DISSIDENT NAZIE EFTEKHARI, AND IRANIUM DIRECTOR ALEX TRAIMAN. THE EVENT WAS SIMULCAST LIVE IN 29 COMMUNITIES ACROSS THE UNITED STATES.RADICALISLAM.ORG:CLARION FUND'S FLAGSHIP WEBSITE AND EMAIL NEWSLETTER, RADICALISLAM.ORG, GALVANIZES THE BASE OF THOSE INVESTED IN THE CAUSE, EDUCATES THOSE LESS INFORMED, AND ACTIVATES ITS MEMBERS THROUGH CONCRETE ACTION ITEMS. 2011 HIGHLIGHTS:RADICALISLAM.ORG GREW FROM 50,000 SUBSCRIBERS IN 2010 TO MORE THAN 100,000 WHO RECEIVE OUR BIWEEKLY NEWSLETTER.ORIGINAL AND TIMELY ARTICLES - MANY BY CLARION FUND SENIOR ADVISOR AND FORMER CIA OFFICER CLARE LOPEZ - WERE READ BY THOUSANDS.A NEW WEBINAR SERIES WAS CRATED, FEATURING EXPERTS FROM ACROSS THE UNITED STATES WHO SPEAK ON THE DANGERS OF ISLAMIC RADICALIZATION. TO DATE, WE HAVE HAD FOUR WEBINARS WHERE OVER 8,000 PEOPLE ATTENDED EITHER LIVE OR ON-DEMAND.RADICALISLAM.ORG WEBSITE WAS RE-DESIGNED TO IMPROVE VISITOR EXPERIENCE AND ADD VALUE TO THE WEBSITE, INCLUDING:O FEATURED VIDEO - RADICALISLAM.ORG SEARCHES THE WEB FOR THE MOST INTERESTING AND RELEVANT VIDEOS FROM AROUND THE WORLD. NEW VIDEO CONTENT IS UPLOADED EVERY FEW DAYS.O LATEST BLOG - THE RADICALISLAM.ORG BLOG NOW FEATURES PROMINENTLY ON THE HOME PAGE.O NEWS ANALYSIS - CLARION FUND SENIOR FELLOW, CLARE M. LOPEZ, IS WRITING REGULAR IN-DEPTH NEWS ANALYSIS PIECES FOR RADICALISLAM.ORG. CIAL JURY AWARD WINNER, HOUSTON WORLDFEST FILM FESTIVALO DID YOU KNOW - CLARION FUND SENIOR FELLOW CLARE M. LOPEZ IS ALSO WRITING A REGULAR COLUMN CALLED "DID YOU KNOW?" WHICH TAKES A DEEPER LOOK AT RADICAL ISLAM, DE-MYSTIFYING AND EXPLAINING CONCEPTS WITHIN ISLAM. "DID YOU KNOW" ALSO IDENTIFIES AND EXAMINES THE KEY RADICAL ISLAMIC ORGANIZATIONS WORLDWIDE.CAMPAIGNS AND ACTIVISM:THROUGH POWERFUL AND RELEVANT CAMPAIGNS, CLARION FUND EDUCATED AND ACTIVATED THOUSANDS OF AMERICANS ABOUT THE THREAT OF RADICAL ISLAM. 9-11 CAMPAIGN:FOR THE TEN-YEAR COMMEMORATION OF 9-11, CLARION FUND RE-LAUNCHED ITS CRITICALLY-ACCLAIMED DOCUMENTARY, THE THIRD JIHAD, WHICH EXPLORES THE EXISTENCE AND THREATS OF RADICAL ISLAM IN AMERICA.THE FILM WAS PLAYED ONLINE MORE THAN 26,000 TIMES, AND SCREENED AT 265 GRASSROOTS HOME-SCREENINGS ACROSS THE UNITED STATES.EXCLUSIVE CLIPS FROM THE THIRD JIHAD WERE ALSO SCREENED IN WASHINGTON SQUARE PARK AND TOMPKINS SQUARE PARK IN NEW YORK CITY IN PARTNERSHIP WITH CHRISTIAN ACTION NETWORK.FACES4FREEDOM CAMPAIGN:FACES4FREEDOM ACTIVATED THE AMERICAN PUBLIC TO SUPPORT THE PEOPLE OF IRAN IN THEIR STRUGGLE AGAINST A BRUTAL AND DESPOTIC REGIME.INDIVIDUALS CREATED SHORT VIDEO CLIPS DECLARING THEIR SUPPORT FOR THE IRANIAN PEOPLE, WHICH WERE UPLOADED TO THE FACES4FREEDOM YOUTUBE CHANNEL AND FEATURED ON THE IRANIUM FACEBOOK PAGE. OBSESSION FREE STREAM:OUR CLASSIC, CRITICALLY-ACCLAIMED DOCUMENTARY FILM OBSESSION, WHICH DETAILS THE ONGOING ACTIVITIES OF RADICAL ISLAMIC EXTREMIST, WAS AVAILABLE FOR FREE ONLINE STREAMING AT OUR WEBSITE, WWW.OBSESSIONTHEMOVIE.COM, TO RAISE AWARENESS AND EDUCATE ABOUT THE ONGOING THREATS OF RADICAL ISLAM. SEND-A-LETTER:CLARION FUND'S ONGOING LETTER-SENDING CAMPAIGN ACTIVATED OUR SUBSCRIBERS TO SEND PREPARED LETTERS TO THEIR ELECTED OFFICIALS, URGING THEM TO ACT ON THE FOLLOWING ISSUES:O THE NEED TO MORALLY SUPPORT THE IRANIAN PEOPLE IN THEIR STRUGGLE FOR FREEDOO THE NEED FOR STRONGER SANCTIONS IN IRANO THE ONGOING THREAT OF SHARIA LAW IN AMERICA 10 YEARS AFTER 9-11</Description>
