| ****x**** | **QUARTERLY REPORT PURSUANT TO SECTION 13        OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934** |
|-----------|----------------------------------------------------------------------------------------------------|
| ****o**** | **TRANSITION REPORT PURSUANT TO SECTION        13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934** |
|-----------|-----------------------------------------------------------------------------------------------------|
| **Illinois**                 | **75-2375969**                                    |
|------------------------------|---------------------------------------------------|
| **(State of incorporation)** | **(I.R.S. employer identification          no.)** |

| **Large accelerated filer o**                            |   |   | **Accelerated filer o**         |   |
|----------------------------------------------------------|--------|--------|---------------------------------|--------|
|                                                     |   |   |                            |   |
| **Non-accelerated filer o**                              |   |   | **Smaller reporting company x** |   |
| **(Do not check if a smaller reporting        company)** |   |   |

----

| **PART I******                                                                             | **FINANCIAL INFORMATION**                                                                                        | **Page No.** |
|--------------------------------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------------|--------------|
|                                                                                       |                                                                                                             |         |
| **Item 1.**                                                                                | **Unaudited Consolidated Financial Statements:**                                                                 | ** **   |
| ****                                                                                       | ** **                                                                                                       | ** **   |
| ****                                                                                       | **Consolidated Balance Sheets      at June 30, 2008 (unaudited) and December 31, 2007**                          | **3**        |
| ****                                                                                       | ** **                                                                                                       | ** **   |
| ****                                                                                       | **Consolidated Statements      of Operations for Three and Six Months Ended June 30, 2008 and 2007 (unaudited)** | **4**        |
| ****                                                                                       | ** **                                                                                                       | ** **   |
| ****                                                                                       | **Consolidated Statements of      Cash Flows for Six Months Ended June 30, 2008 and 2007 (unaudited)**           | **5**        |
| ****                                                                                       | ** **                                                                                                       | ** **   |
| ****                                                                                       | **Notes to Unaudited Consolidated      Financial Statements**                                                    | **7**        |
| ****                                                                                       | ** **                                                                                                       | ** **   |
| **Item 2.**                                                                                | **Management Discussion and Analysis      of Financial Condition and Results of Operations**                     | **18**       |
|                                                                                       |                                                                                                             |         |
| **Item 3.**                                                                                | **Quantitative and Qualitative      Disclosures about Market Risk**                                              | **26**       |
|                                                                                       |                                                                                                             |         |
| **Item 4.**                                                                                | **Controls and Procedures**                                                                                      | **26**       |
| ** **                                                                                 | ** **                                                                                                       |         |
| **PART II**                                                                                | **OTHER INFORMATION**                                                                                            | ** **   |
|                                                                                       |                                                                                                             |         |
| **Item 1.**                                                                                | **Legal Proceedings**                                                                                            | **27**       |
|                                                                                       |                                                                                                             | ** **   |
| **Item 2.**                                                                                | **Unregistered Sales of Equity      Securities and Use of Proceeds**                                             | **27**       |
|                                                                                       |                                                                                                             | ** **   |
| **Item 3.**                                                                                | **Defaults in Senior Securities**                                                                                | **27**       |
|                                                                                       |                                                                                                             | ** **   |
| **Item 4.**                                                                                | **Submission of Matters to      a Vote of Security Holders**                                                     | **27**       |
|                                                                                       |                                                                                                             | ** **   |
| **Item 5.**                                                                                | **Other Information**                                                                                            | **28**       |
|                                                                                       |                                                                                                             | ** **   |
| **Item 6.**                                                                                | **Exhibits**                                                                                                     | **28**       |
|                                                                                       |                                                                                                             | ** **   |
| **Signatures**                                                                             | **29**                                                                                                           |
| **Exhibit 31.1 Certification      of Chief Executive Officer**                             | **30**                                                                                                           |
| **Exhibit 31.2 Certification of      Chief Financial Officer**                             | **31**                                                                                                           |
| **Exhibit 32.1 Certification of      Chief Executive Officer and Chief Financial Officer** | **32**                                                                                                           |

