Document:

SECURITY
      AGREEMENT

    

    This
      Security Agreement (the “Agreement”),
      dated
      this 30th day of November, 2007 is by and between National Investment Managers
      Inc., a Florida corporation having an address of 545 Metro Place South, Suite
      100, Dublin, OH 43017 (the “Debtor”),
      and
      RBS Citizens, National Association, a
      national bank having a lending office at 28 State Street, Boston, MA 02109
      (the
“Secured
      Party”).

    

    WITNESSETH
      THAT:

        

    WHEREAS,
      the
      Debtor has duly authorized, executed and delivered to the Secured Party (a)
      a
      certain Term Promissory Note of even date herewith from the Debtor to the
      Secured Party in the maximum principal amount of up to $13,000,000.00 and (b)
      a
      certain Revolving Line of Credit Note of even date herewith from the Debtor
      to
      the Secured Party in the maximum principal amount of $2,000,000.00 (together,
      the “Notes”)
      and
      any amendments, extensions or renewals of such Notes;

    

    WHEREAS,
      the obligation of the Secured Party to make the loans evidenced by the Notes
      (the “Loans”) is subject to the condition, among others, that the Debtor grant
      to and create in favor of the Secured Party a security interest in and lien
      upon
      all business assets and rights of the Debtor as hereinafter provided;
      and

    

    WHEREAS,
      in order to induce the Secured Party to make the Loans, the Debtor has agreed
      to
      join with the Secured Party in this Agreement.

    

    NOW,
      THEREFORE, in consideration of and as an inducement to the Secured Party to
      make
      the Loans, the parties hereto, intending to be legally bound, covenant and
      agree
      as follows:

    

    
      	Section
              1.	
              Definitions.

            

    

    

    
      	 	
              (a)

            	
              Certain
                Definitions.
                In addition to the words and terms defined elsewhere in this Agreement,
                the following words and terms shall have the following meanings,
                respectively, unless the context hereof otherwise clearly
                requires:

            

    

    

    
      	
            	(i)	
              “Collateral”
                shall mean all personal property of Debtor including, without limitation,
                all of the following items, whether now owned or now due, or in which
                the
                Debtor has an interest or hereafter, at anytime in the future, acquired,
                arising or to become due, or in which the Debtor obtains an interest,
                and
                all products, proceeds, replacements, substitutions and accessions
                of or
                to any of the following, which to the extent not defined below, shall
                have
                the meanings given to them under the Uniform Commercial Code as enacted
                in
                the Commonwealth of Massachusetts or as enacted in the state in which
                such
                Collateral is located:

            

    

     

    
      	 	 
	
              Security
                Agreement –National Investment Managers, Inc.

            	
              Page
                1 of 11

            

    

     

    
      
        

      

    

    
    

     

    
      	
            	A.	
              all
                accounts and accounts receivable;

            

    

     

    
      	 	
              B.

            	
              all
                inventory (including raw materials, work-in-process, finished goods
                and
                supplies);

            

    

    

    
      	
            	C.	
              all
                contract rights;

            

    

    

    
      	 	
              D.

            	
              all
                general intangibles (including, without limitation, payment intangibles,
                software, trademarks, patents, copyrights or other intellectual property
                rights of Debtor);

            

    

    

    
      	
            	E.	
              all
                equipment (including all machinery, furniture and
                fixtures);

            

    

    

    
      	
            	F.	
              all
                farm products;

            

    

    

    
      	
            	G.	
              all
                goods;

            

    

    

    
      	
            	H.	
              all
                chattel paper (whether tangible or
                electronic);

            

    

    

    
      	
            	I.	
              all
                fixtures;

            

    

    

    
      	 	
              J.

            	
              all
                investment property (including, without limitation, all financial
                assets,
                certificated and uncertificated securities, securities accounts and
                security entitlements);

            

    

    

    
      	
            	K.	
              all
                letter-of-credit rights;

            

    

    

    
      	 	
              L.

            	
              all
                rights under judgments, all commercial tort claims and choses in
                action;

            

    

    

    
      	 	
              M.

            	
              all
                books, records and information relating to the Collateral and/or
                to the
                operation of the Debtor’s business and all rights of access to such books,
                records and information and all property in which such books, records
                and
                information are stored, recorded and
                maintained;

            

    

    

    
      	 	
              N.

            	
              all
                instruments, promissory notes, documents of title, documents, policies
                and
                certificates of insurance, securities, deposits, deposit accounts,
                money,
                cash or other property;

            

    

    

    
      	 	
              O.

            	
              all
                federal, state and local tax refunds and/or abatements to which the
                Debtor
                is or becomes entitled no matter how or when arising, including,
                but not
                limited to, any loss carryback tax
                refunds;

            

    

     

    
      
        	 	 
	
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                  Agreement –National Investment Managers, Inc.

              	
                Page 2
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              P.

            	
              all
                insurance proceeds, refunds and premium rebates, including without
                limitation proceeds of fire and credit insurance, whether any of
                such
                proceeds, refunds and premium rebates arise out of any of the foregoing
                (A-O) or otherwise;

            

    

    

    
      	 	
              Q.

            	
              all
                liens, guaranties, rights, remedies and privileges pertaining to
                any of
                the foregoing (A-O) including the right of stoppage in
                transit.

            

    

    

    
      	 	
              (ii)

            	
              “Event(s)
                of Default”
                shall mean any default or breach of the terms, conditions or covenants
                of
                this Agreement that remains uncured for thirty (30) days after written
                notice of such default from Lender to Borrower, or any Event of Default
                under and as defined in the Loan Agreement, the Notes, or the other
                Loan
                Documents (as defined in the Loan
                Agreement).

