Document:

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                                                                  EXHIBIT 10.14

                          REGISTRATION RIGHTS AGREEMENT
                          -----------------------------

         This Registration Rights Agreement (the "Agreement") is made and
entered into as of this 23 day of July, 2004 by and among VisiJet, Inc., a
Delaware corporation (the "Company"), and the "Investors" named in that certain
Securities Purchase Agreement by and among the Company and the Investors (the
"Purchase Agreement").

         The parties hereby agree as follows:

         1. CERTAIN DEFINITIONS.

         As used in this Agreement, the following terms shall have the following
meanings:

         "AFFILIATE" means, with respect to any person, any other person which
directly or indirectly controls, is controlled by, or is under common control
with, such person.

         "BUSINESS DAY" means a day, other than a Saturday or Sunday, on which
banks in New York City are open for the general transaction of business.

         "COMMON STOCK" shall mean the Company's common stock, par value $0.001
per share, and any securities into which such shares may hereinafter be
reclassified.

         "CONVERSION SHARES" means the shares of Common Stock issuable upon the
conversion of the Notes.

         "INVESTORS" shall mean the Investors identified in the Purchase
Agreement and any Affiliate or permitted transferee of any Investor who is a
subsequent holder of any Notes, Warrants or Registrable Securities.

         "NOTES" means, the Company's convertible notes issued to the Investors
pursuant to the Purchase Agreement, the form of which is attached to the
Purchase Agreement as Exhibit A.

         "PAYMENT SHARES" means shares of Common Stock issued as payment
pursuant to Section 3 of the Note.

         "PROSPECTUS" shall mean the prospectus included in any Registration
Statement, as amended or supplemented by any prospectus supplement, with respect
to the terms of the offering of any portion of the Registrable Securities
covered by such Registration Statement and by all other amendments and
supplements to the prospectus, including post-effective amendments and all
material incorporated by reference in such prospectus.

         "REGISTER," "REGISTERED" and "REGISTRATION" refer to a registration
made by preparing and filing a Registration Statement or similar document in
compliance with the 1933 Act (as defined below), and the declaration or ordering
of effectiveness of such Registration Statement or document.

         "REGISTRABLE SECURITIES" shall mean (i) the Conversion Shares, (ii) the
Payment Shares, (iii) the Warrant Shares and (iv) any other securities issued or
issuable with respect to or in exchange for Registrable Securities; provided,
that, a security shall cease to be a Registrable Security upon (A) sale pursuant
to a Registration Statement or Rule 144 under the 1933 Act, or (B) such security
becoming eligible for sale by the Investors pursuant to Rule 144(k).

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        "REGISTRATION STATEMENT" shall mean any registration statement of the
Company filed under the 1933 Act that covers the resale of any of the
Registrable Securities pursuant to the provisions of this Agreement, amendments
and supplements to such Registration Statement, including post-effective
amendments, all exhibits and all material incorporated by referrence in such
Registration Statement.

         "REQUIRED INVESTORS" means the Investors holding a majority of the
Registrable Securities.

         "SEC" means the U.S. Securities and Exchange Commission.

         "1933 ACT" means the Securities Act of 1933, as amended, and the rules
and regulations promulgated thereunder.

         "1934 ACT" means the Securities Exchange Act of 1934, as amended, and
the rules and regulations promulgated thereunder.

         "WARRANTS" means, the warrants to purchase shares of Common Stock
issued to the Investors pursuant to the Purchase Agreement, the form of which is
attached to the Purchase Agreement as Exhibit B.

         "WARRANT SHARES" means the shares of Common Stock issuable upon the
exercise of the Warrants.

         2. REGISTRATION.

                  (a) REGISTRATION STATEMENTS.

                  (i) Promptly following the closing of the purchase and sale of
the securities contemplated by the Purchase Agreement (the "Closing Date") but
no later than thirty (30) days after the Closing Date (the "Filing Deadline"),
the Company shall prepare and file with the SEC one Registration Statement on
Form SB-2 (or, if Form SB-2 is not then available to the Company, on such form
of registration statement as is then available to effect a registration for
resale of the Registrable Securities, subject to the Required Investors'
consent), covering the resale of the Registrable Securities in an amount at
least equal to the sum of (A) the number of Conversion Shares into which the
Notes are convertible, (B) the number of Warrant Shares for which the Warrants
are exercisable and (C) the number of shares of Common Stock the Company
reasonably believes it may issue as Payment Shares. Such Registration Statement
shall include the plan of distribution attached hereto as EXHIBIT A. Such
Registration Statement also shall cover, to the extent allowable under the 1933
Act and the rules promulgated thereunder (including Rule 416), such
indeterminate number of additional shares of Common Stock resulting from stock
splits, stock dividends or similar transactions with respect to the Registrable
Securities. The Company shall use its reasonable best efforts to obtain from
each person who now has piggyback registration rights a waiver of those rights
with respect to the Registration Statement. The Registration Statement (and each
amendment or supplement thereto, and each request for acceleration of
effectiveness thereof) shall be provided in accordance with Section 3(c) to the
Investors and their counsel prior to its filing or other submission. If a
Registration Statement covering the Registrable Securities is not filed with the
SEC on or prior to the Filing Deadline, the Company will make pro rata payments
to each Investor, as liquidated damages and

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not as a penalty, in an amount equal to 1.5% of the aggregate amount invested by
such Investor for each 30-day period or pro rata for any portion thereof
following the date by which such Registration Statement should have been filed
for which no Registration Statement is filed with respect to the Registrable
Securities. Such payments shall be in partial compensation to the Investors, and
shall not constitute the Investors' exclusive remedy for such events. Such
payments shall be made to each Investor in cash.

                  (ii) ADDITIONAL REGISTRABLE SECURITIES. Upon the written
demand of any Investor, upon any change in the Conversion Price (as defined in
the Notes) such that additional shares of Common Stock become issuable upon the
conversion of the Notes, upon any change in the Exercise Price (as defined in
the Warrants) such that additional shares of Common Stock become issuable upon
the exercise of the Warrants and upon any increase in the number of Payment
Shares to be issued under the Notes beyond those covered by the Registration
Statement, the Company shall prepare and file with the SEC one or more
Registration Statements on Form SB-2 or amend the Registration Statement filed
pursuant to clause (i) above, if such Registration Statement has not previously
been declared effective (or, if Form SB-2 is not then available to the Company,
on such form of registration statement as is then available to effect a
registration for resale of such additional shares of Common Stock (the
"Additional Shares"), subject to the Required Investors' consent) covering the
resale of the Additional Shares, but only to the extent the Additional Shares
are not at the time covered by an effective Registration Statement. Such
Registration Statement also shall cover, to the extent allowable under the 1933
Act and the rules promulgated thereunder (including Rule 416), such
indeterminate number of additional shares of Common Stock resulting from stock
splits, stock dividends or similar transactions with respect to the Additional
Shares. The Company shall use its reasonable best efforts to obtain from each
person who now has piggyback registration rights a waiver of those rights with
respect to such Registration Statement. The Registration Statement (and each
amendment or supplement thereto, and each request for acceleration of
effectiveness thereof) shall be provided in accordance with Section 3(c) to the
Investors and their counsel prior to its filing or other submission. If a
Registration Statement covering the Additional Shares is required to be filed
under this Section 2(a)(ii) and is not filed with the SEC within five Business
Days of the request of any Investor or upon the occurrence of any of the events
specified in this Section 2(a)(ii), the Company will make pro rata payments to
each Investor, as liquidated damages and not as a penalty, in an amount equal to
1.5% of the aggrega te amount invested by such Investor for each 30-day period
or pro rata for any portion thereof following the date by which such
Registration Statement should have been filed for which no Registration
Statement is filed with respect to the Additional Shares. Such payments shall be
in partial compensation to the Investors, and shall not constitute the
Investors' exclusive remedy for such events. Such payments shall be made to each
Investor in cash.

