Document:

Filed by Automated Filing Services Inc. (604) 609-0244 - Response Biomedical Corp. - Exhibit 4.18

THIS MANAGEMENT AGREEMENT is made effective as of November 1, 2004, 

BETWEEN: 

  
    
       RESPONSE BIOMEDICAL CORP., a company
        duly incorporated pursuant to the laws of British Columbia and an office
        at 8081 Lougheed Highway, British Columbia V5A 1W9 

       (the “Company”) 

    

  

AND: 

  
    
       ROBERT PILZ, a businessman having a residence
        at Suite 206-1235 Quayside Drive, New Westminster, BC V3M 6J5 

       (the “Executive”) 

    

  

 WHEREAS: 

	 A. 	 the Executive
        has a background in and knowledge of the Company’s business and
        the industry in which it is engaged;  

	 	 	  
	 B. 	 the Company is
        in the business of researching, developing and commercializing technologies
        and systems in the field of medical and environmental diagnostics;

	 	 	 
	 C. 	 the Company wishes
        to retain and the Executive has agreed to supply his services on the terms
        and conditions set out in this Agreement, which shall supersede and replace
        any previous Employment Agreement or Consulting Agreement.

		 
	 	 THEREFORE in
        consideration of the recitals, the following covenants and the payment
        of one dollar made by each party to the other, the receipt and sufficiency
        of which is acknowledged by each party, the parties agree on the following
        terms:

	  	 	 
	 1 	 ENGAGEMENT
        AND DURATION

		 	 
	 	 1.1 
      
	 Engagement

		 
	 	 The Company hereby
        engages the services of the Executive as Vice President, Finance and
        Chief Financial Officer and the Executive accepts such engagement
        and agrees to provide his services to the Company in such capacity

		 	 
	 	 1.2 
      
	 Term  

		 
	 	 The term of this
        Agreement shall commence as of the date of this Agreement and continue
        for a period of two years, unless and until earlier terminated
        as set forth herein.

	  	 	 
	 2 	 DUTIES 
      

		 	 
	 	 2.1 
      
	 Performance of Duties 
      

		 
	 	 The Executive
        shall act as Vice President, Finance and Chief Financial Officer and
        the Executive shall perform such services and duties as are normally provided
        by a Vice President, Finance and Chief Financial Officer of a company
        in a business and of a size similar to the Company’s, and such other
        services and duties as may reasonably be assigned from time to time by
        the directors of the Company. The Executive shall, in exercising his powers
        and performing his functions, act honestly and in good faith and in the
        best interests of the Company, shall exercise the care, diligence and
        skill of a reasonably prudent person, shall devote his business time during
        normal business hours to the business and affairs of the Company and,
        to the extent necessary to discharge the responsibilities assigned to
        the Executive, perform faithfully and efficiently such responsibilities.

 - 2 - 

	 	2.2  
	 Other Boards or Committees 
      

	 	 	  
	 	 The Executive’s performance
        of reasonable personal, civic or charitable activities or the Executive’s
        service on any boards or committees of any private or public companies
        shall not be deemed to interfere with the performance of the Executive’s
        services and responsibilities to the Company pursuant to this Agreement.
        The Executive agrees to inform the Board forthwith in writing upon the
        Executive being appointed to any such board or committee.

	 	 	  
	 	2.3  
	 Principal Place of Work 
      

	 	 	  
	 	 The Executive shall perform
        his duties at the Company’s operational offices which are currently
        located at 8081 Lougheed Highway, Burnaby, British Columbia, V5A 1W9,
        or at such other location as shall be approved by the Board.

	 	 	  
	 	2.4  
	 Reporting  

	 	 	  
	 	 The Executive shall report
        directly to the President of the Company.

	 	 	  
	 	2.5  
	 Instructions  

	 	 	  
	 	 The Executive will, subject
        to the terms of this Agreement, comply promptly and faithfully with all
        policies set out from time to time in the Company’s Employee Manual,
        and with the Board’s reasonable and lawful instructions, directions,
        requests, rules and regulations.

	 	 	  
	 	2.6  
	 Change of Control  

	 	 	  
	 	 In the event of a change of
        control of the Company, the Company shall continue to engage and the Executive
        shall continue to serve the Company in the same capacity and have the
        same authority, responsibilities and status as he had as of the date immediately
        prior to the change of control. Following a change of control, the Executive's
        services shall be performed at such location as may be mutually agreed
        upon between the Company and the Executive. For the purposes of this Agreement,
        a “change of control” (the “Change of Control”)
        shall be deemed to have occurred when:

	 	 	(a)	a person other than the current control person of
        the Company (as that term is defined in the Securities Act (British
        Columbia)) becomes a control person; or  

	 	 	 	 
	 	 	(b) 	a majority of the directors elected at any annual
        or special general meeting of shareholders of the Company are not individuals
        nominated by the Company's then-incumbent Board.  

 - 3 - 

	 3.      	 REMUNERATION AND BENEFITS 

	 
	 	 3.1   
          
	 Salary 

	 
	 	 The Company shall pay or provide to
        the Executive, for his services under this Agreement, an annual salary
        of $125,000, payable in 24 equal semi-monthly installments
        on the first and fifteenth day of each month. Should the first or fifteenth
        day of any month not be a business day, the Executive’s semi-monthly
        installment of salary otherwise due on such date shall be paid to the
        Executive on the immediately preceding business day. The Company and Executive
        acknowledge that the annual salary is less than a typical market salary
        for this position in similar hi-tech companies in British Columbia and
        that the Company agrees to review and adjust the annual salary to a 50th
        percentile market estimate, subject to the finances of the Company,
        by June 30, 2005. 

