Document:

CONSULTING
      AGREEMENT

     

    This
      Agreement (this “Agreement”) is entered into as of the 29th
      day of
      August 2005 by and between De Novo Holdings, Inc., a corporation organized
      under
      the laws of the State of Michigan (the “Company”), and Satish B. Jasti, an adult
      individual residing in the State of Michigan (the “Consultant”).

     

    The
      parties hereto agree as follows:

     

    1.  Engagement.
      The
      Company hereby engages the Consultant and the Consultant hereby agrees to
      render, at the request of the Company, independent advisory and consulting
      services for the Company in connection with the organization of the Company
      and
      its proposed banking subsidiary (the “Bank”), upon the terms and conditions
      hereinafter set forth. 

     

    2.  Term.
      The
      term
      of this Agreement shall begin as of the date of this Agreement and shall
      terminate on the earlier of (i) August 30, 2006 (ii) the date on which the
      Bank
      receives (and satisfies all conditions to opening for business under) its
      authorization to commence its banking business (the “Certificate of Authority”)
      from the Office of the Comptroller of the Currency or the State of Michigan
      and
      approval of Insurance of Accounts from the Federal Deposit Insurance
      Corporation; (iii) the date on which the Company advises the Consultant that
      it
      has abandoned its effort to obtain the Certificate of Authority; (iv) the date
      on which the Consultant receives written notice from the Company that it is
      terminating this Agreement “for cause” as hereafter defined; or (v) the death or
      disability of the Consultant (as used herein, the disability of the Consultant
      shall be deemed to have occurred when he has been unable to perform his services
      under this Agreement for a period of forty-five (45) consecutive days or the
      Consultant has made any claim under any disability insurance policy. As used
      herein, “for cause” shall be defined as follows: (i) the Consultant’s failure to
      use diligent and good faith efforts to perform the services requested by the
      Company under this Agreement (which failure is not cured within five (5) days
      following written notice to the Consultant); (ii) the Consultant’s willful
      misconduct or gross negligence in the performance of his services hereunder;
      (iii) the Consultant’s conviction of a crime or involvement in any conduct which
      could, in the judgment of the Company, adversely impact on the reputation of
      the
      Company or the Bank or the prospects of the Bank receiving its Certificate
      of
      Authority; (iv) receipt by the Company of any notification from the Office
      of
      the Comptroller of the Currency or the Federal Deposit Insurance Corporation
      indicating that the Consultant would not be an acceptable candidate to be Chief
      Executive Officer or President or Executive Vice President or Chief Financial
      Officer or Chief Lending Officer of the Bank.

     

    3.  Compensation.
      During
      the term of this Agreement, as compensation for all services rendered by the
      Consultant under this Agreement, the Company shall pay the Consultant the
      following amounts:

     

    (a)  Consulting
      Fee.
      . The
      Company shall pay the Consultant the sum of $7,500.00 per month (prorated for
      any partial month), which shall be paid in arrears in two installments of
      $3750.00 dollars each on the 15th
      and
      30th
      day of
      each calendar month. The Co-Managers of the Company will not need to seek
      further approvals from the Company’s Board of Directors to pay these scheduled
      amounts from Paragraph 3(a) to the Consultant.

     

    (b)  Deductions.
      All such
      compensation shall be payable without deduction for federal income, social
      security, or state income taxes or any other amounts.

     

    (c)  Deferred
      Compensation.
      Unless
      this Agreement has been terminated or the term has ended pursuant to Paragraph
      2
      hereof, the Company shall cause the Bank, subject to and upon its opening for
      business to the public, to pay, in one lump sum, not later than thirty (30)
      days
      following its opening for business, an amount equal to Three Thousand Dollars
      ($3,000.00) times the number of months of the term of this Agreement
      representing the accumulated difference of fees paid under this Agreement and
      the annualized amount of compensation, prorated for the term of this Agreement.
      The Co-Managers of the Company or the appropriate officers of the Bank will
      not
      need to seek further approvals from the Company’s or the Bank’s Board of
      Directors to pay these scheduled amounts from Paragraph 3(c) to the
      Consultant. 

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    (d)  Termination
      Payment. If,
      for
      any reason, other than a termination by the Company for Cause, the Company
      terminates this Agreement during its term and without the Employment Agreement
      referenced in Paragraph 10 of this Agreement becoming effective, Consultant
      will
      be entitled to receive a lump sum payment, payable on the date of termination,
      of not less than the greater of (i) one-half of the fees which would have been
      payable for the remaining term of this Agreement from the date of termination
      or
      (ii) Twenty Five Thousand Dollars ($25,000.00).

     

    4.  Duties.
      The
      Consultant shall render services conscientiously and shall devote his full
      time,
      attention, efforts and abilities to the establishment of the Bank, including
      without limitation obtaining regulatory approvals, site development activities,
      personnel matters and capital raising activities, at such times during the
      term
      hereof and in such manner as reasonably requested by the Company, and performed
      at such places and at such times as are reasonably convenient to the Company
      and
      the Consultant. The Consultant shall observe all policies and directives
      promulgated from time to time by the Company’s Board of Directors. The
      Consultant may originate mortgages under his mortgage brokerage license up
      to
      the point that the bank can originate its own mortgages. Until that time, the
      Consultant may originate such mortgages for his own benefit during non-business
      hours and place the business of the Company before any such
      activity.

