Document:

Stock Pledge and Guaranty Agreement, between PacificNet Inc. and Pope Investments
      LLC, dated February 6, 2007

     

    EXHIBIT
      10.1

     

    STOCK
      PLEDGE AND GUARANTY AGREEMENT

     

    This
      STOCK PLEDGE AND GUARANTY AGREEMENT
      (this
“Agreement”),
      dated
      as of February 6, 2007, is made by PacificNet Inc., a Delaware Corporation,
      (“Pledgor”)
      in
      favor of Pope Investments LLC, a Delaware limited liability company (the
“Pledgee”).
      Capitalized terms used herein and not otherwise defined shall have the meanings
      ascribed to them in the Loan Agreement. 

     

    W
      I T N E S S E T H

     

    WHEREAS,
      PACIFICNET
      GAMES LIMITED, a
      company
      organized under the laws of the British Virgin Islands (the “Company”), and
      Pledgee have entered into that certain Loan Agreement, dated as of even date
      herewith (as amended, supplemented or modified from time to time, the “Loan
      Agreement”), and the Company has issued a Convertible Secured Promissory Note,
      in favor of Pledgee, dated as of even date herewith (the “Note”, and together
      with the Loan Agreement, the “Loan Documents”) pursuant to which Pledgee has
      agreed to make available to the Company during the period the Note is
      outstanding loans (the “Loans”) aggregating $5,000,000 all in accordance with
      and subject to the terms and conditions set forth in the Loan
      Documents;

     

    WHEREAS,
      the
      extension and/or continued extension of the Loans, as aforesaid, by Pledgee
      is
      necessary and desirable to the conduct and operation of the business of the
      Company and will inure to the personal and financial benefit of Pledgor;
      and

     

    WHEREAS,
      Pledgor
      presently owns 51% of the issued and outstanding shares of the Company (the
      “Pledged
      Shares”);

     

    WHEREAS,
      it
      is a
      condition precedent to Pledgee’s obligation to make the Loans pursuant to the
      Loan Documents, that Pledgor executes and delivers this Agreement;

     

    NOW,
      THEREFORE,
      for
      good and valuable consideration, the receipt, sufficiency and adequacy of which
      are hereby acknowledged, Pledgor hereby agrees as follows:

     

    1. Pledge.
      Pledgor
      hereby pledges to Pledgee, and grants to Pledgee, a security interest in, all
      of
      its right, title and interest in, to and under the following (the “Pledged
      Collateral”):

     

    (a) the
      Pledged Shares now owned by Pledgor and the certificates, if any, representing
      such Pledged Shares, and all securities, instruments, rights and other property
      from time to time received, receivable or otherwise distributed in exchange
      for
      any or all of such Pledged Shares; and

     

    (b) all
      other
      property hereafter delivered to Pledgee in substitution for, as proceeds of,
      any
      of the foregoing, and all certificates, instruments and documents representing
      or evidencing such property.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    2. Guaranty;
      Security for Liabilities.

     

    (a) 
      Pledgor
      hereby irrevocably, unconditionally and absolutely guarantees to Pledgee the
      prompt, complete and full payment and performance when due, no matter how the
      same shall become due, but subject to any applicable grace periods, of all
      Loans
      outstanding from time to time under the Note, together with all interest thereon
      and all other sums payable under the Note, whether in respect of Loans,
      interest, fees or otherwise, (the “Liabilities”). Notwithstanding anything to
      the contrary contained in this Guaranty, the aggregate liability hereunder
      shall
      not exceed Loans representing $2,000,000 in the aggregate (together with
      interest thereon). 

     

    (b) The
      Pledgor shall also be responsible for all out-of-pocket expenses (including
      reasonable fees and expenses of counsel) incurred in the enforcement or
      protection of rights hereunder, after demand under this Stock Pledge and
      Guaranty Agreement has been made and not timely honored.

     

    (c) It
      is the
      intention hereof that Pledgor shall remain liable as a principal until the
      full
      amount of all Guaranteed Obligations shall have been indefeasibly paid in full
      in cash or Conversion Shares (including by enforcement of Pledgee’s rights in
      the Pledged Collateral) and performed and satisfied in full and the Note
      irrevocably terminated, notwithstanding any act, omission or anything else
      which
      might otherwise operate as a legal or equitable discharge of
      Guarantor.