            

    

    

    
      	 	
              (iii)

            	
              “Loan
                Agreement”
                shall mean a certain Revolving
                Line of Credit and Term Loan Agreement of even date herewith by and
                between the Debtor and the Secured
                Party.

            

    

    

    
      	 	
              (iv)

            	
              “Obligations”
                shall mean the
                payment and performance of all obligations of Debtor under the
                Guaranty.

            

    

    

    
      	 	
              (b)

            	
              Construction.
                Unless the context of this Agreement otherwise clearly requires,
                references to the plural include the singular, the singular the plural
                and
                the part the whole, and “or” has the inclusive meaning represented by the
                phrase “and/or”. The words “hereof”, “herein”, “hereunder” and similar
                terms in this Agreement refer to this Agreement as a whole and not
                to any
                particular provision of this Agreement. The section and other headings
                contained in this Agreement are for reference purposes only and shall
                not
                control or affect the construction of this Agreement or the interpretation
                hereof in any respect. Section, subsection and exhibit references
                are to
                this Agreement unless otherwise
                specified.

            

    

    

    
      	Section
              2.	
              Security
                Interest.
                Debtor, on the terms set forth in this Agreement and as security
                for the
                full and timely payment of the Obligations in accordance with the
                terms
                thereof and of the instruments now or hereafter evidencing the
                Obligations, hereby grants to the Secured Party a continuing security
                interest, under the Uniform Commercial Code (as in effect on the
                date
                hereof and as amended from time to time hereafter) of each state
                having
                jurisdiction from time to time with respect to all or any portion
                of the
                Collateral (the “Code”),
                in and a lien on the Collateral. In addition to all the rights given
                to
                the Secured Party by the Loan Agreement, the Notes, the other Loan
                Documents, and this Agreement, the Secured Party shall have all the
                rights
                and remedies of a secured party under the Code. In connection with
                the
                grant of security interest made hereby, Debtor hereby authorizes
                Secured
                Party to file or cause to be filed one or more financing statements,
                amendments to financing statements and/or in lieu financing statements
                with any filing office for the purpose of perfecting or continuing
                the
                perfection of the security interest in the
                Collateral.

            

    

     

    
      
        	 	 
	
                Security
                  Agreement –National Investment Managers, Inc.

              	
                Page 3
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      	Section
              3.	
              Principles
                Applicable to the Collateral.
                The parties agree that, at all times during the term of this Agreement,
                the following provisions shall be applicable to the
                Collateral:

            

    

    

    
      	 	
              (a)

            	
              The
                Debtor covenants and agrees that it will keep accurate and complete
                books
                and records concerning the Collateral owned by it in accordance with
                generally accepted accounting principles, consistently
                applied.

            

    

    

    
      	 	
              (b)

            	
              The
                Secured Party shall have the right to review the books and records
                of the
                Debtor pertaining to the Collateral and to copy and make excerpts
                therefrom, all at such times and as often as the Secured Party may
                reasonably request upon three (3) business days’ written
                notice.

            

    

    

    
      	 	
              (c)

            	
              The
                Debtor shall maintain and keep (i) its principal place of business
                and its
                chief executive office, (ii) its records concerning the Collateral
                and
                (iii) its Collateral at the address set forth on the first page of
                this
                Agreement and at no other location, without the prior written consent
                of
                the Secured Party.

            

    

    

    
      	 	
              (d)

            	
              Notwithstanding
                the security interest in the Collateral granted to and created in
                favor of
                the Secured Party under this Agreement, the Debtor shall have the
                right,
                until one or more Events of Default shall occur, to sell, lease or
                otherwise dispose of the Collateral in the ordinary course of the
                Debtor’s
                business.

            

    

    

    
      	 	
              (e)

            	
              Notwithstanding
                the security interest in the Collateral granted to and created in
                favor of
                the Secured Party under this Agreement, the Debtor shall have the
                right,
                until such time as the Secured Party shall have notified the Debtor
                that
                it has revoked such right based upon an Event of Default at its own
                cost
                and expense to collect any and all accounts of the Debtor comprising
                the
                Collateral (the “Accounts”).

            

    

    

    
      	 	
              (f)

            	
              The
                Secured Party shall have the right after an Event of Default has
                occurred
                (i) to revoke the right of the Debtor granted under subsection (e)
                of this
                Section 3 by written notice to the Debtor to such effect, (ii) to
                take
                over and direct collection of any and all Accounts of the Debtor,
                (iii) to
                give notice of the Secured Party’s security interest in such Accounts to
                any or all persons obligated to the Debtor thereon, (iv) to direct
                such
                persons to make payment of such Accounts directly to the Secured
                Party and
                (v) to take control of such Accounts and any proceeds
                thereof.

            

    

     

    
      
        	 	 
	
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                  Agreement –National Investment Managers, Inc.

              	
                Page 4
                  of 11

              

      

       

    

    
      
        

      

    

    
    

     

    
      	 	
              (g)

            	
              The
                Secured Party shall have the right after an Event of Default to cause
                a
                non-interest bearing bank account entitled “Cash Collateral Account” (the
                “Collateral
                Account”)
                to be opened and maintained for the Debtor at the principal office
                of the
                Secured Party. All cash proceeds received by the Secured Party from
                the
                Debtor pursuant to subsection (h) of this Section 3 or directly from
                persons obligated on Accounts pursuant to subsection (f) of this
                Section 3
                shall be deposited in the Collateral Account as further security
                for the
                payment of the Obligations. The Secured Party shall have sole dominion
                and
                control over all funds deposited in the Collateral Account, and such
                funds
                may be withdrawn therefrom only by the Secured Party; provided, however,
                that until an Event of Default shall occur, all collected funds on
                deposit
                in the Collateral Account, or so much thereof as is not required
                to make
                payments on the Obligations which have become due and payable, shall
                be
                withdrawn by the Secured Party on the business day next following
                the day
                on which the Secured Party considers the funds deposited therein
                to be
                collected funds and disbursed to the Debtor or its
                order.