	 
	 	 3.2     
      
	 Annual Review 

	 
	 	 The annual salary referred to in paragraph
        3.1 shall be reviewed within 120 days of the end of each fiscal year of
        the Company by the Board or Compensation Committee of the Board (the “Committee”),
        in consultation with the Executive, and may be increased for the following
        fiscal year by such amount as is determined by the Board or the Committee.
      

	 
	 	 3.3     
      
	 Reimbursement of Expenses 

	 
	 	 The Company shall reimburse the Executive
        for all reasonable expenses incurred by him in the performance of this
        Agreement provided that the Executive provides the Company with written
        expense accounts with respect to each calendar month. 

	 
	 	 3.4     
      
	 Medical and Life Insurance 

	 
	 	 The Company shall provide the Executive
        with group life, long-term disability, extended medical and dental insurance
        coverage in accordance with the policies and procedures of the Company
        in effect and, to the extent permissible by law, the Company shall extend
        medical and dental insurance coverage to the Executive's wife and child
        dependents. The Company agrees to reimburse the Executive for the monthly
        premium for his existing long-term disability coverage. 

	 
	 	 3.5     
      
	 Directors and Officers Liability Insurance
      

	 
	 	 The Company shall provide the Executive
        with director's and officer's liability insurance appropriate to the nature
        of his responsibilities under this Agreement. 

	 
	 	 3.6     
      
	 Vacation 

	 
	 	 The Executive shall be entitled to 4
        weeks paid vacation during each full year of employment with the Company,
        at a time approved in advance by the President, which approval shall not
        be unreasonably withheld. In addition, the Executive shall be entitled
        to statutory holidays and the number of paid holidays provided for under
        the current policies and procedures of the Company. 

	 
	 	 3.7   
          
	 Incentive Bonus Plan 

	 
	 	 The Executive will be entitled to earn
        up to 20% of the annual salary through the Company’s proposed milestone-based,
        incentive bonus plan (“Plan”) which is expected to receive
        prior approval by the Board of Directors and come into effect upon the
        Company securing sufficient financing to meet its forecasted funding requirements
        to reach positive net cash flow. The milestones that trigger bonuses under
        the Plan shall be mutually agreed to by the Executive and the President
        and shall be approved by the Board of Directors or the Compensation Committee.

 - 4 - 

	 	3.8
	 Stock Options
      

	 
	 	 The Executive shall be granted 250,000
        stock options exercisable at a price of $0.80 per share, 25% vesting
        as of November 1, 2004 and an additional 25% vesting every 6 months thereafter,
        as agreed in a separate Stock Option Agreement dated November 1, 2004.
        Additional options may be granted from time to time in accordance with
        the Company’s Stock Option Plan. 

	 
	 	3.9
	 Other Benefits
      

	 
	 	 In addition to any other compensation
        or benefits to be received by the Executive pursuant to this Agreement,
        the Executive shall be entitled to participate in all executive benefits
        which the Company may from time to time provide to its senior executives,
        including the granting of stock options as approved by the Board or the
        Compensation Committee. 

	 
	 4.      	 NON-COMPETITION 

	 
	 	4.1
	 Terms 

	 
	 	 During the term of this Agreement and
        for 24 months following the termination or expiration of this Agreement,
        the Executive shall not: 

	 
	 	 	 (a) 
	own or have any interest directly in; 

	 
	 	 	 (b) 
	act as an officer, director, agent, executive or
        consultant of; or 

	 
	 	 	 (c) 
	assist in any way or in any capacity; 

	 
	 	 any person, firm, association, partnership,
        corporation or other entity (the "Competitive Entity”) which is
        focussed on the research, development and commercialization of technologies
        and systems in quantitative point-of-care diagnostics, or is otherwise
        engaged in a business that is substantially similar to and/or competes
        with the business then engaged in by the Company. 

	 
	 	4.2
	 Ownership of Publicly
        Traded Securities 

	 
	 	 The restriction set out in paragraph 4.1
        above shall not apply to the Executive’s ownership of less than
        ten percent of the publicly traded securities of any Competitive Entity.
      

	 
	 	4.3
	 Enforceability
      

	 
	 	 The Executive acknowledges that the restrictions
        contained in paragraph 4.1 are reasonable; however, in the event that
        any court should determine that any of the restrictive covenants contained
        in paragraphs 4.1 or 4.2 of this Agreement, or any part thereof, are unenforceable
        because of the duration of such provision or the area covered thereby,
        such court shall have the power to reduce the duration or area of such
        provision and, in its reduced form, such provision shall then be enforceable
        and shall be enforced. 

 - 5 - 

	 5.     
      
	 CONFIDENTIALITY AND INTELLECTUAL PROPERTY
        ASSIGNMENT 

	 
	 	 The Executive shall enter into an “Employee
        Confidentiality and Intellectual Property Assignment Agreement”.
        The provisions of the agreement in paragraph 5.1 shall survive the termination
        of this Agreement. 

	 
	 6.     
      
	 DELIVERY OF RECORDS 

	 
	 	 Upon the termination of this Agreement
        for whatever reason, the Executive will deliver to the Company all books,
        records, lists, brochures and other property or intellectual property
        rights belonging to the Company or developed in connection with the business
        of the Company, and will execute such transfer documentation as is necessary
        to transfer such property or intellectual property rights to the Company.
      

	 
	 7.     
      
	 TERMINATION 

	 
	 	7.1
	 The Executive’s Right to Terminate
    
	 
	 	 The Executive may terminate his obligations
        under this Agreement: 

	 
	 	  	(a) 	at any time upon by providing 3 months written notice to the Company;
    
	 
	 	  	(b) 	upon a material breach or default of any term of this Agreement by the
      Company if such material breach or default has not been remedied within
      30 days after written notice of the material breach or default has been
      delivered by the Executive to the Company; or 
	 
	 	 	(c)	 at any time within 180 days of the date on which there is a Change of
      Control. 
	 
