**FIRST      LOAN MODIFICATION AGREEMENT**

**SILICON      VALLEY BANK**
**TECHNEST      HOLDINGS, INC.**
**E-OIR      TECHNOLOGIES, INC.**
**GENEX      TECHNOLOGIES INCORPORATED**

| A.                          | Modifications                to Loan Agreement. |
|------------------------------------------------------------------------------------|-------------------------------------------------|

| 1                            | Borrower                hereby acknowledges and agrees that, notwithstanding the terms of                the Loan                Agreement to the contrary, Borrower shall not request, and Bank will                have                no obligation to make, any additional Credit Extensions to Borrower                pursuant to the Loan Agreement, including, without limitation, the                Second                Term Advance. |
|-----------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 2               | The                Loan Agreement shall be amended by inserting the following text appearing                at the end of Section 7.8 thereof: |
|---------------------------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------|

----

| 3                            | The                Loan Agreement shall be amended by inserting the following definition,                appearing alphabetically in Section 13                thereof: |
|-----------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**2007      Closing Date**

| B.             | Waiver.                Bank hereby waives Borrower’s existing default under the Loan Agreement by                virtue of Borrower’s failure to comply with the financial covenant set                forth in Section 6.7(b) (relative to Borrower’s Fixed Charge Coverage                Ratio) thereof as of the three-month period ending December 31, 2006.                Bank’s waiver of Borrower’s compliance of said affirmative covenant shall                apply only to the foregoing specific                period. |
|----------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

**Exhibit      A**

**Exhibit      A**
**Exhibit      A**
**Exhibit      A**

----

*[The      remainder of this page is intentionally left blank]*

----

| **BORROWER:** **TECHNEST HOLDINGS, INC.**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      | **BANK:** **SILICON VALLEY BANK**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| By: /s/ Gino                Pereira                                              Name: Gino                Pereira                                               Title: Chief Financial                Officer                               | By: /s/ Gage                Gilmore                                              Name: Gage                Gilmore                                               Title: Vice                President                                               |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| **E-OIR TECHNOLOGIES,              INC.**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| By: /s/ Gino                Pereira                                              Name: Gino                Pereira                                               Title: Chief Financial                Officer                               |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| **GENEX TECHNOLOGIES              INCORPORATED**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| By: /s/ Gino                Pereira                                              Name: Gino                Pereira                                               Title: Chief Financial                Officer                               |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |

|   | **MARKLAND TECHNOLOGIES,              INC.**                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
|   | By: /s/ Gino                Pereira                                              Name: Gino                Pereira                                               Title: Chief Financial                Officer                               |