     

    (d) Pledgor
      acknowledges and agrees that its obligations hereunder shall not be impaired,
      modified, changed, released or limited in any manner whatsoever by any
      impairment, modification, change, release or limitation of the liability of
      the
      Company of the Guaranteed Obligations or any other person or his or their
      respective estates in bankruptcy resulting from the operation of any present
      or
      future provision of the bankruptcy laws or other similar statute, or from the
      decision of any court.

     

    (e) Upon
      payment or satisfaction of any of the Guaranteed Obligations by the Pledgor
      or
      upon enforcement of Pledgee’s rights in the Pledged Collateral, the Pledgor
      shall be subrogated to the rights of the Pledgee against the Company with
      respect to such Guaranteed Obligations, and the Pledgee agrees to take at the
      Pledgor’s expense such steps as the Pledgor may reasonably request to implement
      such subrogation.

     

    3. Delivery
      of Pledged Shares.
      All
      certificates, instruments or documents, if any, representing or evidencing
      the
      Pledged Shares shall be delivered to and held by Loeb & Loeb LLP, as escrow
      agent pursuant to that certain escrow agreement, dated as of the date hereof,
      on
      behalf of Pledgee pursuant hereto and shall be in suitable form for transfer
      by
      delivery, shall be accompanied by duly executed instruments of transfer or
      assignment in blank, all in form and substance reasonably satisfactory to
      Pledgee. Pledgor agrees that it will not issue new or additional certificates,
      instruments or documents to evidence the Pledged Shares without the prior
      written approval of Pledgee and, if approved, Pledgor will comply with all
      instructions of Pledgee regarding the continued perfection of the Pledged
      Shares.

     

    4. Representations
      and Warranties.
      Pledgor
      represents and warrants as follows:

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    (a) The
      Pledged Shares have been duly authorized and validly issued and are fully paid
      and non-assessable.

     

    (b) Pledgor
      is the legal and beneficial owner of the Pledged Collateral, except for the
      lien
      created by this Agreement, the Loan Agreement and the Note, free and clear
      of
      any lien, security interest, pledge, warrant, option, purchase agreement,
      shareholders’ agreement, restriction, redemption agreement or other charge,
      encumbrance or restriction of any nature on the Pledged Collateral, with full
      right to deliver, pledge, assign and transfer the Pledged Collateral to Pledgee
      as Pledged Collateral hereunder. The grant of a lien in the Pledged Collateral
      or the exercise by any Pledgee of any of its rights and remedies hereunder
      will
      not violate the terms of any charter, by-laws, shareholder agreement or other
      agreement to which Pledgor is a party.

     

    (c) Except
      to
      the extent already obtained or made, no authorization, approval, or other action
      by, and no notice to or filing with, any governmental authority, regulatory
      body
      or other Person is required either (i) for the pledge by Pledgor of the Pledged
      Collateral pursuant to this Agreement or for the execution, delivery or
      performance of this Agreement by Pledgor, or (ii) for the exercise by Pledgee
      of
      the voting or other rights provided for in this Agreement or the remedies in
      respect of the Pledged Collateral pursuant to this Agreement (except as may
      be
      required in connection with a disposition of such Pledged Shares pursuant to
      laws affecting the offering and sale of securities generally).

     

    (d) Pledgor
      has full power and authority to enter into this Agreement and has the right
      to
      pledge and grant a security interest in the Pledged Collateral as provided
      by
      this Agreement and, has the full power and authority to vote such Pledged
      Shares.

     

    (e) None
      of
      the Pledged Shares has been issued in violation of any federal, state or other
      law, regulation or rule pertaining to the issuance of securities, or in
      violation of any rights, pre-emptive or otherwise, of any present or past
      stockholder of Issuer.

     

    5. Voting
      Rights; Dividends; Etc.

     

    (a) So
      long
      as no Event of Default (as hereinafter defined) shall have occurred (and be
      continuing):

     

    (i) Pledgor
      shall be entitled to exercise any and all voting and other consensual rights
      pertaining to the Pledged Shares or any part thereof for any purpose not
      inconsistent with the terms of this Agreement, or the Loan Documents;
provided,
      however,
      that
      Pledgor shall not, without Pledgee’s prior written consent, exercise nor shall
      it refrain from exercising any such right if such action (A) violates the terms
      of this Agreement, or any of the Loan Documents, (B) impairs the validity or
      priority of the security position or interests of Pledgee in any manner
      whatsoever in violation of this Agreement, or (C) causes an Event of
      Default.