	 	7.2
	 Company’s Right to Terminate
    
	 
	 	 The Company may terminate the Executive’s
        employment under this Agreement at any time upon the occurrence of any
        of the following events: 

	 
	 	  	(a)	the Executive acting unlawfully, dishonestly, or in bad faith with respect
      to the business of the Company to the extent that it has a material and
      adverse effect on the Company; 
	 
	 	 	(b) 	 the conviction of the Executive of an indictable offence under the Criminal
      Code; 
	 
	 	 	(c) 	 a material breach or default of any term of this Agreement by the Executive
      if such material breach or default has not been remedied within 30 days
      after written notice of the material breach or default has been delivered
      by the Company to the Executive; or 
	 
	 	 	(d)	 the Executive dying or becoming permanently disabled or disabled for
      a period exceeding 180 consecutive days or 180 days calculated on a cumulative
      basis over any two year period during the term of this Agreement. 

 - 6 - 

	 	7.3 
	Severance Payment
      

	 	 	 	 
	 	In the event of the termination
        of the Executive's employment pursuant to: 

	 	 	 	 
	 	 	(a)
	subsection 7.1(b) of this Agreement; or 

	 	 	 	 
	 	 	(b)
	the Company terminating the Executive in breach of
        this Agreement; 

	 	 	 	 
	 	the Company shall pay to the
        Executive within ten days of such termination a severance payment equal
        to salary paid to the Executive during the previous six (6) months plus
        all expenses incurred by the Executive up to the date of termination pursuant
        to section 3.3. 

      In the event of the termination of the Executive’s
        employment pursuant to subsection 7.1(c), the Company shall pay to the
        Executive within thirty (30) days of such termination a severance payment
        equal to salary paid to the Executive during the previous twelve (12)
        months plus all expenses incurred by the Executive up to the date of termination
        pursuant to section 3.3. 

	 	 	 
	 	7.4 
	Compensation Otherwise
        Due to the Executive on Termination 

	 	 	 
	 	In the event of the termination
        of the Executive's employment under this Agreement in circumstances other
        than those set out in section 7.3 of this Agreement, the Company shall
        pay to the Executive the full amount of compensation accrued pursuant
        to section 3.1 of this Agreement as of the date of termination. 

	 	 	 
	 	7.5
	Remedies 

	 	 	 
	 	The rights of the Company
        and the Executive under this Part 7 are in addition to and not in derogation
        of any other remedies which may be available to the Company or the Executive
        at law or in equity. 

	 8.      	 PERSONAL NATURE 

	 
	 	 The obligations and rights of the Executive under
        this Agreement are personal in nature, based upon the singular skill,
        qualifications and experience of the Executive. 

	 
	 9.      	 RIGHT TO USE EXECUTIVE’S NAME AND LIKENESS
      

	 
	 	 During the term of this Agreement, the Executive
        hereby grants to the Company the right to use the Executive’s name,
        likeness and/or biography in connection with the services performed by
        the Executive under this Agreement and in connection with the advertising
        or exploitation of any project with respect to which the Executive performs
        services for the Company. 

	 
	 10.      	 LEGAL ADVICE 

	 
	 	 The Executive hereby represents, warrants and acknowledges
        to the Company that he has had the opportunity to seek and was not prevented
        nor discouraged by the Company from seeking independent legal advice prior
        to the execution and delivery of this Agreement and that, in the event
        that he did not avail himself of that opportunity prior to signing this
        Agreement, he did so voluntarily without any undue pressure by the Company
        or otherwise, and agree that his failure to obtain independent legal advice
        shall not be used by him as a defense to the enforcement of his obligations
        under this Agreement. 

 - 7 - 

	 11.      	 WAIVER 

	 
	 	 No consent or waiver, express or implied,
        by any party to this Agreement of any breach or default by any other party
        in the performance of its obligations under this Agreement or of any of
        the terms, covenants or conditions of this Agreement shall be deemed or
        construed to be a consent or waiver of any subsequent or continuing breach
        or default in such party’s performance or in the terms, covenants
        and conditions of this Agreement. The failure of any party to this Agreement
        to assert any claim in a timely fashion for any of its rights or remedies
        under this Agreement shall not be construed as a waiver of any such claim
        and shall not serve to modify, alter or restrict any such party’s
        right to assert such claim at any time thereafter. 

	 
	 12.      	 NOTICES 

	 
	 	 12.1   
          
	 Delivery of Notice 

	 
	 	 Any notice relating to this Agreement
        or required or permitted to be given in accordance with this Agreement
        shall be in writing and shall be personally delivered or mailed by registered
        mail, postage prepaid to the address of the parties set out on the first
        page of this Agreement. Any notice shall be deemed to have been received
        if delivered, when delivered, and if mailed, on the fifth day (excluding
        Saturdays, Sundays and holidays) after the mailing thereof. If normal
        mail service is interrupted by strike, slowdown, force majeure or other
        cause, a notice sent by registered mail will not be deemed to be received
        until actually received and the party sending the notice shall utilize
        any other services which have not been so interrupted or shall deliver
        such notice in order to ensure prompt receipt thereof. 

	 
	 	 12.2     
      
	 Change of Address 

	 
	 	 Each party to this Agreement may change
        its address for the purpose of this Part 12 by giving written notice of
        such change in the manner provided for in paragraph 12.1. 

	 
	 13.      	 APPLICABLE LAW 

	 
	 	 This Agreement shall be governed by and
        construed in accordance with the laws of the Province of British Columbia
        and the federal laws of the Canada applicable therein, which shall be
        deemed to be the proper law hereof. The parties hereto hereby submit to
        the jurisdiction of the courts of British Columbia. All obligations of
        the parties under this Agreement are subject to receipt of all necessary
        approvals of the applicable securities regulatory authorities. 

