A partially purified intracellular enzyme from a species ofAlcaligenesis described which specifically initiates the degradation of the he heteropolysaccharide ofCryptococcus neoformans, isolate 3723, The enzyme is active in the presence of serum and can be inactivated by heating at 45 °C for 10 minutes, The kinetics of the enzyme reaction are similar to those of other enzymes. Recovery and identification of the four known monosaccharides from enzymatic hydrolyzates suggest the presence of a number of other enzymes in these preparations.