----

|                                                                                                                                                                                                                                                                              | **June 30,**    |            | December 31, |   |
|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-----------------|-----------------|--------------|--------|
| **ASSETS**                                                                                                                                                                                                                                                                   | **2008**        |            | 2007         |   |
|                                                                                                                                                                                                                                                                              | **(Unaudited)** |            |         |   |   |
| Cash and cash equivalents                                                                                                                                                                                                                                                    | **$**           | **5,335,687**   |         | $      | 7,937,880 |   |
| Cash segregated in compliance with federal        regulations                                                                                                                                                                                                                |            | **150,152,112** |         |   | 144,225,499 |   |
| Receivables from brokers,        dealers and clearing organizations                                                                                                                                                                                                          |            | **14,701,118**  |         |   | 24,902,262 |   |
| Receivables from customers and        non-customers                                                                                                                                                                                                                          |            | **33,014,885**  |         |   | 47,261,886 |   |
| Property and equipment,        net                                                                                                                                                                                                                                           |            | **1,114,930**   |         |   | 1,150,312 |   |
| Capitalized software development costs, net                                                                                                                                                                                                                                  |            | **2,236,470**   |         |   | 1,883,375 |   |
| Intangible assets, net                                                                                                                                                                                                                                                       |            | **4,804,806**   |         |   | 5,481,660 |   |
| Goodwill                                                                                                                                                                                                                                                                     |            | **7,501,408**   |         |   | 7,501,408 |   |
| Deferred income taxes,        net                                                                                                                                                                                                                                            |            | **1,484,003**   |         |   | 1,569,892 |   |
| Other assets                                                                                                                                                                                                                                                                 |            | **1,192,880**   |         |   | 1,309,190 |   |
|           Total        assets                                                                                                                                                                                              | **$**           | **221,538,299** |         | $      | 243,223,364 |   |
|                                                                                                                                                                                                                                                                         |            |            |         |   |   |   |
| **LIABILITIES AND SHAREHOLDERS'          EQUITY**                                                                                                                                                                                                                            |            |            |         |   |   |   |
| Line of credit                                                                                                                                                                                                                                                               | **$**           | **-**           |         | $      | 10,848,000 |   |
| Payables to brokers, dealers        and clearing organizations                                                                                                                                                                                                               |            | **6,093,393**   |         |   | 694,148 |   |
| Payables to customers and non-customers                                                                                                                                                                                                                                      |            | **180,252,251** |         |   | 194,493,946 |   |
| Accounts payable and accrued        expenses                                                                                                                                                                                                                                 |            | **3,438,643**   |         |   | 3,407,832 |   |
| Accrued preferred stock dividends                                                                                                                                                                                                                                            |            | **-**           |         |   | 29,950 |   |
| Income tax liability                                                                                                                                                                                                                                                         |            | **19,973**      |         |   | 592,918 |   |
|           Total        liabilities                                                                                                                                                                                         |            | **189,804,260** |         |   | 210,066,794 |   |
|                                                                                                                                                                                                                                                                         |            |            |         |   |   |   |
| Commitments and contingencies                                                                                                                                                                                                                                                |            |            |         |   |   |   |
|                                                                                                                                                                                                                                                                         |            |            |         |   |   |   |
| Shareholders' equity                                                                                                                                                                                                                                                         |            |            |         |   |   |   |
| Preferred stock - $10 par        value; 5,000,000 shares authorized                                                                                                                                                                                                          |            |            |         |   |   |   |
| Preferred stock - cumulative; $10        par value; 38,792 shares authorized;            zero shares issued and outstanding at June 30, 2008        and 14,350 shares issued and            outstanding at December 31, 2007                   |            | **-**           |         |   | 143,500 |   |
| Preferred stock        - convertible cumulative; $10 par value; 835,000 shares authorized;            zero shares issued and outstanding at June 30, 2008        and 49,480 shares issues and            outstanding at December 31, 2007      |            | **-**           |         |   | 494,800 |   |
| Common stock; $0.01 par value; 150,000,000        shares authorized; 26,017,057 shares            issued and 25,529,057 shares outstanding at June 30,        2008 and 26,531,557 shares           issued and outstanding at December 31, 2007 |            | **260,171**     |         |   | 265,316 |   |
| Treasury stock,        at cost; 488,000 shares at June 30, 2008 and no shares at            December 31, 2007                                                                                                                                                 |            | **(589,260**    | **)**        |   | - |   |
| Additional paid-in capital                                                                                                                                                                                                                                                   |            | **52,578,116**  |         |   | 53,339,299 |   |
| Accumulated deficit                                                                                                                                                                                                                                                          |            | **(20,514,988** | **)**        |   | (21,086,345 | ) |
|           Total        shareholders' equity                                                                                                                                                                                |            | **31,734,039**  |         |   | 33,156,570 |   |
|           Total        liabilities and shareholders' equity                                                                                                                                                                | **$**           | **221,538,299** |         | $      | 243,223,364 |   |
|                                                                                                                                                                                                                                                                         |            |            |         |   |   |   |
|                                                                                                                                                                                                                                                                         |            |            |         |   |   |   |
| See accompanying notes to unaudited          consolidated financial statements.                                                                                                                                                                                              |