     

    5.  Expenses.
      The
      Consultant shall be reimbursed by the Company for all reasonable business
      expenses and which were incurred by the Consultant during the performance of
      his
      services hereunder; provided, any such reimbursement in excess of $250 in any
      month shall require the prior written approval of the Company’s Board of
      Directors or a committee thereof; provided however that any expenses set forth
      in the organizational budget shall be deemed to be approved unless the Company’s
      Board of Directors makes an express determination to the contrary prior to
      the
      time at which the expense is incurred. The Company’s obligation to reimburse the
      Consultant pursuant to this paragraph shall be subject to the presentation
      to
      the Company’s Board of Directors or a committee thereof by the Consultant of an
      itemized account of such expenditures, together with supporting vouchers, in
      accordance with any policies of the Company in effect from time to
      time.

     

    6.  Independent
      Contractor.
      It is
      expressly agreed that Consultant is acting as an independent contractor in
      performing services hereunder. The Company shall carry no worker’s compensation
      insurance or any health or accident insurance to cover Consultant. The Company
      shall not pay any contributions to Social Security, unemployment insurance,
      federal or state withholding taxes, nor provide any other contributions or
      benefits, which might be expected in an employer-employer
      relationship.

     

    7.  Covenant
      Not to Compete.
      The
      Consultant hereby acknowledges and recognizes the highly competitive nature
      of
      the Company’s business and accordingly agrees that, during and for the period
      commencing with the date hereof and ending on the later of (i) August 30, 2006
      or (ii) the termination, whether by the Company or the Consultant, of this
      Agreement, the Consultant will not, except as provided in Paragraph 4 hereof,
      directly or indirectly:

     

    (a)  Engage
      in
      any business activity related to the business of banking or financial services,
      or the formation of any entity for the purpose of engaging in such a business
      (other than on behalf of the Company to the extent that the Consultant is then
      in the employ of or consulting for the Company), whether such engagement is
      as
      an officer, director, proprietor, employee, partner, member, investor (other
      than as a passive investor in less than one percent (1%) of the outstanding
      capital stock of a publicly traded corporation), consultant, advisor, agent
      or
      other participant in another business,

     

    
      
        
        

      

      
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    (b)  Assist
      others in engaging in any of the business activities prohibited to the
      Consultant under clause (a) above, or

     

    (c)  Induce
      employees of the Company to engage in any activities hereby prohibited to the
      Consultant or to terminate their employment.

     

    The
      term
      of this restriction shall be extended for a period of time equal to any period
      of time during which the Consultant violates or fails to observe the provisions
      of this paragraph.

     

    8.  No
      Disclosure of Confidential Information.
      The
      Consultant acknowledges that the Company’s trade secrets and private processes,
      as they may exist from time to time, and confidential information concerning
      the
      formation and development of the Bank, the Bank’s planned products, technical
      information regarding the Bank, and data concerning potential customers of
      and
      investors in the Bank are valuable, special, and unique assets of the Company,
      access to and knowledge of which are essential to the performance of the
      Consultant’s duties under this Agreement. In light of the highly competitive
      nature of the industry in which the business of the Company is conducted, the
      Consultant further agrees that all knowledge and information described in the
      preceding sentence not in the public domain and heretofore or in the future
      obtained by the Consultant as a result of his engagement by the Company shall
      be
      considered confidential information. In recognition of this fact, the Consultant
      agrees that the Consultant will not, during or after the term of this Agreement,
      disclose any of such secrets, processes, or information to any person or other
      entity for any reason or purpose whatsoever, except as necessary in the
      performance of the Consultant’s duties as a consultant to the Company and then
      only upon a written confidentiality agreement in such form and content as
      requested by the Company from time to time, nor shall Consultant make use of
      any
      of such secrets, processes or information for Consultant’s own purposes or for
      the benefit of any person or other entity (except the Company and its
      subsidiaries, if any) under any circumstances during or after the term of this
      Agreement.

     

    9.  Remedies.
      The
      Consultant acknowledges and agrees that the Company’s remedy at law for a breach
      or threatened breach of any of the provisions of Paragraphs 7 and 8 of this
      Agreement would be inadequate. In recognition thereof, if the Consultant
      breaches or threatens to breach any provision of Paragraphs 7 and 8 of this
      Agreement, the Company shall be entitled to equitable relief in the form of
      specific performance, a temporary restraining order, a temporary or permanent
      injunction or any other equitable remedy which may then be available in addition
      to any of its remedies at law. Nothing herein shall prohibit the Company from
      pursuing any other right or remedy available to it for such breach or threatened
      breach.

     

    10.  Employment
      Agreement.
      The
      Consultant agrees to enter into, and the Company agrees to cause the Bank to
      enter into, an Employment Agreement having a term of not less than five years
      with the Consultant in form satisfactory to the Consultant and the Bank in
      their
      reasonable discretion, subject to the approval of such form by the Bank’s
      primary regulators and modifications to such form as may be required by the
      regulators, which Employment Agreement shall be effective as of the date on
      which the Office of the Comptroller of the Currency or the State of Michigan
      issues the Certificate of Authority to the Bank and the Federal Deposit
      Insurance Corporation issues approval for Insurance of Accounts.

     

    11.  Assignment.
      This
      Agreement is a personal one, being entered into in reliance upon and in
      consideration of the personal skill and qualifications of Consultant. Consultant
      shall therefore not voluntarily or by operation of law assign or otherwise
      transfer the obligations incurred on its part pursuant to the terms of this
      Agreement without the prior written consent of Company. Any attempted assignment
      or transfer by Consultant of its obligations without such consent shall be
      wholly void.

