diff --git a/harbour/ChangeLog b/harbour/ChangeLog
index 11ff5a7da2..66404f5bc7 100644
--- a/harbour/ChangeLog
+++ b/harbour/ChangeLog
@@ -1,3 +1,12 @@
+19991021-15:35 GMT+2 Ryszard Glab <rglab@imid.med.pl>
+
+    *include/extend.h
+    *source/rtl/memvars.c
+    *source/vm/hvm.c
+	* new function hb_memvarNewParameter() used to create a variable
+	listed on PARAMETER statement (corrected bug - private variables
+	are created instead of reusing existing ones)
+	
 19991021-16:02 GMT+3 Alexander Kresin
   * contrib/odbc/todbc.prg
     * there was an infinite loop in TOdbc():New(),
diff --git a/harbour/include/extend.h b/harbour/include/extend.h
index 6014837db1..bcf2603c2a 100644
--- a/harbour/include/extend.h
+++ b/harbour/include/extend.h
@@ -397,6 +397,7 @@ extern void     hb_memvarGetValue( HB_ITEM_PTR, PHB_SYMB );
 extern void     hb_memvarGetRefer( HB_ITEM_PTR, PHB_SYMB );
 extern ULONG    hb_memvarGetPrivatesBase( void );
 extern void     hb_memvarSetPrivatesBase( ULONG );
+extern void     hb_memvarNewParameter( PHB_SYMB, HB_ITEM_PTR );
 
 /* console I/O subsystem */
 extern void     hb_consoleInitialize( void );
diff --git a/harbour/source/rtl/memvars.c b/harbour/source/rtl/memvars.c
index e8292d323b..520dcaea90 100644
--- a/harbour/source/rtl/memvars.c
+++ b/harbour/source/rtl/memvars.c
@@ -498,6 +498,13 @@ void hb_memvarGetRefer( HB_ITEM_PTR pItem, PHB_SYMB pMemvarSymb )
       hb_errInternal( 9999, "Invalid symbol item passed as memvar %s", pMemvarSymb->szName, NULL );
 }
 
+/*
+ */
+void hb_memvarNewParameter( PHB_SYMB pSymbol, PHB_ITEM pValue )
+{
+   hb_memvarCreateFromDynSymbol( pSymbol->pDynSym, MV_PRIVATE, pValue );
+}
+
 
 /*
  * This function creates a value for memvar variable
diff --git a/harbour/source/vm/hvm.c b/harbour/source/vm/hvm.c
index e68c77afba..087cc29ba5 100644
--- a/harbour/source/vm/hvm.c
+++ b/harbour/source/vm/hvm.c
@@ -540,7 +540,7 @@ void hb_vmExecute( BYTE * pCode, PHB_SYMB pSymbols )
 
          case HB_P_PARAMETER:
             uiParams = pCode[ w + 1 ] + ( pCode[ w + 2 ] * 256 );
-            hb_memvarSetValue( pSymbols + uiParams, hb_stack.pBase + 1 + pCode[ w + 3 ] );
+            hb_memvarNewParameter( pSymbols + uiParams, hb_stack.pBase + 1 + pCode[ w + 3 ] );
             HB_DEBUG( "(hb_vmPopParameter)\n" );
             w += 4;
             break;