Document:

Unassociated Document

    
      
        

        EXHIBIT
10.1

        

        CLOSING
AGREEMENT

      

       

      This
Closing Agreement (“Agreement”) is entered into effective as of the   day of May,
2010 (“Effective Date”), by and among DGSE Companies, Inc., a Nevada corporation
(hereinafter referred to as “Company”), Dr. L.S. Smith, an individual
(hereinafter referred to as “Dr. Smith”) and NTR Metals, LLC, a Texas limited
liability company (hereinafter referred to as “NTR”).

      

      WHEREAS, as of the Effective
Date, there are 30,000,000 authorized shares of capital stock of the Company
(the “Shares”), of which there are 10,289,252 issued and outstanding Shares;

      

      WHEREAS, as of the Effective
Date, Dr. Smith (CEO and Chairman of the Company) owns 2,847,938 Shares of the
Company, which number includes 945,634 unexercised stock options previously
granted to Dr. Smith (the “Smith Equity Interest”); 

      

      WHEREAS, pursuant to the terms
of this Agreement, at the time of Closing (as defined herein) NTR will acquire
3,000,000 Shares of the Company, subject to the terms and conditions as set
forth herein.

      

      NOW, THEREFORE, in
consideration of the mutual covenants and consideration as described in this
Agreement, the receipt and adequacy of which is hereby acknowledged, the parties
agree as follows:

      

      1. Company-SIBL
Transaction. The parties acknowledge and agree that Stanford
International Bank, LTD (“SIBL”), a non-party to this Agreement, currently owns
3,377,361 Shares of the Company (which number includes 1,000 Shares identified
in subsection (e) below) and SIBL also owns warrants to purchase 422,814
additional Shares (the “SIBL Equity Interest”). Pursuant to that certain
Purchase and Sale Agreement (and Amendment thereto) dated January 27, 2010 among
the Company and the court-appointed Receiver for SIBL, as implemented in
accordance with the Partial Assignment Agreement, (the “Company-SIBL Purchase
Agreement”), SIBL will: (a) sell to NTR the SIBL Equity Interest as set forth in
the Partial Assignment Agreement and in this Agreement, (b) transfer 377,361
Shares as designated by the Company, (c) cancel all previously issued warrants
and/or options issued to SIBL, (d) cancel all previously existing agreements
between the Company and SIBL and (e) convert all of the Company’s outstanding
unsecured debt owed to SIBL (as set forth in the Company-SIBL Purchase
Agreement) to 1,000 Shares of the Company (the “Company-SIBL Transaction”). The
purchase price for the Company-SIBL Transaction is $3,600,000. Pursuant to the
Company-SIBL Purchase Agreement, the Company may assign its rights and
obligations under the Agreement, in whole or in part, to one or more
third-parties (each defined as a “Buyer”). 

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      2. Partial
Assignment Relating to NTR Acquired Interest. Subject to satisfaction of
the conditions and contingencies set forth in this Agreement and the execution
and delivery of each of the Closing Documents as set forth in Section 9 herein,
the parties agree as follows:

      

      2.1 Pursuant to a Partial Assignment
Agreement to be executed by the parties (“Partial Assignment Agreement”): (a)
the Company shall make a partial assignment of the Company’s rights as a Buyer
to NTR under the Company-SIBL Purchase Agreement, and (b) upon Closing (as
defined herein), NTR shall acquire directly from SIBL 3,000,000 Shares of the
Company (the “NTR Acquired Interest”) for the Purchase Price, as defined herein.
The parties acknowledge and agree that the remaining portion of the SIBL Equity
Interest (i.e. 377,361 Shares) shall be transferred as designated by the
Company.

      

      2.2 The parties agree that the NTR
Acquired Interest shall be transferred to NTR free and clear of any and all
liens, claims, encumbrances, pledges, charges and security interests. NTR
acknowledges that the Shares will be subject to a proxy in favor of Dr. L.S.
Smith and a one year restriction on resale.