     

    
      
        
        

      

      
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    12.  Modification
      of Agreement:
      This
      Agreement may be modified by the parties hereto only by a written supplemental
      agreement executed by both parties.

     

    13.  Notice.
      Any
      notice required or permitted to be given hereunder shall be sufficient if in
      writing, and if sent by any nationally recognized courier service providing
      for
      receipt of delivery, registered or certified mail, postage prepaid, or by fax
      followed by such mail, addressed as follows:

     

    If
      to
      Company:

    

    De
      Novo Holdings, Inc.   

    28630
      Southfield Road, Suite 230

    Lathrup
      Village, MI 48076   

    Attention:
      Jitendra B. Patel

    Chairman,
      Personnel Committee

    

    If
      to
      Consultant:

     

    Satish
      B.
      Jasti

    2995
      Saddlewood Road

    West
      Bloomfield, Michigan 48324

    

    Or
      to
      such other address as the parties hereto may specify, in writing, from time
      to
      time.

     

    14.  Mediation
      and Arbitration.
      The
      parties agree to mediate, in good faith, any claim arising hereunder and to
      refrain from pursuing arbitration hereunder until the parties have met with
      a
      mediator. The parties agree to select and mediate any claim or controversy
      within sixty (60) days of the date the claim or controversy accrues or
      first arises. The mediator shall be selected by the Company with the
      Consultant’s consent, which may not be unreasonably withheld. The mediator shall
      be licensed to practice law in the State of Michigan and be experienced in
      the
      arbitration of labor and employment disputes.

     

    The
      parties acknowledge and agree that any claim or controversy arising out of
      or
      relating to this Agreement, or the breach of this Agreement, or any other
      dispute arising out of or relating to the consulting relationship, shall be
      settled by final and binding arbitration in the City of Detroit, State of
      Michigan, in accordance with the Commercial Arbitration Rules of the American
      Arbitration Association in effect on the date the claim or controversy arises.
      The parties further acknowledge and agree that either party must request
      arbitration of any claim or controversy within one hundred twenty (120)
      days of the date the claim or controversy accrues or first arises by giving
      written notice of the party’s request for arbitration by certified U.S. mail or
      personal delivery. Notice shall be effective upon delivery or mailing. Failure
      to give notice of any claim or controversy within one hundred twenty (120)
      days shall constitute a waiver of the claim or controversy.

     

    All
      claims or controversies subject to arbitration shall be submitted to arbitration
      within one hundred eighty (180) days from the date the written notice of a
      request for arbitration is effective. All claims or controversies shall be
      resolved by a panel of three (3) arbitrators who are licensed to practice
      law in the State of Michigan and who are experienced in the arbitration of
      labor
      and employment disputes. These arbitrators shall be selected in accordance
      with
      the Commercial Arbitration Rules of the American Arbitration Association in
      effect at the time the claim or controversy arises. Either party may request
      that the arbitration proceeding be stenographically or otherwise recorded by
      a
      Certified Shorthand Reporter. The arbitrators shall issue a written decision
      with respect to all claims or controversies within thirty (30) days from
      the date the claims or controversies are submitted to arbitration. The parties
      shall be entitled to be represented by legal counsel at any arbitration
      proceeding. The parties acknowledge and agree that each party will bear fifty
      percent (50%) of the cost of the arbitration proceeding. The parties shall
      be responsible for paying their own attorneys’ fees and other costs, if
      any.

     

    
      
        
        

      

      
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    The
      parties acknowledge and agree that the arbitration provisions set forth herein
      may be specifically enforced by either party, and submission to arbitration
      proceedings compelled, by any court of competent jurisdiction. The parties
      further acknowledge and agree that the decision of the arbitrators may be
      specifically enforced by either party in any court of competent
      jurisdiction.

     

    15.  Waiver
      of Breach.
      The
      waiver by either party of any breach of any provision of this Agreement shall
      not operate or be construed as a waiver of any subsequent breach.

     

    16.  Entire
      Agreement.
      This
      Agreement contains the entire agreement of the parties relating to the subject
      matter of this Agreement, and supersedes any prior written or oral arrangements
      with respect to the Consultant’s engagement by the Company.

     

    17.  Successors,
      Binding Agreement.
      Subject
      to the restrictions on assignment contained herein, this Agreement shall inure
      to the benefit (including all rights to receive compensation earned hereunder
      prior to death or disability) of and be enforceable by the Consultant’s personal
      or legal representatives, executors, administrators, heirs, distributees,
      devisees, and legatees.

     

    18.  Validity.
      The
      invalidity or unenforceability of any provision of this Agreement shall not
      affect the validity or enforceability of any other provision of this Agreement,
      which shall remain in full force and effect.

     

    19.  Applicable
      Law.
      This
      Agreement shall be governed by and construed in accordance with the domestic
      laws of the State of Michigan.

     

    20.  Headings.
      The
      headings of the paragraphs of this Agreement are for convenience only and shall
      not control or affect the meaning or construction or limit the scope or intent
      of any of the provisions of this Agreement.

     

    IN
      WITNESS WHEREOF, the parties hereto have executed
      this Agreement as of the date first set forth above.

     

    
      
        
        

      

      
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	 	CONSULTANT
	 
 	 
 	 
 
	 	 	/s/ Satish
              Jasti
	 	
              
Satish
              B. Jasti
	 	 

      	 	 	 
	 	De
              Novo
              Holdings, Inc.
	 