----

|                                                                                               | **Three Months Ended June 30,** |           | **Six Months Ended June 30,**           |   |
|-----------------------------------------------------------------------------------------------|---------------------------------|----------------|-----------------------------------------|--------|
|                                                                                          |                            | **2008**       |                                    |   | 2007 |   |   | **2008** |   |   | 2007 |   |
| **REVENUES**                                                                                  | **(Unaudited)**                 |           | (as restated             and unaudited) |   | **(Unaudited)** |   | (as restated             and unaudited) |   |
| Commissions and fees                                                                          | **$**                           | **7,071,117**  |                                    | $      | 8,981,479 |   | **$** | **15,239,872** |   | $ | 17,049,341 |   |
|                                                                                          |                            |           |                                    |   |   |   |   |   |   |   |   |   |
| Interest income                                                                               |                            | **1,400,545**  |                                    |   | 3,939,233 |   |   | **3,471,429** |   |   | 7,438,283 |   |
| Interest expense on brokerage accounts                                                        |                            | **213,686**    |                                    |   | 1,687,197 |   |   | ****822,429**** |   |   | 3,672,725 |   |
|           Net          interest income      |                            | **1,186,859**  |                                    |   | 2,252,036 |   |   | ****2,649,000**** |   |   | 3,765,558 |   |
|                                                                                          |                            |                |                                    |   |  |   |   |  |   |   |  |   |
| Software fees, net                                                                            |                            | **193,333**    |                                    |   | 144,666 |   |   | ****352,336**** |   |   | 247,785 |   |
| Other income                                                                                  |                            | **94,225**     |                                    |   | 193,170 |   |   | ****248,231**** |   |   | 429,143 |   |
|                                                                                          |                            |           |                                    |   |   |   |   |   |   |   |   |   |
|           Net          revenues             |                            | **8,545,534**  |                                    |   | 11,571,351 |   |   | ****18,489,439**** |   |   | 21,491,827 |   |
|                                                                                          |                            |                |                                    |   |  |   |   |  |   |   |  |   |
| **OPERATING EXPENSES**                                                                        |                            |                |                                    |   |  |   |   |  |   |   |  |   |
| Commissions and clearing                                                                      |                            | **2,704,354**  |                                    |   | 3,654,100 |   |   | ****5,382,281**** |   |   | 6,344,240 |   |
| Employee compensation                                                                         |                            | **2,159,231**  |                                    |   | 2,634,489 |   |   | ****5,181,282**** |   |   | 4,922,270 |   |
| Quotations and market data                                                                    |                            | **1,603,344**  |                                    |   | 1,448,418 |   |   | ****3,257,356**** |   |   | 2,971,703 |   |
| Advertising and promotional                                                                   |                            | **147,386**    |                                    |   | 249,033 |   |   | ****254,375**** |   |   | 490,650 |   |
| Professional fees                                                                             |                            | **505,391**    |                                    |   | 564,558 |   |   | ****1,298,635**** |   |   | 982,177 |   |
| Communications and information technology                                                     |                            | **191,523**    |                                    |   | 238,463 |   |   | ****448,094**** |   |   | 425,937 |   |
| Depreciation and amortization                                                                 |                            | **568,368**    |                                    |   | 450,165 |   |   | ****1,125,931**** |   |   | 828,200 |   |
| Other general and administrative expenses                                                     |                            | **(13,411**    | **)**                                   |   | 1,206,732 |   |   | ****462,010**** |   |   | 1,960,207 |   |
|                                                                                          |                            |                |                                    |   |  |   |   |  |   |   |  |   |
|           Total          operating expenses |                            | **7,866,186**  |                                    |   | 10,445,958 |   |   | ****17,409,964**** |   |   | 18,925,384 |   |
|                                                                                          |                            |                |                                    |   |  |   |   |  |   |   |  |   |
| Operating income                                                                              |                            | **679,348**    |                                    |   | 1,125,393 |   |   | ****1,079,475**** |   |   | 2,566,443 |   |
|                                                                                          |                            |                |                                    |   |  |   |   |  |   |   |  |   |
| Interest expense                                                                              |                            | **-**          |                                    |   | (17,686 | ) |   | **-** |   |   | (42,513 | ) |
|                                                                                          |                            |                |                                    |   |  |   |   |  |   |   |  |   |
| Income before income taxes                                                                    |                            | **679,348**    |                                    |   | 1,107,707 |   |   | ****1,079,475**** |   |   | 2,523,930 |   |
|                                                                                          |                            |                |                                    |   |  |   |   |  |   |   |  |   |
| Income tax provision                                                                          |                            | **(280,118**   | **)**                                   |   | (516,076 | ) |   | ****(508,118**** | **)** |   | (956,146 | ) |
|                                                                                          |                            |                |                                    |   |  |   |   |  |   |   |  |   |
| Net income                                                                                    |                            | **399,230**    |                                    |   | 591,631 |   |   | ****571,357**** |   |   | 1,567,784 |   |
|                                                                                          |                            |                |                                    |   |  |   |   |  |   |   |  |   |
| Dividends on preferred stock                                                                  |                            | **(2,538**     | **)**                                   |   | (14,297 | ) |   | ****(20,113**** | **)** |   | (28,594 | ) |
|                                                                                          |                            |                |                                    |   |  |   |   |  |   |   |  |   |
| Net income attributable to common shareholders                                                | **$**                           | **396,692**    |                                    | $      | 577,334 |   | **$** | ****551,244**** |   | $ | 1,539,190 |   |
|                                                                                          |                            |           |                                    |   |   |   |   |   |   |   |   |   |
| Net income per common share:                                                                  |                            |           |                                    |   |   |   |   |   |   |   |   |   |
| Basic                                                                                         | **$**                           | **0.02**       |                                    | $      | 0.02 |   | **$** | **0.02** |   | $ | 0.06 |   |
|                                                                                          |                            |           |                                    |   |   |   |   |   |   |   |   |   |
| Diluted                                                                                       | **$**                           | **0.02**       |                                    | $      | 0.02 |   | **$** | **0.02** |   | $ | 0.06 |   |
|                                                                                          |                            |           |                                    |   |   |   |   |   |   |   |   |   |
| Weighted average common shares outstanding:                                                   |                            |           |                                    |   |   |   |   |   |   |   |   |   |
| Basic                                                                                         |                            | **26,037,661** |                                    |   | 27,187,428 |   |   | **26,223,876** |   |   | 27,186,490 |   |
|                                                                                          |                            |           |                                    |   |   |   |   |   |   |   |   |   |
| Diluted                                                                                       |                            | **26,037,661** |                                    |   | 27,690,626 |   |   | **26,223,876** |   |   | 27,869,997 |   |
|                                                                                          |                            |           |                                    |   |   |   |   |   |   |   |   |   |
|                                                                                          |                            |           |                                    |   |   |   |   |   |   |   |   |   |
| See accompanying notes to unaudited            consolidated financial statements.             |