     

    (ii) Pledgor
      shall be entitled to receive and retain any and all cash dividends, cash
      distributions, cash interest and principal and cash proceeds paid in respect
      of
      the its Pledged Collateral.

     

    (b) Upon
      the
      occurrence (and during the continuance) of an Event of Default:

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    (i) All
      rights of Pledgor to exercise the voting and other consensual rights which
      it
      would otherwise be entitled to exercise pursuant to Section 5(a)(i) and to
      receive the dividends, distributions (other than tax distributions), and
      proceeds which it would otherwise be authorized to receive and retain pursuant
      to Section 5(a)(ii) shall cease, and all such rights shall thereupon become
      vested in the Pledgee which shall thereupon have the sole right to exercise
      such
      voting and other consensual rights and to receive and hold as Pledged Collateral
      such dividends, distributions and proceeds; and

     

    (ii) All
      dividends, distributions and proceeds which are received by Pledgor contrary
      to
      the provisions of paragraph (i) of this Section 5(b) shall be received in trust
      for the benefit of the Pledgee, shall be segregated from other funds of Pledgor
      and shall be forthwith paid over to the Pledgee as Pledged Collateral in the
      same form as so received (with any necessary endorsements).

     

    (iii) Pledgor
      shall execute and deliver (or cause to be executed and delivered) to the Pledgee
      all such proxies and other instruments as Pledgee may reasonably request for
      the
      purpose of enabling Pledgee to exercise the voting and other rights which it
      is
      entitled to exercise pursuant to paragraph (i) above and to receive the cash
      dividends, interest or other payments which it is authorized to receive pursuant
      to paragraph (ii) above.

     

    6. Transfers
      and Other Liens.
      Pledgor
      agrees that it will not (a) sell, assign, transfer, convey, exchange, pledge
      or
      otherwise dispose of, or grant any option, warrant, right, contract or
      commitment with respect to, any of the Pledged Collateral without the prior
      written consent of Pledgee, or (b) create or permit to exist any lien, security
      interest, pledge, proxy, purchase arrangement, restriction, redemption
      agreements, shareholders’ agreement or other charge or encumbrance upon or with
      respect to any of the Pledged Collateral, except for liens in favor of Pledgee,
      and in each case only to the extent permitted by this Agreement.

     

    7. Application
      of Proceeds of Sale or Cash Held as Collateral.
      The
      proceeds of sale of Pledged Collateral sold pursuant to this Agreement shall
      be
      applied by Pledgee to pay outstanding Loans under the Note, together with
      accrued but unpaid interest thereon.

     

    8. Pledgee
      Appointed Attorney-in-Fact.
      Pledgor
      hereby appoints Pledgee as Pledgor’s attorney-in-fact, with full authority in
      the place and stead of Pledgor and in the name of Pledgor or otherwise, from
      time to time in Pledgee’s discretion to take any action and to execute any
      instrument which Pledgee may reasonably deem necessary or advisable to
      accomplish the purposes of this Agreement, including, without limitation, to
      receive, endorse and collect all instruments made payable to Pledgor
      representing any dividend or other distribution in respect of the Pledged
      Collateral or any part thereof and to give full discharge for the same;
      provided, that such power shall be exercised only upon the occurrence and during
      the continuation of an Event of Default.

     

    9. Pledgee
      May Perform.
      If
      Pledgor fails to perform any agreement contained herein, Pledgee may itself
      perform, or cause performance of, such agreement, and the expenses of Pledgee
      incurred in connection therewith shall be payable by Pledgor under Section
      15.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    10. Reasonable
      Care.
      Pledgee
      shall be deemed to have exercised reasonable care in the custody and
      preservation of the Pledged Collateral in its possession if the Pledged
      Collateral is accorded treatment substantially equal to that which Pledgee
      accords its own property. Upon Pledgor’s instruction, Pledgee shall use
      reasonable efforts to take such action as Pledgor directs Pledgee to take with
      respect to calls, conversions, exchanges, maturities, tenders, rights against
      other parties or other similar matters relative to the Pledged Collateral,
      but
      failure of Pledgee to comply with any such request shall not of itself be deemed
      a failure to exercise reasonable care, and no failure of Pledgee to preserve
      or
      protect any rights with respect to the Pledged Collateral against prior parties,
      or to do any act with respect to preservation of the Pledged Collateral not
      so
      requested by Pledgor, shall be deemed a failure to exercise reasonable care
      in
      the custody or preservation of the Pledged Collateral.