	 
	 14.      	 SEVERABILITY 

	 
	 	 If any provision of this Agreement for
        any reason be declared invalid, such declaration shall not affect the
        validity of any remaining portion of the Agreement, which remaining portion
        shall remain in full force and effect as if this Agreement had been executed
        with the invalid portion thereof eliminated, and it is hereby declared
        the intention of the parties that they would have executed the remaining
        portions of this Agreement without including therein any such part, parts
        or portion which may, for any reason, be hereafter declared invalid. 

 - 8 - 

	 15.      	 ENTIRE AGREEMENT 

	 
	 	 Except for a Stock Option Agreement and Employee
        Confidentiality and Intellectual Property Assignment Agreement, dated
        November 1, 2004, this Agreement constitutes the entire agreement between
        the parties hereto and there are no representations or warranties, express
        or implied, statutory or otherwise other than set forth in this Agreement
        and there are no agreements collateral hereto other than as are expressly
        set forth or referred to herein. This Agreement cannot be amended or supplemented
        except by a written agreement executed by all parties hereto. 

	 
	 16.      	 ARBITRATION 

	 
	 	 In the event of any dispute arising with respect
        to any matter relating to this Agreement, the matter in dispute shall
        be referred to a single arbitrator under the Commercial Arbitration
        Act then in effect in British Columbia. 

	 
	 17.      	 NON-ASSIGNABILITY 

	 
	 	 This Agreement shall not be assigned by any party
        to this Agreement without the prior written consent of the other parties
        to this Agreement. 

	 
	 18.      	 BURDEN AND BENEFIT 

	 
	 	 This Agreement shall enure to the benefit of and
        be binding upon the parties hereto and their respective heirs, executors,
        administrators, successors and permitted assigns. 

	 
	 19.      	 TIME 

	 
	 	 Time is of the essence of this Agreement. 

 - 9 - 

	 20.      	 COUNTERPARTS 
	 
	 	 This Agreement may be executed in counterparts and
        such counterparts together shall constitute one and the same instrument.
      

 IN WITNESS WHEREOF the parties have duly executed this
  Agreement as of the date set out on the first page. 

 RESPONSE BIOMEDICAL CORP. 

	 Per:  	 
	  	 
	 ”William Radvak”  	 
	 William Radvak  	 
	  	 
	  	 
	  	 
	  	 
	 ”Robert Pilz”  	 
	 Robert PilzFiled by Automated Filing Services Inc. (604) 609-0244 - Milinx Business Group, Inc. - Exhibit 10.1

 Exhibit 10.1 

  FUNDING AGREEMENT

 THIS AGREEMENT is made the 14th day of April 2005. 

 BETWEEN: MILINX BUSINESS GROUP INC., a Delaware Corporation
  with a registered address at 7251 W. Lake Mead Center, Suite 300, Las Vegas,
  NV 89128 (hereinafter referred to as the "Company") 

 AND: SPV CORPORATION, a Delaware Corporation with a
  registered address at 2711 Centerville Road, Suite 400, Wilmington, Delaware
  19808 (hereinafter referred to as the "SPV") 

ARTICLE 1 - AGREEMENT 

	 1.01	 SPV agrees to purchase, and the Company agrees to
        sell, a convertible promissory note of the Company (the “Note”),
        for a purchase price of $250,000 (the “Purchase Price”).
        The Note will be in the principal amount equal to the Purchase Price,
        will bear interest at the rate of 10% per annum, will mature on August
        15, 2005 (the “Maturity Date”). SPV may reduce the Purchase
        Price prior to the date on which payment thereof is due, in which case
        the reduced amount will be deemed to be the Purchase Price. The principal
        outstanding and accrued interest become due and payable on the Maturity
        Date. The conversion rights attached to the Note, and other terms and
        conditions applicable to the Note are as provided on the form of Note
        attached hereto as Schedule “A”, provided that the conversion
        price will be as follows $0.001, $0.005, $0.015 for the first,
        second, third $50,000 amounts funded respectively, and $0.03 for
        the balance of $100,000 funded, subject to a prior roll-back of the
        issued shares as described in the form of Note. 

	 
	 1.02	 The Purchase Price is payable within 120 days from
        the date of filing a Form 8-K in respect of this Agreement. Upon receipt
        of the Purchase Price the Company will issue the Note to SPV. In addition
        the Company will grant to SPV as general and ongoing security for the
        repayment of the principal and interest due under the Note, a security
        interest over all assets, whether presently held or hereinafter acquired,
        of the Company, and will issue to SPV, such grant to be evidenced by standard
        form of general security agreement. 

	 
	 1.03	 Until such time as the Company is first brought
        current is its reporting with the SEC after the date hereof and has completed
        the acquisition of a business of significant asset, SPV reserves the right
        of first refusal to further fund the Company by purchasing additional
        convertible promissory notes similar in form to the attached form of Note,
        or otherwise funding the Company on such terms as the Company may negotiate
        with a third party financier, where the Company requires such further
        funding, and provided that SPV must match the terms of any bona fide third
        party offer to finance or the first right will terminate. 

ARTICLE 2 – USE OF PROCEEDS AND REORGANIZATION ACTIVITIES 

	 2.01	 The Company agrees to use the proceeds of the Note
        for payment of delinquent Delaware State franchise taxes, to retain legal
        counsel in connection with the reorganization of the Company, and to engage
        an independent accounting firm as auditors for the Company, as well as
        for ongoing general and administrative costs. 