                  (b) EXPENSES. The Company will pay all expenses associated
with each registration, including filing and printing fees, the Company's
counsel and accounting fees and expenses, costs associated with clearing the
Registrable Securities for sale under applicable state securities laws, listing
fees, fees and expenses of one counsel to the Investors and the Investors'
reasonable expenses in connection with the registration, but excluding
discounts, commissions, fees of underwriters, selling brokers, dealer managers
or similar securities industry professionals with respect to the Registrable
Securities being sold.

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                  (c) Effectiveness.

                  (i) The Company shall use commercially reasonable efforts to
have the Registration Statement declared effective as soon as practicable. The
Company shall notify the Investors by facsimile or e-mail as promptly as
practicable, and in any event, within twenty-four (24) hours, after any
Registration Statement is declared effective and shall simultaneously provide
the Investors with copies of any related Prospectus to be used in connection
with the sale or other disposition of the securities covered thereby. If (A)(x)
a Registration Statement covering the Registrable Securities is not declared
effective by the SEC within ninety (90) days after the Closing Date, or (y) a
Registration Statement covering Additional Shares is not declared effective by
the SEC within ninety (90) days following the time such Registration Statement
was required to be filed pursuant to Section 2(a)(ii), or (B) after a
Registration Statement has been declared effective by the SEC, sales cannot be
made pursuant to such Registration Statement for any reason (including without
limitation by reason of a stop order, or the Company's failure to update the
Registration Statement), but excluding the inability of any Investor to sell the
Registrable Securities covered thereby due to market conditions and except as
excused pursuant to subparagraph (ii) below, then the Company will make pro rata
payments to each Investor, as liquidated damages and not as a penalty, in an
amount equal to 1.5% of the aggregate amount invested by such Investor for each
30- day period or pro rata for any portion thereof following the date by which
such Registration Statement should have been effective (the "Blackout Period").
Such payments shall be in partial compensation to the Investors, and shall not
constitute the Investors' exclusive remedy for such events. The amounts payable
as liquidated damages pursuant to this paragraph shall be paid monthly within
three (3) Business Days of the last day of each month following the commencement
of the Blackout Period until the termination of the Blackout Period. Such
payments shall be made to each Investor in cash.

                  (ii) For not more than twenty (20) consecutive days or for a
total of not more than forty-five (45) days in any twelve (12) month period, the
Company may delay the disclosure of material non-public information concerning
the Company, by suspending the use of any Prospectus included in any
registration contemplated by this Section containing such information, the
disclosure of which at the time is not, in the good faith opinion of the
Company, in the best interests of the Company (an "Allowed Delay"); provided,
that the Company shall promptly (a) notify the Investors in writing of the
existence of (but in no event, without the prior written consent of an Investor,
shall the Company disclose to such Investor any of the facts or circumstances
regarding) material non-public information giving rise to an Allowed Delay, (b)
advise the Investors in writing to cease all sales under the Registration
Statement until the end of the Allowed Delay and (c) use commercially reasonable
efforts to terminate an Allowed Delay as promptly as practicable.

         3. COMPANY OBLIGATIONS. The Company will use commercially reasonable
efforts to effect the registration of the Registrable Securities in accordance
with the terms hereof, and pursuant thereto the Company will, as expeditiously
as possible:

                  (a) use commercially reasonable efforts to ca use such
Registration Statement to become effective and to remain continuously effective
for a period that will terminate upon the earlier of (i) the date on which all
Registrable Securities covered by such Registration Statement as amended from
time to time, have been sold, and (ii) the date on which

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all Registrable Securities covered by such Registration Statement may be sold
pursuant to Rule 144(k) (the "Effectiveness Period") and advise the Investors in
writing when the Effectiveness Period has expired;

                  (b) prepare and file with the SEC such amendments and
post-effective amendments to the Registration Statement and the Prospectus as
may be necessary to keep the Registration Statement effective for the period
specified in Section 3(a) and to comply with the provisions of the 1933 Act and
the 1934 Act with respect to the distribution of all of the Registrable
Securities covered thereby;

                  (c) provide copies to and permit counsel designated by the
Investors to review each Registration Statement and all amendments and
supplements thereto no fewer than seven (7) days prior to their filing with the
SEC and not file any document to which such counsel reasonably objects;

                  (d) furnish to the Investors and their legal counsel (i)
promptly after the same is prepared and publicly distributed, filed with the
SEC, or received by the Company (but not later than two (2) Business Days after
the filing date, receipt date or sending date, as the case may be) one (1) copy
of any Registration Statement and any amendment thereto, each preliminary
prospectus and Prospectus and each amendment or supplement thereto, and each
letter written by or on behalf of the Company to the SEC or the staff of the
SEC, and each item of correspondence from the SEC or the staff of the SEC, in
each case relating to such Registration Statement (other than any portion of any
thereof which contains information for which the Company has sought confidential
treatment), and (ii) such number of copies of a Prospectus, including a
preliminary prospectus, and all amendments and supplements thereto and such
other documents as each Investor may reasonably request in order to facilitate
the disposition of the Registrable Securities owned by such Investor that are
covered by the related Registration Statement;

                  (e) use commercially reasonable efforts to (i) prevent the
issuance of any stop order or other suspension of effectiveness and, (ii) if
such order is issued, obtain the withdrawal of any such order at the earliest
possible moment;

                  (f) prior to any public ofering of Registrable Securities, use
commercially reasonable efforts to register or qualify or cooperate with the
Investors and their counsel in connection with the registration or qualification
of such Registrable Securities for offer and sale under the securities or blue
sky laws of such jurisdictions requested by the Investors and do any and all
other commercially reasonable acts or things necessary or advisable to enable
the distribution in such jurisdictions of the Registrable Securities covered by
the Registration Statement; provided, however, that the Company shall not be
required in connection therewith or as a condition thereto to (i) qualify to do
business in any jurisdiction where it would not otherwise be required to qualify
but for this Section 3(f), (ii) subject itself to general taxation in any
jurisdiction where it would not otherwise be so subject but for this Section
3(f), or (iii) file a general consent to service of process in any such
jurisdiction;