      <TotalProgramServiceExpense>594075</TotalProgramServiceExpense>
      <DescribedIn501C3 referenceDocumentId="RetDoc1039100001">1</DescribedIn501C3>
      <ScheduleBRequired referenceDocumentId="RetDoc1234500001">1</ScheduleBRequired>
      <PoliticalActivities>0</PoliticalActivities>
      <LobbyingActivities>0</LobbyingActivities>
      <SubjectToProxyTax>0</SubjectToProxyTax>
      <DonorAdvisedFunds referenceDocumentId="RetDoc1040000001">0</DonorAdvisedFunds>
      <ConservationEasements referenceDocumentId="RetDoc1040000001">0</ConservationEasements>
      <CollectionsOfArt referenceDocumentId="RetDoc1040000001">0</CollectionsOfArt>
      <CreditCounseling referenceDocumentId="RetDoc1040000001">0</CreditCounseling>
      <TermOrPermanentEndowments referenceDocumentId="RetDoc1040000001">0</TermOrPermanentEndowments>
      <ReportLandBldgEquip referenceDocumentId="RetDoc1040000001">1</ReportLandBldgEquip>
      <ReportInvestOthSecurities referenceDocumentId="RetDoc1040000001">0</ReportInvestOthSecurities>
      <ReportProgRelInvest referenceDocumentId="RetDoc1040000001">0</ReportProgRelInvest>
      <ReportOtherAssets referenceDocumentId="RetDoc1040000001">0</ReportOtherAssets>
      <ReportOtherLiabilities referenceDocumentId="RetDoc1040000001">0</ReportOtherLiabilities>
      <ReportFin48Footnote referenceDocumentId="RetDoc1040000001">1</ReportFin48Footnote>
      <IndependentAuditFinancialStmt referenceDocumentId="RetDoc1040000001">1</IndependentAuditFinancialStmt>
      <ConsolidatedAuditFinancialStmt referenceDocumentId="RetDoc1040000001">0</ConsolidatedAuditFinancialStmt>
      <School>0</School>
      <ForeignOffice>0</ForeignOffice>
      <ForeignActivities>0</ForeignActivities>
      <MoreThan5000KToOrganizations>0</MoreThan5000KToOrganizations>
      <MoreThan5000KToIndividuals>0</MoreThan5000KToIndividuals>
      <ProfessionalFundraising>0</ProfessionalFundraising>
      <FundraisingActivities>0</FundraisingActivities>
      <Gaming>0</Gaming>
      <Hospital>0</Hospital>
      <GrantsToOrganizations>0</GrantsToOrganizations>
      <GrantsToIndividuals>0</GrantsToIndividuals>
      <ScheduleJRequired>0</ScheduleJRequired>
      <TaxExemptBonds>0</TaxExemptBonds>
      <ExcessBenefitTransaction>0</ExcessBenefitTransaction>
      <PriorExcessBenefitTransaction>0</PriorExcessBenefitTransaction>
      <LoanToOfficerOrDQP>0</LoanToOfficerOrDQP>
      <GrantToRelatedPerson>0</GrantToRelatedPerson>
      <BsnssRltnshpWithOrganization>0</BsnssRltnshpWithOrganization>
      <BsnssRltnshpThruFamilyMember>0</BsnssRltnshpThruFamilyMember>
      <OfficerEntityWithBsnssRltnshp>0</OfficerEntityWithBsnssRltnshp>
      <DeductibleNonCashContributions>0</DeductibleNonCashContributions>