----

|                                                                                                  | **Six Months Ended June 30,** |                        |
|--------------------------------------------------------------------------------------------------|-------------------------------|-----------------------------|
|                                                                                             |                          | **2008**                    |   |   | 2007 |   |
| **OPERATING ACTIVITIES**                                                                         | **(Unaudited)**               | (as restated and unaudited) |
| Net income                                                                                       | **$**                         | **571,357**                 |   | $ | 1,567,784 |   |
| Adjustments to reconcile net income to net        cash provided by         operating activities: |                          |                             |   |   |  |   |
| Share-based compensation                                                                         |                          | **70,806**                  |   |   | 41,326 |   |
| Depreciation and amortization                                                                    |                          | **1,125,931**               | **** |   | 828,200 |   |
| Amortization of debt discount                                                                    |                          | **-**                       | **** |   | 7,051 |   |
| Gain on settlement of liabilities                                                                |                          | **-**                       | **** |   | (54,790 | ) |
| Deferred income tax provision                                                                    |                          | **85,889**                  |   |   | - |   |
| Reversal of legal reserve                                                                        |                          | **140,000**                 |   |   | - |   |
| Gain on extinguishment        of liabilities                                                     |                          | **540,000**                 | **** |   | - |   |
| Loss on write-offs of assets                                                                     |                          | **29,857**                  | **** |   | **-** |   |
| Change in assets and liabilities                                                                 |                          |                             | **** |   |  |   |
| (Increase) decrease in assets:                                                                   |                          | ****                        | **** |   |  |   |
| Cash segregated in compliance        with federal regulations                                    |                          | **(5,926,613**              | **)** |   | 19,541,383 |   |
| Receivables from brokers, dealers and clearing        organizations                              |                          | **10,201,144**              | **** |   | 27,945,130 |   |
| Receivables from customers        and non-customers                                              |                          | **14,247,001**              | ** ** |   | 13,908,362 |   |
| Other assets                                                                                     |                          | **86,453**                  | **** |   | (725,828 | ) |
| Increase (decrease) in        liabilities:                                                       |                          | ** **                  | **** |   |   |   |
| Payables to brokers, dealers and clearing        organizations                                   |                          | **5,399,246**               | ** ** |   | 661,537 |   |
| Payables to customers and        non-customers                                                   |                          | **(14,241,696**             | **)** |   | (49,508,354 | ) |
| Accounts payable and accrued expenses                                                            |                          | **(649,189**                | **)** |   | 358,291 |   |
| Income tax liability                                                                             |                          | **(572,945**                | **)** |   | 956,146 |   |
|                                                                                             |                          |                             |   |   |  |   |
| Net cash provided        by operating activities                                                 |                          | **11,107,241**              |   |   | 15,526,238 |   |
|                                                                                             |                          |                             |   |   |  |   |
| **INVESTING ACTIVITIES**                                                                         |                          |                             |   |   |  |   |
| Purchase of property and equipment                                                               |                          | **(153,323**                | **)** |   | (593,966 | ) |
| Capitalization of software        development costs                                              |                          | **(613,467**                | **)** |   | (280,474 | ) |
|                                                                                             |                          |                             | **** |   |  |   |
| Net cash used        in investing activities                                                     |                          | **(766,790**                | **)** |   | (874,440 | ) |
|                                                                                             |                          |                        |   |   |  |   |
| **FINANCING ACTIVITIES**                                                                         |                          |                        |   |   |  |   |
| Proceeds from exercise of stock options and        warrants                                      |                          | **-**                       |   |   | 9,750 |   |
| Repurchase and retirement        of common stock                                                 |                          | **(674,221**                | **)** |   | - |   |
| Purchase of treasury stock                                                                       |                          | **(589,260**                | **)** |   | - |   |
| Preferred dividends paid                                                                         |                          | **(50,063**                 | **)** |   | - |   |
| Payment of convertible notes payable to related        parties                                   |                          | **-**                       |   |   | (166,667 | ) |
| Redemption of preferred        stock                                                             |                          | **(781,100**                | **)** |   | - |   |
| Net payments on line of credit                                                                   |                          | **(10,848,000**             | **)** |   | (17,334,000 | ) |
|                                                                                             |                          |                             | **** |   |  |   |
| Net cash used in financing activities                                                            |                          | **(12,942,644**             | **)** |   | (17,490,917 | ) |
|                                                                                             |                          |                             | **** |   |  |   |
| Net decrease in cash and cash equivalents                                                        |                          | **(2,602,193**              | **)** |   | (2,839,119 | ) |
| Cash and cash equivalents        at beginning of period                                          |                          | **7,937,880**               |   |   | 5,733,813 |   |
| Cash and cash equivalents at end of period                                                       | **$**                         | **5,335,687**               |   | $ | 2,894,694 |   |
|                                                                                             |                          |                        |   |   |   |   |
| Supplemental Disclosure        of Cash Flow Information:                                         |                          |                        |   |   |   |   |
| Cash paid for interest                                                                           | **$**                         | **822,429**                 |   | $ | 3,672,726 |   |
|                                                                                             |                          |                        |   |   |   |   |
| Cash paid for income taxes                                                                       | **$**                         | **360,000**                 |   | $ | - |   |
|                                                                                             |                          |                        |   |   |   |   |
| See accompanying notes to unaudited          consolidated financial statements.                  |

----

|                                                                                         | **Six Months Ended June 30,** |                        |
|-----------------------------------------------------------------------------------------|-------------------------------|-----------------------------|
|                                                                                    |                          | **2008**                    |   |   | 2007 |   |
|                                                                                         | **(Unaudited)**               | (as restated and unaudited) |
| Supplemental Disclosure of Non-Cash Investing      and Financing Activities:            |                          |                        |   |   |   |   |
|   Preferred stock      dividends accrued                                      | $                             | **-**                       |   | $ | 29,531 |   |
|   Fair value of warrants with debt      financing recorded as a debt discount |                          | **-**                       |   |   | 141,714 |   |
|   Common stock      issued as payment for accrued interest and dividends      |                          | **-**                       |   |   | 3,682 |   |
|   Intangibles acquired via common      stock                                  |                          | -                           |   |   | 141,714 |   |
|   Common stock      issued for conversion of preferred stock                  | $                             | **-**                       |   | $ | 10,000 |   |
|                                                                                    |                          |                        |   |   |   |   |
|                                                                                    |                          |                        |   |   |   |   |
|                                                                                    |                          |                        |   |   |   |   |
|                                                                                    |                          |                        |   |   |   |   |
|                                                                                    |                          |                        |   |   |   |   |
|                                                                                    |                          |                        |   |   |   |   |
|                                                                                    |                          |                        |   |   |   |   |
|                                                                                    |                          |                        |   |   |   |   |
|                                                                                    |                          |                        |   |   |   |   |
|                                                                                    |                          |                        |   |   |   |   |
|                                                                                    |                          |                        |   |   |   |   |
|                                                                                    |                          |                        |   |   |   |   |
| See accompanying notes to unaudited consolidated        financial statements.           |

----

| • | Securities and Exchange Commission ("SEC")      as a broker-dealer         |
|--------|----------------------------------------------------------------------------|
| • | Financial Industry Regulatory Authority ("FINRA")      as a broker-dealer  |
| • | Securities Investor Protection Corporation                                 |
| • | National Futures Association ("NFA") as a futures      commission merchant |
| • | The Depository Trust Company                                               |
| • | National Securities Clearing Corporation                                   |
| • | The Options Clearing Corporation                                           |
| • | Chicago Stock Exchange                                                     |
| • | Boston Options Exchange                                                    |
| • | International Securities Exchange                                          |
| • | National Stock Exchange                                                    |
| • | NYSE Arca Options                                                          |
| • | NYSE Arca Equities                                                         |
| • | American Stock Exchange                                                    |
| • | CBOE Stock Exchange                                                        |
| • | Nasdaq Stock Market                                                        |

| • | Market Wise Stock Trading School, LLC ("MW      School"), a financial markets education provider |
|--------|--------------------------------------------------------------------------------------------------|
| • | Market Wise Securities, LLC ("MW Securities"),      FINRA broker-dealer                          |
| • | RushTrade Securities, Inc. ("RushTrade"), FINRA      broker-dealer                               |