                  (g) use commercially reasonable efforts to cause all
Registrable Securities covered by a Registration Statement to be listed on each
securities exchange,

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interdealer quotation system or other market on which similar securities issued
by the Company are then listed;

                  (h) immediately notify the Investors, at any time when a
Prospectus relating to Registrable Securities is required to be delivered under
the 1933 Act, upon discovery that, or upon the happening of any event as a
result of which, the Prospectus included in a Registration Statement, as then in
effect, includes an untrue statement of a material fact or omits to state any
material fact required to be stated therein or necessary to make the statements
therein not misleading in light of the circumstances then existing, and at the
request of any such holder, promptly prepare and furnish to such holder a
reasonable number of copies of a supplement to or an amendment of such
Prospectus as may be necessary so that, as thereafter delivered to the
purchasers of such Registrable Securities, such Prospectus shall not include an
untrue statement of a material fact or omit to state a material fact required to
be stated therein or necessary to make the statements therein not misleading in
light of the circumstances then existing; and

                  (i) otherwise use commercially reasonable efforts to comply
with all applicable rules and regulations of the SEC under the 1933 Act and the
1934 Act, take such other actions as may be reasonably necessary to facilitate
the registration of the Registrable Securities hereunder; and make available to
its security holders, as soon as reasonably practicable, but not later than the
Availability Date (as defined below), an earnings statement covering a period of
at least twelve (12) months, beginning after the effective date of each
Registration Statement, which earnings statement shall satisfy the provisions of
Section 11(a) of the 1933 Act, including Rule 158 promulgated thereunder (for
the purpose of this subsection 3(i), "Availability Date" means the 45th day
following the end of the fourth fiscal quarter that includes the effective date
of such Registration Statement, except that, if such fourth fiscal quarter is
the last quarter of the Company's fiscal year, "Availability Date" means the
90th day after the end of such fourth fiscal quarter).

                  (j) With a view to making available to the Investors the
benefits of Rule 144 (or its successor rule) and any other rule or regulation of
the SEC that may at any time permit the Investors to sell shares of Common Stock
to the public without registration, the Company covenants and agrees to: (i)
make and keep public information available, as those terms are understood and
defined in Rule 144, until the earlier of (A) six months after such date as all
of the Registrable Securities may be resold pursuant to Rule 144(k) or any other
rule of similar effect or (B) such date as all of the Registrable Securities
shall have been resold; (ii) file with the SEC in a timely manner all reports
and other documents required of the Company under the 1934 Act; and (iii)
furnish to each Investor upon request, as long as such Investor owns any
Registrable Securities, (A) a written statement by the Company that it has
complied with the reporting requirements of the 1934 Act, (B) a copy of the
Company's most recent Annual Report on Form 10-KSB or Quarterly Report on Form
10-QSB, and (C) such other information as may be reasonably requested in order
to avail such Investor of any rule or regulation of the SEC that permits the
selling of any such Registrable Securities without registration.

         4. Due Diligence Review; Information. The Company shall make available,
during normal business hours, for inspection and review by the Investors,
advisors to and representatives of the Investors (who may or may not be
affiliated with the Investors and who are reasonably acceptable to the Company),
all financial and other records, all SEC Filings (as

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defined in the Purchase Agreement) and other filings with the SEC, and all other
corporate documents and properties of the Company as may be reasonably necessary
for the purpose of such review, and cause the Company's officers, directors and
employees, within a reasonable time period, to supply all such information
reasonably requested by the Investors or any such representative, advisor or
underwriter in connection with such Registration Statement (including, without
limitation, in response to all questions and other inquiries reasonably made or
submitted by any of them), prior to and from time to time after the filing and
effectiveness of the Registration Statement for the sole purpose of enabling the
Investors and such representatives, advisors and underwriters and their
respective accountants and attorneys to conduct initial and ongoing due
diligence with respect to the Company and the accuracy of such Registration
Statement.

                  The Company shall not disclose material nonpublic information
to the Investors, or to advisors to or representatives of the Investors, unless
prior to disclosure of such information the Company identifies such information
as being material nonpublic information and provides the Investors, such
advisors and representatives with the opportunity to accept or refuse to accept
such material nonpublic information for review and any Investor wishing to
obtain such information enters into an appropriate confidentiality agreement
with the Company with respect thereto.

         5. OBLIGATIONS OF THE INVESTORS.

                  (a) Each Investor shall furnish in writing to the Company such
information regarding itself, the Registrable Securities held by it and the
intended method of disposition of the Registrable Securities held by it, as
shall be reasonably required to effect the registration of such Registrable
Securities and shall execute such documents in connection with such registration
as the Company may reasonably request. At least five (5) Business Days prior to
the first anticipated filing date of any Registration Statement, the Company
shall notify each Investor of the information the Company requires from such
Investor if such Investor elects to have any of the Registrable Securities
included in the Registration Statement. An Investor shall provide such
information to the Company at least two (2) Business Days prior to the first
anticipated filing date of such Registration Statement if such Investor elects
to have any of the Registrable Securities included in the Registration
Statement.

                  (b) Each Investor, by its acceptance of the Registrable
Securities agrees to cooperate with the Company as reasonably requested by the
Company in connection with the preparation and filing of a Registration
Statement hereunder, unless such Investor has notified the Company in writing of
its election to exclude all of its Registrable Securities from such Registration
Statement.

                  (c) Each Investor agrees that, upon receipt of any notice from
the Company of either (i) the commencement of an Allowed Delay pursuant to
Section 2(c)(ii) or (ii) the happening of an event pursuant to Section 3(h)
hereof, such Investor will immediately discontinue disposition of Registrable
Securities pursuant to the Registration Statement covering such Registrable
Securities, until the Investor's receipt of the copies of the supplemented or
amended prospectus filed with the SEC and until any related post-effective
amendment is declared effective and, if so directed by the Company, the Investor
shall deliver to the Company (at the expense of the Company) or destroy (and
deliver to the Company a certificate of

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destruction) all copies in the Investor's possession of the Prospectus covering
the Registrable Securities current at the time of receipt of such notice.