 - 2 -

	 2.02	 In addition, the Company agrees to use
        the proceeds to reorganize the affairs of the Company, and in this regard
        agrees and covenants to use best efforts to complete the following: 

	 
	 	 (a)      
	 proceed with the payment of Delaware State
        franchise taxes as soon as practicable, and the revival of the Company
        under Delaware corporate laws, and in that regard the Company represents
        and warrants that the execution, delivery and performance hereof are within
        its corporate powers, have been duly authorized and do not contravene,
        violate or conflict with any law or the terms of its constating documents
        or any indenture or agreement to which it is a party; 

	 
	 	 (b)      
	 call and hold a meeting of the stockholders
        of the Company as practical, which meeting will include the following
        proposals for approval: 

	 
	 	 	 a.     
      
	 ratification of the Note, failing such ratification
        the parties hereto agree that the Note will no longer be convertible;
      

	 
	 	 	 b.      
	 where required by Delaware Corporate law, the approval
        of the amendment to the rights and restrictions applicable to the Class
        A Preferred Shares. 

	 
	 	 (c)      
	 promptly pay all obligations, indebtedness
        and liabilities owing to the SPV as they become due or are demanded; 

	 
	 	 (d)      
	 work to complete an Executive Summary
        on the a proposed business venture in the Alternative Fuel and Hybrid
        Technologies industry, which venture would include retail services such
        as leasing, rental, sales and alternative energy stations; 

	 
	 	 (e)      
	 bring the Company into compliance with
        necessary legal and regulatory regulations, including but not limited
        to, being current with its SEC reporting obligations; 

	 
	 	 (f)      
	 divest itself of all pre-existing business
        assets not required for the reorganization of the Company; 

	 
	 	 (g)      
	 pay for required services from the Company’s
        registrar and transfer agent and obtain copies of records as necessary
        for management to obtain current information on shareholders; 

	 
	 	 (h)      
	 consolidate the capital of the Company
        as approved by the Board of Directors of the Company and subject to shareholder
        approval; 

	 
	 	 (i)      
	 to request a copy of all previously completed
        Audits from Grant Thornton and/or appoint new Auditors, Accountants or
        Consultants as necessary to prepare audited financial statements, and
        to attend to the preparation and filing of a Form 10KSB and consider the
        availability of Rule 3-11 of Regulation S-X. 

	 
	 	 (j)      
	 pursue preservation of tax benefits which
        may be of value after the Company is reorganized and the Company will
        appoint Counsel in the US to complete reorganization of the parent Company
        as necessary to complete this process. 

 - 3 - 

	 	 (k)      	 pursue the collection of banking information and
        corporate records, and retain legal counsel as necessary in furtherance
        of such purposes; 

	 
	 	 (l)      	 pursue the retrieval of any assets and documents
        of the subsidiaries of the Company and pursue transaction(s) necessary
        to divest itself of the British Columbia subsidiary to eliminate this
        liability as possible which may include compensating such individuals
        or entities with shares of the Company or other valuable consideration;
      

	 
	 	 (m)      	 pursue a spin off all subsidiaries based on shareholders
        of record as of April 14, 2005 or as otherwise agreed by the directors
        and a majority of the shareholders. 

	 
	 	 (n)      	 retain properly qualified corporate counsel to review
        all further resolutions, agreements and transactions for review and advice
        before passing board resolutions and this shall apply until the Company
        is first brought back into compliance with SEC reporting obligations.
      

	 
	 	 (o)      	 to file with the State of Delaware a Certificate
        of Amendment, upon payment of Delaware State franchise taxes and revival
        of the Company under Delaware corporate laws, to amend the preferences
        and rights of the Series A Preferred shares in such form as will be approved
        by directors, and subject to shareholder approval if required under Delaware
        corporate law. 

	 
	 	 (q)      	 take all actions and to execute, deliver, file and
        record for and on behalf of the Company all such certificates, filings
        and other documents as may be necessary or desirable and as and if requested
        by SPV in writing to cause the Debenture or other advances by SPV to have
        the rights and preferences of a Debtor-In- Possession such as in the event
        of default; 

ARTICLE 3 – FURTHER AGREEMENTS OF SPV 

	 3	 SPV agrees to purchase the Note and advance the
        Purchase Price to the company as soon as possible, and in any event not
        later than 120 days from public notification of this agreement. 

	 
	 3.01	 SPV agrees that it has all required authority, and
        has taken all necessary corporate steps, to enter into this Agreement
        and perform its obligations hereunder. 

	 
	 3.02	 SPV agrees that is a “U.S. Person” as
        defined in Regulation S of the United States Securities Act of 1933
        (the “U.S. Securities Act”) solely as a result of its
        organization under the laws of the State of Delaware; and that SPV affairs
        are wholly controlled and directed from outside of the United States and
        that it has no employees, managers, directors, officers, offices or establishments,
        or personnel of any kind whatsoever in the United States or any material
        assets in the United States; 

	 
	 3.03	 SPV acknowledges that the Note and any securities
        into which the Note may be converted (collectively the “Securities”)
        have not been registered under the U.S. Securities Act and may not be
        offered or sold in the United States unless registered under the U.S.
        Securities Act and the securities laws of all applicable states of the
        United States or an exemption from such registration requirements is available,
        and that the Company 

 - 4 - 

	 	 has no obligation or present intention
        of filing a registration statement under the U.S. Securities Act in respect
        of the Securities; 

	 
	 3.04	 SPV represents and warrants that, in connection
        with its subscription for Securities of the Company: 

	 
	 	 (i)      
	 the offer was not made to SPV when SPV
        was in the United States and, at the time SPV’s buy order was made,
        SPV was outside the United States; 

	 
	 	 (ii)      
	 SPV was outside the United States at the
        time this Agreement was executed and delivered; 

	 
	 	 (iii)      
	 SPV is not and will not be purchasing
        the Securities for the account or benefit of any person in the United
        States; 

	 
	 	 (iv)      
	 the current structure of this transaction
        and all transactions and activities contemplated hereunder is not a scheme
        to avoid the registration requirements of the U.S. Securities Act; and
      

	 
	 	 (v)      
	 SPV has no intention to distribute either
        directly or indirectly any of the Securities in the United States, except
        in compliance with the U.S. Securities Act and the securities laws of
        all applicable states of the United States or an exemption from such requirements
        is available. 