            

    

    

    
      	 	
              (h)

            	
              Upon
                notice by the Secured Party to the Debtor that the Collateral Account
                has
                been opened in accordance with subsection (g) of this Section 3,
                the
                Debtor shall cause all cash proceeds collected by it to be delivered
                to
                the Secured Party forthwith upon receipt, in the original form in
                which
                received, bearing such endorsements or assignments by the Debtor
                as may be
                necessary to permit collection thereof by the Secured Party, and
                for such
                purpose the Debtor hereby irrevocably authorizes and empowers the
                Secured
                Party, its officers, employees and authorized agents, to endorse
                and sign
                the name of the Debtor on all checks, drafts, money orders or other
                media
                of payment so delivered and such endorsements or assignments shall,
                for
                all purposes, be deemed to have been made by the Debtor prior to
                any
                endorsement or assignment thereof by the Secured Party. The Secured
                Party
                may use any convenient or customary means for the purpose of collecting
                such checks, drafts, money orders or other media of
                payment.

            

    

    

    
      	Section
              4.	
              Certain
                Covenants.
                Until payment in full of the Obligations, the Debtor agrees
                that:

            

    

    

    
      	 	
              (a)

            	
              The
                Debtor has and will have good and marketable title to the Collateral
                from
                time to time owned or acquired by it, free and clear of all liens,
                encumbrances and security interests, except security interests granted
                to
                and created in favor of the Secured Party and as otherwise set forth
                in
                that certain Revolving Line of Credit and Term Loan Agreement of
                even date
                herewith by and between Debtor and Secured Party. The Debtor shall
                defend
                such title against the claims and demands of all
                persons.

            

    

     

    
      
        	 	 
	
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                  Agreement –National Investment Managers, Inc.

              	
                Page 5
                  of 11

              

      

       

    

    
      
        

      

    

    
    

     

    
      	 	
              (b)

            	
              The
                Debtor shall not, without the prior written consent of the Secured
                Party,
                (i) borrow against the Collateral from any person, firm or corporation
                other than the Secured Party, (ii) create, incur, assume or suffer
                to
                exist any mortgage, lien, charge or encumbrance on, or security interest
                in, or pledge of or conditional sale or other title retention agreement
                with respect to any of the Collateral, except the security interest
                created hereunder, (iii) permit any levy or attachment to be made
                against
                any of the Collateral except a levy or attachment relating to this
                Agreement, unless removed within sixty (60) days after written notice
                by
                   Secured Party to Debtor, (iv) permit any financing statement to
                be on file
                with respect to any of the Collateral, except financing statements
                in
                favor of the Secured Party, or (v) permit any transfer of Collateral
                without the consent of the Secured
                Party.

            

    

     

    
      	 	
              (c)

            	
              The
                Debtor shall faithfully preserve and protect the Secured Party’s security
                interest in the Collateral and shall, at its own cost and expense,
                cause
                said security interest to be perfected and continued perfected, and
                for
                such purpose, the Debtor shall from time to time at the request of
                the
                Secured Party execute and file or record, or cause to be filed or
                recorded, or authorize the Secured Party to execute and file or record,
                such instruments, documents and notices, including, without limitation,
                financing statements and continuation statements, as the Secured
                Party may
                deem necessary or advisable in order to perfect and continue perfected
                said security interest. The Debtor shall do all such other acts and
                things
                and execute and deliver all such other instruments and documents,
                including, without limitation, further security agreements, pledges
                and
                assignments, as the Secured Party may reasonably deem necessary or
                advisable from time to time in order to perfect and preserve the
                priority
                of said security interest as a first lien security interest in the
                Collateral prior to the rights of all persons therein or thereto.
                The
                Secured Party is hereby appointed attorney-in-fact for the Debtor
                to do
                all acts and things which it may deem necessary or advisable to preserve,
                perfect and continue perfected its security interest in the Collateral,
                including, without limitation, the signing and recording of financing
                and
                other similar statements.

            

    

        

    
      	 	
              (d)

            	
              Risk
                of loss of, damage to or destruction of the Collateral is on the
                Debtor.
                The Debtor shall insure the Collateral against such risks and casualties
                and in such amounts and with such insurers as acceptable to Secured
                Party
                in its reasonable discretion. All such policies of insurance shall
                contain
                loss payable clauses in favor of the Debtor and the Secured Party
                as their
                respective interests may appear, and show Secured Party as an additional
                insured on the liability portion of said policy, and such policies
                or
                certificates evidencing the same shall be deposited with the Secured
                Party
                immediately upon the request of the Secured Party. If the Debtor
                fails to
                effect and keep in full force and effect such insurance or fails
                to pay
                the premiums thereon when due, the Secured Party may do so for the
                account
                of the Debtor and add the cost thereof to the Obligations. The Debtor
                hereby assigns and sets over unto the Secured Party all monies which
                may
                become payable on account of such insurance, including, without
                limitation, any return of unearned premiums which may be due upon
                cancellation of any such insurance, and authorizes the Secured Party
                to
                direct the insurers to pay the Secured Party any amount so due. The
                Secured Party, its officers, employees and authorized agents, are
                hereby
                irrevocably appointed attorney-in-fact of the Debtor to endorse any
                draft
                or check which may be payable to the Debtor in order to collect the
                proceeds of such insurance or any return of unearned premiums. Such
                proceeds shall be applied to the payment or prepayment of the Obligations.
                Any balance of insurance proceeds remaining in the possession of
                the
                Secured Party after payment in full of the Obligations shall be paid
                to
                the Debtor or order.