         6. INDEMNIFICATION.

                  (a) INDEMNIFICATION BY THE COMPANY. The Company will indemnify
and hold harmless each Investor and its officers, directors, members, employees
and agents, successors and assigns, and each other person, if any, who controls
such Investor within the meaning of the 1933 Act, against any losses, claims,
damages or liabilities, joint or several, to which they may become subject under
the 1933 Act or otherwise, insofar as such losses, claims, damages or
liabilities (or actions in respect thereof) arise out of or are based upon: (i)
any untrue statement or alleged untrue statement of any material fact contained
in any Registration Statement, any preliminary prospectus or final prospectus
contained therein, or any amendment or supplement thereof; (ii) any blue sky
application or other document executed by the Company specifically for that
purpose or based upon written information furnished by the Company filed in any
state or other jurisdiction in order to qualify any or all of the Registrable
Securities under the securities laws thereof (any such application, document or
information herein called a "Blue Sky Application"); (iii) the omission or
alleged omission to state therein a material fact required to be stated therein
or necessary to make the statements therein not misleading; (iv) any violation
by the Company or its agents of any rule or regulation promulgated under the
1933 Act applicable to the Company or its agents and relating to action or
inaction required of the Company in connection with such registration; or (v)
any failure to register or qualify the Registrable Securities included in any
such Registration in any state where the Company or its agents has affirmatively
undertaken or agreed in writing that the Company will undertake such
registration or qualification on an Investor's behalf and will reimburse such
Investor, and each such officer, director or member and each such controlling
person for any legal or other expenses reasonably incurred by them in connection
with investigating or defending any such loss, claim, damage, liability or
action; PROVIDED, HOWEVER, that the Company will not be liable in any such case
if and to the extent that any such loss, claim, damage or liability arises out
of or is based upon an untrue statement or alleged untrue statement or omission
or alleged omission so made in conformity with information furnished by such
Investor or any such controlling person in writing specifically for use in such
Registration Statement or Prospectus.

                  (b) INDEMNIFICATION BY THE INVESTORS. Each Investor agrees,
severally but not jointly, to indemnify and hold harmless, to the fullest extent
permitted by law, the Company, its directors, officers, employees, stockholders
and each person who controls the Company (within the meaning of the 1933 Act)
against any losses, claims, damages, liabilities and expense (including
reasonable attorney fees) resulting from any untrue statement of a material fact
or any omission of a material fact required to be stated in the Registration
Statement or Prospectus or preliminary prospectus or amendment or supplement
thereto or necessary to make the statements therein not misleading, to the
extent, but only to the extent that such untrue statement or omission is
contained in any information furnished in writing by such Investor to the
Company specifically for inclusion in such Registration Statement or Prospectus
or amendment or supplement thereto. In no event shall the liability of an
Investor be greater in amount than the dollar amount of the proceeds (net of all
expense paid by such Investor in connection with any claim relating to this
Section 6 and the amount of any damages such Investor has otherwise been
required to pay by reason of such untrue statement or omission)

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received by such Investor upon the sale of the Registrable Securities included
in the Registration Statement giving rise to such indemnification obligation.

                  (c) CONDUCT OF INDEMNIFICATION PROCEEDINGS. Any person
entitled to indemnification hereunder shall (i) give prompt notice to the
indemnifying party of any claim with respect to which it seeks indemnification
and (ii) permit such indemnifying party to assume the defense of such claim with
counsel reasonably satisfactory to the indemnified party; PROVIDED that any
person entitled to indemnification hereunder shall have the right to employ
separate counsel and to participate in the defense of such claim, but the fees
and expenses of such counsel shall be at the expense of such person unless (a)
the indemnifying party has agreed to pay such fees or expenses, or (b) the
indemnifying party shall have failed to assume the defense of such claim and
employ counsel reasonably satisfactory to such person or (c) in the reasonable
judgment of any such person, based upon written advice of its counsel, a
conflict of interest exists between such person and the indemnifying party with
respect to such claims (in which case, if the person notifies the indemnifying
party in writing that such person elects to employ separate counsel at the
expense of the indemnifying party, the indemnifying party shall not have the
right to assume the defense of such claim on behalf of such person); and
PROVIDED, further, that the failure of any indemnified party to give notice as
provided herein shall not relieve the indemnifying party of its obligations
hereunder, except to the extent that such failure to give notice shall
materially adversely affect the indemnifying party in the defense of any such
claim or litigation. It is understood that the indemnifying party shall not, in
connection with any proceeding in the same jurisdiction, be liable for fees or
expenses of more than one separate firm of attorneys at any time for all such
indemnified parties. No indemnifying party will, except with the consent of the
indemnified party, consent to entry of any judgment or enter into any settlement
that does not include as an unconditional term thereof the giving by the
claimant or plaintiff to such indemnified party of a release from all liability
in respect of such claim or litigation.

                  (d) CONTRIBUTION. If for any reason the indemnification
provided for in the preceding paragraphs (a) and (b) is unavailable to an
indemnified party or insufficient to hold it harmless, other than as expressly
specified therein, then the indemnifying party shall contribute to the amount
paid or payable by the indemnified party as a result of such loss, claim, damage
or liability in such proportion as is appropriate to reflect the relative fault
of the indemnified party and the indemnifying party, as well as any other
relevant equitable considerations. No person guilty of fraudulent
misrepresentation within the meaning of Section 11(f) of the 1933 Act shall be
entitled to contribution from any person not guilty of such fraudulent
misrepresentation. In no event shall the contribution obligation of a holder of
Registrable Securities be greater in amount than the dollar amount of the
proceeds (net of all expenses paid by such holder in connection with any claim
relating to this Section 6 and the amount of any damages such holder has
otherwise been required to pay by reason of such untrue or alleged untrue
statement or omission or alleged omission) received by it upon the sale of the
Registrable Securities giving rise to such contribution obligation.

         7. Miscellaneous.

                  (a) AMENDMENTS AND WAIVERS. This Agreement may be amended only
by a writing signed by the Company and the Required Investors. The Company may
take any

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action herein prohibited, or omit to perform any act herein required to be
performed by it, only if the Company shall have obtained the written consent to
such amendment, action or omission to act, of the Required Investors.

                  (b) NOTICES. All notices and other communications provided for
or permitted hereunder shall be made as set forth in Section 9.4 of the Purchase
Agreement.

                  (c) ASSIGNMENTS AND TRANSFERS BY INVESTORS. The provisions of
this Agreement shall be binding upon and inure to the benefit of the Investors
and their respective successors and assigns. An Investor may transfer or assign,
in whole or from time to time in part, to one or more persons its rights
hereunder in connection with the transfer of Registrable Securities by such
Investor to such person, provided that such Investor complies with all laws
applicable thereto and provides written notice of assignment to the Company
promptly after such assignment is effected.

                  (d) ASSIGNMENTS AND TRANSFERS BY THE COMPANY. This Agreement
may not be assigned by the Company (whether by operation of law or otherwise)
without the prior written consent of the Required Investors, provided, however,
that the Company may assign its rights and delegate its duties he render to any
surviving or successor corporation in connection with a merger or consolidation
of the Company with another corporation, or a sale, transfer or other
disposition of all or substantially all of the Company's assets to another
corporation, without the prior written consent of the Required Investors, after
notice duly given by the Company to each Investor.

                  (e) Benefits of the Agreement. The terms and conditions of
this Agreement shall inure to the benefit of and be binding upon the respective
permitted successors and assigns of the parties. Nothing in this Agreement,
express or implied, is intended to confer upon any party other than the parties
hereto or their respective successors and assigns any rights, remedies,
obligations, or liabilities under or by reason of this Agreement, except as
expressly provided in this Agreement.

                  (f) COUNTERPARTS; FAXES. This Agreement may be executed in two
or more counterparts, each of which shall be deemed an original, but all of
which together shall constitute one and the same instrument. This Agreement may
also be executed via facsimile, which shall be deemed an original.