     

    11. Subsequent
      Changes Affecting Collateral.
      Pledgor
      represents to Pledgee that it has made its own arrangements for keeping informed
      of changes or potential changes affecting the Pledged Collateral (including,
      but
      not limited to, rights to convert, rights to subscribe, payment of dividends,
      reorganization or other exchanges, tender offers and voting rights), and Pledgor
      agrees that Pledgee shall have no responsibility or liability for informing
      Pledgor of any such changes or potential changes or for taking any action or
      omitting to take any action with respect thereto.

     

    12. Events
      of Default; Remedies upon an Event of Default.

     

    (a) The
      following events shall constitute an “Event
      of Default”
by
      Pledgor under this Agreement:

     

    (i) The
      occurrence of any Event of Default as set forth in the Note;

     

    (ii) Pledgor
      fails to perform or observe any term, covenant or agreement contained in this
      Agreement on its part to be performed or observed, or any representation or
      warranty made by Pledgor in this Agreement shall be untrue or misleading in
      any
      material respect as of the date with respect to which such representation or
      warranty was made;

     

    (iii) a
      notice
      of lien, levy or assessment is filed or recorded with respect to all or a
      substantial part of the Pledged Collateral, except for a lien, levy or
      assessment which relates to current taxes not yet due and payable or other
      liens
      not prohibited to be incurred pursuant to the Loan Documents, which has not
      been
      released within thirty (30) days of the filing or recording dates;
      and

     

    (iv) all
      or a
      substantial part of the Pledged Collateral is attached, seized, subjected to
      a
      writ or distress warrant, or is levied upon, or comes within the possession
      of
      any receiver, trustee, custodian or assignee for the benefit of
      creditors.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    (b) If
      any
      Event of Default shall have occurred and be continuing after any applicable
      cure
      period, Pledgee shall have, in addition to all other rights given by law or
      by
      this Agreement, the Loan Agreement, the Note or otherwise, all of the rights
      and
      remedies with respect to the Pledged Collateral of a secured party under
      applicable law in effect in the State of [New York] at that time and Pledgee
      may, at its option, upon five (5) Business Days written notice to Pledgor,
      transfer or register the Pledged Collateral or any part thereof on the books
      of
      the Company into the name of Pledgee or Pledgee’s nominee(s), with or without
      any indication that such Pledged Collateral is subject to the security interest
      hereunder. In addition, with respect to any Pledged Collateral which shall
      then
      be in or shall thereafter come into the possession or custody of Pledgee,
      Pledgee may sell or cause the same to be sold at any broker’s board or at public
      or private sale, in one or more sales or lots, at such price or prices as
      Pledgee may deem best, for cash or on credit or for future delivery, without
      assumption of any credit risk. The purchaser of any or all Pledged Collateral
      so
      sold shall thereafter hold the same absolutely, free from any claim, encumbrance
      or right of any kind whatsoever, except for claims, encumbrances or rights
      that
      may arise without the knowledge or consent of Pledgor. Pledgee will give Pledgor
      reasonable notice of the time and place of any public sale thereof, or of the
      time after which any private sale or other intended disposition is to be made.
      Any sale of the Pledged Collateral conducted in conformity with reasonable
      commercial practices of banks, insurance companies, commercial finance
      companies, or other financial institutions disposing of property similar to
      the
      Pledged Collateral shall be deemed to be commercially reasonable. In view of
      the
      fact that federal and state securities laws may impose certain restrictions
      on
      the method by which a sale of the Pledged Collateral may be effected after
      an
      Event of Default, Pledgor agrees that upon the occurrence and during the
      continuance of any Event of Default, Pledgee may, from time to time, attempt
      to
      sell all or any part of the Pledged Collateral by means of a private placement,
      restricting the prospective purchasers to those who can make the representations
      and agreements required of purchasers of securities in private placements.
      In so
      doing, Pledgee may solicit bona fide offers to buy the Pledged Collateral,
      or
      any part of it, for cash, from a limited number of investors deemed by Pledgee,
      in its reasonable judgment, to be responsible parties who might be interested
      in
      purchasing the Pledged Collateral, and if Pledgee solicits such offers from
      not
      less than three (3) such investors, then the acceptance by Pledgee of the
      highest offer obtained therefrom shall be deemed to be a commercially reasonable
      method of disposition of the Pledged Collateral.