 	 
 	 
 
	 	By:  	Jitendra
              Patel     
	 	
              
Jitendra
              B. Patel, Chairman Personnel
              Committee

      	 	 	 
	 
 	 
 	 
 
	 	By:  	Sreenivas
              Cherukuri    
	 	
              

              Sreenivas
                Cherukuri, Co-Manager

            
	 	 

    

    
      
        
        

      

      
        6FORM
      OF PRE-OPENING FUNDS AGREEMENT

     

    This
      Pre-Opening Funds Agreement
      (“Agreement”) is entered into as of the ____ day of October, 2004 by and among
      De Novo Holdings, Inc., a corporation organized under the laws of the State
      of
      Michigan (“Company”), and each of the undersigned individuals (each, an
“Organizer”).

     

    RECITALS

     

    WHEREAS,
      the
      Organizers have the mutual intention and objective to organize a commercial
      bank
      (the “Proposed Bank”) and have established the Company to pay the Proposed
      Bank’s organizational expenses; and 

     

    WHEREAS,
      the
      Organizers desire to take such steps and actions as may be necessary in the
      furtherance of their mutual intentions and objectives, including, but not
      limited to, the filing of regulatory applications (the “Applications”) with the
      Federal Reserve, the Federal Deposit Insurance Corporation (“FDIC”), the Office
      of the Comptroller of the Currency (“OCC”) and/or the Michigan Office of
      Financial & Insurance Services (“Office”), as applicable (the “Regulators”);
      and 

     

    WHEREAS,
      the
      Organizers further desire by this Agreement to provide for the solicitation
      of
      funds to cover the organizational (pre-incorporation and pre-opening) expenses
      of the Company and the Proposed Bank among the Organizers, to be expended for
      the purpose of paying expenses to be incurred in order to determine the
      feasibility of the Proposed Bank and to prepare the Applications and to organize
      the Proposed Bank.

     

    NOW,
      THEREFORE,
      in
      consideration of the foregoing and the promises, covenants and conditions
      hereinafter set forth, and the contribution of money provided for herein, the
      Organizers hereto agree as follows:

     

    1.  Payments
      of Funds for Pre-Opening Expenses. Each
      Organizer, by execution of a counterpart hereof, hereby agrees to contribute
      funds in the amount of $30,000 (“Pre-Opening Funds”) for the purpose of funding
      organizational expenses of the Company and the Proposed Bank. A payment of
      $10,000 shall be made by such Organizer concurrently with the execution of
      this
      Agreement, and two (2) additional payments of $10,000 each shall be made within
      five (5) business days after notice from the Co-Managers (as defined below)
      that
      the next payment is due. Pre-Opening Funds paid by check shall be made payable
      to “De
      Novo Holdings, Inc.”
      

     

    The
      Organizers anticipate the Co-Managers will present a budget for the pre-opening
      expenses of the Company and the Proposed Bank. It is currently anticipated
      that
      these expenses will be covered by the cash advances provided for in this Section
      1 and by a line of credit provided to the Company by a financial institution
      upon the receipt of preliminary regulatory approvals to organize the Proposed
      Bank. If required by the issuing financial institution in order to issue the
      pre-opening line of credit, each Organizer further agrees to provide a limited
      guarantee with respect to any advances made under such line of credit; provided,
      however, that the Organizer shall not be required to provide a limited guarantee
      for any amount in excess of 130% of his pro rata share of any advances made
      under such line of credit.

     

    
      
        
        

      

      
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    2.  Account,
      Co-Managers, and Terms Under Which Pre-Opening Funds Shall Be
      Held.
      All Pre-Opening Funds shall be deposited in a deposit account (the “Account”)
      established in the name of the Company at a federally-insured depository
      institution domiciled or authorized to do business in Michigan and selected
      by
      the Co-Managers (as defined below). No other funds shall be deposited in the
      Account. The Co-Managers or the Organizers (including the Co-Managers), acting
      by a vote of at least two-thirds of their number, may transfer the Account
      to
      another banking organization domiciled or authorized to do business in
      Michigan.

     

    Unless
      and until changed by the vote of two-thirds of the Organizers, Sree Jasti and
      Sreenivas Cherukuri are hereby appointed to serve as Co-Managers of the Account
      (the “Co-Managers”), and are authorized to receive, deposit and disburse all
      funds to be collected or paid pursuant to the terms of this
      Agreement.

     

    3.  Terms
      Under Which Pre-Opening Funds Shall Be Disbursed.
      Disbursements from the Account may be made only upon the order and signature
      of
      both Co-Managers, and only for purpose of paying organizational expenses of
      the
      Company or the Proposed Bank, including but not limited to (i) marketing and
      banking consulting fees, (ii) economic study fees, (iii) pre-opening consulting
      fees to be paid to one or more proposed officers of the Company or the Proposed
      Bank, and others (all as approved by a majority of the Organizers), (iv)
      accounting and legal fees, (v) application fees and expenses, and (vi) rent,
      lease and/or option payments and security deposits; provided, however, that
      no
      disbursement in excess of $1,000 (except reimbursement of out-of-pocket
      expenses) shall be made to any Organizer unless and until such payment or
      payments have been approved in advance by at least a majority of the Organizers
      who are then parties to this Agreement or unless such payment is subject to
      another agreement with the Company.

