  The efficacy of a specially constructed Gallager-type error-correcting code
to communication in a Gaussian channel is being examined. The construction is
based on the introduction of complex matrices, used in both encoding and
decoding, which comprise sub-matrices of cascading connection values. The
finite size effects are estimated for comparing the results to the bounds set
by Shannon. The critical noise level achieved for certain code-rates and
infinitely large systems nearly saturates the bounds set by Shannon even when
the connectivity used is low.