	 
	 	 (vi)      
	 the Note may not be converted in the United
        States or by or on behalf of a person in the United States unless: 

	 
	 	 	 A.     
      
	 an exemption is available from the registration
        requirements of the U.S. Securities Act and any applicable state securities
        laws; and 

	 
	 	 	 B.      
	 the holder has furnished to the Corporation a legal
        opinion reasonably satisfactory to the Corporation to such effect. 

	 
	 3.05	 SPV agrees that it is purchasing the Note
        as principal for its own account and not for the benefit of any other
        person (within the meaning of applicable Securities Laws) and not with
        a view to resale or distribution. 

	 
	 3.06	 SPV represents and warrants that here
        is no person acting or purporting to act in connection with the transactions
        contemplated herein who is entitled to any brokerage or finder’s
        fee. 

	 
	 3.07	 SPV has been advised to consult its own
        legal counsel with respect to this Agreement and its obligations hereunder,
        and with respect to any tax consequences or the merits of this investment,
        and understands that there are risks associated with the purchase of and
        investment in the Company, and is knowledgeable, sophisticated and experienced
        in business and financial matters and is capable of evaluating the merits
        and risks of an investment in the Company and is able to bear the economic
        risk thereof. 

	 
	 3.08	 SPV is an entity which is directly or
        indirectly owned by one or more persons that are control persons of the
        Company, and accordingly is exempt from the registration and prospectus
        requirements of the securities laws applicable in British Columbia, Canada.
      

 - 5 - 

	 3.09	 SPV agrees to provide advisory services in connection
        with an additional funding of up to $2,500,000 for the proposed business
        model subject to agreement between the Company, however SPV. SPV understands
        and is aware of the provisions of the U.S. Securities Act and the U.S.
        Securities and Exchange Act of 1934 and agrees to comply with such
        acts in the performance of its obligations hereunder, and indemnifies
        the Company from a violation of any such acts, whether advertent or inadvertent.
      

 ARTICLE 4 - LIABILITY OF SPV 

 4.01 In connection with the performance by SPV of its obligations
  under this Agreement, the Company agree to indemnify and hold harmless SPV and
  its subsidiaries and affiliates, and their directors, officers, employees, agents,
  shareholders, partners, members, and other owners, against any and all claims,
  actions, demands, liabilities, losses, damages, judgments, settlements, costs,
  and expenses including reasonable attorneys' fees related to any activities
  or agreements related to the Company. 

 ARTICLE 5 - NOTICES 

 5.01 Notwithstanding anything herein contained and whether
  or not expressly stipulated herein, every notice or other communication contemplated
  hereby or otherwise relating hereto shall be in writing. Every notice required
  or permitted to be communicated hereunder, may be: 

	 	 (a)      	 served personally by leaving it with the party to
        whom it is to be communicated; 

	 
	 	 (b)      	 communicated by telecopy to the party to whom it
        is to be communicated; or 

	 
	 	 (c)      	 mailed by pre-paid registered mail (with acknowledgment
        of receipt requested) to the party to whom it is to be communicated. 

                  If
  a notice is served personally, it shall be deemed to have been validly communicated
  to and received by the party to whom it was addressed on the date on which it
  was delivered. If a notice is communicated by telecopy, it shall be deemed to
  have been validly communicated to and received by the party to whom it was addressed
  on the expiry of eight hours after it was transmitted or 9:00 a.m. (according
  to the time zone of the party to whim it was addressed) on the day following
  its transmission, whichever is later. If a notice is mailed as aforesaid, it
  shall be deemed to have been validly communicated to and to have been received
  by the addressee thereof on the earlier of the date of its receipt or the eleventh
  day following the mailing thereof in Canada, provided that no party shall mail
  any notice during any period during which Canadian postal workers, whether in
  the whole of Canada, or in any region thereof where a notice is to be communicated,
  are on strike, are withholding of services or lockout is threatened or has just
  been terminated so that, in the result, it may be adversely affected. Any address
  as provided for in this Section may be changed by written notice as contemplated
  by this Section, and the respective addresses of the parties hereto for the
  communication of notice shall be as follows: 

	 As to the Company:  	 Milinx Business Group Inc.  
	  	 1200-750 West Pender St.  
	  	 Vancouver, British Columbia  
	  	 CANADA  V6C 2T5  

 - 6 - 

 As to the SPV: At the address described above on the first
  page. 

 ARTICLE 6 - HEADINGS 

 6.01 All headings used in this Agreement have been inserted
  for convenience of reference only and are not intended to assist in the interpretation
  of any of the provisions of this Agreement unless expressly referred to in the
  provisions of this Agreement. 

 ARTICLE 7 - GENERAL 

 7.01 The invalidity or unenforceability of any provisions
  of this Agreement shall not affect the validity or enforceability of any other
  provision. 

 7.02 This Agreement shall be interpreted in accordance with
  the laws of the Province of British Columbia. 

 7.03 This Agreement represents the whole agreement between
  the parties hereto and replaces any prior agreement that may exist between such
  parties relating the subject matter hereof. 

 ARTICLE 8 - RECEIPT OF COPY 

 8.01 The Company hereby acknowledges receipt of a copy of
  this Security Agreement and waives the right to receive a copy of the verification
  statement. 

 ARTICLE 9 - ENUREMENT 

 9.01 This Agreement benefits the SPV, its successors and assigns
  and binds the Company and its heirs, executors, personal representatives, successors
  and assigns. 