     

    (c) In
      addition, during the existence of an Event of Default, all rights of Pledgor
      to
      exercise the voting and other rights which they would otherwise be entitled
      to
      exercise and to receive cash dividends, distributions, interest and principal
      payments shall cease, and all such rights shall thereupon become vested in
      Pledgee as provided in Section
      5.

     

    13. Authority
      of Pledgee.
      Pledgee
      shall have and be entitled to exercise all such powers hereunder as are
      specifically delegated to Pledgee by the terms hereof, together with such powers
      as are incidental thereto. Pledgee may execute any of its duties hereunder
      by or
      through its agents or employees. Neither Pledgee, nor any director, officer,
      agent or employee of Pledgee, shall be liable for any action taken or omitted
      to
      be taken by it or them hereunder or in connection herewith, except for its
      or
      their own gross negligence or willful misconduct.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    14. Termination.
      This
      Agreement shall terminate when all the Liabilities have been fully paid and
      performed and the Note is terminated, at which time Pledgee shall cause to
      be
      reassigned and redelivered to Pledgor, or to such person or persons as Pledgor
      shall designate, against receipt, such of the Pledged Collateral (if any) as
      shall not have been sold, released or otherwise applied by Pledgee pursuant
      to
      the terms hereof and shall still be held by it hereunder, together with
      appropriate instruments of reassignment and release. Any such reassignment
      shall
      be without recourse upon or warranty by Pledgee and at the expense of
      Pledgor.

     

    15. Expenses.
      Pledgor
      agrees to reimburse Pledgee, on written demand, for any and all reasonable
      expenses, including the reasonable fees and expenses of its counsel and of
      any
      experts and agents, which Pledgee incurs in connection with (a) the
      administration of this Agreement, (b) the custody or preservation of, or the
      registration of, the Pledged Collateral, (c) the exercise or enforcement of
      any
      of the rights of Pledgee hereunder, or (d) the failure by Pledgor to perform
      or
      observe any of the provisions hereof.

     

    16. Security
      Interest Absolute.
      All
      rights of Pledgee and security interests hereunder, and all obligations of
      Pledgor hereunder, shall be absolute and unconditional irrespective
      of:

     

    (a) any
      lack
      of validity or enforceability of the Loan Agreement or an other agreement or
      instrument relating thereto;

     

    (b) any
      change in the time, manner or place of payment of, or in any other term of,
      all
      or any of the Liabilities, or any other amendment or waiver of or any consent
      to
      any departure from the Loan Agreement;

     

    (c) any
      exchange, surrender, release or non-perfection of any other collateral, or
      any
      release or amendment or waiver of or consent to departure from any guaranty,
      for
      all or any of the Liabilities; or

     

    (d) any
      other
      circumstance which might otherwise constitute a defense available to, or a
      discharge of, Pledgor in respect of the Liabilities or of this
      Agreement.

     

    17. Amendments,
      Waivers and Consents.
      No
      amendment or waiver of any provision of this Agreement nor consent to any
      departure by Pledgor herefrom shall in any event be effective unless the same
      shall be in writing and signed by Pledgee, and then such amendment, waiver
      or
      consent shall be effective only in the specific instance and for the specific
      purpose for which given.

     

    18. Notices.
      Any
      notice required or desired to be served, given or delivered hereunder shall
      be
      made in accordance with the terms of the Loan Agreement.

     

    19. Continuing
      Security Interest.
      This
      Agreement shall create a continuing security interest in the Pledged Collateral
      and shall (a) remain in full force and effect until payment in full of the
      Liabilities and termination of the Loan Agreement and maturity of the Note;
      (b)
      be binding upon Pledgor, its successors and assigns; and (c) inure to the
      benefit of Pledgee and its successors, transferees and assigns.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    20. Governing
      Law; Terms.
      This
      Agreement shall be governed by and construed in accordance with the internal
      laws of New York. Whenever possible, each provision of this Agreement shall
      be
      interpreted in such manner as to be effective and valid under applicable law,
      but, if any provision of this Agreement shall be interpreted in such manner
      as
      to be ineffective or invalid under applicable law, such provisions shall be
      ineffective or invalid only to the extent of such prohibition or invalidity,
      without invalidating the remainder of such provision or the remaining provisions
      of this Agreement.