                  (g) TITLES AND SUBTITLES. The titles and subtitles used in
this Agreement are used for convenience only and are not to be considered in
construing or interpreting this Agreement.

                  (h) SEVERABILITY. Any provision of this Agreement that is
prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction,
be ineffective to the extent of such prohibition or unenforceability without
invalidating the remaining provisions hereof but shall be interpreted as if it
were written so as to be enforceable to the maximum extent permitted by
applicable law, and any such prohibition or unenforceability in any jurisdiction
shall not invalidate or render unenforceable such provision in any other
jurisdiction. To the extent

                                      -10-

<PAGE>

permitted by applicable law, the parties hereby waive any provision of law which
renders any provisions hereof prohibited or unenforceable in any respect.

                  (i) FURTHER ASSURANCES. The parties shall execute and deliver
all such further instruments and documents and take all such other actions as
may reasonably be required to carry out the transactions contemplated hereby and
to evidence the fulfillment of the agreements here in contained.

                  (j) ENTIRE AGREEMENT. This Agreement is intended by the
parties as a final expression of their agreement and intended to be a complete
and exclusive statement of the agreement and understanding of the parties hereto
in respect of the subject matter contained herein. This Agreement supersedes all
prior agreements and understandings between the parties with respect to such
subject matter.

                  (k) GOVERNING LAW; CONSENT TO JURISDICTION; WAIVER OF JURY
TRIAL. This Agreement shall be governed by, and construed in accordance with,
the internal laws of the State of New York without regard to the choice of law
principles thereof. Each of the parties hereto irrevocably submits to the
exclusive jurisdiction of the courts of the State of New York located in New
York County and the United States District Court for the Southern District of
New York for the purpose of any suit, action, proceeding or judgment relating to
or arising out of this Agreement and the transactions contemplated hereby.
Service of process in connection with any such suit, action or proceeding may be
served on each party hereto anywhere in the world by the same methods as are
specified for the giving of notices under this Agreement. Each of the parties
hereto irrevocably consents to the jurisdiction of any such court in any such
suit, action or proceeding and to the laying of venue in such court. Each party
hereto irrevocably waives any objection to the laying of venue of any such suit,
action or proceeding brought in such courts and irrevocably waives any claim
that any such suit, action or proceeding brought in any such court has been
brought in an inconvenient forum. EACH OF THE PARTIES HERETO WAIVES ANY RIGHT TO
REQUEST A TRIAL BY JURY IN ANY LITIGATION WITH RESPECT TO THIS AGREEMENT AND
REPRESENTS THAT COUNSEL HAS BEEN CONSULTED SPECIFICALLY AS TO THIS WAIVER.

                                      -11-

<PAGE>

         IN WITNESS WHEREOF, the parties have executed this Agreement or caused
their duly authorized officers to execute this Agreement as of the date first
above written.

The Company:                       VISIJET, INC.

                                   BY: /s/ Laurence M. Schreiber
                                   ----------------------------------------
                                   Name: Laurence M. Schreiber
                                   Title: COO, Corporate Secretary and Treasurer

                                      -12-

<PAGE>

The Investors:                      LIBERTYVIEW SPECIAL OPPORTUNITIES FUND, LP

                                    By:_/s/ Steven S. Rogers____________________
                                    Name: Steven S. Rogers
                                    Title: Authorized Person

                                      -13-

<PAGE>

                                                                       Exhibit A

                              PLAN OF DISTRIBUTION

         The selling stockholders, which as used herein includes donees,
pledgees, transferees or other successors-in-interest selling shares of common
stock or interests in shares of common stock received after the date of this
prospectus from a selling stockholder as a gift, pledge, partnership
distribution or other transfer, may, from time to time, sell, transfer or
otherwise dispose of any or all of their shares of common stock or interests
therein on any stock exchange, market or trading facility on which the shares
are traded or in private transactions. These dispositions may be at fixed
prices, at prevailing market prices at the time of sale, at prices related to
the prevailing market price, at varying prices, or at negotiated prices.

         The selling stockholders may use any one or more of the following
methods when disposing of shares or interests therein:

         - ordinary brokerage transactions and transactions in which the
broker-dealer solicits purchasers;

         - block trades in which the broker-dealer will attempt to sell the
shares as agent, but may position and resell a portion of the block as principal
to facilitate the transaction;

        - purchases by a broker-dealer as principal and resale by the
        broker-dealer for its account;

         - an exchange distribution in accordance with the rules of the
applicable exchange;

         - privately negotiated transactions;

         - short sales effected after the date the registration statement of
which this Prospectus is a part is declared effective by the SEC;

         - through the writing or settlement of options or other hedging
transactions, whether through an options exchange or otherwise;

         - broker-dealers may agree with the selling stockholders to sell a
specified number of such shares at a stipulated price per share;

         - a combination of any such methods of sale; and

         - any other method permitted pursuant to applicable law.

         The selling stockholders may, from time to time, pledge or grant a
security interest in some or all of the shares of common stock owned by them
and, if they default in the performance of their secured obligations, the
pledgees or secured parties may offer and sell the shares, from time to time,
under this prospectus, or under an amendment to this prospectus under Rule
424(b)(3) or other applicable provision of the Securities Act amending the list
of selling

                                      -14-

<PAGE>

stockholders to include the pledgee, transferee or other successors in interest
as selling stockholders under this prospectus. The selling stockholders also may
transfer the shares in other circumstances, in which case the transferees,
pledgees or other successors in interest will be the selling beneficial owners
for purposes of this prospectus.

         In connection with the sale of our common stock or interests therein,
the selling stockholders may enter into hedging transactions with broker-dealers
or other financial institutions, which may in turn engage in short sales of the
shares in the course of hedging the positions they assume. The selling
stockholders may also sell shares short and deliver these securities to close
out their short positions, or loan or pledge shares to broker-dealers that in
turn may sell these securities. The selling stockholders may also enter into
option or other transactions with broker-dealers or other financial institutions
or the creation of one or more derivative securities which require the delivery
to such broker-dealer or other financial institution of shares offered by this
prospectus, which shares such broker-dealer or other financial institution may
resell pursuant to this prospectus (as supplemented or amended to reflect such
transaction).

         The aggregate proceeds to the selling stockholders from the sale of the
shares offered by them will be the purchase price of the shares less discounts
or commissions, if any. Each of the selling stockholders reserves the right to
accept and, together with their agents from time to time, to reject, in whole or
in part, any proposed purchase of shares to be made directly or through agents.
We will not receive any of the proceeds from this offering. Upon any exercise of
the warrants by payment of cash, however, we will receive the exercise price of
the warrants.

         The selling stockholders also may resell all or a portion of the shares
in open market transactions in reliance upon Rule 144 under the Securities Act
of 1933, provided that they meet the criteria and conform to the requirements of
that rule.