      <DeductibleContributionsOfArt>0</DeductibleContributionsOfArt>
      <Terminated>0</Terminated>
      <PartialLiquidation>0</PartialLiquidation>
      <DisregardedEntity>0</DisregardedEntity>
      <RelatedEntity>0</RelatedEntity>
      <RelatedOrgControlledEntity>0</RelatedOrgControlledEntity>
      <TransactionRelatedEntity>0</TransactionRelatedEntity>
      <TransfersToExemptNonChrtblOrg>0</TransfersToExemptNonChrtblOrg>
      <ActivitiesConductedPartnership>0</ActivitiesConductedPartnership>
      <ScheduleORequired>1</ScheduleORequired>
      <NumberFormsTransmittedWith1096>9</NumberFormsTransmittedWith1096>
      <NumberW2GIncluded>0</NumberW2GIncluded>
      <NumberOfEmployees>10</NumberOfEmployees>
      <EmploymentTaxReturnsFiled>1</EmploymentTaxReturnsFiled>
      <UnrelatedBusinessIncome>0</UnrelatedBusinessIncome>
      <ForeignFinancialAccount>0</ForeignFinancialAccount>
      <ProhibitedTaxShelterTrans>0</ProhibitedTaxShelterTrans>
      <TaxablePartyNotification>0</TaxablePartyNotification>
      <NonDeductibleContributions>0</NonDeductibleContributions>
      <QuidProQuoContributions>0</QuidProQuoContributions>
      <Form8282PropertyDisposedOf>0</Form8282PropertyDisposedOf>
      <FundsToPayPremiums>0</FundsToPayPremiums>
      <PremiumsPaid>0</PremiumsPaid>
      <IndoorTanningServices>0</IndoorTanningServices>
      <InfoInScheduleOPartVI>X</InfoInScheduleOPartVI>
      <NbrVotingGoverningBodyMembers>4</NbrVotingGoverningBodyMembers>
      <NumberIndependentVotingMembers>2</NumberIndependentVotingMembers>
      <FamilyOrBusinessRelationship>0</FamilyOrBusinessRelationship>
      <DelegationOfManagementDuties>0</DelegationOfManagementDuties>
      <ChangesToOrganizingDocs>0</ChangesToOrganizingDocs>
      <MaterialDiversionOrMisuse>0</MaterialDiversionOrMisuse>
      <MembersOrStockholders>0</MembersOrStockholders>
      <ElectionOfBoardMembers>0</ElectionOfBoardMembers>
      <DecisionsSubjectToApproval>0</DecisionsSubjectToApproval>
      <MinutesOfGoverningBody>1</MinutesOfGoverningBody>
      <MinutesOfCommittees>0</MinutesOfCommittees>
      <OfficerMailingAddress>0</OfficerMailingAddress>
      <LocalChapters>0</LocalChapters>
      <Form990ProvidedToGoverningBody>1</Form990ProvidedToGoverningBody>
      <ConflictOfInterestPolicy>1</ConflictOfInterestPolicy>
      <AnnualDisclosureCoveredPersons>1</AnnualDisclosureCoveredPersons>
      <RegularMonitoringEnforcement>0</RegularMonitoringEnforcement>
      <WhistleblowerPolicy>0</WhistleblowerPolicy>
      <DocumentRetentionPolicy>1</DocumentRetentionPolicy>
      <CompensationProcessCEO>0</CompensationProcessCEO>
      <CompensationProcessOther>0</CompensationProcessOther>
      <InvestmentInJointVenture>0</InvestmentInJointVenture>
      <StatesWhereCopyOfReturnIsFiled>NY</StatesWhereCopyOfReturnIsFiled>
      <UponRequest>X</UponRequest>
      <TheBooksAreInCareOf>
        <NameBusiness>
          <BusinessNameLine1>THE ORGANIZATION</BusinessNameLine1>
        </NameBusiness>
        <TelephoneNumber>6463081230</TelephoneNumber>