            

    

     

    
      
        	 	 
	
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                  Agreement –National Investment Managers, Inc.

              	
                Page 6
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              (e)

            	
              The
                Debtor assumes full responsibility for taking any and all necessary
                steps
                to preserve its rights in the Accounts against account debtors. The
                Secured Party shall be deemed to have exercised reasonable care in
                the
                custody and preservation of such of the Collateral as may be in its
                possession if it takes such action for that purpose as the Debtor
                shall
                request in writing, provided that such requested action shall not,
                in the
                reasonable judgment of the Secured Party, impair the Secured Party’s
                security interest in the Collateral or its rights in, or the value
                of, the
                Collateral, and provided further that such written request is received
                by
                the Secured Party in sufficient time to permit it to take the requested
                action.

            

    

    

    
      	 	
              (f)

            	
              The
                Debtor shall maintain each item of Collateral in good condition and
                repair
                and shall pay and discharge all taxes, levies and other impositions
                levied
                or assessed thereon as well as the cost of repairs to or maintenance
                of
                the same. If the Debtor fails to do so, the Secured Party may pay
                the cost
                of such repairs or maintenance and such taxes, levies or other impositions
                for the account of the Debtor and add the amount thereof to the
                Obligations.

            

    

    

    
      	Section
              5.	
              Events
                of Default.

            

    

    

    
      	 	
              (a)

            	
              If
                one or more Events of Default shall occur, then, and in any such
                event,
                the Secured Party may forthwith proceed to exercise any one or more
                of the
                rights and remedies afforded a secured party by the Code and such
                other
                rights and remedies which it may have at law or in equity, under
                this
                Agreement, all of which rights and remedies shall, to the full extent
                permitted by law, be cumulative. Without limitation upon the foregoing,
                the Secured Party shall have the right without demand or prior notice
                to
                the Debtor or any other person, except as otherwise required by law
                (and
                if notice is required by law, after ten (10) days’ prior written notice to
                the Debtor at its address hereinafter set forth) and without prior
                judicial hearing or legal proceedings, all of which the Debtor hereby
                expressly waives:

            

    

     

    
      
        	 	 
	
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                  Agreement –National Investment Managers, Inc.

              	
                Page 7
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              (i)

            	
              to
                enter any premises where Collateral is located and to take possession
                and
                control of the same;

            

    

    

    
      	 	
              (ii)

            	
              to
                enforce collection, at the Debtor’s expense and either in the name of the
                Secured Party or the name of the Debtor, of any or all of the Accounts
                by
                suit or otherwise, to surrender, release or exchange all or any part
                thereof, or to compromise or extend or renew (whether or not longer
                than
                the original period) any indebtedness
                thereunder;

            

    

    

    
      	 	
              (iii)

            	
              to
                take over and perform any contract of the Debtor and to take control
                of
                any and all Accounts and proceeds arising
                therefrom;

            

    

    

    
      	 	
              (iv)

            	
              to
                sell all or any portion of the Collateral at public or private sale
                at
                such place or places and at such time or times and in such manner
                and upon
                such terms, whether for cash or credit, as the Secured Party in its
                sole
                discretion may determine; and

            

    

    

    
      	 	
              (v)

            	
              to
                endorse in the name of the Debtor any instrument, howsoever received
                by
                the Secured Party, representing proceeds of any of the
                Collateral.

            

    

    

    The
      Secured Party shall apply the proceeds of any sale or other disposition of
      any
      realization of the Collateral after default first to the payment of the
      reasonable costs and expenses incurred by the Secured Party in connection with
      such sale or other disposition or realization, including reasonable attorneys’
fees and legal expenses, second to the repayment of the Obligations to the
      Secured Party, whether on account of principal or interest or otherwise as
      the
      Secured Party in its sole discretion may elect, and then to the payment of
      the
      balance, if any, as required by law. If the proceeds of any such sale or other
      disposition of the Collateral are insufficient to pay the Obligations and the
      Secured Party’s reasonable costs hereunder, the Debtor shall be liable for any
      deficiency.

    

    
      	 	
              (b)

            	
              Upon
                the occurrence of any Event of Default, the Debtor shall promptly
                upon
                demand by the Secured Party assemble the Collateral and make it available
                to the Secured Party at a place to be designated by the Secured Party
                which shall be reasonably convenient to both parties. The right of
                the
                Secured Party under this Section to have the Collateral assembled
                and made
                available to it is the essence of this Agreement, and the Secured
                Party
                may, at its election, enforce such right by a bill in equity for
                specific
                performance.

            

    

    

    
      	Section
              6.	
              Defeasance.
                Upon payment in full of the Obligations, this Agreement shall terminate
                and be of no further force or effect. Until such time, however, this
                Agreement shall be binding upon and inure to the benefit of the parties
                hereto and their respective successors and
                assigns.

            

    

     

    
      
        	 	 
	
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                  Agreement –National Investment Managers, Inc.

              	
                Page 8
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      	Section
              7.	
              Subrogation
                and Marshaling.
                The Debtor hereby waives, surrenders and agrees not to claim or enforce,
                so long as the Obligations or any portion thereof remains outstanding,
                (a)
                any right to be subrogated in whole or in part to any right or claim
                of
                the holder of any part of the Obligations and (b) any right to require
                marshaling of any assets of the Debtor which right of subrogation
                or
                marshaling might otherwise arise from any payment to the holder of
                any
                part of the Obligations arising out of the enforcement of the security
                interest granted hereby, or any other mortgage or security interest
                granted by the Debtor or any other person to the Secured Party, or
                the
                liquidation of or the realization upon the Collateral, any other
                collateral granted by the Debtor or any other person to the Secured
                Party,
                or any part thereof.