----

----

|   |                                                                                       |                               |
|--------|--------------------------------------------------------------------------------------------|------------------------------------|
|   |                                                                                            | **As of June 30, 2007**            |  |
|   | **Consolidated Balance      Sheet Data:**                                                  | As previously        reported      |   | Adjustments |   | As restated |   |
|   | Total assets                                                                               | $                                  | 231,257,332 |   | $ | - |   | $ | 231,257,332 |   |   |
|   | Total liabilities                                                                          |                               | 199,060,744 |   |   | - |   |   | 199,060,744 |   |   |
|   | Additional paid-in      capital                                                            |                               | 52,415,595 |   |   | (330,504 | ) |   | 52,085,091 |   |   |
|   | Accumulated deficit                                                                        |                               | (21,126,352 | ) |   | 330,504 |   |   | (20,795,848 | ) |   |
|   | Total shareholders'      equity                                                            |                               | 32,196,588 |   |   | - |   |   | 32,196,588 |   |   |
|   | Total liabilities and shareholders'      equity                                            | $                                  | 231,257,332 |   | $ | - |   | $ | 231,257,332 |   |   |
|   |                                                                                       |                               |
|   |                                                                                       | **Six months ended June 30, 2007** |   |
|   | **Consolidated Statement      of Operations Data:**                                        |                               | As previously        reported |   |   | Adjustments |  | As restated |   |
|   | Net revenues (1)                                                                           | $                                  | 21,491,827 |   | $ | - |   | $ | 21,491,827 |   |   |
|   | Employee compensation                                                                      |                               | 5,252,774 |   |   | (330,504 | ) |   | 4,922,270 |   |   |
|   | Total operating expenses      (1)                                                          |                               | 19,255,888 |   |   | (330,504 | ) |   | 18,925,384 |   |   |
|   | Operating income                                                                           |                               | 2,235,939 |   |   | 330,504 |   |   | 2,566,443 |   |   |
|   | Net income                                                                                 |                               | 1,237,280 |   |   | 330,504 |   |   | 1,567,784 |   |   |
|   |                                                                                       |                               |   |   |   |   |   |   |   |   |   |
|   | Net income      attributable to common shareholders                                        | $                                  | 1,208,686 |   | $ | 330,504 |   | $ | 1,539,190 |   |   |
|   | Net income per common share:      Basic                                                    | $                                  | 0.04 |   | $ | 0.02 |   | $ | 0.06 |   |   |
|   | Net income      per common share: Diluted                                                  | $                                  | 0.04 |   | $ | 0.02 |   | $ | 0.06 |   |   |
|   | (1) Reflects reclass of interest      expense on brokerage accounts to net interest income |                               |   |
|   |                                                                                       |                               |
|   |                                                                                       | **Six months ended June 30, 2007** |   |
|   | **Consolidated Statement      of Cash Flows Data:**                                        |                               | As previously        reported |   |   | Adjustments |  | As restated |   |
|   | Net income                                                                                 | $                                  | 1,237,280 |   | $ | 330,504 |   | $ | 1,567,784 |   |   |
|   | Share-based compensation                                                                   |                               | 371,830 |   |   | (330,504 | ) |   | 41,326 |   |   |
|   | Net cash      provided by operating activities                                             | $                                  | 15,526,238 |   | $ | - |   | $ | 15,526,238 |   |   |
|   |                                                                                       |                               |

----

----

|   |                                               |                            |
|--------|----------------------------------------------------|---------------------------------|
|   |                                               | For Three Months Ended June 30, |   | For Six Months Ended June 30, |   |
|   |                                                    | 2008                            |   | 2007 |   | 2008 |   | 2007 |   |
|   | Weighted      average shares outstanding - Basic   | 26,037,661                      |   | 27,187,428 |   | 26,223,876 |   | 27,186,490 |   |
|   | Dilutive stock options                             | -                               |   | 14,105 |   | - |   | 21,477 |   |
|   | Dilutive warrants                                  | -                               |   | 489,093 |   | - |   | 662,030 |   |
|   | Weighted average shares outstanding      - Diluted | 26,037,661                      |   | 27,690,626 |   | 26,223,876 |   | 27,869,997 |   |
|   |                                               |                            |

----

|   |                 |   |
|--------|----------------------|--------|
|   | Preferred      Stock |   | December 31, 2007 |  | Issued |  | Redeemed |  | June 30, 2008 |   |   |
|   | 9% Cumulative        |   | 2,000 |   | - |   | (2,000 | ) | - |   |   |
|   | Series A             |   | 12,350 |   | - |   | (12,350 | ) | - |   |   |
|   | Series B             |   | 9,520 |   | - |   | (9,520 | ) | - |   |   |
|   | Series C             |   | 37,960 |   | - |   | (37,960 | ) | - |   |   |
|   | Series E             |   | - |   | - |   | - |  | - |   |   |
|   | Series      2002A    |   | 2,000 |   | - |   | (2,000 | ) | - |   |   |
|   | Total                |   | 63,830 |   | - |   | (63,830 | ) | - |   |   |
|   |                 |   |