     

    21. Definitions.
      The
      singular shall include the plural and vice versa and any gender shall include
      any other gender as the text shall indicate.

     

    22. Section
      Headings.
      The
      section headings herein are for convenience of reference only, and shall not
      affect in any way the interpretation of any of the provisions
      hereof.

     

    23. Conflicts.
      In the
      event there is a conflict between the terms of this Agreement and the Loan
      Agreement, the Loan Agreement shall control.

     

     

    [SIGNATURE
      PAGE FOLLOWS]

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    IN
      WITNESS WHEREOF,
      Pledgor
      and Pledgee have each caused this Agreement to be duly executed and delivered
      by
      their respective officer or managers, as applicable, thereunto duly authorized
      as of the date first above written.

     

    PLEDGOR:

     

    PACIFICNET
      INC.

     

    By:  /s/
      Victor Tong  

     

    Name:  Victor
      Tong   

     

    Title:  President   

     

    

     

    PLEDGEE

     

    POPE
      INVESTMENT LLC

     

    By:  /s/
      William P. Wells  

     

    Name:  William
      P. Wells  

     

    Title:  PresidentAgreement, by and among AON games Limited, PacificNet Inc and Pope Investments
      LLC, dated February 6, 2007

     

    EXHIBIT
      10.2

     

    AGREEMENT

     

    THIS
      AGREEMENT
      (the
“Agreement”), dated as of February 6, 2007, by and between AON Games Limited, a
      company organized under the laws of the British Virgin Islands (“Aon”),
      PacificNet Inc., a Delaware corporation (“PacificNet”), and Pope Investments
      LLC, a Delaware limited liability company (“Pope”). Capitalized terms used, but
      not otherwise defined herein, shall have the same meanings ascribed to such
      terms in the Loan Agreement (as defined below.)

     

    WHEREAS,
      PacificNet Games Limited, a
      company
      organized under the laws of the British Virgin Islands (the “Company”), and Pope
      have entered into that certain Loan Agreement, dated as of even date herewith
      (as amended, supplemented or modified from time to time, the “Loan Agreement”),
      and the Company has issued a Convertible Secured Promissory Note, in favor
      of
      Pope, dated as of even date herewith (the “Note”, and together with the
      Agreement, the “Loan Documents”) pursuant to which Pope has agreed to lend to
      the Company up to $5,000,000 (the “Loan”) all in accordance with and subject to
      the terms and conditions set forth in the Loan Documents;

     

    WHEREAS,
      in
      connection with the extension of the Loan, the parties hereto have agreed to
      enter into this Agreement, which sets forth certain rights, restrictions and
      obligations of the parties with respect to the transfer and sale of their shares
      of the Company;

     

    NOW,
      THEREFORE,
      in
      consideration of the premises, the mutual covenants herein contained, and other
      good and valuable consideration, the receipt and adequacy of which are hereby
      acknowledged, and to induce Pope to extend credit to the Company, the parties
      hereto agree as follows:

     

    ARTICLE
      I. LOCK
      UP 

     

    Commencing
      on the date hereof until the Maturity Date (the “Lock-Up Period”), Aon
      irrevocably agrees that it will not offer, sell, contract to sell, pledge or
      otherwise dispose of (or enter into any transaction which is designed to, or
      might reasonably be expected to, result in the disposition (whether by actual
      disposition or effective economic disposition due to cash settlement or
      otherwise) by Aon or any of its officers, directors, stockholders, respective
      affiliates or any person in
      privity
      with
      Aon), directly or indirectly, any shares of the Company (the “Shares”)
      beneficially owned, held or hereafter acquired by Aon (a “Prohibited Transfer”).
      For the purposes of this Agreement, a Prohibited Transfer shall not include
      a
      sale during the Lock-Up Period of Shares by Aon to PacificNet as set forth
      in
      ARTICLE II herein.