            

    

    

    
      	Section
              8.	
              Severability.
                If any provision of this Agreement shall for any reason be held invalid
                or
                unenforceable, such invalidity or unenforceability shall not affect
                any
                other provision hereof, but this Agreement shall be construed as
                if such
                invalid or unenforceable provision had never been contained
                herein.

            

    

    

    
      	Section
              9.	
              No
                Waiver; Rights Cumulative.
                No failure or delay on the part of the Secured Party in exercising
                any
                right, remedy, power or privilege hereunder shall operate as a waiver
                thereof or of any other right, remedy, power or privilege hereunder;
                nor
                shall any single or partial exercise of any such right, remedy, power
                or
                privilege preclude any other or further exercise thereof or of any
                other
                right, remedy, power or privilege. The rights and remedies of the
                Secured
                Party under this Agreement are cumulative and not exclusive of any
                rights
                or remedies which it may otherwise have. No modification or waiver
                of any
                provision of this Agreement nor consent to any departure by the Debtor
                therefrom shall be effective unless the same shall be in writing,
                and then
                such waiver or consent shall be effective only in the specified instance
                and for the specific purpose for which
                given.

            

    

    

    
      	Section
              10.	
              Notices.
                Any notice, request, demand or other communication required or permitted
                hereunder shall be given in writing by delivering the same in person
                to
                the intended addressee, by overnight courier service with guaranteed
                next
                day delivery or by certified United States Mail, postage prepaid
                or
                telegram sent to the intended addressee at the applicable address
                set
                forth on Page 1 hereof or to such different address as either Debtor
                or
                Secured Party shall have designated by written notice to the other
                sent in
                accordance herewith. Such notices shall be deemed given when received
                or,
                if earlier, in the case of delivery by courier service with guaranteed
                next day delivery, the next day or the day designated for delivery,
                or in
                the case of delivery by certified United States mail, two days after
                deposit therein.

            

    

     

    
      
        	 	 
	
                Security
                  Agreement –National Investment Managers, Inc.

              	
                Page 9
                  of 11

              

      

       

    

    
      
        

      

    

    
    

     

    
      	Section
              11.	
              Governing
                Law.
                The Code shall govern the attachment, perfection and the effect of
                attachment and perfection of the Secured Party’s interest in the
                Collateral, and the rights, duties and obligations of the Debtor
                and the
                Secured Party with respect thereto. This Agreement shall be deemed
                to be a
                contract under the laws of the Commonwealth of Massachusetts, and
                the
                execution and delivery hereof and, to the extent not inconsistent
                with the
                preceding sentence, the terms and provisions hereof, shall be governed
                by
                and construed in accordance with the laws of the Commonwealth of
                Massachusetts.

            

    

    

    
      	Section
              12.	
              Survival.
                All representations, warranties, covenants and agreements contained
                herein
                or made in writing in connection herewith shall survive the execution
                and
                delivery of this Agreement and the extension of the
                Loans.

            

    

     

    [Signatures
      on following page]

     

    
      
        	 	 
	
                Security
                  Agreement –National Investment Managers, Inc.

              	
                Page
                  10 of 11

              

      

       

      
        
          

        

      

      
      

    

    IN
      WITNESS WHEREOF, the parties have executed this Agreement under seal the day
      and
      year first above written.

    

    
      	 	
              DEBTOR:

            
	 	 
	 	
              NATIONAL
                INVESTMENT MANAGERS INC.

            
	 	 
	 	 
	 	
            	
              By:
                /s/Steven Ross

            
	
              Witness

            	 	
              Name:

            	
              Steven
                Ross

            
	 	 	
              Title:

            	
              CEO

            
	 	 
	 	 
	 	
              SECURED
                PARTY:

            
	 	 
	 	
              RBS
                CITIZENS, NATIONAL ASSOCIATION

            
	 	 
	 	 
	 	
            	
              By:
                /s/David Bugbee

            
	
              Witness
                

            	 	
              David
                J. Bugbee, Senior Vice President

            

    

     

    
      
        	 	 
	
                Security
                  Agreement –National Investment Managers, Inc.

              	
                Page
                  11 of 11STOCK
      PLEDGE AGREEMENT

    

    This
      Stock Pledge Agreement (this “Agreement”)
      is
      made as of the _____ day of November, 2007 by and between BPI/PPA Inc., a
      Delaware corporation with its principal place of business at 1013 Centre Road,
      Wilmington DE 10805 (the “Pledgor”),
      and
      RBS Citizens, National Association, having
      a
      lending office at 28 State Street, Boston, MA 02109 (the “Pledgee”).
      Pledgor has executed and delivered a certain Guaranty of even date herewith
      to
      Pledgee (the “Guaranty”),
      guaranteeing the payment and performance of all of the obligations of National
      Investment Managers Inc., a Florida corporation having an address of 545 Metro
      Place South, Suite 100, Dublin, OH 43017 (the “Borrower”)
      to
      Pledgee under (a) a certain Term Promissory Note of even date herewith from
      the
      Borrower to the Pledgee in the maximum principal amount of up to $13,000,000.00
      (the “Promissory
      Note”),
      (b) a
      certain Revolving Line of Credit Note of even date herewith from the Borrower
      to
      the Pledgee in the maximum principal amount of $2,000,000.00 (the “RLOC
      Note”,
      and
      together with the Promissory Note, the “Notes”),
      and
      (c) that certain Revolving Line of Credit and Term Loan Agreement (the
“Loan
      Agreement”)
      of
      even date herewith by and between the Borrower and Pledgee (collectively, with
      the Guaranty, the Notes, this Agreement, and all other documents executed in
      connection with the above, the “Loan
      Documents”).