----

|                                                                                                                               | **Three Months Ended June 30,** |          | **Six Months Ended June 30,** |
|-------------------------------------------------------------------------------------------------------------------------------|---------------------------------|---------------|-------------------------------|
|                                                                                                                          |                            | **2008**      |                          |   |   | 2007 |   |   |   | **2008** |   |   |   | 2007 |   |
| **Revenues:**                                                                                                                 |                            |          |                          |   |   |   |   |   |   |   |   |   |   |   |   |
| **Brokerage Services**                                                                                                        |                            |          |                          |   |   |   |   |   |   |   |   |   |   |   |   |
| Revenues, excluding interest                                                                                                  | **$**                           | **7,159,994** |                          |   | $ | 9,174,803 |   |   | **$** | **15,473,740** |   |   | $ | 17,468,551 |   |
| Interest revenue                                                                                                              |                            | **1,400,545** |                          |   |   | 3,939,233 |   |   |   | **3,471,429** |   |   |   | 7,438,283 |   |
| Interest expense                                                                                                              |                            | **(213,686**  | )                             |   |   | (1,687,197 | ) |   |   | **(822,429** | **)** |   |   | (3,672,725 | ) |
|                                                                                                                               |                            | **8,346,853** |                          |   |   | 11,426,839 |   |   |   | **18,122,740** |   |   |   | 21,234,109 |   |
|                                                                                                                          |                            |          |                          |   |   |   |   |   |   |   |   |   |   |   |   |
| **Software Services**                                                                                                         |                            |          |                          |   |   |   |   |   |   |   |   |   |   |   |   |
| Revenues                                                                                                                      |                            | **727,912**   |                          |   |   | 144,666 |   |   |   | **1,303,655** |   |   |   | 247,785 |   |
|                                                                                                                          |                            |          |                          |   |   |   |   |   |   |   |   |   |   |   |   |
| Eliminations of intercompany      charges from             the Software segment to Brokerage segment |                            | **(534,579**  | **)**                         |   |   | - |   |   |   | **(951,319** | **)** |   |   | - |   |
|                                                                                                                          |                            |          |                          |   |   |   |   |   |   |   |   |   |   |   |   |
| **Corporate and Unallocated**                                                                                                 |                            |          |                          |   |   |   |   |   |   |   |   |   |   |   |   |
| Revenues                                                                                                                      |                            | **5,348**     |                          |   |   | - |   |   |   | **14,363** |   |   |   | 9,933 |   |
|            Net revenues                                                                              | **$**                           | **8,545,534** |                          |   | $ | 11,571,351 |   |   | **$** | **18,489,439** |   |   | $ | 21,491,827 |   |
|                                                                                                                          |                            |          |                          |   |   |   |   |   |   |   |   |   |   |   |   |
| **Depreciation and amortization:**                                                                                            |                            |          |                          |   |   |   |   |   |   |   |   |   |   |   |   |
| Brokerage Services                                                                                                            |                            | **386,191**   |                          |   |   | 246,197 |   |   |   | **770,719** |   |   |   | 487,180 |   |
| Software Services                                                                                                             |                            | **84,498**    |                          |   |   | 75,444 |   |   |   | **157,853** |   |   |   | 143,319 |   |
| Corporate and Unallocated                                                                                                     |                            | **97,679**    |                          |   |   | 128,524 |   |   |   | **197,359** |   |   |   | 197,701 |   |
|                                                                                                                               | **$**                           | **568,368**   |                          |   | $ | 450,165 |   |   | **$** | **1,125,931** |   |   | $ | 828,200 |   |
|                                                                                                                          |                            |          |                          |   |   |   |   |   |   |   |   |   |   |   |   |
| **Income before income taxes:**                                                                                               |                            |          |                          |   |   |   |   |   |   |   |   |   |   |   |   |
| Brokerage Services                                                                                                            |                            | **773,431**   |                          |   |   | 1,871,691 |   |   |   | **1,868,589** |   |   |   | 3,834,544 |   |
| Software Services                                                                                                             |                            | **400,795**   |                          |   |   | (428,062 | ) |   |   | **97,354** |   |   |   | (755,610 | ) |
| Corporate and Unallocated                                                                                                     |                            | **(494,878**  | **)**                         |   |   | (335,922 | ) |   |   | **(886,468** | **)** |   |   | (555,004 | ) |
|                                                                                                                          | **$**                           | **679,348**   |                          |   | $ | 1,107,707 |   |   | **$** | **1,079,475** |   |   | $ | 2,523,930 |   |
|                                                                                                                          |                            |          |                          |   |   |   |   |   |   |   |   |   |   |   |   |
| **Total      assets:**                                                                                                        |                            |          |                          |   |   |   |   |   | **June 30,        2008** |   | December 31,         2007 |
| Brokerage Services                                                                                                            |                            |          |                          |   |   |   |   |   | **$** | **217,874,015** |   |   | $ | 240,126,286 |   |
| Software Services                                                                                                             |                            |          |                          |   |   |   |   |   |   | **971,338** |   |   |   | 346,657 |   |
| Corporate and Unallocated                                                                                                     |                            |          |                          |   |   |   |   |   |   | **2,692,946** |   |   |   | 2,750,421 |   |
|            Total assets                                                                              |                            |          |                          |   |   |   |   |   | **$** | **221,538,299** |   |   | $ | 243,223,364 |   |
|                                                                                                                          |                            |          |                          |   |   |   |   |   |   |   |   |   |   |   |   |

----

----

| • | The 1997 Stock Option Plan;      |
|--------|----------------------------------|
| • | The Incentive Stock Option Plan; |
| • | The 1999 Stock Bonus Plan;       |
| • | The 2000 Stock Option Plan; and  |
| • | The 2002 Stock Option Plan.      |

|   |                                               |   |
|--------|----------------------------------------------------|--------|
|   | Employee      Stock Option and       Warrant Plans |   | Authorized |  | Outstanding |  | Available |   |
|   | 2005 Long-Term Incentive      Plan                 |   | 1,427,903 |   | 610,774 |   | 817,129 |   |
|   | 2006      Warrant Incentive Plan                   |   | 3,500,000 |   | 3,027,500 |   | 472,500 |   |
|   | Total                                              |   | 4,927,903 |   | 3,638,274 |   | 1,289,629 |   |
|   |                                               |   |