     

    4.  Additional
      Organizers.
      Upon the approval of the Co-Managers, or a majority of the first five
      Organizers, additional Organizers may be added from time to time, provided
      that
      such additional Organizers ratify and agree to be bound by and comply with
      the
      provisions, terms and conditions of this Agreement. Each additional Organizer
      shall immediately contribute funds in the same amount as has been contributed
      by
      each of the other Organizers as of such date.

     

    5.  Records.
      The Co-Managers shall keep and maintain records containing:

     

    (a)  With
      respect to each deposit to the Account:

     

    (i)
         date
      of
      deposit,

    (ii)
        amount
      deposited, and

    (iii)  name
      of
      person from whom such money was accepted.

     

    (b)  With
      respect to each withdrawal from the Account:

     

    (i)
        date
      of
      withdrawal,

    (ii)  amount
      of
      money withdrawn,

    
      
        
        

      

      
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    (iii)    
       name
      of
      person or entity to whom such money was paid,

    (iv)   
       description
      of purpose of such payment, and

    (v)  any
      invoice or billing relating to such payment.

     

    (c)  The
      Co-Managers or, upon opening, the Proposed Bank, shall preserve the records
      described above for a period of not less than four (4) years after such Account
      is closed.

     

    (d)  The
      Co-Managers shall, upon request, make the records described above available
      for
      inspection and copying by (i) the Regulators, (ii) any proposed director,
      officer, or organizer of the Company or the Proposed Bank, (iii) any person
      from
      whom Pre-Opening Funds have been accepted, (iv) the Company, or (v) the Proposed
      Bank, if and when organized.

     

    6.  Reports.
      

     

    (a)  On
      or
      before the 21st
      day of
      each calendar quarter, commencing with the calendar quarter after Pre-Opening
      Funds are first accepted and continuing until the Account is closed in
      accordance with this Agreement, the Co-Managers will provide to each person
      from
      whom Pre-Opening Funds have been accepted a report stating, with respect to
      the
      last calendar quarter:

     

    
      	1.  	
              Opening
                balance of the Account.

            

    

     

    
      	2.  	
              Total
                amount deposited in the Account during the calendar
                quarter.

            

    

     

    
      	3.  	
              Itemized
                schedule of deposits showing, with respect to each deposit, date
                of
                deposit, amount of money deposited, name of person from whom such
                money
                was accepted and aggregate total
                amount.

            

    

     

    
      	4.  	
              Total
                amount disbursed from the Account during the calendar
                quarter.

            

    

     

    
      	5.  	
              An
                itemized schedule of disbursements showing, with respect to each
                person to
                whom the amount disbursed, together with amounts previously disbursed
                to
                each person, is $500 or more: name of person, amount disbursed to
                the
                person, description of purpose of such disbursement, and the aggregate
                total amount disbursed to date to the
                person.

            

    

     

    
      	6.  	
              Closing
                balance of Account.

            

    

     

    7.  Circumstances
      Under Which Pre-Opening Funds Shall Be Repaid.

     

    (a)  The
      Organizers understand and agree that the Pre-Opening Funds advanced by the
      Organizers shall be reimbursed to the Organizers if, and only if, the
      Proposed Bank becomes duly organized when the Proposed Bank is issued a charter
      to transact a commercial banking business by the OCC or the Office, as
      applicable, the Proposed Bank receives approval from the FDIC of its application
      for deposit insurance and all subscription funds held in escrow for Proposed
      Bank stock have been released.

     

    
      
        
        

      

      
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    (b)  The
      Co-Managers shall cause the Company, after making all disbursements authorized
      under the terms of this Agreement, to pay any and all balances in the Account,
      on a pro rata basis, to the Organizers upon the occurrence of any of the
      following events: 

     

    (i)  an
      application for authority to organize the Proposed Bank is not filed with the
      OCC or the Office within six (6) months after Pre-Opening Funds are first
      accepted by the Co-Managers, or

     

    (ii)  an
      application for authority to organize the Proposed Bank filed with the OCC
      or
      the Office within such time is denied by the OCC or the Office and a
      reapplication for authority to organize the Proposed Bank is not filed with
      the
      OCC or the Office within 90 days after such denial.

     

    (c)  Each
      Organizer acknowledges and agrees that the return of any Pre-Opening Funds
      following the removal of an Organizer shall be governed by the provisions of
      Section 12.

     

    (d)  Each
      Organizer acknowledges and agrees that there is no assurance that any of the
      conditions described in this Section will be met and that if the conditions
      described above do not occur, such Organizer shall not be entitled to
      reimbursement of any of the Pre-Opening Funds, except as expressly provided
      herein. Such Organizer further waives any and all claims against any other
      Organizers hereto, the Company, the Proposed Bank and their respective officers,
      directors, shareholders, attorneys, agents and representatives for reimbursement
      of his or her share of Pre-Opening Funds as a result of the failure to occur
      of
      any of the conditions described above.

     

    8.  Application;
      Services.
      The Co-Managers are hereby authorized and directed to execute and deliver
      written agreements with attorneys, accountants, economists and
      banking/fundraising consultants, relating to the various applications to be
      filed with the Regulators in connection with the organization of the Proposed
      Bank, and for related services related to the organization or the Company or
      the
      Proposed Bank. The Co-Managers are hereby authorized and directed to pay, to
      the
      extent of funds made available by the Organizers as described herein, all
      amounts agreed to in said agreements for all such services
      rendered.