    

    1. Pledge
      of Stock.
      The
      Pledgor hereby represents and warrants that the Pledgor will own on the date
      hereof, free and clear of any and all claims, liens or encumbrances, except
      (a)
      restrictions on transfer arising under applicable law, (b) the security interest
      created by this Agreement and (c) as
      otherwise set forth in the Loan Agreement,
      all of
      the issued and outstanding shares of the Pledgor, as more particularly described
      on Schedule
      I attached
      hereto (collectively, the “Collateral”),
      and
      hereby agrees to pledge, assign, and deliver the same on the date hereof to
      the
      Pledgee, for benefit of the Pledgee, to be held by the Pledgee subject to the
      terms and conditions hereinafter set forth, together with stock powers, if
      necessary, appropriately executed in blank. The term “Collateral” as used herein
      includes the securities described above and any additional shares of stock,
      mutual funds or other securities at any time pledged by Pledgor with the Pledgee
      hereunder. Upon request by Pledgee, Pledgor shall provide Pledgee with
      statements as to the then current value of the Collateral.

    

    Any
      sums
      or property paid upon or with respect to any of the Collateral upon the
      liquidation or dissolution of any issuer thereof shall be paid over to the
      Pledgee to be held by it as security for the Obligations (as defined in Section
      3 below); in case any distribution of capital shall be made on or in respect
      of
      any of the Collateral or any property shall be distributed upon or with respect
      to any of the Collateral pursuant to the recapitalization or reclassification
      of
      the capital of the issuer thereof or pursuant to the reorganization thereof,
      the
      property so distributed shall be delivered to the Pledgee to be held by it
      as
      security for the Obligations. All sums of money and property paid or distributed
      in respect of the Collateral which are received by the Pledgor shall, until
      paid
      or delivered to the Pledgee, be held by the Pledgor in trust for the Pledgee
      as
      security for the Obligations.

     

    
      	
               

            	
               

            
	
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    2. Warranty
      of Title.
      The
      Pledgor warrants that on the date hereof the Pledgor will have good and
      marketable title to the Collateral described in Section l hereof, subject to
      no
      pledges, liens, security interests, charges, options, restrictions or other
      encumbrances except the security interest created by this Agreement and
      restrictions on transfer arising under applicable law, and that such Pledgor
      has
      power, authority and legal right to pledge the Collateral pursuant to this
      Agreement. The Pledgor covenants to defend the Pledgee’s rights and security
      interest in the Collateral against the claims and demands of all Persons
      whomsoever; and the Pledgor covenants to have the like title to and right to
      pledge any other property at any time hereafter pledged to the Pledgee hereunder
      and to likewise defend the Pledgee’s rights and security interest therein. The
      property at any time pledged with the Pledgee hereunder (whether described
      herein or not) and all income therefrom and proceeds thereof, shall be included
      in the definition of “Collateral” for purposes of this Agreement.

    

    3. Security
      for Obligations.
      This
      Agreement and the pledge of the Collateral is made with the Pledgee to secure
      the payment in full and performance of any and all obligations, indebtedness
      and
      liabilities of the Pledgor to Pledgee, now existing or hereafter arising, direct
      or indirect, absolute or contingent, due or to become due, matured or unmatured,
      liquidated or unliquidated, arising by contract, operation of law or otherwise
      including, but not limited to, those arising under or in connection with the
      Guaranty (collectively, the “Obligations”).
      In
      connection with the grant of the security interest made hereby, Pledgor hereby
      authorizes Pledgee to file or cause to be filed one or more financing
      statements, amendments to financing statements and/or “in lieu” financing
      statements with any filing office for the purpose of perfecting or continuing
      the perfection of the security interest in the Collateral.

    

    4. Dividends,
      Voting, etc., While No Event of Default.
      So long
      as no Event of Default has occurred under any of the Loan Documents and is
      continuing (or if continuing, has been effectively waived by the Pledgee in
      writing), the Pledgor, as to the Collateral, shall be entitled to receive all
      cash dividends paid in respect of the Collateral (subject to the terms,
      conditions and limitations of the Loan Documents), to vote the Collateral (to
      the extent otherwise entitled thereto) and to give consents, waivers and
      ratifications in respect of the Collateral, provided, however, that no vote
      shall be cast or consent, waiver or ratification given or action taken which
      would be inconsistent with or violate any provision of this Agreement. All
      such
      rights of the Pledgor to vote and give consents, waivers and ratifications
      with
      respect to the Collateral shall, at Pledgee’s option, as evidenced by Pledgee’s
      notifying Pledgor of such election, cease in case an Event of Default shall
      have
      occurred and be continuing under the Loan Documents.

    

    5. Remedies
      Following Event of Default.
      If an
      Event of Default shall have occurred and be continuing, the Pledgee shall
      thereafter have the following rights and remedies in addition to the rights
      and
      remedies of a secured party under the Uniform Commercial Code of the
      Commonwealth of Massachusetts, all such rights and remedies being cumulative,
      not exclusive, and enforceable alternatively, successively or concurrently,
      at
      such time or times as the Pledgee deems expedient:

     

    
      	
               

            	
               

            
	
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              (a)

            	
              if
                the Pledgee so elects and gives notice of such election to the Pledgor,
                the Pledgee may vote any or all shares of the Collateral (whether
                or not
                the same shall have been transferred into its name or the name of
                its
                nominee or nominees) and give all consents, waivers and ratifications
                in
                respect of the Collateral and otherwise act with respect thereto
                as though
                it was the outright owner thereof (the Pledgor hereby irrevocably
                constituting and appointing the Pledgee the proxy and attorney-in-fact
                of
                the Pledgor with full power of substitution, to do
                so);

            

    

    

    
      	 	
              (b)

            	
              the
                Pledgee may demand, sue for, collect or make any compromise or settlement
                the Pledgee deems suitable in respect of any Collateral held by it
                hereunder;

            

    

    

    
      	 	
              (c)

            	
              the
                Pledgee may sell, resell, assign and deliver, or otherwise dispose
                of any
                or all of the Collateral, for cash and/or credit and upon such terms,
                at
                such place or places and at such time or times and to such Persons
                as the
                Pledgee deems expedient, all without demand for performance by the
                Pledgor
                or any notice or advertisement whatsoever except such as may be required
                by law; and

            

    

    

    
      	 	
              (d)

            	
              the
                Pledgee may cause all or any part of the Collateral held by it to
                be
                transferred into its name or the name of its nominee or
                nominees.