 IN WITNESS WHEREOF the Company has executed this Security
  Agreement the day and year first above written. 

	 MILINX BUSINESS GROUP INC.  	 	 SPV CORP.  
	 By its authorized signatory:  	 	 By its authorized signatory:  
	  	 	 
	 Per: /s/ Kerry A. Grant  	 	 Per: /s/ Maynard L. Dokken  
	 Kerry A. Grant, President  	 	 Maynard L. Dokken, Director  

 Schedule “A” 

  CONVERTIBLE PROMISSORY NOTE 

  OF 

  MILINX BUSINESS GROUP INC. 

 Dated: __________ , 2005 

 MILINX BUSINESS GROUP INC., a Delaware corporation (the “Company”),
  for value received, hereby promises to pay to SPV CORPORATION (“SPV”),
  a Delaware corporation with an address at 2711 Centerville Road, Suite 400,
  Wilmington, Delaware 19808, or any person to whom this Note is subsequently
  transferred and who becomes a registered holder of this Note (the “Holder”)
  in accordance with the terms hereof, at the Holder’s address or to any
  account designated by the Holder to the Company in writing, the principal sum
  of Fifty Thousand U.S. Dollars (US$50,000), on June 14, 2005
  (the “Maturity Date”). This Note shall bear simple interest
  from the date of payment by the Holder of the principal amount thereof at a
  rate equal to ten percent (10%) per annum. Accrued interest shall be payable
  on the Maturity Date. 

 This Note is issued pursuant to the Funding Agreement dated
  April 14, 2005, by and between the Company and SPV (the “Funding Agreement”)
  and is subject to the terms and condition of the Funding Agreement, which are
  hereby incorporated by reference. Capitalized terms used but not defined in
  this Note have the meanings ascribed to them in the Funding Agreement. 

 The Company waives demand, presentment, protest, notice of
  dishonor and any other form of notice, not expressly required by the Funding
  Agreement, that may be required to hold the Company liable hereunder. 

 This Note is subject to the following terms and conditions:

 1.          
  Payment. This Note may be prepaid in whole or in part at any time or
  from time to time, with the consent of the Holder on ten (10) days’ prior
  written notice to the Holder in accordance with the Funding Agreement, without
  premium or penalty. 

 2.          
  Conversion.

 2.1                    
  Subject to the Company completing a consolidation of its issued Common Stock
  on a 20 existing shares for each new share basis (the “Share Consolidation”),
  this Note may be converted in whole or in part into shares of Common Stock at
  a price of US$0.001 per post-consolidated share (the “Conversion Price”),
  subject to the terms and conditions set forth in the Funding Agreement, by delivery
  to the Company of a written notice of conversion along with the original of
  this Note, such notice to be deemed given to the Company upon confirmed delivery
  to the Company of the notice of conversion in whole or in part and this Note,
  which confirmed delivery shall be evidenced in accordance with the notice provisions
  of the Funding Agreement applicable to physical delivery. A Note shall be issued
  simultaneously with the issuance of Common Stock for any portion not converted.

 2.2                     Adjustment
  of Conversion Price 

 (a)                     The
  Conversion Price and the number of shares deliverable upon the conversion of
  this Note will be subject to adjustment in the event and in the manner following:

 (i)                               Other
  than pursuant to the Share Consolidation, if and whenever the shares at any
  time outstanding are subdivided into a greater or consolidated into a lesser
  number of shares the Conversion Price will be decreased or increased proportionately
  as the case may be; upon any such subdivision or consolidation the number of
  shares deliverable upon the conversion of the Note will be increased or decreased
  proportionately as the case may be. 

 (ii)                               In
  case of any capital reorganization or of any reclassification of the capital
  of the Company or in the case of the consolidation, merger or amalgamation of
  the Company with or into any other Company (hereinafter collectively referred
  to as a "Reorganization"), each Note will after such Reorganization confer the
  right, on due conversion, to acquire the number of shares or other securities
  of the Company (or of the Company's resulting from such Reorganization) which
  the Holder would have been entitled to upon Reorganization if the Holder had
  been a shareholder at the time of such Reorganization. 

 In any such case, if necessary, appropriate adjustments will
  be made in the application of the provisions of this section 2.2 relating to
  the rights and interest thereafter of the Holders so that the provisions of
  this section will be made applicable as nearly as reasonably possible to any
  shares or other securities deliverable after the Reorganization on the conversion
  of the Note. 

 The subdivision or consolidation of shares at any time outstanding
  into a greater or lesser number of shares (whether with or without par value)
  will not be deemed to be a Reorganization for the purposes of this clause. 

 (iii)                            
  In case of a spin-off transaction involving one or more of the Company’s
  wholly owned subsidiaries, in consideration of one U.S. dollar (US$1.00)
  to be paid to each subsidiary subject to the spin-off, and for the consideration
  of advancing the principal sum of this Note to the Company, and for consideration
  of releasing its security interest pursuant to this Note in the assets of the
  Company, including the shares of the Company’s subsidiaries held by the
  Company at the time of closing such spin-off transaction, and other good and
  valuable consideration, the Holder will receive a secured convertible debt instrument
  from each such subsidiary in the same principal amount and convertible at the
  same price per share of such subsidiary, and otherwise in form and substance
  largely identical to this Note which may be in the form of a converted value
  or new instrument with a conversion right which will be approved prior to such
  agreed action by the Note holder. 

 (iv)                             
  The adjustments provided for in this section 2.2 are cumulative and will become
  effective immediately after the record date or, if no record date is fixed,
  the effective date of the event which results in such adjustments. 

 2.3        If any questions
  will at any time arise with respect to the Conversion Price or any adjustment
  provided for in Section 2.2, such questions will be conclusively determined
  by the Company's Auditors, or, if they decline to so act any other firm of certified
  public accountants in the United States of America that the Company may designate
  and who will have access to all appropriate records and such determination will
  be binding upon the Company and the Holders. 

