Document:

EXHIBIT 10.1
                                  ------------

                              EMPLOYMENT AGREEMENT

          THIS  AGREEMENT  (the  "Agreement")  is  dated  as  of October 1, 2000
between  RF  Technologies,  Inc., also to be known as QuadraComm, Inc. (RFTI), a
public  Colorado  corporation  with  its  headquarters  in  Tampa, Florida, both
hereinafter  referred  to  as  the  "Company", and Robert W. Ellis ("Employee").

          WHEREAS,  the  Company  is  presently  in  the business of developing,
marketing, and/or distributing a variety of RF application products and services
for  domestic  and  international  telecommunications  ;  and

          WHEREAS,  Employee  desires  to  become  employed  by  the  Company as
President  and  a  Director  for  the  Company  and the Company desire to employ
Employee  in  such  capacities  pursuant  to  the  terms  hereof;  and

          WHEREAS,  in  such capacity, Employee has agreed to be responsible for
all  executive  operations  of  the  Company  as more fully provided herein, all
subject  to  the  direction  of  the  Board  of  Directors  of  the  Company;

          NOW, THEREFORE, in consideration of the mutual promises and conditions
contained  herein,  and  other  good and valuable consideration, the adequacy of
which  the  parties  hereby  acknowledge,  the  parties  hereto, intending to be
legally  bound,  hereby  agree  as  follows:

          1.     Employment of Employee. The Company hereby employs Employee,
                 ----------------------
and Employee hereby accepts employment, as President of the Company upon the
terms and conditions of this Agreement.

          2.     Term of Agreement. This Agreement shall remain in force and
                 -----------------
effect for a four- year (4) period commencing on October 1, 2000 (the
"Employment Date") and ending at the close of business on September 30, 2004
unless sooner terminated pursuant to paragraph 9 below (the "Initial Term").  At
the end of the Initial Term, the Company may, in its sole discretion, extend the
term of this Agreement for up to three additional successive one-year periods
(each such one-year period referred to herein as a "Renewal Term") by providing
written notice to the Employee at least ninety (90) days prior to the expiration
of the Initial Term or of any Renewal Term, as applicable.  (The Initial Term
together with any Renewal Term(s) granted by the Company is sometimes
collectively referred to herein as the "Term").

Initials:

  /i/        By:   /i/
--------        --------
Employee        Company

                                  Page 1 of 8
<PAGE>
          3.     Employee's Duties.  During the Term of this Agreement, Employee
                 -----------------
shall  serve  as President for the Company, and be responsible for the executive
and general management of all of the activities of the Company.  All activities,
including,  but  not  limited to the foregoing activities, shall be conducted by
Employee  under the direction of and subject to the control of the Company Board
of  Directors.

          4.     Loyalty  to  the  Company. Employee shall devote his full time,
                 -------------------------
attention  and  efforts  to  the  business and affairs of the Company and to the
performance of his duties and responsibilities during the Term hereof.  Employee
shall  owe  his full loyalty to the Company and shall not engage in any activity
or  enter  into  any  transaction  that  would or might constitute a conflict of
interest,  or  the appearance thereof, with the duties and loyalties owed by him
to the Company.  Without limiting the foregoing, Employee agrees that during the
Term  of this Agreement, Employee will not engage in any business activity other
than  those  duties described in this Agreement, whether or not such business is
pursued  for  gain  or  profit,  or  other  pecuniary advantage.  However, it is
understood  by the Parties that Employee is currently assisting existing prepaid
cellular  participants  in  creating  technology  and  business  solutions which
benefit  those  clients  and  will likely benefit the Company in some measurable
manner  in  the  near future.  Such assistance is acceptable within the terms of
this  Agreement  as  long  as  it  is performed on a non-interference basis with
Company  business  and  does  not  negatively impact the Company's position, and
ability  to compete, in the prepaid cellular marketplace.  In addition, Employee
may invest his assets in such form or manner as will not require his services in
the  operation  of  the  affairs  of the companies in which such investments are
made,  provided  that  such  investments  are  not  wholly or in part based upon
confidential  information  obtained  in his employment with the Company.  If any
such investment is contemplated to be made with a competitor of the Company, the
specific  nature  and amount of the investment shall be disclosed to the Company
in  writing prior to such investment and such investment may not be made without
the  prior  approval in writing of the Board of Directors of the Company.  It is
also acceptable for Employee to serve on the Board of Directors or as Trustee to
outside companies as long as there is no competitive conflict of interest in the
association.

          5.     Salary.
                 ------

               (a)     Base  Salary.  In consideration of the performance by the
                       ------------
Employee  of the duties and obligations contained in this Agreement, the Company
shall  pay  Employee  an  initial  gross salary of $12,000 per month, payable in
accordance  with the normal payroll practices of the Company.  Any amounts shall
be  prorated for periods less than a month.  Salary payments shall be subject to
withholding  and  other  applicable  taxes  and  deductions.  The aforementioned
initial  salary  will  be subject to review by the Company, which may decide, in
their  sole  discretion, to raise such salary.  Such review shall occur at least
annually,  on  or  about  each  Employment  Date  anniversary.

          6.     Bonus  Eligibility
                 ------------------

               (a)     Signing  Bonus.  Employee shall receive 275,000 shares of
                       --------------
Rule  144 restricted Common Stock of Company upon the signing of this employment
contract.

               (b)     Stock  Options.  In addition to the base salary described
                       --------------
in  paragraph 5 above, Employee shall be eligible to receive options to purchase
common stock of the Company at least annually based upon an Executive Management
Stock  Option Program to be developed and approved by

Initials:

  /i/        By:   /i/
--------        --------
Employee        Company

                                  Page 2 of 8
<PAGE>
Company  Management and the Board of Directors at their earliest convenience. It
is  anticipated  that  such  Program  will  remain in force during the period of
employment  of  Employee, and shall be based upon the individual job performance
of  Employee  and  upon  the  financial performance of the consolidated Company.
Earned options shall fully vest upon the date of each individual grant and shall
expire,  if  not  exercised,  with  five  (5)  years  of  the date of the grant.