        <AddressUS>
          <AddressLine1>255 WEST 36TH STREET SUITE 800</AddressLine1>
          <City>NEW YORK</City>
          <State>NY</State>
          <ZIPCode>10018</ZIPCode>
        </AddressUS>
      </TheBooksAreInCareOf>
      <Form990PartVIISectionA>
        <NamePerson>ROBERT SHORE</NamePerson>
        <Title>PRESIDENT</Title>
        <AverageHoursPerWeek>45.00</AverageHoursPerWeek>
        <IndividualTrusteeOrDirector>X</IndividualTrusteeOrDirector>
        <Officer>X</Officer>
        <ReportableCompFromOrganization>90500</ReportableCompFromOrganization>
        <ReportableCompFromRelatedOrgs>0</ReportableCompFromRelatedOrgs>
        <OtherCompensation>0</OtherCompensation>
      </Form990PartVIISectionA>
      <Form990PartVIISectionA>
        <NamePerson>RICHARD GREEN</NamePerson>
        <Title>EXECUTIVE DIRECTOR</Title>
        <AverageHoursPerWeek>45.00</AverageHoursPerWeek>
        <IndividualTrusteeOrDirector>X</IndividualTrusteeOrDirector>
        <Officer>X</Officer>
        <ReportableCompFromOrganization>90433</ReportableCompFromOrganization>
        <ReportableCompFromRelatedOrgs>0</ReportableCompFromRelatedOrgs>
        <OtherCompensation>0</OtherCompensation>
      </Form990PartVIISectionA>
      <Form990PartVIISectionA>
        <NamePerson>PETER FEAMAN</NamePerson>
        <Title>DIRECTOR</Title>
        <AverageHoursPerWeek>15.00</AverageHoursPerWeek>
        <IndividualTrusteeOrDirector>X</IndividualTrusteeOrDirector>
        <ReportableCompFromOrganization>0</ReportableCompFromOrganization>
        <ReportableCompFromRelatedOrgs>0</ReportableCompFromRelatedOrgs>
        <OtherCompensation>0</OtherCompensation>
      </Form990PartVIISectionA>
      <Form990PartVIISectionA>
        <NamePerson>NINA CUNNINGHAM</NamePerson>
        <Title>DIRECTOR</Title>
        <AverageHoursPerWeek>15.00</AverageHoursPerWeek>
        <IndividualTrusteeOrDirector>X</IndividualTrusteeOrDirector>
        <ReportableCompFromOrganization>0</ReportableCompFromOrganization>
        <ReportableCompFromRelatedOrgs>0</ReportableCompFromRelatedOrgs>
        <OtherCompensation>0</OtherCompensation>
      </Form990PartVIISectionA>
      <TotalReportableCompFromOrg>180933</TotalReportableCompFromOrg>
      <TotalReportableCompFrmRltdOrgs>0</TotalReportableCompFrmRltdOrgs>
      <TotalOtherCompensation>0</TotalOtherCompensation>
      <NumberIndividualsGT100K>0</NumberIndividualsGT100K>
      <FormersListed>0</FormersListed>
      <TotalCompGT150K>0</TotalCompGT150K>
      <CompensationFromOtherSources>0</CompensationFromOtherSources>
      <ContractorCompensation>
        <NameOfContractor>
          <NameBusiness>
            <BusinessNameLine1>NMS RAPHAEL LTD</BusinessNameLine1>
          </NameBusiness>
        </NameOfContractor>
        <AddressOfContractor>
          <AddressForeign>
            <AddressLine1>10 GALED STREET</AddressLine1>
            <City>JERUSALEM</City>
            <Country>IS</Country>
          </AddressForeign>
        </AddressOfContractor>