     

    9.  General
      Corporate Matters.
      

     

    (a)  Initial
      Board of Directors.
      It is
      anticipated that the number of directors of the Company shall be increased
      prior
      to filing the Applications and that the vacancies shall be filled by Organizers.
      The board of directors reserves the right, however, to fill any vacancies
      created by an increase in the number of directors with persons who are not
      Organizers if the board determines that the addition of such person(s) to the
      board of directors of the Company would enhance the ability of the Proposed
      Bank
      to receive regulatory approval or to operate following regulatory approval.
      The
      board of directors of the Company shall also be empowered to identify the
      individuals to serve as the proposed board of directors of the Proposed Bank.
      It
      is expected that each Organizer shall serve as a director, advisory director
      or
      a member of an organizers’ advisory committee of the Proposed Bank unless the
      board of directors of the Company determines that such service would impair
      the
      ability of the Proposed Bank to receive all required regulatory
      approvals.

     

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

     

    (b)  Organizer
      Warrants.
      The
      Organizers will receive warrants to purchase shares of stock at the initial
      offering price. These warrants would be issued when the Proposed Bank opens
      for
      business and, to the extent permitted by the Regulators, would be exercisable
      upon issuance and would expire ten years following the date that the Proposed
      Bank opens for business. It is anticipated that each Organizer would receive
      a
      minimum of one warrant for every $10.00 dollars advanced to the Company by
      the
      Organizer or guaranteed by the Organizer for the benefit of the Company. The
      board of directors of the Company shall be empowered to determine the amount
      of
      warrants to be issued within the prescribed range, and may amend the range
      upon
      a determination that such range would impair the ability of the Proposed Bank
      to
      receive all required regulatory approvals or is otherwise not in the best
      interests of the Proposed Bank. 

     

    (c)  Shareholder
      Warrants.
      The
      initial shareholders of the Proposed Bank will receive warrants to purchase
      shares of stock at an exercise price of $12.50 per share. These warrants would
      be issued when the Proposed Bank opens for business and, to the extent permitted
      by the Regulators, would be exercisable upon issuance and would expire three
      years following the date that the Proposed Bank opens for business. It is
      anticipated that each initial shareholder would receive a minimum of one warrant
      for every five shares purchased in the initial offering of stock.
      Notwithstanding the foregoing, the board of directors of the Company shall
      be
      empowered to vary the amount and terms of the initial shareholder warrants
      upon
      a determination that such terms would impair the ability of the Proposed Bank
      to
      receive all required regulatory approvals or is otherwise not in the best
      interests of the Proposed Bank.

     

    (d)  Stock
      Options.
      The
      board of directors believes that it is in the best interests of the Proposed
      Bank to promote shareholder value by aligning the financial interests of
      executive officers and employees providing services to the Proposed Bank with
      long-term shareholder value. Accordingly, it is anticipated that a certain
      number of shares of stock will be reserved for issuance under a stock incentive
      plan, which would provide, among other things, for the issuance of employee
      stock options. It is anticipated that between 20% and 25% of the shares of
      stock
      issued in the initial public offering would be reserved for issuance of these
      stock-based incentives. However, the board of directors of the Proposed Bank
      reserves the right to revise this amount as it determines necessary to attract
      and retain qualified employees to fill positions of substantial responsibility,
      either current or prospective.

     

    10.  Indemnification
      of Co-Managers.
      The Organizers hereto agree to indemnify and hold the Co-Managers harmless
      from
      any liability, obligation, claims or costs (including attorneys, accountants,
      paralegal fees and expenses) incurred by them in their capacities as such or
      in
      the course of their performance of their duties as such, except liabilities
      or
      obligations arising from or out of willful misconduct or gross negligence.
      This
      indemnification obligation shall terminate upon the termination of this
      Agreement. In no event shall any Organizer bring suit or otherwise bring a
      cause
      of action or claim against any other Organizer except in the case of gross
      negligence, willful misconduct or failure to make the payments or guarantees
      required by Section 1 of this Agreement.

     

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

     

    11.  Voluntary
      Withdrawal.  An
      Organizer may withdraw as an organizer of the Company or the Proposed Bank
      by
      giving written notice to the Co-Managers. Notwithstanding the foregoing, the
      withdrawal of an Organizer shall not affect in any manner any obligation
      incurred by the Organizer pursuant to this Agreement or any other agreement
      entered into by the Organizer. Following such voluntary withdrawal, the
      Organizer shall be entitled to the return of his Pre-Opening Funds only upon
      the
      terms and conditions provided in Section 7(a)
      or
      Section 7(b),
      as
      applicable, in the same manner as the remaining Organizers.

     

    12.  Removal
      of Organizers.
      An Organizer may be removed with or without cause upon the vote of two-thirds
      of
      the then-active Organizers. Upon such removal, the Organizer shall be entitled
      to the return of his Pre-Opening Funds only upon the terms and conditions
      provided in Section 7(a)
      or
      Section 7(b),
      as
      applicable, in the same manner as the remaining Organizers, unless the Organizer
      so removed notifies the Co-Managers in writing that he has elected to receive
      his pro rata share of the remaining Pre-Opening Funds to be determined as of
      the
      end of the calendar month in which the Organizer provides such notice, after
      making adjustment to provide for expenses accrued, but not yet paid, from the
      Account. Upon such election and the receipt of his pro rata share of the
      remaining Pre-Opening Funds, as described above, the Organizer so removed shall
      have no further claim for the return of any additional Pre-Opening Funds
      pursuant to Section 7(a)
      or
      Section 7(b)
      or
      otherwise. 