               (c)     Additional  Bonus.  The  Employee  may be eligible for an
                       ------------------
additional  Performance  bonus  under  an  Executive  Compensation Program to be
developed  and  approved  by  Management  and  the  Board  of Directors at their
earliest  convenience. The calculation of earned bonus will likely be based upon
the  Company's  financial performance against certain performance criteria to be
determined during the structuring of the Program. The threshold for enacting the
bonus  pool  for a specific period shall be Company attainment of eighty percent
(80%)  or  more performance against the applicable goals generated and approved.
Said  goals  and  objectives  will  be  officially revised for bonus calculation
purposes,  as  required  by  changes  in  business events and forecasts, only as
approved  by  the  Board  of  Directors  of  the  Company.

Each earned bonus will be calculated from the following sliding scale:

     Level of Company goal performance          80%     100%   120%

     Payout % of Employee's annual salary       20%      30%    40%

If  goals  are achieved, and a bonus is earned for a period, Employee shall have
the  option  of  receiving  the bonus in cash or in Common Stock in the Company.
If stock is chosen, the number of shares to be issued will be calculated using a
formula  to  be  developed  during  the  program  creation.

          7.     Benefits.  Employee  shall  be  entitled  to  receive  benefits
                 --------
made  available  to  other Executive Officers within the Company consistent with
the  policies  and  practices  of  the Company effected from time to time. These
benefits  are  anticipated  to  include  health,  dental,  and  vision insurance
benefits, term life insurance at annual salary multiples to be determined, short
and long-term disability, one month annual vacation, holiday pay consistent with
Company standard practices, and an Executive Deferred Compensation Program to be
developed. The Company will fund and maintain a Directors and Officers Liability
Indemnity  Insurance  policy  to  adequately protect Employee from inappropriate
liability  and expense incurred through legal actions precipitated during normal
course  of conducting Company business. The Company will provide Employee with a
leased  vehicle  of  Employee's  choice,  or a vehicle allowance if preferred by
Employee,  but  said vehicle must be appropriate for executive business use, and
must  carry a monthly lease rate/allowance rate not to exceed $600.00 per month.
If  Employee  chooses  the  lease  option,  the  Company will maintain insurance
coverage  at  standard  Company  values,  and  will  provide coverage for normal
maintenance  and  operating  expenses.

          8.     Business  Expenses.  Employee  may incur expenses in connection
                 ------------------
with  the  performance  of  his duties as President or Director for the Company,
including  expenses  for business travel, meals, lodging, customer entertainment
and  similar items.  The Company will reimburse Employee for all such customary,
reasonable  and  necessary  expenses upon Employee's periodic presentation of an

Initials:

  /i/        By:   /i/
--------        --------
Employee        Company

                                  Page 3 of 8
<PAGE>
itemized  and documented account of such expenditures and in accordance with the
Company's expense reimbursement policies for Travel and Entertainment, which are
in  effect  al  the  time  the  expense  is  incurred.

          9.     Termination.
                 -----------

               (a)     Termination  by  the  Company.
                       -----------------------------

                    i.     For  Cause.  The Company may terminate the Employee's
                           ----------
employment  with the Company at any time for "cause," which termination shall be
effective  immediately  upon  written notice to Employee.  The Company shall pay
base  salary through the date of termination and have no further  obligations to
Employee as of the date of termination.  For purposes of this Agreement, "cause"
is  defined  to mean such act, omission or course of conduct which the Companies
determine is (1) a willful violation of any of the provisions of this Agreement;
             ---
(2)  willful  misconduct  which  is  demonstrably  injurious  to  the  Company,
---
monetarily  or  otherwise;  (3) the commission of a felony involving the Company
                            ---
and/or its business and suggesting moral  turpitude on the part of the Employee,
whether  or not the Employee ultimately is indicted, arraigned or convicted; (4)
                                                                             ---
improper  or  unethical  business  activity,  including, but not limited to, the
Employee's  fraud,  misappropriation,  embezzlement,  dishonesty,  unlawful
harassment,  or  gross  negligence,  (5)  lack  of  sufficient effort or willful
                                     ---
neglect  in  the  performance  of  his  duties; or (6)  inability to perform the
                                                   ---
essential  functions  of  the  job,  even  with  reasonable accommodation by the
Company,  due  to  disability  of  thirty  days  or  more.

                    ii.     Without  Cause.  The  Company  may  terminate  the
                            --------------
Employee's  employment with the Company without cause, effective upon thirty(30)
days written notice to Employee.  Employee shall be entitled to (a) continuation
of  compensation  as  provided in Paragraph 5,6 & 7 through the original term of
Employment  Agreement.  In  such  event,  Employee, if requested by the Company,
shall  continue  to render his services and shall be paid his regular salary and
receive  his normal benefits up to the effective date of termination.  All stock
options in Employment Agreement shall be considered vested at the time of actual
termination.

               (b)     Termination  by  Employee.  Employee  may  terminate  his
                       -------------------------
employment  under  this Agreement at any time upon thirty(30) days notice to the
Company.  In  such  event, Employee, if requested by the Company, shall continue
to  render  his  services  and  shall be paid his regular salary and receive his
normal  benefits  only  up  to the effective date of termination.  The Company's
personnel  obligations  to  the Employee shall cease as of the effective date of
termination.

               (c)     Termination  Upon  Death.  This Agreement shall terminate
                       ------------------------
automatically  upon the death of Employee during the Term hereof, and all salary
payments  shall  immediately  cease  upon  death.

          10.     Restrictive  Covenants.
                  ----------------------

               (a)     Covenant  Not  To Compete.  Employee acknowledges that as
                       -------------------------
President,  Employee  shall  be  engaged,  without limitation, in performing the
other  duties  set forth in Paragraph 3 herein.  Employee also acknowledges that
the  Company  and  its  affiliates  are  currently  engaged  in  domestic  and
international  telecommunication  products  and services.  Employee agrees that,
during  the  term  of  his  employment  and  for  a period of one year after the
expiration  or  termination  of  his  employment  with the Company, whether such
termination  is  voluntary  or involuntary, with or without cause, he shall not,
either  directly  or  indirectly,  for  himself  or through, on behalf of, or in
conjunction with any other

Initials:

  /i/        By:   /i/
--------        --------
Employee        Company

                                  Page 4 of 8
<PAGE>
person or legal entity, perform the same services for any other business engaged
in  providing  directly  competitive  services.

