Hi Jeff, Thanks very much for the reply. I am not using the resource-ref thing but I tried using the xa-location and the ejb-location (two different programs), in both the cases the output is as you say it is. But the problem I have now is that in my code, it's only by the time the whole transaction ends that I have knowledge that the entity bean fails and then I cannot throw the EJBException so that the container rollback all the sql inserts..... Any way around this problem? Can I know whether the entity bean failed as soon as the entityBean.setCredit(100.00) is called? Or can I know of it somewhere in the function? Now since the ejbStore is called only at the end of the transaction, should I start to use the UserTransaction in the session bean, so that when I commit the trans...I know if the entity has failed? Is it a must that I should use the resource ref? I have the same output in the J2EE RI (ejbStore) called after the transaction, but in that case the container rolls back all the transactions, but in orion it goes this way. Thanks very much for the help you are giving me. I am in a tight situation here. Thanks Kind Regards Aby