     

    13.  Other
      Agreements.
      Notwithstanding anything contained herein to the contrary, no party hereto
      shall
      be authorized in any manner or form to perform any act or to render any
      communication or information with regard to the organization of the Company
      or
      the Proposed Bank that is contrary to applicable federal and applicable state
      law, including the rules, regulations and policies of the Federal Reserve,
      OCC,
      Office and FDIC. In addition, each Organizer acknowledges the
      following:

     

    (a)  that
      the
      Proposed Bank is not being organized for the sole purpose of immediately selling
      to or merging or consolidating with any other financial
      institution;

     

    (b)  that
      such
      Organizer may not indicate, either orally or in writing, that he or she is
      an
      officer or director of the Proposed Bank or that the Proposed Bank is in
      existence prior to receiving the consent of the Regulators, if required at
      such
      time;

     

    (c)  that
      the
      Proposed Bank, upon organization, will not refinance, either directly or
      indirectly, any loan, advance, or credit extension made to any prospective
      shareholder by any existing financial institution or other lender, if such
      loan,
      advance, or credit extension was originally made to the prospective shareholder
      to obtain funds to purchase stock;

     

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

     

    (d)  that
      all
      subscription funds for capital stock will be held in escrow subject to the
      order
      of the applicable Regulators and that these funds will be released only after
      all conditions precedent to the commencement of operations at the Proposed
      Bank
      have been satisfied;

     

    (e)  unless
      the Co-Managers or a majority of the Organizers decide otherwise, each Organizer
      shall purchase shares of Proposed Bank stock having an aggregate purchase price
      at least equal to $75,000, such amount to be obtained from such Organizer by
      the
      Co-Managers or any consultant retained by the Company; and

     

    (f)  that
      no
      representations have been made by the Co-Managers, any of the Organizers, any
      of
      the other signatories hereto or attorneys, accountants or any other service
      providers to the Company or the Proposed Bank guaranteeing or representing
      that:
      (a) a charter for the Proposed Bank will be issued and approved by the
      Regulators; (b) approval of the Proposed Bank by the Regulators will occur
      on or
      before any specified date or approximate date, or that such approval will be
      received at all; (c) such Organizer will be approved by the Regulators as an
      organizing director of the Proposed Bank; (d) the Proposed Bank will be able
      to
      successfully sell any amount of its initial capital stock; (e) such Organizer
      will be approved by the Regulators to purchase any specific number of shares
      of
      the capital stock of the Proposed Bank; (f) the Regulators will approve any
      specific stock options or other benefit for such Organizer(s); (g) the Proposed
      Bank will be located in any specific location or city; or (h) the Proposed
      Bank
      will open for business on or before any specific date or approximate
      date.

     

    14.  Borrowings/Guarantees. The
      parties understand and agree that it may be necessary for the Company to borrow
      funds or otherwise secure lines of credit for the purpose of obtaining funds
      to
      pay pre-incorporation and pre-opening expenses of the Proposed Bank and that
      lenders may require such financing arrangements to be evidenced by one or more
      notes co-signed or guaranteed by each of the undersigned. Except as otherwise
      provided in Section 1, an agreement to borrow funds in a manner that requires
      a
      guarantee by any Organizer, shall require the unanimous written approval of
      all
      the Organizers who undertake such guarantee. All funds obtained pursuant to
      this
      Section 14
      shall be
      maintained and disbursed by the Co-Managers
      in conformity with the duties set forth in this Agreement.

     

    15.  Termination.
      The Agreement shall terminate upon the occurrence of any of the following
      events:

     

    (a)  by
      mutual
      written consent of a majority of the Organizers who are bound by the terms
      hereof; or

     

    (b)  following
      an event described in Section 7(a)
      or
7(b)
      upon the
      reimbursement of funds due to Organizers or upon a determination by the
      Co-Managers that no reimbursement shall be due.

     

    16.  Miscellaneous.

     

    (a)  Notices.
      Any
      notice required by this Agreement shall be given by telephone and confirmed
      by
      facsimile, express or certified mail to the parties at the addresses heretofore
      furnished by each party hereto or such other address as a party may later
      specify. With respect to notice confirmed by facsimile, notice shall be deemed
      duly given when facsimile confirmation is received. With respect to notice
      confirmed by express or certified mail, notice shall be deemed duly given upon
      the earlier of actual receipt of such confirmation by mail or three (3) business
      days after deposit in the United States mail, postage prepaid.

     

    
      
        
        

      

      
        7

        
          

        

      

      
        
        

      

    

     

    (b)  Complete
      Agreement.
      This
      Agreement contains the entire understanding of the parties and supersedes all
      existing agreements and all other oral, written or other communications between
      the parties concerning its subject matter. There are no agreements, arrangements
      or undertakings, oral or written, between or among the parties hereto relating
      to the subject matter of this Agreement that are not fully expressed
      herein.

     

    (c)  Governing
      Law.
      This
      Agreement shall be governed by the laws of Michigan without regard to principles
      of conflicts of laws. Any dispute or controversy arising under, out of or in
      connection with this Agreement, shall be determined and settled by arbitration
      in Michigan in accordance with the rules of the American Arbitration
      Association. Any decision rendered thereby shall be non-appealable, final and
      binding on the parties and judgment may be entered thereon.