      

      3. Purchase
Price.  The purchase price to be paid by NTR for the NTR
Acquired Interest shall be Three Million Six Hundred Thousand and 00/100 Dollars
($3,600,000) (“Purchase Price”). Subject to satisfaction of the conditions and
contingencies set forth in this Agreement, the Purchase Price shall be paid by
wire transfer to be delivered to the court-appointed Receiver for SIBL on the
Closing Date (as defined herein).

      

      4. Closing.  Subject
to satisfaction of the conditions and contingencies set forth in this Agreement,
including the execution and delivery of each of the Closing Documents as
referenced in Section 9 herein, and on the basis of the representations,
warranties, covenants and agreements set forth herein and in the Closing
Documents, the Closing shall take place simultaneously with the consummation of
the Company-SIBL Transaction. The Closing shall take place within five (5)
business days following the entry of a Court Order approving the Company-SIBL
Transaction (“Sale Order”) by the United States District Court, Northern
District of Texas in connection with the litigation captioned Securities and
Exchange Commission v. Stanford International Bank, Ltd., et al., Consolidated
Case No. 3:09-CV-00298-N (the “SIBL Litigation”), unless such date is extended
by the mutual agreement of the parties or otherwise mandated by the Court
(“Closing Date”).

      

      5. Piggyback
Registration.  The resale of
451,500  Shares of the NTR Acquired Interest are registered on that
certain Form S-3/A, filed with the Securities and Exchange Commission (the
“SEC”) on June 29, 2007, SEC Registration No. 333-143423 (the “Registered
Shares”). The
remaining 2,548,500 Shares of the NTR Acquired Interest remain restricted
securities (the “Remaining Shares”).  If, after the expiration of the
one-year lock-up under the Lock-Up Agreement, such Form S-3/A is no longer
effective, then for purposes of this Section 5, the Remaining Shares shall
include the Registered Shares.  If the Form S-3/A is effective at such
time, the Company shall amend the Form S-3/A to specify NTR as a selling
Stockholder.

       

      
        
          
          

        

        
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      5.1 Right to Piggyback
Registration. If the Company, at any
time proposes to register any of its securities for public sale under the
Securities Act of 1933, as amended (the “Securities Act”) (except as provided in
Section 5.2), whether for its own account or the account of others, on a form
and in a manner which would permit registration of the Remaining Shares for sale
to the public under the Securities Act (a “Piggyback Registration”), the Company
will give prompt (but in no event less than thirty (30) days prior to the
proposed date of filing the registration statement relating to such
registration) written notice to NTR of its intention to do so, and upon the
written request of NTR delivered to the Company within twenty (20) days after
the giving of any such notice (which request shall specify the Remaining Shares
intended to be disposed of by NTR), the Company will use its best efforts to
effect, in connection with the registration of such other securities, the
registration under the Securities Act of all of the Remaining Shares which the
Company has been so requested to register by NTR (except as provided in Section
5.3), to the extent required to permit the disposition (in accordance with the
same method of disposition as the Company proposes to use to dispose of the
other securities) of the Remaining Shares to be so
registered.  

      

      5.2 No Registration Requirement
in the Event of a Mergers, Acquisition, Etc. The Company shall not be
required to effect any registration of the Remaining Shares incidental to the
registration of any of its securities in connection with mergers, acquisitions,
exchange offers, subscription offers, dividend reinvestment plans or stock
option or other employee benefit plans of the Company.

      

      5.3 Underwriter
Limitation. If a Piggyback
Registration is an underwritten registration and the managing underwriters
advise the Company in writing that in their opinion the number of securities
requested to be included in such registration exceeds the number which can be
sold in such offering without materially adversely affecting the marketability
of the offering or the market for the Shares (the “Maximum Number”), the Company
shall include the following securities in such registration up to the Maximum
Number, and in accordance with the following priorities: (i) first, the
securities the Company proposes to sell, (ii) second, up to the number of
Remaining Shares requested to be included in such registration, and (iii) third,
up to the number of any other securities requested to be included in such
registration.