        <DescriptionOfServices>MARKETING SERVICES</DescriptionOfServices>
        <Compensation>323721</Compensation>
      </ContractorCompensation>
      <NumberOfContractorsGT100K>1</NumberOfContractorsGT100K>
      <AllOtherContributions>1351074</AllOtherContributions>
      <TotalContributions>1351074</TotalContributions>
      <ProgramServiceRevenue>
        <Description>DVD SALES</Description>
        <BusinessCode>611710</BusinessCode>
        <TotalRevenueColumn>243478</TotalRevenueColumn>
        <RelatedOrExemptFunctionIncome>243478</RelatedOrExemptFunctionIncome>
      </ProgramServiceRevenue>
      <TotalProgramServiceRevenue>243478</TotalProgramServiceRevenue>
      <InvestmentIncome>
        <TotalRevenueColumn>1220</TotalRevenueColumn>
        <ExclusionAmount>1220</ExclusionAmount>
      </InvestmentIncome>
      <OtherRevenueMisc>
        <Description>MISCELLANEOUS</Description>
        <BusinessCode>900099</BusinessCode>
        <TotalRevenueColumn>11021</TotalRevenueColumn>
        <ExclusionAmount>11021</ExclusionAmount>
      </OtherRevenueMisc>
      <TotalOtherRevenue>11021</TotalOtherRevenue>
      <TotalRevenue>
        <TotalRevenueColumn>1606793</TotalRevenueColumn>
        <RelatedOrExemptFunctionIncome>243478</RelatedOrExemptFunctionIncome>
        <UnrelatedBusinessRevenue>0</UnrelatedBusinessRevenue>
        <ExclusionAmount>12241</ExclusionAmount>
      </TotalRevenue>
      <CompCurrentOfficersDirectors>
        <Total>180933</Total>
        <ProgramServices>18100</ProgramServices>
        <ManagementAndGeneral>18100</ManagementAndGeneral>
        <Fundraising>144733</Fundraising>
      </CompCurrentOfficersDirectors>
      <OtherSalariesAndWages>
        <Total>112048</Total>
        <ProgramServices>24650</ProgramServices>
        <ManagementAndGeneral>76193</ManagementAndGeneral>
        <Fundraising>11205</Fundraising>
      </OtherSalariesAndWages>
      <OtherEmployeeBenefits>
        <Total>2179</Total>
        <ProgramServices>479</ProgramServices>
        <ManagementAndGeneral>1482</ManagementAndGeneral>
        <Fundraising>218</Fundraising>
      </OtherEmployeeBenefits>
      <PayrollTaxes>
        <Total>10257</Total>
        <ProgramServices>2257</ProgramServices>
        <ManagementAndGeneral>6974</ManagementAndGeneral>
        <Fundraising>1026</Fundraising>
      </PayrollTaxes>
      <FeesForServicesLegal>
        <Total>16142</Total>
        <ManagementAndGeneral>16142</ManagementAndGeneral>
      </FeesForServicesLegal>
      <FeesForServicesAccounting>
        <Total>13900</Total>
        <ManagementAndGeneral>13900</ManagementAndGeneral>
      </FeesForServicesAccounting>
      <FeesForServicesOther>
        <Total>462567</Total>
        <ProgramServices>232865</ProgramServices>
        <ManagementAndGeneral>142775</ManagementAndGeneral>
        <Fundraising>86927</Fundraising>
      </FeesForServicesOther>
      <Advertising>
        <Total>165739</Total>
        <ProgramServices>165739</ProgramServices>
      </Advertising>
      <OfficeExpenses>
        <Total>73719</Total>