            

    

    

    The
      Pledgee may enforce its right hereunder without any other notice and without
      compliance with any other condition precedent now or hereafter imposed by
      statute, rule or law or otherwise (all of which are hereby expressly waived
      by
      the Pledgor to the maximum extent permitted by applicable law). If any of the
      Collateral is sold by the Pledgee upon credit or for future delivery, the
      Pledgee shall not be liable for the failure of the purchaser to pay for the
      same
      and in such event the Pledgee may resell such Collateral. The Pledgee may buy
      any part or all of the Collateral at any public sale and if any part or all
      of
      the Collateral is of a type customarily sold in a recognized market or is of
      the
      type which is the subject of widely-distributed standard price quotations,
      the
      Pledgee may buy at private sale and may make payments thereof by any means.
      The
      Pledgee may apply the cash proceeds actually received from any sale or other
      disposition to the reasonable expenses of retaking, holding, preparing for
      sale,
      selling and the like, or reasonable attorneys’ fees, and all legal expenses,
      travel and other expenses which may be incurred by the Pledgee in attempting
      to
      collect the Obligations or any of them, or to enforce this Agreement or in
      the
      prosecution or defense of any action or proceeding related to the subject matter
      of this Agreement; and then to the Obligations in such order as to principal
      or
      interest remaining unpaid, including legal interest thereon, and the balance
      of
      any expenses unpaid, as the Pledgee in its sole discretion may reasonably
      determine, and any surplus shall be paid to the Pledgor.

    

    The
      Pledgor recognizes that if the Pledgee is unable to effect a public sale of
      the
      Collateral by reason of certain prohibitions contained in the Securities Act
      of
      1933, as amended, the Pledgee may be compelled to resort to one or more private
      sales thereof to a restricted group of purchasers who will be obliged to agree,
      among other things, to acquire such securities for their own account, for
      investment and not with a view to the distribution or resale thereof. The
      Pledgor agrees that any such private sales may be at prices and on other
      reasonable terms less favorable to the seller than if sold at public sales
      and
      that such private sales shall be deemed to have been made in a commercially
      reasonable manner. The Pledgee shall be under no obligation to delay a sale
      of
      any of the Collateral for the period of time necessary to permit the issuer
      of
      such securities to register such securities for public sale under the Securities
      Act of 1933, as amended, even if the issuer would agree to do so.

     

    
      	
               

            	
               

            
	
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    6. Marshaling.
      The
      Pledgee shall not be required to marshal any present or future security for
      (including but not limited to this Agreement and the Collateral pledged
      hereunder), or guaranties of, the Obligations or any part of them, or to resort
      to such security or guaranties in any particular order; and all of its rights
      hereunder and in respect of such securities and guaranties shall be cumulative
      and in addition to all other rights, however existing or arising. To the extent
      that the Pledgor lawfully may, the Pledgor hereby agrees that it will not invoke
      any law which might cause delay in or impede the enforcement of the Pledgee’s
      rights under this Agreement or under any other instrument evidencing any of
      the
      Obligations or under which any of the Obligations is outstanding or by which
      any
      of the Obligations is secured and guaranteed, and the Pledgor hereby irrevocably
      waives the benefits of all such laws.

    

    7. Pledgor’s
      Obligations Not Affected.
      The
      obligations of the Pledgor hereunder shall remain in full force and effect
      without regard to, and shall not be impaired by (a) any insolvency, bankruptcy,
      arrangement of or involving the Pledgor; (b) any exercise or non-exercise,
      or
      any waiver, by the Pledgee of any right, remedy, power or privilege under or
      in
      respect of any of the Obligations or any security therefor (including this
      Agreement); (c) any amendment or waiver of any of the terms of the Loan
      Agreement or any of the Obligations; (d) any amendment or waiver of any of
      the
      terms of any instrument (other than this Agreement) securing any of the
      Obligations or (e) the taking of additional security for or any guaranty of
      any
      of the Obligations or the release or discharge or termination of any security
      or
      guaranty for any of the Obligations; whether or not the Pledgor shall have
      notice or knowledge of any of the foregoing.

    

    8. Transfer,
      etc. by the Pledgor.
      Without
      the prior written consent of the Pledgee, the Pledgor will not sell, assign,
      transfer or otherwise dispose of, grant any option with respect to, or pledge
      or
      grant any security interest in or otherwise encumber any of the Collateral
      or
      any interest therein; except for the pledge thereof provided for in this
      Agreement and restrictions on transfer under applicable law. Notwithstanding
      the
      foregoing to the contrary, Pledgee shall be entitled to withdraw from the
      Collateral any interest earned upon the original securities pledged as
      Collateral provided no Event of Default has occurred under this Agreement or
      under the Obligations.