     

    (d)  Assignment.
      This
      Agreement is personal to the parties hereto and may not be assigned, except
      with
      respect to the Company to a successor corporate entity, including the Proposed
      Bank, once established.

     

    (e)  Amendment.
      This
      Agreement may be amended only by a writing signed by a majority of the
      Organizers; provided however, that any action under this Agreement requiring
      the
      approval or consent of more than a majority may be amended only by a writing
      signed by at least the same number of Organizers as would be required to take
      such action under the Agreement.

     

    (f)  Waiver.
      Failure
      to insist upon strict compliance with any of the terms, covenants or conditions
      hereof shall not be deemed a waiver of such term, covenant, or condition. A
      waiver of any provision of this Agreement must be made in writing, designated
      as
      a waiver, and signed by the party against who its enforcement is sought. Any
      waiver or relinquishment of such right or power at any one or more times shall
      not be deemed a waiver or relinquishment of such right or power at any other
      time or times.

     

    (g)  Illegality,
      Severability.
      If any
      provisions of this Agreement (or any portion thereof) shall be held to be
      invalid, illegal or unenforceable, the validity, legality or enforceability
      of
      the remainder of this Agreement shall not in any way be affected or impaired
      thereby. 

     

    (h)  Counterparts.
      This
      Agreement may be executed in any number of counterparts and each of such
      counterparts shall be deemed an original, and all such counterparts shall
      together constitute but one and the same instrument. 

     

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

    

     

    (i)  Headings.
      The
      headings of sections in this Agreement are for convenience of reference only
      and
      are not intended to qualify the meaning of any of the language in this
      Agreement.

     

    (j)  Relationship
      of the Organizers.
      This
      Agreement shall not be deemed to create a partnership or joint venture among
      the
      Organizers or among the Company and the Organizers. Except with respect to
      the
      authorized acts of the Co-Managers, as expressly described in this Agreement,
      no
      Organizer shall be authorized or have the right to bind or obligate any other
      Organizer to any debt, obligation or liability with any third party without
      the
      prior written consent of all of the other Organizers.

     

    [Remainder
      of Page Intentionally Left Blank]

     

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

    

    IN
      WITNESS WHEREOF,
      the
      undersigned parties have executed this Agreement and agree to be bound by the
      terms hereof.

     

    
      	 	 	 
	 	DE
              NOVO
              HOLDINGS, INC.
	 
 	 
 	 
 
	 	By:  	 
	 	
               

              Name:  

            	
              
Sree
              Lakshmi Jasti   
	 	Title: 	Co-Manager 
	 	
            
	 	 

    

    
      	 	 	 
	 	ORGANIZERS
	 
 	 
 	 
 
	 	  	 
	 	 	
              
  
	 	Name: 	Sree Lakshmi Jasti 
	 	 	 
	 	 	 
	 	 	 
	 	
               

              Name: 

            	
              
Amarnath
              Gowda     
	 	 	 
	 	 	 
	 	 	 
	
            	
               

              Name: 

            	
              
Jitendra
              B. Patel    
	 	 	 
	 	 	 
	 	 	 
	 	
               

              Name: 

            	
              
A.
              Bala Setty    
	 	 	 
	 	 	 
	 	 	 
	 	
               

              Name:

            	
              
                

              

               Sarada Gullapalli

            
	 	 	 

    

     

    
      
        
        

      

      
        10

        
          

        

      

      
        
        

      

    

    
      	 	 	 
	 	
               

              Name:

            	
              
 Lynn
              Jerath    
	 	 	 
	 
 	 
 	
 
	 	 	
              

            
	 	
               

              Name: 

            	
              Sreenivas
                Cherukuri

              
                
 

            
	 	 	 
	 	 	
              
 
	 	
               

              Name:

            	
              
                Mayur
                  Joshi
                  
 

              

            
	 	 	 
	 	 	
              
 
	 	
               

              Name: 

            	
              
                Nati
                  Patel
                  
 

              

            
	 	 	 
	 	 	
              
 
	 	
               

              Name: 

            	
              Jay
                Shah

              
                
 

            
	 	 	 
	 	 	
              
 
	 	
               

              Name: 

            	
              Vasuder
                Garlapaty

              
                
 

            
	 	 	 
	 	 	
              
 
	 	
               

              Name: 

            	
              Murali
                Guthikmda

              
                
 

            
	 	 	 
	 	 	
              
 
	 	
               

              Name:

            	
              
                Shubha
                  Kilachalam

                
 

            
	 	 	 
	 	 	
              
  
	 	
               

              Name: 

            	
              
                Curt
                  Shaneour

                
 

            

    

    
      
        
        

      

      
        11

        
          

        

      

      
        
        

      

    

     

    
      
        	 	 	
                
 
	 	
                 

                Name:

              	
                
                  Vinaya
                    Gavini

                  
 

              
	 	 	 
	 	 	
                
 
	 	
                 

                Name:

              	
                
                  V.
                    S. Lingham

                  
 

              
	 	 	 
	 	 	
                
 
	 	
                 

                Name: 

              	
                
                  Haranath
                    Poricherla

                  
 

              

      

      	 	 	
              
 
	 	
               

              Name:

            	
              
                Venkat
                  Talisila

                
 

            
	 	 	 
	 	 	
              
 
	 	
               

              Name:

            	
              
                Jai
                  Pandya

                
 

            
	 	 	 
	 	 	
              
 
	 	
               

              Name: 

            	
              
                Satish
                  Jasti

                
 

            

      
        
          
          

        

        
          12

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