Washington, D.C. 20549

                                    FORM 8-K

                                 CURRENT REPORT

                     PURSUANT TO SECTION 13 OR 15(d) OF THE
                         SECURITIES EXCHANGE ACT OF 1934

         Date of report (Date of earliest event reported) April 7, 2004

                            ATX COMMUNICATIONS, INC.
               (Exact Name of Registrant as Specified in Charter)

Delaware                           000-49899                          13-4078506
(State or Other Jurisdiction      (Commission                      (IRS Employer
Of Incorporation)                 File Number)               Identification No.)

2100 Renaissance Boulevard, King of Prussia, PA           19406
(Address of principal executive offices)               (Zip Code)

                                 (610) 755-4000
              (Registrant's telephone number, including area code)

Item 5. Other Events

     On April 7, 2004, counsel for ATX Communications, Inc. (the "Company") was
informed by the staff of the Securities and Exchange Commission (the
"Commission") that the Commission has issued a formal order of investigation
relating to activities by the Company. The Company has not yet been provided
with a copy of the formal order but believes it may relate to claims concerning
certain alleged activities of the Company's provisioning department. The Company
will cooperate fully with the investigation.

Cautionary Statement Regarding Forward Looking Statements

     This document contains certain forward-looking statements that involve
substantial risks and uncertainties. All statements regarding the Company's
expected future financial position, results of operations, cash flows,
restructuring and financing plans, business strategy, budgets, projected costs,
capital expenditures, competitive positions, growth opportunities, plans and
objectives of management for future operations and statements that include words
such as "anticipate," "if," "believe," "plan," "estimate," "expect," "intend,"
"may," "could," "should," "will," and other similar expressions are
forward-looking statements. Such forward-looking statements are inherently
uncertain, and readers must recognize that actual results may differ from the
Company's expectations.


Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.

Date:  April 9, 2004                    ATX COMMUNICATIONS, INC.

                                        By: /s/ Michael A. Peterson
                                        Name:  Michael A. Peterson
                                        Title: Executive Vice President,
                                               Chief Operating Officer and
                                               Chief Financial Officer