     

    ARTICLE
      II. PURCHASE
      OF AON’S SHARES

     

    PacificNet
      shall have the right, but not the obligation, at any time upon the occurrence
      of
      an event which would result in the dilution of PacificNet’s ownership of the
      Company below 51% of the voting power of the Company, to purchase from Aon
      such
      number of Shares of the Company to regain such 51%. The purchase and sale of
      the
      Shares shall be on terms reasonably acceptable to and determined by the parties;
      provided,
      however,
      that if
      such purchase and sale under this Article II is triggered by Pope’s
      participation in a Subsequent Financing, such sale shall be on the same terms,
      conditions and price as the Subsequent Financing, except that Aon shall accept
      payment of the purchase price of in cash, or in restricted shares of PacificNet.
      

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    ARTICLE
      III. Tag-Along
      Right.

     

    (a) Transfer
      of Stock.
      Upon
      the expiration of the Lock-Up Period, if AON receives from an unaffiliated
      third
      party of the Company (the “Third Party”) a bona
      fide
      offer to
      purchase a portion of its shares of the Company (the “Third Party Offer”)
      representing five percent (5%) or more of its aggregate ownership interest
      in
      the Company (the “Transfer”), which AON desires to accept, AON must comply with
      the terms of this Article III; provided however, that once all obligations
      in
      respect of the Note which are guaranteed by Sino Mart Management Ltd. and Victor
      Tong pursuant to that Guaranty dated of even date herewith shall have been
      indefeasibly paid in full in cash or Conversion Shares (as defined in such
      Guaranty) and performed and satisfied in full and the Note irrevocably
      terminated, AON shall no longer be required to comply with such terms and this
      Article III (including the right to participate in sales pursuant to Article
      IV
      granted in subparagraph (e) hereof) shall be of no further force and
      effect.

     

    (b) Right
      of Inclusion.
      Aon
      shall provide the Third Party Offer in a written notice (the “Tag Along Notice”)
      to the Company, PacificNet and to Pope and such Third Party Offer must offer
      to
      include Pope in the Transfer to the Third Party. The maximum number of shares
      of
      the Company that Pope may sell pursuant to such Third Party Offer (the “Maximum
      Inclusion Shares”) shall be the product of (i) the number of shares of the
      Company held by Pope at such time and (ii) a fraction, the numerator of which
      is
      the total number of shares of the Company the Third Party seeks to purchase
      pursuant to the Third Party Offer and the denominator of which is the total
      number of shares of the Company then issued and outstanding (on a fully-diluted
      basis).

     

    (c) Inclusion
      Notice.
      At any
      time within seven (7) days of the date of the Tag-Along Notice, Pope may accept
      the offer in the Tag-Along Notice by giving written notice to Aon, the Company
      and PacificNet of its acceptance (the “Inclusion Notice”)
      setting forth the total number of Pope’s shares to be purchased by the Third
      Party (not to exceed the Maximum Inclusion Shares) pursuant to the terms and
      conditions of the Third Party Offer. Pope shall not establish contact with
      any
      such Third Party or in any way, directly or indirectly, seek to negotiate with
      such Third Party or otherwise interfere with or hinder any negotiations between
      Aon and such Third Party, it being understood by all the parties hereto that
      Aon
      shall have sole power and authority to negotiate with and have all contact
      with
      any such Third Party.

     

    (d) Closing.
      Within
      seven (7) days after the expiration of the period for Pope to deliver an
      Inclusion Notice, Aon shall notify the Company, PacificNet and Pope of the
      date,
      time and place set for consummation of the Transfers to the Third Party (the
      “Transfer Closing Date”). The Transfer Closing Date shall be a date mutually
      agreed upon between Aon and the Third Party. On the Transfer Closing Date,
      in
      addition to any other terms of transfer as provided in the Third Party Offer,
      Pope shall deliver to the Third Party (i) the certificates representing the
      shares of the Company to be transferred, which shall be, free of all liens
      and
      encumbrances; and (ii) stock powers duly endorsed in blank; against delivery
      by
      the Third Party of all of the consideration to be received by Aon and Pope.
      Upon
      notice of the consummation of the Transfers to the Third Party, the Secretary
      shall also cause such transfers to be reflected on the books of the
      Company.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    (e) Exclusions.
      This
      tag-along right shall not be available to Pope in the event of a sale and
      purchase of shares in accordance with Article II herein. Notwithstanding the
      foregoing, this tag along right may be exercised in the event PacificNet
      exercises its right of first refusal in accordance with Article IV
      below.