         The selling stockholders and any underwriters, broker-dealers or agents
that participate in the sale of shares or interests therein may be
"underwriters" within the meaning of Section 2(11) of the Securities Act. Any
discounts, commissions, concessions or profit they earn on any resale of shares
may be underwriting discounts and commissions under the Securities Act. Selling
stockholders who are "underwriters" within the meaning of Section 2(11) of the
Securities Act will be subject to the prospectus delivery requirements of the
Securities Act.

         To the extent required, the shares to be sold, the names of the selling
stockholders, the respective purchase prices and public offering prices, the
names of any agents, dealer or underwriter, any applicable commissions or
discounts with respect to a particular offer will be set forth in an
accompanying prospectus supplement or, if appropriate, a post-effective
amendment to the registration statement that includes this prospectus.

         In order to comply with the securities laws of some states, if
applicable, the shares may be sold in these jurisdictions only through
registered or licensed brokers or dealers. In addition, in some states the
shares may not be sold unless they have been registered or qualified for sale or
an exemption from registration or qualification requirements is available and is
complied with.

                                      -15-

<PAGE>

         We have advised the selling stockholders that the anti-manipulation
rules of Regulation M under the Exchange Act may apply to sales of shares in the
market and to the activities of the selling stockholders and their affiliates.
In addition, we will make copies of this prospectus (as it may be supplemented
or amended from time to time) available to the selling stockholders for the
purpose of satisfying the prospectus delivery requirements of the Securities
Act. The selling stockholders may indemnify any broker-dealer that participates
in transactions involving the sale of the shares against certain liabilities,
including liabilities arising under the Securities Act.

         We have agreed to indemnify the selling stockholders against
liabilities, including liabilities under the Securities Act and state securities
laws, relating to the registration of the shares offered by this prospectus.

         We have agreed with the selling stockholders to keep the registration
statement of which this prospectus constitutes a part effective until the
earlier of (1) such time as all of the shares covered by this prospectus have
been disposed of pursuant to and in accordance with the registration statement
or (2) the date on which such shares may be sold pursuant to Rule 144(k) of the
Securities Act.

                                      -16-Exhibit 10.13

AMENDED AND RESTATED CONSULTING AGREEMENT

This Consulting Agreement (this "Agreement") is made as of the 3rd day of
June, 2004, by and among GK Intelligent Systems, Inc., a Delaware corporation,
having its principal place of business at 2602 Yorktown Place, Houston, TX
(Company), and Lisa L. Fincher, an individual and resident of 501 Manatee Ave,
Holmes Beach, FL 34217 ("Consultant".) This agreement supercedes and takes
precedence over a previous agreement signed by the two parties on March 26th,
2004, and is made in light of the following recitals which are a material part
hereof.

Recitals:

A.  Consultant is a consultant, experienced with both technology and financing
of small-cap companies generally. Accordingly, notwithstanding Consultant's
familiarity with securities law, neither Consultant nor the Company desires
that Consultant furnish any legal services but only information, evaluation
and analysis.

B.  Consultant has knowledge and experience to provide such information,
evaluation, analysis as the Company believes can assist it in furthering
execution of its business model.

C.  The Company desires to retain the services of the Consultant for those
consulting services regarding the functions and operations of the Company as
more fully set forth in that confidential schedule of services and
deliverables attached hereto as Schedule A which services are incorporated
herein by reference and referred to herein as the "Consultant Services"

D.  The Consultant Services shall be bona fide services to the Company and
will not be in connection with the offer or sale of securities in a capital
raising transaction and will not directly or indirectly promote or maintain a
market for the Company's securities.

E.  Consultant desires to provide the Consultant Services to and consult with
the Board of Directors, the officers of the Company, and the administrative
staff, and to undertake for the Company, consultations and recommendations in
conformity with such Consultant upon the terms and conditions provided herein
including but not limited to the compensation promised herein.

NOW THEREFORE, for and in consideration of good and valuable consideration, in
hand paid, including, but not limited to the mutual promises set forth herein,
the receipt and sufficiency of which is acknowledged by each party hereto, the
parties hereby agree as follows:

1.  Recitals Govern. The parties desire to enter into this agreement for
purposes of carrying out the above recitals and intentions set forth above and
this Agreement shall be construed in light thereof.

2.  Stock only for Services. The parties desire to memorialize their agreement
to adhere to Securities Act Release No. 33-7646, dated February 26, 1999
regarding registration of securities on Form S-8, a copy of which is attached
hereto as Exhibit A and incorporated herein by reference. No duty, obligation,
engagement or other thing imposed on either the Company or the Consultant
hereunder shall be construed to impose any duty, obligation or other
engagement in violation of the letter or spirit of said release.

3.  Consulting Services. The Consultant agrees to provide the Consultant
Services to the Company during the "Term" (as hereinafter defined). Consultant
agrees to provide such information, evaluation and analysis, in accordance
with the Consultant Services as will assist in maximizing the effectiveness of
Client's business model both relative to its business model and to its present
and contemplated operations. The Consultant shall personally provide the
Consultant Services and the Company understands that the nature of the
services to be provided are part time and that the Consultant will be engaged
in other business and consulting activities during the term of this Agreement.

3.a  Conflicts. The Company waives any claim of conflict and acknowledges that
Consultant has owned and continues to own and has consulted with and continues
to consult with interests in competitive businesses which might compete but
for location.

3.b  Confidential Information. The consultant agrees that any information
received by the consultant during any furtherance of the consultant's
obligations in accordance with this contract, which concerns the personal,
financial or other affairs of the company will be treated by the consultant in
full confidence and will not be revealed to any other persons, firms or
organizations. In connection herewith, Consultant and the Company have entered
into that Confidentiality Agreement in the form attached hereto as Schedule B.

3.c  Role of Consultant. Consultant shall be available to consult with the
Board of Directors, the officers of the Company, and the heads of the
administrative staff, at reasonable times, concerning matters pertaining to
the organization of the administrative staff, the fiscal policies of the
Company, the relationship of the Company with its employees or with any
organization representing its employees, and, in general, the important
problems of concern in the business affairs of the Company all in fulfillment
of the Consultant Services. Consultant shall not represent the Company, its
Board of Directors, its officers or any other members of the Company in any
transactions or communications nor shall Consultant make claim to do so.

3.d  Liability. With regard to the services to be performed by the Consultant
pursuant to this Agreement, the Consultant shall not be liable to the Company,
or to anyone who may claim any right due to any relationship with the Company,
for any acts or omissions in the performance of services on the part of the
Consultant or on the part of the agents or employees of the Consultant, except
when said acts or omissions of the Consultant are due to willful misconduct or
gross negligence. The Company shall hold the Consultant free and harmless from
any obligations, costs, claims, judgments, attorneys' fees, and attachments
arising from or growing out of the services rendered to the Company pursuant
to the terms of this agreement or in any way connected with the rendering of
services, except when the same shall arise due to the willful misconduct or
gross negligence of the Consultant and the Consultant is adjudged to be guilty
of willful misconduct or gross negligence by a court of competent
jurisdiction.