 3.          
  Security Interest. In order to secure the full and timely payment of
  its obligations under this Note, the Company has granted to the Lender, pursuant
  to the Funding Agreement, a security interest in all of the assets of the Company,
  as presently constituted and as hereinafter acquired. 

 4.          
  Default Events of Default.

 4.1        An “Event
  of Default” will be deemed to occur upon the happening of any of the following:
  (a) the failure to pay when due any amount of principal or interest payable
  hereunder, which failure is not cured within 15 days of written notice thereof,
  (b) the filing against the Company which is not dismissed within 30 days thereafter,
  or by the Company, of a petition in bankruptcy or for an arrangement or reorganization,
  (c) the making by the Company of a general assignment for the benefit of creditors,
  (d) the appointment of a receiver or trustee for the Company, (e) the institution
  of liquidation or dissolution or reorganization proceedings with respect to
  the Company, (f) the occurrence of any material breach by the Company of any
  representation, warranty or covenant of the Company under the Funding Agreement,
  which is not waived or cured within 60 days of written notice thereof, or (g)
  the occurrence of any event of default under the Pledge Agreement or Security
  Agreement, provided that in the case of (b), (c), (d) or (e) above any such
  action initiated prior to this Note being issued which is not completed as at
  the date of this Note shall not be deemed and Event of Default, provided that
  if such action or proceeding is terminated or abandoned, this exception will
  cease to apply. 

 4.2        Rights of
  Default. If an Event of Default occurs and is continuing, the Holder may
  declare the principal of this Note, together with any accrued and unpaid interest,
  if not already due, to be due and payable immediately, by written notice to
  the Company; provided, however, that all amounts due under this Note shall be
  automatically due and payable, without any action of the Holder, upon an Event
  of Default pursuant to Sections 4.1(b) through 4.1(e) above. Upon any such declaration,
  such principal and interest will become due and payable immediately, anything
  contained in this Note to the contrary notwithstanding. 

 4.3        Enforcement.
  If the principal of this Note, together with all accrued and unpaid interest
  on this Note, becomes due and payable immediately, whether by declaration of
  the Holder or automatically, the Holder may proceed to protect and enforce its
  rights by an action at law, suit in equity, or other appropriate proceeding.

 5.          
  Miscellaneous. 

 5.1         Governing
  Law. This Note will be deemed to be contract made under the laws of the
  State of Delaware, and for all purposes will be construed in accordance with
  the laws of the State of Delaware. 

 5.2         Transfer.
  This security may only be transferred with the written approval of the Company,
  and upon the Holder providing an opinion of legal counsel in form acceptable
  to the Company that such transfer may be made in compliance will all applicable
  Provincial, State and Federal securities laws in Canada and the United States
  (the “Applicable Securities Laws”). 

 5.3         Conversion.
  This Note may only be converted by the Holder while the Holder is either
  an Accredited Investor (as defined in Rule 501 of Regulation D) or the transaction
  is made in an “offshore transaction” as defined in Rule 902 of Regulation
  S, and in any event, the Company may refuse to accept a conversion where it
  has a reasonable basis to conclude that the conversion cannot be made in compliance
  with Applicable Securities Laws, and in such event the Holder may provide a
  legal opinion of counsel in form acceptable to the Company that such conversion
  can be lawfully made in compliance with such Applicable Securities Laws, and
  the Company will thereafter accept the conversion. 

 5.4         Construction.
  Wherever possible, each provision of this Note will be interpreted in such a
  manner as to be effective and valid under applicable law, but if any provision
  of this Note is prohibited by or invalid under applicable law, such provision
  will be ineffective only to the extent of such prohibition or invalidity without
  invalidating the remainder of such provision or the remaining provisions of
  this Note. 

 5.5         Amendments.
  This Note may not be and will not be deemed or construed to have been modified,
  amended, rescinded, canceled or waived, in whole or in part, except by a written
  instrument signed by the Company and the Holder. 

 5.6         Payment
  Date. In case the Maturity Date or the date fixed for prepayment of this
  Note is not a business day, then payment of principal and interest to the Holder
  need not be made on such date, but may be made on the next succeeding business
  day with the same force and effect as if made on the Maturity Date or the date
  fixed for prepayment and no interest will accrue for the period after such date.

 IN WITNESS WHEREOF, the Company has caused this Note to be
  duly executed as of the date set forth above. 

  

MILINX BUSINESS GROUP INC. 

 

By:    ______________________________

            Kerry A. Grant,
  Director and President 

 _______________________ 

 THIS NOTE AND THE SECURITIES ISSUABLE ON CONVERSION OF THIS
  NOTE HAVE NOT BEEN AND WILL NOT BE REGISTERED UNDER THE U.S. SECURITIES ACT
  OF 1933 AS AMENDED, OR ANY U.S. STATE SECURITIES LAWS AND MAY NOT BE SOLD, TRANSFERRED,
  ASSIGNED, OFFERED, PLEDGED OR OTHERWISE DISTRIBUTED UNLESS THERE IS AN EFFECTIVE
  REGISTRATION STATEMENT UNDER SUCH ACT AND SUCH LAWS COVERING THIS NOTE OR THE
  COMPANY RECEIVES AN OPINION OF COUNSEL ACCEPTABLE TO THE COMPANY STATING THAT
  SUCH SALE, TRANSFER, ASSIGNMENT, OFFER, PLEDGE OR OTHER DISTRIBUTION FOR VALUE
  IS EXEMPT FROM THE REGISTRATION AND PROSPECTUS DELIVERY REQUIREMENTS OF SUCH
  ACT AND SUCH LAWS. 

 ________________________ 

 - 9 -

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