     

    ARTICLE
      IV. Right
      of First Refusal

     

    4.01 Upon
      the
      receipt by PacificNet of the Tag Along Notice referred to in Article III(b),
      PacificNet shall have the right, but not the obligation, on the same terms,
      conditions and price provided for in the Third Party Offer, to purchase all,
      or
      any portion of the shares included in the Third Party Offer. 

     

    4.02 If
      PacificNet desires to purchase any or all of the shares included in the Third
      Party Offer, PacificNet shall provide written notice to the Company, Aon and
      Pope not later than 5:30 p.m. (Hong Kong time) on the third Business Day after
      receipt of the Tag Along Notice. Such notice shall state the amount of
      PacificNet’s participation, and that PacificNet has such funds ready, willing
      and available to purchase the shares on the terms set forth in the Third Party
      Offer. If Aon receives no notice from PacificNet as of such third Business
      Day,
      PacificNet shall be deemed to have notified Aon that it does not elect to
      participate. Upon receipt of such written notice from PacificNet, Aon shall
      immediately deliver to PacificNet all documents required to be executed in
      connection with the purchase and sale and as set forth in Article III(d) shall
      advise PacificNet of the closing date.

     

    ARTICLE
      V. GENERAL
      PROVISIONS

     

    5.01Notices.
      Any
      notice herein required or permitted to be given shall be in writing and shall
      be
      deemed effectively given: (a) upon personal delivery to the party notified,
      (b)
      when sent by confirmed telex or facsimile if sent during normal business hours
      of the recipient, if not, then on the next business day, (c) five days after
      having been sent by registered or certified mail, return receipt requested,
      postage prepaid, or (d) one day after deposit with a nationally recognized
      overnight courier, specifying next day delivery, with written verification
      of
      receipt. All communications shall be sent to Aon at Flat B, 14/F, Charmhill
      Ctr,
      50 Hillwood Road, Tsimshatsui, Hong Kong, to Pope at 5100 Poplar Avenue, Suite
      805, Memphis, TN 38137, USA and to PacificNet at 23rd Floor, Building A,
      TimeCourt, No.6 Shuguang Xili, Chaoyang District, Beijing, China, 100028, with
      a
      copy to Loeb & Loeb LLP, 345 Park Avenue, New York, New York 10154, Attn:
      Mitchell S. Nussbaum, Esq., facsimile number (212) 407-4990, to or at such
      other
      address as the parties may designate by ten days advance written notice to
      the
      other parties hereto. 

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    5.02Amendments
      and Waivers.
      The
      provisions of this Agreement may from time to time be amended, modified or
      waived, if such amendment, modification or waiver is in writing and consented
      to
      in writing by the parties hereto.

     

    5.03 Entire
      Agreement.
      This
      Agreement and the other Loan Documents contain the entire understanding between
      the parties hereto with respect to the transactions contemplated herein and
      such
      understanding shall not be modified except in writing signed by or on behalf
      of
      the parties hereto.

     

    5.04 Severability.
      Wherever possible, each provision herein shall be interpreted in such manner
      as
      to be effective and valid under applicable law. Should any portion of this
      Agreement be declared invalid for any reason in any jurisdiction, such
      declaration shall have no effect upon the remaining portions of this Agreement.
      Furthermore, the entirety of this Agreement shall continue in full force and
      effect in all other jurisdictions and said remaining portions herein shall
      continue in full force and effect in the subject jurisdiction as if this
      Agreement had been executed with the invalid portions thereof
      deleted.

     

    5.05 Governing
      Law.
      This
      Agreement is and shall be deemed to be a contract entered into and made pursuant
      to the laws of Hong Kong and shall in all respects be governed, construed,
      applied and enforced in accordance with the laws of said territory.

     

    5.06 Headings.
      The
      section headings herein are included for convenience only and shall not be
      deemed to be part of this Agreement.

     

    5.07 Counterparts.
      This
      Agreement may be executed in one or more counterparts, which when taken together
      shall constitute one and the same document.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    IN
      WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly
      executed as of the date first above written.

     

     

    AON
      GAMES
      LIMITED

     

    By:/s/
      Ronald Leung

    Name:
      Ronald Leung

    Title:
      Director

     

    

     

    PACIFICNET
      INC.

     

    By:/s/
      Victor Tong

    Name:
      Victor Tong

    Title:
      President

     

    

     

    POPE
      INVESTMENTS LLC

     

    By:
      /s/
      William P. Wells

    Name:
      William P. Wells

    Title:
      President

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