|   |                                 |   |
|--------|--------------------------------------|--------|
|   | Employee      Stock Options          |   | Employee         Stock Options         Outstanding |   | Weighted         Average         Exercise Price |   | Weighted         Average         Remaining         Contract Term         (in years) |   |   | Aggregate         Intrinsic Value |   |
|   | Balance at December 31, 2007         |   | 785,574 |   | $ | 1.74 |   | 4.4 |   | $ | - |   |
|   | Granted                              |   | - |   |   | - |   | - |   |   | - |   |
|   | Exercised                            |   | - |   |   | - |   | - |   |   | - |   |
|   | Cancelled                            |   | (174,800 | ) |   | 1.87 |   | 0.1 |   |   | - |   |
|   | Balance at June 30, 2008             |   | 610,774 |   | $ | 1.71 |   | 4.1 |   | $ | - |   |
|   | Options exercisable at June 30, 2008 |   | 47,000 |   | $ | 2.34 |   | 3.0 |   | $ | - |   |
|   |                                 |   |

----

|   |                                  |   |
|--------|---------------------------------------|--------|
|   | Employee      Warrants                |   | Employee         Warrants        Outstanding |   | Weighted         Average         Exercise Price |   | Weighted         Average         Remaining         Contract Term        (in years) |   |   | Aggregate         Intrinsic Value |   |
|   | Balance at December 31,      2007     |   | 3,027,500 |   | $ | 2.56 |   | 3.6 |   | $ | - |   |
|   | Granted                               |   | - |   |   | - |   | - |   |   | - |   |
|   | Exercised                             |   | - |   |   | - |   | - |   |   | - |   |
|   | Cancelled                             |   | - |   |   | - |   | - |   |   | - |   |
|   | Balance at June 30, 2008              |   | 3,027,500 |   | $ | 2.56 |   | 3.1 |   | $ | - |   |
|   | Warrants exercisable at June 30, 2008 |   | 1,088,125 |   | $ | 2.63 |   | 3.1 |   | $ | - |   |
|   |                                  |   |

----

|   |                            |        |
|--------|---------------------------------|-------------|
|   |                                 |        |   |   | Net capital requirement |   | Excess net capital |   |
|   |                                 | Net Capital |   | FINRA |   | CFTC |   |   | FINRA |   | CFTC |   |
|   | Terra Nova Financial,      LLC  | $           | 13,314,284 |   | $ | 1,500,000 |   | $ | 500,000 |   | $ | 11,814,284 |   | $ | 12,814,284 |   |
|   | Market Wise Securities, LLC     |        | 44,022 |   |   | 5,000 |   |   | - |   |   | 39,022 |   |   | - |   |
|   | RushTrade Securities,      Inc. | $           | 46,389 |   | $ | 5,000 |   | $ | - |   | $ | 41,389 |   | $ | - |   |
|   |                            |        |

|   |                                     |                |
|--------|------------------------------------------|---------------------|
|   |                                          | As of June 30, 2008 |   | As of December 31, 2007 |   |
|   |                                          | Receivables         |   | Payables |   | Receivables |   | Payables |   |
|   | Securities borrowed/loaned               | $                   | 9,419,025 |   | $ | - |   | $ | 18,487,925 |   | $ | - |   |
|   | Clearing deposits & receivables/payables |                | 5,282,093 |   |   | 6,093,393 |   |   | 6,414,337 |   |   | 694,148 |   |
|   |                                     |                |   |   |   |   |   |   |   |   |   |   |   |
|   | Total                                    | $                   | 14,701,118 |   | $ | 6,093,393 |   | $ | 24,902,262 |   | $ | 694,148 |   |
|   |                                     |                |

----

----

| • | Implement new customer strategies involving      portfolio margining services, sponsorship relationships, complex options,      prime-brokerage capital introduction programs, and in-bound and out-bound      international customer trading activity                                                                                                                      |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Strengthen market presence through a polished      value proposition, updated brand identity, new website, and direct marketing      campaigns                                                                                                                                                                                                                              |
| • | Build a strong pipeline of leads and new accounts      through direct mail, web-based marketing, trade shows and other cost-effective      marketing and advertising programs targeted at highly active traders                                                                                                                                                             |
| • | Attract new customers and users to the newly      released Tradient platform and increase conversions from existing third      party trading platform users to Tradient                                                                                                                                                                                                     |
| • | Optimize the sales organization through training,      development, marketing materials, incentive compensation structures, referral      networks, and sales pipeline management processes                                                                                                                                                                                 |
| • | Enhance the Tradient software offering through      new releases that incorporate more rigorous quality control process, improved      speed and performance, and new functionality including multi-broker management,      new liquidity destinations including options and enhanced customer access      to algorithmic trading, black-box and non-click trading services |
| • | Continue to refine clearing processes to increase      the ability to operate as a trading platform neutral clearing agent and      improved efficiencies                                                                                                                                                                                                                   |
| • | Cost optimization of order-flow routing to      reduce execution costs                                                                                                                                                                                                                                                                                                      |

----

----

|                                 | (Unaudited)                     |      |
|--------------------------------------|---------------------------------|-----------|
|                                      | For Three Months Ended June 30, |      | For Six Months Ended June 30, |   |
| **Results of Continuing Operations** | 2008                            |      | 2007 |   | 2008 |   | 2007 |   |
|                                 |                            |      |   | (as restated) |   |   |   |   | (as restated) |   |
| **Net revenues**                     | $                               | 8,545,534 |   | $ | 11,571,351 |   | $ | 18,489,439 |   | $ | 21,491,827 |   |
|                                      |                            |      |   |   |   |   |   |   |   |   |   |   |
| **Total operating expenses**         |                            | 7,866,186 |   |   | 10,445,958 |   |   | 17,409,964 |   |   | 18,925,384 |   |
| ** **                           |                            |      |   |   |   |   |   |   |   |   |   |   |
| **Interest expense**                 |                            | -         |   |   | (17,686 | ) |   | - |   |   | (42,513 | ) |
| ** **                           |                            |           |   |   |  |   |   |  |   |   |  |   |
| **Income before income taxes**       |                            | 679,348   |   |   | 1,107,707 |   |   | 1,079,475 |   |   | 2,523,930 |   |
| ** **                           |                            |      |   |   |   |   |   |   |   |   |   |   |
| **Income tax provision**             |                            | (280,118  | ) |   | (516,076 | ) |   | (508,118 | ) |   | (956,146 | ) |
| ** **                           |                            |      |   |   |   |   |   |   |   |   |   |   |
| **Net income**                       | $                               | 399,230   |   | $ | 591,631 |   | $ | 571,357 |   | $ | 1,567,784 |   |