        <ProgramServices>37205</ProgramServices>
        <ManagementAndGeneral>30835</ManagementAndGeneral>
        <Fundraising>5679</Fundraising>
      </OfficeExpenses>
      <InformationTechnology>
        <Total>3606</Total>
        <ProgramServices>3606</ProgramServices>
      </InformationTechnology>
      <Occupancy>
        <Total>3178</Total>
        <ProgramServices>699</ProgramServices>
        <ManagementAndGeneral>2161</ManagementAndGeneral>
        <Fundraising>318</Fundraising>
      </Occupancy>
      <Travel>
        <Total>56326</Total>
        <ProgramServices>21968</ProgramServices>
        <ManagementAndGeneral>14082</ManagementAndGeneral>
        <Fundraising>20276</Fundraising>
      </Travel>
      <DepreciationDepletion>
        <Total>1914</Total>
        <ManagementAndGeneral>1914</ManagementAndGeneral>
      </DepreciationDepletion>
      <Insurance>
        <Total>16057</Total>
        <ManagementAndGeneral>16057</ManagementAndGeneral>
      </Insurance>
      <OtherExpenses>
        <Description>FILM</Description>
        <Total>84292</Total>
        <ProgramServices>84292</ProgramServices>
      </OtherExpenses>
      <OtherExpenses>
        <Description>MISCELLANEOUS</Description>
        <Total>10070</Total>
        <ProgramServices>2215</ProgramServices>
        <ManagementAndGeneral>6848</ManagementAndGeneral>
        <Fundraising>1007</Fundraising>
      </OtherExpenses>
      <TotalFunctionalExpenses>
        <Total>1212927</Total>
        <ProgramServices>594075</ProgramServices>
        <ManagementAndGeneral>347463</ManagementAndGeneral>
        <Fundraising>271389</Fundraising>
      </TotalFunctionalExpenses>
      <CashNonInterestBearing>
        <BOY>103750</BOY>
        <EOY>534290</EOY>
      </CashNonInterestBearing>
      <SavingsAndTempCashInvestments>
        <BOY>331465</BOY>
        <EOY>256484</EOY>
      </SavingsAndTempCashInvestments>
      <PledgesAndGrantsReceivable>
        <BOY>66875</BOY>
        <EOY>57890</EOY>
      </PledgesAndGrantsReceivable>
      <LandBuildingsEquipmentBasis>9572</LandBuildingsEquipmentBasis>
      <LandBldgEquipmentAccumDeprec>2606</LandBldgEquipmentAccumDeprec>
      <LandBuildingsEquipmentBasisNet>
        <BOY>2767</BOY>
        <EOY>6966</EOY>
      </LandBuildingsEquipmentBasisNet>
      <InvestmentsPubTradedSecurities>
        <EOY>11146</EOY>
      </InvestmentsPubTradedSecurities>
      <TotalAssets>
        <BOY>504857</BOY>
        <EOY>866776</EOY>
      </TotalAssets>
      <AccountsPayableAccruedExpenses>
        <BOY>46335</BOY>
        <EOY>14388</EOY>
      </AccountsPayableAccruedExpenses>
      <TotalLiabilities>
        <BOY>46335</BOY>
        <EOY>14388</EOY>
      </TotalLiabilities>
      <FollowSFAS117>X</FollowSFAS117>
      <UnrestrictedNetAssets>
        <BOY>458522</BOY>
        <EOY>852388</EOY>
      </UnrestrictedNetAssets>
      <TotalNetAssetsFundBalances>
        <BOY>458522</BOY>
        <EOY>852388</EOY>
      </TotalNetAssetsFundBalances>
      <TotalLiabNetAssetsFundBalances>