               (b)     Non-Interference  with  Employees.  During  the  term  of
                       ---------------------------------
Employee's  employment  and  for  a  period  of one year after the expiration or
termination  of  his  employment  with  the Company, whether such termination is
voluntary  or involuntary, with or without cause, Employee will not, directly or
indirectly,  on his own behalf or on behalf of or in conjunction with any person
or  legal  entity other than the Company, recruit, solicit, or induce or attempt
to  recruit, solicit or induce any employee of the Company to become employed by
or  to  be  engaged  in  a  business  engaged  in  providing  the  Services.

               (c)     Non-Solicitation  Covenant.  Employee  agrees that during
                       --------------------------
the  term of his employment and for a period of one year after the expiration or
termination  of  his  employment  by  the  Company,  whether such termination is
voluntary  or involuntary, with or without cause, Employee will not, directly or
indirectly,  on his own behalf or on behalf of or in conjunction with any person
or  entity other than the Company, actively solicit the business or patronage of
any  of  the  clients,  customers  or accounts of the Company served by Employee
during  the  term  of  this  Agreement.

               (d)     Non-Disclosure  Covenants.  Employee acknowledges that as
                       -------------------------
an  integral part of the Company's business, the Company has developed, and will
develop,  at  a  considerable investment of time and expense, plans, procedures,
methods of operation, methods of production, financial data, lists of actual and
potential  customers, suppliers, marketing strategies, plans for development and
expansion,  customer  and  supplier  data,  and other confidential and sensitive
information,  and Employee acknowledges that the Company has legitimate business
interest  in  protecting  the  confidentiality  of  such  information.  Employee
acknowledges  that  as President for the Company, he will be entrusted with such
information.  Employee, therefore, acknowledges a continuing responsibility with
respect  to  the  protection  of  the  information  and  agrees:

                    i.     "Trade  Secrets"  shall  be  defined  as information,
without  regard  to  form, belonging to the Company or licensed by it including,
but  not  limited  to,  technical  or  nontechnical  data,  formulae,  patterns,
compilations,  programs,  devices,  methods,  techniques,  drawings,  processes,
financial  data, financial plans, product plans, or lists of actual or potential
customers of suppliers which is not commonly known by or available to the public
and  which information: (a) derive economic value, actual or potential, from not
being  generally  known  to, and not being readily ascertainable by proper means
by,  other  persons  or  entities  who  can  obtain  economic  value  from their
disclosure  or use; and (b) are the subject of efforts that are reasonable under
the  circumstances  to  maintain  their  secrecy.

                    ii.     "Confidential  Information" shall be defined, as any
information  belonging to the Company or licensed by it other than Trade Secrets
with  is  material  to  the  Company  and  not  generally  known  by the public.

                    iii.     Employee  will  treat as confidential and will not,
without  the  prior  written  approval  of  the  Company, use (other than in the
performance  of  his  duties of employment with the Company), publish, disclose,
copyright  or  authorize  anyone  else  to  use, publish, disclose or copyright,
either  during  the  term  of  Employee's  employment  or at any time subsequent
thereto,  any

Initials:

  /i/        By:   /i/
--------        --------
Employee        Company

                                  Page 5 of 8
<PAGE>
information which constitutes Trade Secrets of the Company whether or not the
Trade Secrets are in written or tangible form.

                    iv.     Employee  will  treat  as confidential and will not,
without  the  prior  written  approval  of  the  Company, use (other than in the
performance  of  his  duties  of employment with the Company), publish disclose,
copyright  or  authorize anyone else to use, publish, disclose or copyright, any
Confidential  Information  either  during  the term of his employment or for one
year  after termination of employment, whether voluntary or involuntary, with or
without  cause, and whether or not the Confidential Information is in written or
other  tangible  form.

                    v.     All records, notes, files, drawings, documents, plans
and  like items, and all copies thereof, relating to or containing or disclosing
Confidential Information or Trade Secrets of the Companies which be made or kept
by  Employee  or which are disclosed to or come into the possession of Employee,
shall  be  and  remain  the  sole  and  exclusive property of the Company.  Upon
termination  of  employment,  Employee  agrees  to deliver to the Company or its
designee,  the  originals  and  all  copies  of  any  of  the  foregoing.

          11.     Proprietary  Rights  In  Developments.  In  the  course  of
                  -------------------------------------
rendering  his services to the Company, Employee may conceive, create or develop
or  invent  ideas,  concepts, methods of operation, processes, programs or other
matter or material, whether or not constituting an advance to, or an improvement
of,  or  pertaining  to  existing  Company  proprietary matter (all of which are
hereinafter  referred  to  as "Developments"). All Developments shall constitute
Confidential Information (and may constitute Trade Secrets) and shall be subject
to  all  of the restrictions imposed on Employee pursuant to this Agreement.  In
addition,  all  Developments  and  all  rights  therein  throughout  the  world
constitute  works made for hire and in all circumstances shall be and remain the
sole  and exclusive property of the Company whether or not protectible under any
laws  now  known  or  hereafter applicable, including but not limited to patent,
copyright,  trademark  or  trade  secret  laws.

               (a)     Assignment  by  Employee  of  All Rights in Developments.
                       --------------------------------------------------------
Employee hereby assigns to the Company all rights throughout the world, however,
denominated (whether under patent, copyright, trademark, trade secret or like or
different  laws), in all media now known or hereafter recognized, in and to each
such  Development.  This  assignment  is not intended to derogate any rights the
Company  has as an author of a work made for hire.  In order to fully effectuate
these provisions, Employee hereby represents and warrants, that, with respect to
each  such  Development:  (i) to the extent of Employee's contribution, all such
matter  is  original and does not and will not infringe or violate the rights of
any  other  person  or  entity; and (ii) that neither Employee nor anyone on his
behalf  have  granted  or  will grant or purport to grant to any other person or
entity  any  rights,  in  whole  or  in  part,  in  and  to  such  Developments.

