The fungus Candida rugosa secretes an extracellular lipase whose production is induced by the addition of fatty acids to the culture broth. This lipase is indeed composed by several protein isoforms partly differing in their catalytic properties. Synthesis and secretion of lipase proteins by C. rugosa cells were studied in culture media containing either glucose or oleic acid as the carbon source. It was shown that, according to their regulation, lipase-encoding genes might be grouped in two classes, one of which is constitutively expressed and the other is induced by fatty acids. The synthesis of inducible enzymes is inhibited at the level of transcription by the addition of glucose and, conversely, oleic acid appears to hinder the synthesis of the constitutive lipase. Growth conditions supporting high level expression both in batch and in continuous culture give rise to the intracellular accumulation of enzyme, possibly due to the existence of a rate-limiting step in the transport of the newly synthesized protein. These results suggest the possibility to develop fermentation processes aimed at the control of the enzyme composition.