        <BOY>504857</BOY>
        <EOY>866776</EOY>
      </TotalLiabNetAssetsFundBalances>
      <ReconcilationRevenueExpenses>393866</ReconcilationRevenueExpenses>
      <ReconcilationOtherChanges>0</ReconcilationOtherChanges>
      <MethodOfAccountingAccrual>X</MethodOfAccountingAccrual>
      <AccountantCompileOrReview>0</AccountantCompileOrReview>
      <FSAudited>1</FSAudited>
      <AuditCommittee>0</AuditCommittee>
      <FinancialStatementSeparate>X</FinancialStatementSeparate>
      <FederalGrantAuditRequired>0</FederalGrantAuditRequired>
    </IRS990>
    <IRS990ScheduleA documentId="RetDoc1039100001">
      <PubliclySupportedOrg170b1Avi>X</PubliclySupportedOrg170b1Avi>
      <GiftsGrantsContribReceived170>
        <CurrentTaxYearMinus4Years>1075392</CurrentTaxYearMinus4Years>
        <CurrentTaxYearMinus3Years>18287769</CurrentTaxYearMinus3Years>
        <CurrentTaxYearMinus2Years>700996</CurrentTaxYearMinus2Years>
        <CurrentTaxYearMinus1Year>1024705</CurrentTaxYearMinus1Year>
        <CurrentTaxYear>1351074</CurrentTaxYear>
        <Total>22439936</Total>
      </GiftsGrantsContribReceived170>
      <Total170>
        <CurrentTaxYearMinus4Years>1075392</CurrentTaxYearMinus4Years>
        <CurrentTaxYearMinus3Years>18287769</CurrentTaxYearMinus3Years>
        <CurrentTaxYearMinus2Years>700996</CurrentTaxYearMinus2Years>
        <CurrentTaxYearMinus1Year>1024705</CurrentTaxYearMinus1Year>
        <CurrentTaxYear>1351074</CurrentTaxYear>
        <Total>22439936</Total>
      </Total170>
      <AmountsSubstContributorsTotal>99752</AmountsSubstContributorsTotal>
      <PublicSupportTotal170>22340184</PublicSupportTotal170>
      <GrossInvestmentIncome170>
        <CurrentTaxYearMinus4Years>2448</CurrentTaxYearMinus4Years>
        <CurrentTaxYearMinus3Years>30731</CurrentTaxYearMinus3Years>
        <CurrentTaxYearMinus2Years>1582</CurrentTaxYearMinus2Years>
        <CurrentTaxYearMinus1Year>312</CurrentTaxYearMinus1Year>
        <CurrentTaxYear>1220</CurrentTaxYear>
        <Total>36293</Total>
      </GrossInvestmentIncome170>
      <OtherIncome170>
        <CurrentTaxYearMinus3Years>3417</CurrentTaxYearMinus3Years>
        <CurrentTaxYearMinus2Years>9644</CurrentTaxYearMinus2Years>
        <CurrentTaxYearMinus1Year>12064</CurrentTaxYearMinus1Year>
        <CurrentTaxYear>11021</CurrentTaxYear>
        <Total>36146</Total>
      </OtherIncome170>
      <TotalSupport>22512375</TotalSupport>
      <GrossReceiptsFromAdmissionsEtc>1631174</GrossReceiptsFromAdmissionsEtc>
      <PublicSupportPertcentage170>0.99240</PublicSupportPertcentage170>
      <PublicSupportPertcentPriorYear>0.99720</PublicSupportPertcentPriorYear>
      <ThirtyThreePercntTestsCY170>X</ThirtyThreePercntTestsCY170>
      <GeneralExplanation>SCHEDULE A, PART II, LINE 10, EXPLANATION OF OTHER INCOME: MISCELLANEOUS REVENUE</GeneralExplanation>
    </IRS990ScheduleA>
    <IRS990ScheduleB documentId="RetDoc1234500001">
      <ContributorInfo>
        <ContributorNumber>RESTRICTED</ContributorNumber>
        <ContributorNameBusiness>