      

      5.4 The Company shall indemnify and
hold harmless, to the fullest extent permitted by law, NTR and each of its
officers, directors, managers, members, partners, stockholders, employees and
Affiliates and each Person who controls NTR (within the meaning of the
Securities Act) against any losses, claims, actions, damages, liabilities, joint
or several, and expenses (each, a “Loss”) arising out of or based upon (i) any
untrue or alleged untrue statement of a material fact contained in any
Registration Statement, prospectus, free writing prospectus or preliminary
prospectus or any amendment thereof or supplement thereto, any “roadshow”
materials or in any application for listing on a national securities exchange,
or (ii) any omission or alleged omission of a material fact required to be
stated therein or necessary to make the statements therein (in the case of a
prospectus, in light of the circumstances under which they were made) not
misleading, or (iii) any violation by the Company of the Securities Act, the
Exchange Act or applicable “blue sky” laws, except insofar as the same are made
in reliance and in conformity with information relating to NTR, furnished in
writing to the Company by NTR, expressly for use therein, and the Company will
reimburse NTR and each such officer, director, manager, member, partner,
stockholder, employee, Affiliate and controlling Person for any legal or other
expenses actually and reasonably incurred by them in connection with
investigating, defending or settling any such Loss.

       

      
        
          
          

        

        
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      6. Representations
and Warranties of Company. The Company represents and warrants to NTR as
follows:

      

      6.1 The execution and delivery of this
Agreement and the Closing Documents, as well as the performance by the Company
of its obligations hereunder and thereunder, have been duly authorized by all
necessary corporate actions of the Company.

      

      6.2 This Agreement constitutes a valid
and binding obligation of the Company, enforceable against the Company in
accordance with its terms.  No consent or approval by any person,
entity, officer, director or governmental authority is required in connection
with the execution and delivery by the Company of this Agreement or the
consummation of the transactions contemplated hereby, which has not yet been
obtained or will be obtained as provided herein.

      

      6.3 There are no restrictions on the
transfer or sale of the NTR Acquired Interest under any governing documents of
the Company including the Articles of Incorporation dated September 17, 1965 as
amended (“Articles”) and the By-Laws of the Company dated March 2, 1992
(“By-Laws”) or under any other shareholders’ agreement or otherwise, except for
applicable voting rights restrictions (as set forth in the NTR Proxy as defined
herein), as well as the one year restriction upon resale (as set forth in the
Lock-Up Agreement).

      

      6.4 The Company represents and warrants
that NTR’s acquisition of the NTR Acquired Interest will be in compliance with
all applicable existing laws, governmental rules and/or regulations. The Company
further represents and warrants that (a) the Nevada Acquisition of Controlling
Interest Act (Nevada Revised Code §78.378 through §78.3793) is not applicable to
NTR’s acquisition of the NTR Acquisition Interest and/or the transactions
contemplated herein, and (b) the Company has taken such action as necessary to
approve NTR’s acquisition of the NTR Equity Interest for purposes of compliance
with the Nevada Combinations With Interested Stockholders Act (Nevada Revised
Code §78.411 through §78.444).

      

      6.5 The Company represents and warrants
that no liability to any broker or agent has been incurred with respect to the
payment of any commission relating to this Agreement or the Closing Documents
and/or the consummation of the transactions contemplated herein and
therein.

      

      6.6 Upon the parties’ execution of the
Partial Assignment Agreement and NTR’s payment of the Purchase Price, NTR shall
receive good, marketable title to the NTR Acquired Interest, free and clear of
any and all liens, claims, encumbrances, pledges, charges and security
interests.

       

      
        
          
          

        

        
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      6.7 The above representations and
warranties of the Company are true and accurate upon the Effective Date and will
be true and accurate on the Closing Date.

      

      7. Representations
and Warranties of NTR. NTR represents and warrants to Company as
follows:

      

      7.1 The execution and delivery of this
Agreement and the Closing Documents, as well as the performance by NTR its
obligations hereunder and thereunder, have been duly authorized by all necessary
company actions of NTR.

      

      7.2 This Agreement constitutes a valid
and binding obligation of NTR, enforceable against NTR in accordance with its
terms. No consent or approval by any person, entity, officer, director or
governmental authority is required in connection with the execution and delivery
by NTR of this Agreement or the consummation of the transactions contemplated
hereby, which has not yet been obtained or will be obtained as provided
herein.

      

      7.3 NTR represents and warrants that no
liability to any broker or agent has been incurred with respect to the payment
of any commission relating to this Agreement or the Closing Documents and/or the
consummation of the transactions contemplated herein and therein.