4.  Term. The term of this Agreement shall commence as of the date hereof and
shall continue for a period of one (1) year from that date, unless sooner
terminated as provided herein. It is understood that this Agreement shall not
automatically renew and no obligations to renew are implied notwithstanding
continued efforts to fulfill terms and conditions incomplete as of the
termination of this Agreement. This Agreement and the duties and obligations
of the Consultant may be terminated by either party giving thirty (30) days'
prior written notice to the other but the compensation and any previously
incurred and approved expenses shall be deemed earned by and due to
Consultant.

5.  Compensation. In consideration of the execution of the Agreement, and the
performance of his obligations hereunder, and in lieu of cash compensation on
an hourly basis, the Consultant shall receive a fee of Three Million,
Forty-Four thousand, four hundred forty-four, (3,044,444) registered common
shares of the Company (hereinafter, the "Shares"). The Shares will be, prior
to delivery to Consultant, registered pursuant to valid and effective
registration statements under either Form SB-2 or S-8 and the Company agrees
that the Shares shall be freely tradable and that the existence of any
restriction, buy-sell or other limitation under state or Federal securities
laws including but not limited to Rule 144 of the Securities Act of 1933
and/or the limitations on manner of sale imposed under the Securities and
Exchange Act of 1934 shall be lifted and/or waived by the Company prior to
delivery of the Shares. The Shares shall be tendered within Twenty (20) days
of the effective date of this Agreement.

6.  Expenses. The Company shall pay or reimburse the Consultant for all
reasonable travel, business and miscellaneous expenses incurred by the
Consultant in performing its duties under this Agreement, subject to prior
approval.

7.  Control as to Time and Place and Manner where Services Will Be Rendered,
Independent Contractor. It is anticipated the Consultant will spend up to 250
hours in fulfilling its obligations under this Agreement. The particular
amount of time may vary from day to day or week to week. The Consultant shall
not be entitled to any additional compensation except where the Consultant
performs more than 250 hours, subject to the prior written approval of the
Company, whereupon the Consultant will be paid at the rate of$150 per hour for
work performed in accordance with this Agreement. If additional work is
approved, the Consultant will submit an itemized statement setting forth the
time spent and services rendered, and the Company will pay the Consultant the
amounts due as indicated by statements submitted by the Consultant within ten
(10) days of receipt. Both the Company and the Consultant agree that the
Consultant will act as an independent contractor in the performance of its
duties under this Agreement. The Consultant will perform most services in
accordance with this Agreement at a location and at times chosen in
Consultant's discretion. The Company may from time to time request that the
Consultant arrange for the services of others but Consultant shall choose and
contract with same. All costs to the Consultant for those services will be
paid by the Company but in no event shall the Consultant employ others without
the prior authorization of the Company. Accordingly, the Consultant shall be
responsible for payment of all taxes including Federal, State and local taxes
arising out of the Consultant's activities in accordance with this Agreement,
including by way of illustration but not limitation, Federal and state income
tax, Social Security tax, unemployment insurance taxes, and any other taxes or
business license fee as required. Except as otherwise may be agreed, the
Consultant shall at all times be in an independent contractor, rather than a
co-venturer, agent, employee or representative of the Company.

8.  Representations and Warranties. The Company represents and warrants that
(i) the shares being issued and/or sold pursuant to option are authorized to
be issued by the Company; (ii) The Company has full right, power, and
corporate authority to execute and enter into this Agreement, and to execute
all underlying documents and to bind such entity to the terms and obligations
hereto and to the underlying documents and to deliver the interests and
consideration conveyed thereby, same being authorized by power and authority
vested in the party signing on behalf of the Company; (iii) the Company has
and will have full right, power, and authority to sell, transfer, and deliver
the shares being issued and/or sold pursuant to option; (iv) the Company has
no knowledge of any adverse claims affecting the subject shares and there are
no notations of any adverse claims marked on the certificates for same; and
(v) upon receipt, Consultant or his nominee will acquire the shares being
issued and/or sold pursuant to option, free and clear of any security
interests, mortgage, adverse claims, liens, or encumbrances of any nature or
description whatsoever, subject only to matters pertaining to the sale of
securities generally including but not limited to the Securities Act of 1933,
as amended, and the rules and regulations promulgated thereunder, or any state
statute, rule, or regulation relating to the sale of securities (collectively,
"Securities Laws"). In the event that Consultant accepts shares not yet
subject to a valid registration statement (notwithstanding or waiving the
Company's obligations to deliver shares duly and properly registered),
Consultant represents and warrants to the Company that he will acquire same
for investment and not with a view to the sale or other distribution thereof
and will not at any time sell, exchange, transfer, or otherwise dispose of
same under circumstances that would constitute a violation of Securities Laws.
Each party acknowledges the creation, modification and/or transfer of
securities and represents and warrants to all others that it has reviewed the
transaction with counsel and that no registration or representations are
required and that all rights of recourse or rescission resulting from such
transfer, to the extent permitted by law, are waived and each party represents
and warrants to all others that no marketing of securities to the public has
occurred. Each of the warranties, representations, and covenants contained in
this Agreement by any party thereto shall be continuous and shall survive the
delivery of Consultant Services, the Compensation and the termination of this
Agreement.

9.  Arbitration. Any controversy or claim arising out of or relating to this
Agreement, or the breach thereof, shall be settled by arbitration in
accordance of the rules of the American Arbitration Association, and judgment
upon the award rendered by the arbitrator(s) shall be entered in any court
having jurisdiction thereof. For that purpose and the resolution of any other
claim hereunder, the parties hereto consent to the jurisdiction and venue of
an appropriate court located in Jefferson County, State of Florida. In the
event that litigation results from or arises out of this Agreement or the
performance thereof, the parties agree to reimburse the prevailing party's
reasonable attorney's fees, court costs, and all other expenses, whether or
not taxable by the court as costs, in addition to any other relief to which
the prevailing party may be entitled. In such event, no action shall be
entertained by said court or any court of competent jurisdiction if filed more
than one year subsequent to the date the cause(s) of action actually accrued
regardless of whether damages were otherwise as of said time calculable.

10.   Notices. All notices, requests, consents, and other communications under
this Agreement shall be in writing and shall be mailed by registered or
certified mail, postage prepaid, or delivered by Facsimile or delivered
personally to the address written above or to such other address of which the
addressee shall have notified the sender in writing. Notices mailed in
accordance with this section shall be deemed given when mailed.

11.  Binding Effect, Assignment and Succession. All covenants and agreements
contained in this Agreement by or on behalf of any of the parties hereto shall
bind and inure to the benefit of his, her or its respective heirs, personal
representatives, successors, and assigns, whether so expressed or not. Except
for assignment of the options as provided above, no party to this Agreement
may, however, assign his rights hereunder or delegate his obligations
hereunder to any other person or entity without the express prior written
consent of the other parties hereto.