          <BusinessNameLine1>RESTRICTED</BusinessNameLine1>
        </ContributorNameBusiness>
        <ContributorAddressUS>
          <AddressLine1>RESTRICTED</AddressLine1>
          <AddressLine2>RESTRICTED</AddressLine2>
          <City>RESTRICTED</City>
          <State>RESTRICTED</State>
          <ZIPCode>RESTRICTED</ZIPCode>
        </ContributorAddressUS>
        <AggregateContributions>RESTRICTED</AggregateContributions>
      </ContributorInfo>
    </IRS990ScheduleB>
    <IRS990ScheduleD documentId="RetDoc1040000001">
      <OtherLandBuildings>
        <OtherCostOrOtherBasis>9572</OtherCostOrOtherBasis>
        <Depreciation>2606</Depreciation>
        <BookValue>6966</BookValue>
      </OtherLandBuildings>
      <TotalOfBookValueLandBuildings>6966</TotalOfBookValueLandBuildings>
      <TotalRevenue>1606793</TotalRevenue>
      <TotalExpenses>1212927</TotalExpenses>
      <ExcessOrDeficitForYear>393866</ExcessOrDeficitForYear>
      <ExcessOrDeficitPerFS>393866</ExcessOrDeficitPerFS>
      <TotRevenueEtcAuditedFinclStmt>1606793</TotRevenueEtcAuditedFinclStmt>
      <RevenueNotRptdF990>0</RevenueNotRptdF990>
      <RevenueSubtotal>1606793</RevenueSubtotal>
      <RevenueNotRptdOnFinStmt>0</RevenueNotRptdOnFinStmt>
      <TotalRevenuePerForm990>1606793</TotalRevenuePerForm990>
      <TotExpensesEtcAuditedFinclStmt>1212927</TotExpensesEtcAuditedFinclStmt>
      <ExpensesNotRptdF990>0</ExpensesNotRptdF990>
      <ExpensesSubtotal>1212927</ExpensesSubtotal>
      <ExpensesNotRptdOnFinStmt>0</ExpensesNotRptdOnFinStmt>
      <TotalExpensesPerForm990>1212927</TotalExpensesPerForm990>
      <Form990ScheduleDPartXIV>
        <Identifier>DESCRIPTION OF UNCERTAIN TAX POSITIONS UNDER FIN 48:</Identifier>
        <ReturnReference>PART X:</ReturnReference>
        <Explanation>CLARION FUND, INC. HAS DETERMINED THAT THERE ARE NO MATERIAL UNCERTAIN TAX POSITIONS THAT REQUIRE RECOGNITION OR DISCLOSURE IN THE FINANCIAL STATEMENTS. PERIODS ENDING DECEMBER 31, 2008 AND SUBSEQUENT REMAIN SUBJECT TO EXAMINATION BY APPLICABLE TAXING AUTHORITIES.</Explanation>
      </Form990ScheduleDPartXIV>
    </IRS990ScheduleD>
    <IRS990ScheduleO documentId="RetDoc1044400001">
      <GeneralExplanation>
        <ReturnReference>FORM 990, PART VI, SECTION A, LINE 8B</ReturnReference>
        <Explanation>THERE IS NO COMMITTEE TO ACT ON BEHALF OF THE GOVERNING BODY.</Explanation>
      </GeneralExplanation>
      <GeneralExplanation>
        <ReturnReference>FORM 990, PART VI, SECTION B, LINE 11</ReturnReference>
        <Explanation>A COPY OF THE DRAFT 990 WAS SENT TO THE CLIENT TO PROVIDE TO THE BOARD OF DIRECTORS AND THE FINANCE DEPARTMENT. THEY WILL REVIEW IT AND FORWARD ANY COMMENTS THAT THEY HAVE BACK TO THE CONTROLLER.</Explanation>
      </GeneralExplanation>
      <GeneralExplanation>
        <ReturnReference>FORM 990, PART VI, SECTION C, LINE 19</ReturnReference>
        <Explanation>THESE DOCUMENTS ARE AVAILABLE UPON REQUEST.</Explanation>
      </GeneralExplanation>
    </IRS990ScheduleO>
  </ReturnData>
</Return>