----

| • | Increased the number of Tradient platform      users 168% from the second quarter of 2007 to 2008                                                                                                                                                                                                                         |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | Increased the number of trades executed on      the Tradient platforms by 465% from the second quarter of 2007 to 2008                                                                                                                                                                                                    |
| • | Repurchased 1,002,500 shares under the common      stock buy-back program during the first six months of 2008 for approximately      $1.26 million reducing outstanding shares to 25.53 million                                                                                                                           |
| • | Posted revenue per employee of approximately      $105,500 based on 81 full-time employees as of June 30, 2008, compared to      $120,535 based on 96 full-time employees as of June 30, 2007. Revenue per      employee was down as a result of lower overall revenue as of June 30, 2008      compared to June 30, 2007 |
| • | Redeemed all outstanding preferred stock with      a liquidation value of $781,100 and the accumulated dividends payable in      arrears on all series of preferred stock for $50,063.                                                                                                                                    |
| • | Released version 6.7 of the Tradient proprietary      platform, including functionality enhancements, in the second quarter of      2008                                                                                                                                                                                  |
| • | Net income for the six months ended June 30,      2008 of $571,357 was reduced by non-cash related expenses totaling $1,196,737,      which include:                                                                                                                                                                      |

|   | • | Depreciation expense on property and equipment      of $188,705 |
|--------|--------|-----------------------------------------------------------------|
|   | • | Amortization expense on capitalized software      of $260,372   |
|   | • | Amortization expense on intangible assets of      $676,854      |
|   | • | Stock-based compensation of $70,806                             |

| • | Earned recognition in Barron's 2008 Online      Broker Survey (March 2008) as one of the best choices for active traders:      the firm was awarded a four star rating; ranked among the top three low      cost brokers for active traders; and received a score of 4.6 for "trade      experience," compared to the top score given of 4.7. Was named "Emerging      Broker of the Year" for the second consecutive year at Opal Financial Group's      2008 Emerging Manager Summit on May 16, 2008 |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

----

----

----

|   |   |   |
|--------|--------|--------|
|   | Period |        | Total number         of shares         purchased |  |   | Average price         paid per share |  | Total        number of         shares         purchased as         part of publicly         announced plan |  | Approximate         dollar value of         shares that may         yet be purchased         under the plan |   |
|   | March  |   | 476,500 |  | $ | 1.32 |  | 1,148,794 |   | $ | 3,330,192 |   |
|   | June   |   | 526,000 |   | $ | 1.20 |   | 1,674,794 |   | $ | 2,695,910 |   |
|   |   |   |

|   |                |             |
|--------|---------------------|------------------|
|   |                | **For Election** |   | **Withhold** |   |
|   |                     | **Number**       |   | **Percentage** |   | **Number** |   | **Percentage** |   |
|   | Gayle C. Tinsley    | 21,589,494       |  | 99.79% |  | 46,202 |  | 0.21% |   |
|   | Stephen B. Watson   | 21,618,494       |  | 99.92% |  | 17,202 |  | 0.08% |   |
|   | Bernay Box          | 21,574,519       |  | 99.72% |  | 61,177 |  | 0.28% |   |
|   | Charles B. Brewer   | 21,609,994       |  | 99.88% |  | 25,702 |  | 0.12% |   |
|   | Murrey Wanstrath    | 21,609,794       |  | 99.88% |  | 25,902 |  | 0.12% |   |
|   | Russell N. Crawford | 21,618,494       |  | 99.92% |  | 17,202 |  | 0.08% |   |
|   |                |             |

----

|   | **For**    |   | **Against** |   | **Abstain /         Broker Non-Votes** |   | **Total**  |   |
|--------|------------|--------|-------------|--------|----------------------------------------|--------|------------|--------|
|   | 18,240,675 |   | 627,289     |   | 2,767,732                              |   | 21,635,696 |   |
|   | 96.68%     |   | 3.32%       |   | 0.00%                                  |   | 100%       |   |

|   | **For**    |   | **Against** |   | **Abstain /         Broker Non-Votes** |   | **Total**  |   |
|--------|------------|--------|-------------|--------|----------------------------------------|--------|------------|--------|
|   | 21,620,631 |   | 14,351      |   | 714                                    |   | 21,635,696 |   |
|   | 99.93%     |   | 0.07%       |   | 0.00%                                  |   | 100%       |   |

| Exhibit 31.1 | Certification of Chief Executive Officer Pursuant      to Rule 13a-14(a) or Rule 15d-14(a)                                                                                                                                        |
|--------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Exhibit 31.2 | Certification of Chief Financial Officer Pursuant      to Rule 13a-14(a) or Rule 15d-14(a)                                                                                                                                        |
| Exhibit 32.1 | Certification of Chief Executive Officer and      Chief Financial Officer Pursuant to Rule 13a-14(b) or Rule 15d-14(b) and      18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley      Act of 2002 |
|         |                                                                                                                                                                                                                              |

----

|   | August 14, 2008 | /s/ Michael G. Nolan    |
|--------|-----------------|-------------------------|
|   | Date            | Michael G. Nolan        |
|   |            | Chief Executive Officer |
|   |            |                    |
|   |            |                    |
|   | August 14, 2008 | /s/ Jonathan J. Walsh   |
|   | Date            | Jonathan J. Walsh       |
|   |            | Chief Financial Officer |
|   |            |                    |
|   |            |                    |

----