    

    9. Further
      Assurances.
      The
      Pledgor will do all such acts, and will furnish to the Pledgee all such
      financing statements, certificates, opinions and other documents and will do
      or
      cause to be done all such other things as the Pledgee may reasonably request
      from time to time in order to give full effect to this Agreement and to secure
      the rights of the Pledgee hereunder.

     

    
      	
               

            	
               

            
	
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    10. Pledgee’s
      Exoneration.
      Under
      no circumstances shall the Pledgee be deemed to assume any responsibility for
      or
      obligation or duty (except for safe custody) with respect to any part or all
      of
      the Collateral, of any nature or kind or any matter or proceedings arising
      out
      of or relating thereto, but the same shall be at the Pledgor’s sole risk at all
      times. The Pledgee shall not be required to take any action of any kind to
      collect, preserve or protect its or the Pledgor’s rights in the Collateral or
      against any parties thereto. The Pledgor hereby releases the Pledgee from any
      claims, causes of action and demands at any time arising out of or with respect
      to this Agreement, the Obligations, the use of the Collateral and/or any actions
      reasonably taken or omitted to be taken by the Pledgee with respect thereto,
      and
      the Pledgor hereby agrees to hold the Pledgee harmless from and with respect
      to
      any and all such claims, causes of action and demands. The Pledgee’s prior
      recourse to any part or all of the Collateral shall not constitute a condition
      of any demand, suit or proceeding for payment or collection of the
      Obligations.

    

    11. No
      Waiver, Etc.
      No act,
      failure or delay by Pledgee shall constitute a waiver of its rights and remedies
      hereunder or otherwise. No single or partial waiver by the Pledgee of any
      default or right or remedy which it may have shall operate as a waiver of any
      other default, right or remedy or of the same default, right or remedy on a
      future occasion. The Pledgor hereby waives presentment, notice of dishonor
      and
      protest of all instruments included in or evidencing any of the Obligations
      or
      the Collateral, and any and all other notices and demands whatsoever (except
      as
      expressly provided herein).

    

    12. Notices,
      Etc.
      All
      notices, requests and other communications hereunder shall be in writing and
      shall be given as set forth in the Loan Agreement.

    

    13. Termination.
      Upon
      payment in full of all the Obligations in accordance with their terms and the
      performance by the Pledgor of all of the Pledgor’s agreements under the Loan
      Documents, this Agreement and the other Obligations, this Agreement shall
      terminate and the Pledgor shall be entitled to the return, at the Pledgor’s
      expense, of such of the Collateral in the possession or control of the Pledgee
      as has not theretofore been disposed of pursuant to the provisions hereof,
      together with any moneys and other property at the time held by the Pledgee
      hereunder.

     

    
      	
               

            	
               

            
	
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    14. Miscellaneous
      Provisions.
      Neither
      this Agreement nor any term hereof may be changed, waived, discharged or
      terminated except by a written instrument expressly referring to this Agreement
      and to the provisions so modified or limited, and executed by the party to
      be
      charged. This Agreement and all obligations of the Pledgor hereunder shall
      be
      binding upon the successors in title and assigns of the Pledgor, and shall,
      together with the rights and remedies of the Pledgee hereunder, inure to the
      benefit of the Pledgee, its successors in title and assigns. This Agreement
      and
      obligations of the Pledgor hereunder shall be governed by and construed in
      accordance with the laws of the Commonwealth of Massachusetts. The descriptive
      section headings have been inserted for convenience of reference only and do
      not
      define or limit the provisions hereof. If any term of this Agreement shall
      be
      held to be invalid, illegal or unenforceable, the validity of all other terms
      hereof shall be in no way affected thereby, and this Agreement shall be
      construed and be enforceable as if such invalid, illegal or unenforceable terms
      had not been included herein. The Pledgor acknowledges receipt of a copy of
      this
      Agreement. Words and expressions used herein without definition which are
      defined in the Uniform Commercial Code have such defined meanings herein, unless
      the context otherwise indicates or requires. This Agreement may be executed
      in
      several counterparts, each of which when executed and delivered shall be
      original, but all of which together shall constitute one instrument. In making
      proof of this Agreement, it shall not be necessary to produce or account for
      more than one such counterpart.

    

    

    [Signatures
      on following page]

     

    
      	
               

            	
               

            
	
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    IN
      WITNESS WHEREOF, the Pledgor and Pledgee have executed this Agreement as an
      instrument under seal on the date first above written.

     

    
      
        	
                 

              	 	 PLEDGOR:
	 	 	 	 
	 	 	
                [ 
                   ]

              
	 	 	 	 
	 	 	 	 
	 	 	
                By:

              	 
	
                Witness

              	 	
                Name:

              	 
	
                 

              	 	
                Title:

              	 
	 	 	 	 
	 	 	PLEDGEE: 
	 	 	 	 
	 	 	
                RBS
                  CITIZENS, NATIONAL ASSOCIATION 

              
	 	 	 	 
	 	 	 	 
	 	 	
                By:

              	 
	
                Witness

              	 	 	
                David
                  J. Bugbee, Senior Vice
                  President

              

      

    

     

     

    
      	
               

            	
               

            
	
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    SCHEDULE
      I

     

    
      
        	
                Valley
                  Forge Consulting Corporation

                a
                  Pennsylvania corporation

                998
                  Old Eagle School Rd., Suite 1206

                Wayne,
                  PA 19087

              	 
	 	 
	
                V.F.
                  Associates, Inc.

                a
                  Pennsylvania corporation

                998
                  Old Eagle School Rd., Suite 1206

                Wayne,
                  PA 19087

              	 
	 	 
	
                V.F.
                  Investment Services Corp.

                a
                  Pennsylvania corporation

                998
                  Old Eagle School Rd., Suite 1206

                Wayne,
                  PA 19087

              	 

      

    

     

    
      	
               

            	
               

            
	
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