               (b)     Cooperation.  Employee  shall,  during  and  after
                       -----------
termination  of  Employee's  employment,  cooperate  with  the  Company  in  the
prosecution or defense of any claims, litigation, or other proceedings involving
the  Developments and provide such information and execute such documents as the
Company  may  reasonably  request to confirm, implement or enforce its rights in
such Developments.  The Company shall be responsible for the expenses associated
with  the  filing  of  any  patent,  copyright,  trademark or like applications.

Initials:

  /i/        By:   /i/
--------        --------
Employee        Company

                                  Page 6 of 8
<PAGE>
          12.     Remedies  for  Breach.  In  the  event of Employee's actual or
                  ---------------------
threatened  breach  of  the  provisions  of Paragraphs 10 or 11, the Company, in
addition  to  all  other  rights, shall be entitled to an injunction-restraining
Employee therefrom.  Nothing herein shall e construed as prohibiting the Company
form  pursuing  any other available remedy for such breach or threatened breach,
including  the recovery of damages from Employee. This provision shall remain in
full  force  and  effect  in  the  event  Employee should claim that the Company
violated  any of the terms of this Agreement.  In such event, Employee agrees to
pursue  such  claim against the Company independently of his covenants set forth
in  such  Paragraphs.

          13.     Governing  Law.  This  Agreement  shall  be  construed  under,
                  --------------
governed  by, and enforced in accordance with, the laws of the State of Florida,
not  including  its  conflicts  of  law  principles.

          14.     Right  of  Offset.  In  the event Employee violates any of the
                  -----------------
terms  or  conditions  of  this  Agreement, the Company shall have the right, in
addition  to, and not in lieu of all other rights at law or in equity, to offset
the  amount  of  any damages caused by such breach or violation against any sums
due  or  to  become  due  to  Employee  under  the  terms  of  this  Agreement.

          15.     Notice.  Any notice required or desired to be given under this
                  ------
Agreement  shall  be  deemed  given  in  writing  and  hand-delivered or sent by
Certified  mail to his address shown herein below in the case of Employee, or to
its  principal  office  in  the  case  of  the  Company.

          16.     No  Waiver  by Company.  The waiver by the Company of a breach
                  ----------------------
of any provision of this Agreement by Employee shall not operate or be construed
as  a  waiver  of  any  subsequent breach by Employee.  No waiver shall be valid
unless  in  writing  and  signed  by  an  authorized  Officer  of  the  Company.

          17.     Assignment.  Employee  acknowledges  that  the  services to be
                  ----------
rendered  by  him are unique and personal.  Accordingly, Employee may not assign
any  of  his  rights  or  delegate  any  of his duties or obligations under this
Agreement.  The rights and obligations of the Company under this Agreement shall
inure  to the benefit of and shall be binding upon the successors and assigns of
the  Company.

          18.     Severability.  Should  any  part  of  this  Agreement, for any
                  ------------
reason,  be  declared  invalid  by  an  arbitrator  or  a  court  of  competent
jurisdiction,  such  decision  or determination shall not affect the validity of
any  remaining  portion,  and  such  remaining portion shall remain in force and
effect  as  if  this  Agreement  had  been  executed  with  the  invalid portion
eliminated;  provided,  that  in  the  event  of declaration of invalidity , the
provision  declared  invalid shall not be invalidated in its entirety, but shall
be  observed  and performed by the parties to the extent such provision is valid
and  enforceable.

          19.     Complete  Agreement.  This  Agreement  shall  constitute  the
                  -------------------
entire  agreement  between  the  parties hereto and shall supersede all previous
negotiations,  commitments  and  writings with respect to Employee's employment.
Any  subsequent  alteration  or  modification  to this Agreement must be made in
writing  and  signed  by  both  parties.

     EMPLOYEE  ACKNOWLEDGES  THAT  HE HAS HAD THE OPPORTUNITY TO CONSULT WITH AN
ATTORNEY  OR  ANY  OTHER  INDIVIDUAL  FROM  WHOM  HE

Initials:

  /i/        By:   /i/
--------        --------
Employee        Company

                                  Page 7 of 8
<PAGE>
WISHED  TO  OBTAIN ADVICE CONCERNING THIS AGREEMENT. EMPLOYEE STATES THAT HE HAS
CAREFULLY  READ  THE  WITHIN  AND FOREGOING "EMPLOYMENT AGREEMENT" AND KNOWS AND
UNDERSTANDS  THE  CONTENTS  THEREOF AND THAT HE IS EXECUTING THE SAME AS HIS OWN
FREE  ACT  AND  DEED.

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

COMPANY:                               EMPLOYEE:

By:   /s/ Ron Lambrecht                ROBERT W. ELLIS
----------------------------

Name:  Ron Lambrecht
----------------------------
Its:   Tres.                           /s/  Robert W. Ellis
----------------------------           -------------------------
       QuadraComm.

Date:  10-6-00                         Date:   10-1-00
----------------------------           -------------------------

Initials:

  /i/        By:   /i/
--------        --------
Employee        Company

                                  Page 8 of 8

<PAGE>AGREEMENT BY AND BETWEEN
                              Goleta National Bank
                               Goleta, California
                                      and
                  The Office of the Comptroller of the Currency

     Goleta National Bank, Goleta, California (Bank) and the Comptroller of the
Currency of the United States of America (Comptroller) wish to protect the
interests of the depositors, other customers, and shareholders of the Bank, and,
toward that end, wish the Bank to operate safely and soundly and in accordance
with all applicable laws, rules and regulations.

     The Comptroller, through his National Bank Examiner, has examined the Bank,
and his findings are contained in the Report of Examination dated July 6, 1999
(ROE).

     In consideration of the above premises, it is agreed, between the Bank, by
and through its duly elected and acting Board of Directors (Board), and the
Comptroller, through his authorized representative, that the Bank shall operate
at all times in compliance with the articles of this Agreement.