12.  Entire Agreement and Interpretation. This Agreement, including any
exhibits and schedules hereto, constitutes and contains the entire agreement
of the Company and the Consultant with respect to the provision of Consultant
Services and Compensation and supersedes any prior agreement by the parties,
whether written or oral. It may not be changed orally but only by an agreement
in writing signed by the party against whom enforcement of any waiver, change,
modification, extension, or discharge is sought. The waiver of a breach of any
term or condition of this Agreement must be in writing and signed by the party
sought to be charged with such waiver, and such waiver shall not be deemed to
constitute the waiver of any other breach of the same or of any other term or
condition of this agreement. This Agreement shall be construed in accordance
with and governed by the laws of the State of Florida without regard to its
rules and laws regarding conflicts of laws and each of the parties hereto
irrevocably submit to the exclusive jurisdiction of any Florida State or
United States Federal court sitting in Palm Beach County, Florida over any
action or proceeding arising out of or relating to this Agreement. The parties
hereto further waive any objection to venue in the State of Florida and any
objection to an action or proceeding in the State of Florida on the basis
forum non conveniens.

13.   Miscellaneous. The section headings contained in this Agreement are
inserted as a matter of convenience and shall not be considered in
interpreting or construing this Agreement. This Agreement may be executed
concurrently in two or more counterparts, each of which shall be deemed an
original but all of which together shall constitute one and the same
instrument. The invalidity or unenforceability of any provision of this
Agreement shall not affect the validity or enforceability of the remaining
provisions. Time is of the essence of this Agreement and the obligations of
the parties hereto.
IN WITNESS WHEREOF, the Company and the Consultant have executed this
Agreement as of the day and year first written above.

Company:                             Consultant:

/s/ Gary Kimmons                     /s/ Lisa Fincher
GK INTELLIGENT SYSTEMS, INC.         LISA FINCHER
GARY F. KIMMONS

Exhibit A

Adoption of Securities Act Release No. 33-7646, dated February 26, 1999
Regarding Registration of Securities on Form S-8

Purpose - To clarify that S-8 is not available to consultants who directly or
indirectly promote or maintain a market for the issuer's securities, declaring
that these persons take from an issuer with a view to distribution and are
therefore "statutory underwriters" (who presumably would not have an exemption
for the resale of securities issued in these types of transactions [Section
4(1) of the Securities Act of 1933, as amended (the" Act"), the exemption
relied upon for secondary sales of securities, is not available to "issuers,
underwriters or dealers" in securities]).

Background

As of April 7, 1999, the availability of S-8's streamlined registration
process was restricted to deter the abuse of the Form to make sales to the
general public through so-called "consultants" and "advisors," and to
eliminate registration on the Form to "stock promoters." S-8 eliminated a need
to file a prospectus that duplicated information usually available to plan
participants who were being compensated by the issuance of securities rather
than cash, and it reflected the Commission's distinction between offerings
made to employees for compensatory reasons and offerings made for capital
raising. The Commission reasoned that the relationship of the employee to the
issuer provided the employee with a familiarity of the issuer's business
sufficient to justify the abbreviated disclosure, which would not be adequate
in a capital raising transaction. The 1990 amendment included "consultants"
whom the Commission found no reason to distinguish from regular employees, for
bona fide non-capital raising services rendered.

Abuses

Since 1990, the Form has been used to distribute securities to the public
without the protections to investors of registration under
Section 5 of the Act. Securities are often issued to so-called "consultants"
for nominal services, with pre-arrangements for exercise and distribution to
the public in the underlying markets. Often the options granted are exercised
to provide funds to the issuer or the proceeds of the sales are for the
payment of debts of the issuer that are not related to any services provided
by the consultants.

The initial registration of the shares underlying these options did not
register the public "capital raising" transaction which actually takes place
via the secondary sales. In these instances, the employee or consultant acts
as a conduit to the public, and the shares are not actually issued as
compensation for services, for which the Form is solely intended. Securities
have also been issued to consultants whose services are to promote the
issuer's securities. This practice invites fraud by providing inexpensive
compensation to person who hype the securities of the issuer and expand the
issuer's market through resales by these and other persons. Through its recent
amendments to Form S-8, the Commission has sought to curb these practices,
while maintaining. to the extent possible, the initial intent of the Form,
i.e., the registration of compensatory transactions between the issuer and
consultants and advisors who render bona fide services outside of "capital
raising" circumstances, as well as to traditional employees.

Amendments

The Form's availability is for employees or employees or subsidiaries,
pursuant to any employee benefit plan. An "employee" is defined to include a
consultant or advisor who provides bona fide services to the issuer other than
in capital raising transactions. Like the traditional employee, the consultant
or advisor must be a natural person, and there must be a contract between the
issuer and the consultant or advisor. The Commission has determined that
"capital raising" includes (i) compensation for any service that directly or
indirectly promotes or maintains a market for the issuer's securities, or (ii)
where the securities are issued to persons who act as conduits for a
distribution to the general public. Securities issued to persons who promote
the issuer's securities are outside the intent of the Form. Securities cannot
be issued to anyone who directly or indirectly promotes or maintains a market
in the issuer's securities. Issuers cannot use the Form for the issuance of
securities to consultants and advisors whose services related to potential
capital restructuring because this service is a predicate to "capital raising"
and market maintenance; however, services rendered in structuring the
compensation scheme would be included under the Form. Public relations
services are also prohibited as the Commission believes these services enhance
and expand the market of the issuer and its securities.

Rule 701 Amendments

As of April 7, 1999, the Commission amended Rule 701 to harmonize the
definition of "consultants and advisors" permitted to use the Rule to the
narrower definition of Form S-8. As revised. securities promoters will clearly
be excluded from the scope of persons eligible to use Rule 701.

SCHEDULE A TO CONSULTING AGREEMENT

SCHEDULE OF SERVICES AND DELIVERABLES

Consultant shall provide the following Strategic Services:

1. Business Development and Planning: Develop an in-depth familiarization with
the Corporation's business objectives and bring to its attention potential or
actual opportunities that meet those objectives or logical extensions thereof.
Alert the Corporation to new or emerging high potential forms of production
and distribution that could either be acquired or developed internally.
Comment on the Corporation's corporate development including such factors as
position in competitive environment, financial performances vs. competition,
strategies, operational viability, etc. Identify prospective suitable merger
or acquisition partners for the Corporation, perform appropriate diligence
investigations with respect thereto, advise the Corporation with respect to
the desirability of pursuing such prospects, and assist the Corporation in any
negotiations which may ensue therefrom.

2. Corporate Strategic Analysis: Evaluate business strategies and recommend
changes where appropriate.

3. Critically evaluate the Corporation's performance in view of its corporate
planning and business objectives.

4. Strategic Contacts and formation of Strategic alliances and Introduction to
strategic partners and other alliance candidates;

5. Strategic consulting regarding high level product planning, market
development, marketing and intellectual property planning; Business
development

6. Introduction to prospective customers for the Company's products or
services.

7. The consultant will consult with the officers and employees of the company
concerning matters relating to the management and organization of the company,
their financial policies, the terms and conditions of employment, and
generally any matter arising out of the business affairs of the Company.

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