                                    ARTICLE I

                                  JURISDICTION
                                  ------------

     (1)     This Agreement shall be construed to be a "written agreement
entered into with the agency" within the meaning of 12 U.S.C, Sec. 1818(b)(1).

     (2)     This Agreement shall be construed to be a "written agreement
between such depository institution and such agency" within the meaning of 12
U.S.C. Sec. 18l8(e)(1) and 12 U.S.C. Sec. 1818(i)(2).

     (3)     This Agreement shall be construed to be a "formal written
agreement" within the meaning of 12 C.F.R. Sec. 5.51(c)(6)(ii). See 12 U.S.C.
                                                                ---
Sec. 1831i.

<PAGE>
     (4)     This Agreement shall be construed to be a "written agreement"
within the meaning of 12 U.S.C. Sec. 1818(u)(1)(A).

                                   ARTICLE II

                          PROGRESS REPORTING - MONTHLY
                          ----------------------------

     (1)     The Board shall submit monthly progress reports to the Director for
Special Supervision/Fraud, Mail Stop 6-4, 250 E. Street, SW, Washington, DC
20219. These reports shall set forth in detail:

          (a)  actions taken since the prior progress report to comply with each
               Article of the Agreement;

          (b)  results of those actions; and

          (c)  a description of the actions needed to achieve full compliance
               with each Article of this Agreement.

     (2)     The progress reports should also include any actions initiated by
the Board and the Bank pursuant to the criticisms and comments in the Report of
Examination or in any future Report of Examination.

     (3)     The first progress report shall be submitted for the period ending
April 30, 2000 and will be due within fifteen (15) days of that date.
Thereafter, progress reports will be due within fifteen (15) days after the
month end.

                                   ARTICLE III

                                 CONCENTRATIONS
                                 --------------

     (1)     Within thirty (30) days, the Board shall adopt, implement, and
thereafter ensure Bank adherence to a written asset diversification program
consistent with 12 C.F.R. Sec. 34, OCC

                                      -2-
<PAGE>
Bulletin 99-38, and OCC Banking Circular 255. The program shall include, but not
necessarily be limited to, the following:

          (a)  a review of the balance sheet to identify any concentrations of
               credit;

          (b)  a written analysis of any concentration of credit identified
               above in order to identify and assess the inherent credit,
               liquidity, and interest rate risk;

          (c)  policies and procedures to control and monitor concentrations of
               credit;

          (d)  an action plan approved by the Board to reduce the risk of any
               concentration deemed imprudent in the above analysis; and

          (e)  specific plans to reduce the HLTV concentration, exclusive of
               loans brought back from the securitizations, to 100% of capital
               by September 30, 2000.

     (2)     For purposes of this Article, a concentration of credit is as
defined in Section 216 of the Comptroller's Handbook for National Bank
                              ----------------------------------------
Examiners.
----------

     (3)     The Board shall ensure that future concentrations of credit are
subjected to the analysis required by subparagraph (b) and mat the analysis
demonstrates that the concentration will not subject the Bank to undue credit or
interest rate risk.

     (4)     The Board shall forward a copy of the written asset diversification
program and any analysis performed on existing or potential concentrations of
credit to the Director for Special Supervision/Fraud immediately following the
review.

     (5)     The Board shall ensure that the Bank has processes, personnel, and
control systems to ensure implementation of and adherence to the program
developed pursuant to this Article,

                                      -3-
<PAGE>
                                   ARTICLE IV

                        CAPITAL PLAN AND HIGHER MINIMUMS
                        --------------------------------

     (1)     The Bank shall achieve by September 30, 2000 and thereafter
maintain the following capital levels (as defined in 12 C.F.R. Part 3):

          (a)  Total capital at least equal to twelve percent (12%) of
               risk-weighted assets;

          (b)  Tier 1 capital at least equal to seven percent (7%) of adjusted
               total assets.

     (2)     Within sixty (60) days, the Board shall develop, implement, and
thereafter ensure Bank adherence to a three year capital program. The program
shall include:

          (a)  specific plans for the maintenance of adequate capital that may
               in no event be less than the requirements of paragraph (1);

          (b)  projections for growth and capital requirements based upon a
               detailed analysis of the Bank's assets, liabilities, earnings,
               fixed assets, and off-balance sheet activities;

          (c)  projections of the sources and timing of additional capital to
               meet the Bank's current and future needs;

          (d)  the primary source(s) from which the Bank will strengthen its
               capital structure to meet the Bank's needs;

          (e)  contingency plans that identify alternative methods should the
               primary source(s) under (d) above not be available; and

          (f)  a dividend policy that permits the declaration of a dividend
               only:

               (i)  when the Bank is in compliance with its approved capital
                    program;

               (ii) when the Bank is in compliance with 12 U.S.C. Sec. 56
                    and 60; and

                                      -4-
<PAGE>
               (iii) with the prior written approval of the Director for Special

                     Supervision/Fraud.

     (3)     Upon completion, the Bank's capital program shall be submitted to
the Director for Special Supervision/Fraud for approval. Upon approval by the
Director for Special Supervision/Fraud, the Bank shall implement and adhere to
the capital program. The Board shall review and update the Bank's capital
program on an annual basis, or more frequently if necessary. Copies of the
reviews and updates shall be submitted to the Director for Special
Supervision/Fraud.

     (4)     The Board shall ensure that the Bank has processes, personnel, and
control systems to ensure implementation of and adherence to the program
developed pursuant to this Article.

                                    ARTICLE V

                               GROWTH RESTRICTIONS
                               -------------------

     (1)     The Bank shall not permit its average total assets during any
calendar quarter to exceed its average total assets during the preceding
calendar quarter unless:

          (a)  the Bank's capital restoration program pursuant to Article IV has
               been accepted and approved by the Director for Special
               Supervision and Fraud; and

          (b)  any increase in total assets is consistent with the strategic and
               capital plans submitted pursuant to this Agreement.

                                      -5-
<PAGE>
                                   ARTICLE VI

                       ALLOWANCE FOR LOAN AND LEASE LOSSES
                       -----------------------------------

     (1)     The Board shall review the adequacy of the Bank's Allowance for
Loan and Lease Losses (Allowance) and shall establish a program for the
maintenance of an adequate Allowance. This review and program shall be designed
in light of the comments on maintaining a proper Allowance found in the
Allowance for Loan and Lease Losses booklet of the Comptroller's Handbook, and
                                                   ----------------------
shall focus particular attention on the following factors:

          (a)  results of the Bank's internal loan review;

          (b)  results of the Bank's external loan review;

          (c)  an estimate of inherent loss exposure on each significant credit;

          (d)  loan loss experience;

          (e)  trends of delinquent and nonaccrual loans;

          (f)  concentrations of credit in the Bank; and

          (g)  present and prospective economic conditions.

     (2)     The program shall provide for a review of the Allowance by the
Board at least once each calendar quarter. Any deficiency in the Allowance shall
be remedied in the quarter it is discovered, prior to the filing of the
Consolidated Reports of Condition and Income, by additional provisions from
earnings. Written documentation shall be maintained indicating the factors
considered and conclusions reached by the Board in determining the adequacy of
the Allowance.

     (3)     A copy of the Board's program shall be submitted to the Director
for Special Supervision/Fraud for review.

                                      -6-
<PAGE>
     (4)     The Board shall ensure that the Bank has processes, personnel, and
control systems to ensure implementation of and adherence to the program
developed pursuant to this Article.

                                   ARTICLE VII

                      BOARD TO ENSURE COMPETENT MANAGEMENT
                      ------------------------------------

     (1)     Within sixty (60) days, the Board shall ensure that the Bank has
competent management in place on a full-time basis in its senior executive
positions to carry out the Board's policies, ensure compliance with this
Agreement, applicable laws, rules and regulations, and manage the day-to-day
operations of the Bank in a safe and sound manner.

     (2)     Within sixty (60) days, the Board shall review the capabilities of
the Bank's management to perform present and anticipated duties and the Board
will determine whether management changes should be made, including the need for
additions to or deletions from current management.

     (3)     For incumbent officers in the senior executive positions mentioned
in Paragraph (1) of this Article, the Board shall within sixty (60) days assess
each of these officers' experience, other qualifications and performance
compared to the position's description, duties and responsibilities.

     (4)     If the Board determines that an officer will continue in his/her
position but that the officer's depth of skills needs improvement, the Board
will within thirty (30) days of the assessment in Paragraph (3) of this Article,
develop and implement a written program, with specific time frames, to improve
the officer's supervision and management of the Bank. At a minimum the written
program shall include:

          (a)  an education program designed to ensure that the officer has
               skills and abilities necessary to supervise effectively;

                                      -7-
<PAGE>
          (b)  a program to improve the effectiveness of the officer;

          (c)  objectives by which the officer's effectiveness will be measured;
               and

          (d)  a performance appraisal program for evaluating performance
               according to the position's description and responsibilities and
               for measuring performance against the Bank's goals and
               objectives.

Upon completion, a copy of the written program shall be submitted to the
Director for Special Supervision/Fraud.

     (5)     Prior to the appointment of any individual to an executive officer
position, the Board shall submit to the Director for Special Supervision/Fraud
the following information:

          (a)  the information sought in the "Changes in Directors and Senior
               Executive Officers" booklet of the Comptroller's Corporate
                                                  -----------------------
               Manual, together with a legible fingerprint card for the proposed
               ------
               individual;

          (b)  a written statement of the Board's reasons for selecting the
               proposed officer; and

          (c)  a written description of the proposed officer's duties and
               responsibilities.

     (6)     The Director for Special Supervision/Fraud shall have the power of
veto over the employment of the proposed executive officer. However, the failure
to exercise such veto power shall not constitute an approval or endorsement of
the proposed officer.

     (7)     The requirement to submit information and the prior veto provisions
of this Article are based on the authority of 12 U.S.C. Sec. 1818(b)(6)(E) and
do not require the Comptroller to complete his/her review and act on any such
information or authority within ninety (90) days.

                                      -8-
<PAGE>
                                  ARTICLE VIII

                                 STRATEGIC PLAN
                                 --------------

     (1)     Within ninety (90) days, the Board shall adopt, implement, and
thereafter ensure Bank adherence to a written strategic plan for the Bank
covering at least a three-year period. The strategic plan shall establish
objectives for the Bank's overall risk profile, earnings performance, growth,
balance sheet mix, off-balance sheet activities, liability structure, capital
adequacy, reduction in the volume of nonperforming assets, product line
development and market segments that the Bank intends to promote or develop,
together with strategies to achieve those objectives and, at a minimum, include:

          (a)  a mission statement that forms the framework for the
               establishment of strategic goals and objectives;

          (b)  an assessment of the Bank's present and future operating
               environment;

          (c)  the development of strategic goals and objectives to be
               accomplished over the short and long term;

          (d)  an identification of the Bank's present and future product lines
               (assets and liabilities) that will be utilized to accomplish the
               strategic goals and objectives established in (1)(c) of this
               Article;

          (e)  an evaluation of the Bank's internal operations, staffing
               requirements, board and management information systems and
               policies and procedures for their adequacy and contribution to
               the accomplishment of the goals and objectives developed under
               (1)(c) of this Article;

          (f)  a management employment and succession program to promote the
               retention and continuity of capable management;

                                      -9-
<PAGE>
          (g)  product line development and market segments that the Bank
               intends to promote or develop;

          (h)  an action plan to improve bank earnings and accomplish identified
               strategic goals and objectives, including individual
               responsibilities, accountability and specific time frames;

          (i)  a financial forecast to include projections for major balance
               sheet and income statement accounts and desired financial ratios
               over the period covered by the strategic plan;

          (j)  control systems to mitigate risks associated with planned new
               products, growth, or any proposed changes in the Bank's operating
               environment;

          (k)  specific plans to establish responsibilities and accountability
               for the strategic planning process, new products, growth goals,
               or proposed changes in the Bank's operating environment; and

          (l)  systems to monitor the Bank's progress in meeting the plan's
               goals and objectives.

     (2)     Upon adoption, a copy of the plan shall be forwarded to the
Director for Special Supervision/Fraud for review.

     (3)     The Board shall ensure that the Bank has processes, personnel, and
control systems to ensure implementation of and adherence to the plan developed
pursuant to this Article.

                                      -10-
<PAGE>
                                   ARTICLE IX

                                 RISK MANAGEMENT
                                 ---------------

     (1)     Within sixty (60) days, the Board shall develop, implement, and
thereafter ensure Bank adherence to a written risk management program to
include, at a minimum, the following:

          (a)  identification of existing credit, interest rate, liquidity,
               transaction, compliance, strategic, reputation, price, and
               foreign currency translation risks, and a written analysis of
               those risks;

          (b)  action plans and time frames to reduce risks where exposure is
               high, particularly with regard to credit risk, which impacts
               directly on liquidity, compliance, strategic, and reputation
               risks, as more fully discussed in the Report of Examination;

          (c)  policies, procedures or standards which limit the degree of risk
               the Board is willing to incur, consistent with the strategic plan
               and the Bank's financial condition. This includes analyzing and
               limiting the risks associated with any new lines of business
               which the Board undertakes. The procedures shall ensure that
               strategic direction and risk tolerances are effectively
               communicated and followed throughout the Bank and should describe
               the actions to be taken where noncompliance with risk policies is
               identified;

          (d)  systems to measure and control risks within the Bank. Measurement
               systems should provide timely and accurate risk reports by
               customer, by department or division, and bankwide as appropriate;
               and

                                      -11-
<PAGE>
          (e)  procedures to ensure that Bank employees have the necessary
               skills to supervise effectively the current and the new business
               risks within the Bank, and procedures to describe the actions to
               be taken to address deficiencies in staff levels and skills.

The risk management program shall be consistent with the Bank Supervision
Process booklet, EP-SUP, of the Comptroller's Handbook.
                                ----------------------

     (2)     The Board shall ensure that the Bank has processes, personnel, and
control systems to ensure implementation of and adherence to the program
developed pursuant to this Article.

                                    ARTICLE X

                                  CALL REPORTS
                                  ------------

     (1)     Within sixty (60) days, the Board shall cause the Bank to refile
amended Reports of Condition and Income for the periods ending December 31,
1998, March 31, 1999, June 30, 1999, September 30, 1999, and December 31, 1999
to reflect accounting adjustments surrounding the reversal of securitization
accounting.

     (2)     Within forty-five (45) days, the Board shall adopt and cause the
Bank to implement policies and procedures, in accordance with the Instructions
                                                                  ------------
for Preparation of Consolidated Reports of Condition and Income, to ensure that
---------------------------------------------------------------
all official and regulatory reports filed by the Bank accurately reflect the
Bank's condition as of the date that such reports are submitted. Thereafter the
Board shall ensure Bank adherence to the policies and procedures adopted
pursuant to this Article.

     (3)     Upon completion of the policies, the Board shall submit a copy of
the policies to the Director for Special Supervision/Fraud.

                                      -12-
<PAGE>
     (4)     The Board shall ensure that the Bank has processes, personnel, and
control systems to ensure implementation of and adherence to the policies
developed pursuant to this Article.

                                   ARTICLE XI

                           CONSUMER COMPLIANCE PROGRAM
                           ---------------------------

     (1)     Within thirty (30) days, the Bank shall adopt, implement, and
thereafter ensure adherence to a written consumer compliance program designed to
ensure that the Bank is operating in compliance with all applicable consumer
protection laws, rules and regulations. This program shall include, but not be
limited to:

          (a)  a written description of the duties and responsibilities of the
               compliance officer;

          (b)  adequate internal controls to ensure compliance with consumer
               protection laws, rules, and regulations;

          (c)  the preparation of a policies and procedures manual covering all
               consumer protection laws, rules and regulations for use by
               appropriate Bank personnel in the performance of their duties and
               responsibilities;

          (d)  semiannual updates of the written policies and procedures manual
               to ensure it remains current;

          (e)  an audit program to test for compliance with consumer protection
               laws, rules and regulations;

          (f)  procedures to ensure that exceptions noted in the audit reports
               are corrected and responded to by the appropriate Bank personnel;

                                      -13-
<PAGE>
          (g)  the education and training of all appropriate Bank personnel in
               the requirements of all federal and state consumer protection
               laws, rules and regulations; and

          (h)  periodic reporting of the results of the consumer compliance
               audit to the Board or a committee thereof.

     (2)     Upon adoption, a copy of the program shall be forwarded to the
Director for Special Supervision/Fraud for review.

     (3)     The Board shall ensure that the Bank has processes, personnel, and
control systems to ensure implementation of and adherence to the program
developed pursuant to this Article.

                                   ARTICLE XII

                                BANK SECRECY ACT
                                ----------------

     (1)     Within thirty (30) days, the Board shall appoint a capable officer
of the Bank who shall be vested with sufficient authority to monitor and ensure
the Bank's compliance with the Bank Secrecy Act, suspicious activity reporting
requirements, and the rules and regulations of the Office of Foreign Assets
Control (OFAC). This compliance officer shall report directly to the Board and
shall be completely independent of the Bank's management. This officer shall be
responsible for the complete and timely filing of all reports required under the
Bank Secrecy Act, as amended (31 U.S.C. Sec. 5311 - 5330) and the
regulations promulgated thereunder at 31 C.F.R. Part 103, as amended
(collectively referred to herein as the "Bank Secrecy Act"), and 12 C.F.R. Part
21, Subpart B, including but not limited to, Currency Transaction Reports (CTRs)
and Suspicious Activity Reports (SARs).

     (2)     Within sixty (60) days, the Board shall develop, implement, and
thereafter ensure Bank adherence to a written program of policies and procedures
to ensure compliance with the

                                      -14-
<PAGE>
Bank Secrecy Act and 12 C.F.R. Part 21, Subparts B and C. At a minimum, this
written program shall establish:

          (a)  a system of internal controls and independent testing and
               auditing to assure ongoing compliance with the Bank Secrecy Act
               and 12 C.F.R. Part 21, Subpart B;

          (b)  operating procedures for the opening of new accounts and the
               monitoring of high risk accounts;

          (c)  adequate controls and procedures to ensure that all suspicious
               transactions and large currency transactions are identified and
               reported. Procedures should be comprehensive as to all points of
               cash entry and exit;

          (d)  procedures to ensure that records are maintained on monetary
               instrument transactions and funds transfers, as required by the
               Bank Secrecy Act; and,

          (e)  a comprehensive training program for all appropriate operational
               and supervisory personnel to ensure their awareness of and
               compliance with the requirements of the Bank Secrecy Act and the
               Office of Foreign Assets Control (OFAC), including the currency
               reporting and monetary instrument and funds transfer
               recordkeeping requirements, and the reporting requirements
               associated with Suspicious Activity Reports (SARs) pursuant to 12
               C.F.R. Part 21, Subpart B.

      (3)     Upon completion, a copy of the program developed pursuant to this
Article shall be submitted to the Director for Special Supervision/Fraud for
review. In the event the Director for Special Supervision/Fraud recommends
changes to the program, the Board shall immediately incorporate those changes
into the program.

                                      -15-
<PAGE>
     (4)     The Board shall ensure that the Bank has processes, personnel, and
control systems to ensure implementation of and adherence to the program
developed pursuant to this Article.

                                  ARTICLE XIII

                                ASSET VALUATIONS
                                ----------------

     (1)     Within thirty (30) days and quarterly thereafter, the Bank shall
document the support used to value loans held on its books, any servicing
rights, and interest-only assets in accordance with accounting guidance. At a
minimum, the valuations should include documentation supporting the values
attributed to:

          (a)  the permanent and available for sale loan portfolios;

          (b)  any interest-only strips, including validating all assumptions
               used and model methodology; and

          (c)  any deferred tax asset or deferred liability accounts.

     (2)     A copy of the quarterly determination shall be submitted to the
Director for Special Supervision/Fraud for review.

     (3)     The Board shall ensure that the Bank has processes, personnel, and
control systems to ensure implementation of and adherence to the policy
developed pursuant to this Article.

                                   ARTICLE XIV

                     PRODUCTS AND SERVICES - EXISTING OR NEW
                     ---------------------------------------

     (1)     Within sixty (60) days, the Board shall prepare a written analysis
of the Payday Loan program which fully assesses the risks and benefits of this
line of business. This analysis shall include an assessment of the Bank's
controls, procedures, MIS and management of the Payday Loan operation, and shall
tie directly to the Bank's strategic plan,

                                      -16-
<PAGE>
     (2)     Prior to the Bank's involvement in any new products or services the
Board shall prepare a written analysis of said product or service. The analysis
shall, at a minimum, include the following:

          (a)  an assessment of the risks and benefits of the product or service
               to the Bank;

          (b)  an explanation of how the product or service is consistent with
               the Bank's strategic plan;

          (c)  an evaluation of the adequacy of the Bank's organizational
               structure, staffing, MIS, internal controls and written policies
               and procedures to identify, measure, monitor, and control the
               risks associated with the product or service; and

          (d)  a profitability analysis, including growth projections and
               interest rate risk.

     (3)     Prior to the Bank's involvement in the new product or service, a
copy of the analysis shall be submitted to the Director for Special
Supervision/Fraud.

                                   ARTICLE XV

                                VIOLATIONS OF LAW
                                -----------------

     (1)     The Board shall immediately take ail necessary steps to ensure that
Bank management corrects each violation of law, rule or regulation cited in the
ROE and in any subsequent Report of Examination. The monthly progress reports
required by Article II of this Agreement shall include the date and manner in
which each correction has been effected during that reporting period.

     (2)     Within thirty (30) days, the Board shall adopt, implement, and
thereafter ensure Bank adherence to specific procedures to prevent future
violations as cited in the ROE and shall adopt, implement, and ensure Bank
adherence to general procedures addressing compliance

                                      -17-
<PAGE>
management which incorporate internal control systems and education of employees
regarding laws, rules and regulations applicable to their areas of
responsibility.

     (3)     Within thirty (30) days of receipt of any subsequent Report of
Examination which cites violations of law, rule, or regulation, the Board shall
adopt, implement, and thereafter ensure Bank adherence to specific procedures to
prevent future violations as cited in the ROE and shall adopt, implement, and
ensure flank adherence to general procedures addressing compliance management
which incorporate internal control systems and education of employees regarding
laws, rules and regulations applicable to their areas of responsibility.

     (4)     Upon adoption, a copy of these procedures shall be promptly
forwarded to the Director for Special Supervision/Fraud.

     (5)     The Board shall ensure that the Bank has policies, processes,
personnel, and control systems to ensure implementation of and adherence to (the
procedures developed pursuant to this Article.

                                  ARTICLE XVI

     (1)     Although the Board has agreed to submit certain programs and
reports to the Director for Special Supervision/Fraud for review or approval,
the Board has the ultimate responsibility for proper and sound management of the
Bank.

     (2)     It is expressly and clearly understood that if, at any time, the
Comptroller deems it appropriate in fulfilling the responsibilities placed upon
him/her by the several laws of the United States of America to undertake any
action affecting the Bank, nothing in this Agreement shall in any way inhibit,
estop, bar, or otherwise prevent the Comptroller from so doing.

                                      -18-
<PAGE>
     (3)     Any time limitations imposed by this Agreement shall begin to run
from the effective date of this Agreement. Such time requirements may be
extended in writing by the Director for Special Supervision/Fraud for good cause
upon written application by the Board.

     (4)     The provisions of this Agreement shall be effective upon execution
by the parties hereto and its provisions shall continue in full force and effect
unless or until such provisions are amended in writing by mutual consent of the
parties to the Agreement or excepted, waived, or terminated in writing by the
Comptroller.

     IN TESTIMONY WHEREOF, the undersigned, authorized by the Comptroller, has
hereunto set his/her hand on behalf of the Comptroller.

/s/  Ronald G. Schneck                           3/23/00
-----------------------------------------        -----------------------
Ronald G. Schneck                                Date
Director for Special Supervision/Fraud
Special Supervision Division

                                      -19-
<PAGE>

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