      

      7.4 The above representations and
warranties of NTR are true and accurate upon the Effective Date and will be true
and accurate on the Closing Date.

      

      8. Conditions
to Consummation of the Transactions. The obligations of each party to
consummate the transactions provided for in this Agreement and/or the Closing
Documents are subject to the satisfaction or waiver, at or prior to the Closing
Date, of the following conditions:

      

      
        8.1 Approvals. All
authorizations, consents and approvals, if any, of, and filings, if any,
with, any governmental authority, including, but not limited to the SEC, or
other third parties (including the Company’s lenders), that are required for the
Company to validity execute, deliver and/or perform the Company-SIBL Purchase
Agreement, this Agreement and each of the Closing Documents, or to consummate
the transactions provided for in this Agreement and/or the Closing Documents
shall have been obtained or made.

      

      

      8.2 Consummation of Company-SIBL
Transaction. The Company and SIBL shall have performed all obligations
under the terms of the Company-SIBL Purchase Agreement, including, but not
limited to:

      

      (a)
Cancellation of all previously-issued warrants and/or options issued to
SIBL;

       

      
        
          
          

        

        
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      (b)
Cancellation of all previously-existing agreements between the Company andSIBL;
and

      

      (c)
Conversion of all of the Company’s outstanding unsecured debt owed to SIBL(as
set forth in the Company-SIBL Purchase Agreement) to 1,000 Shares ofthe
Company.

      

      8.3 Court Entry of Sale
Order. The United States District Court, Northern District of Texas in
connection with the SIBL Litigation shall have entered a Sale Order approving
the Company-SIBL Transaction and no stay of such Sale Order shall be in
effect.

      

      8.4 Delivery of Closing
Documents. The parties shall have executed and delivered each of the
Closing Documents as identified in Section 9 herein.

      

      8.5 Compliance with
Agreements. The parties shall have performed each agreement, and shall
have complied with each covenant, to be performed or complied with by the
parties pursuant to this Agreement and/or the Closing Documents on or prior to
the Closing Date.

      

      8.6 Pending Action. No
action, suit or proceeding is threatened or pending, and no injunction, order,
decree or ruling is in effect, seeking to restrain or prohibit, or to obtain
damages or other relief in connection with, the execution and delivery of this
Agreement, the Closing Documents or the consummation of the transactions
contemplated herein or therein.

      

      8.7 Issuance of
Certificates. The certificates representing the NTR Acquired Interest
will be transferred directly to NTR from SIBL via Registrar and Transfer Company
(the “Transfer Agent”). The NTR Acquired Interest will be distributed among one
or more certificates as indicated in a Letter of Instruction provided to the
Transfer Agent by the Receiver.

      

      8.8 Transfer of NTR Acquired
Interest. NTR shall have acquired the NTR Acquired Interest, free and
clear of any and all liens, claims, encumbrances, pledges, charges and security
interests. 

      

      8.9 Payment of Purchase
Price. NTR shall have paid the Purchase Price to SIBL, as stated in
Section 3 hereinabove.

      

      8.10 Representations
True.  The representations and warranties of the parties made
in this Agreement and/or the Closing Documents shall be true and correct upon
the Closing Date.

      

      9. Execution
and Delivery of Closing Documents. On or before the Closing Date, the
parties shall execute and/or deliver the following documents (“Closing
Documents”):

       

      
        
          
          

        

        
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      9.1 On or before the Closing Date the
parties shall execute and deliver this Agreement and each of the following
documents (“Closing Documents”):

      

      (a)
Partial Assignment Agreement between the Company and NTR in the formattached
hereto as Exhibit
“A”;

      

      (b)
Option Contract between Dr. Smith and NTR in the form attached hereto asExhibit
“B”;

      

      (c) NTR
Irrevocable Proxy (“NTR Proxy”) betweenNTR and Dr. Smith in theform attached
hereto as Exhibit
“C-1”, and an Agreement to Execute Irrevocable Proxy from Dr. Smith to
NTR (the "Agreement to Execute SmithProxy"), attached hereto as Exhibit
"C-2";

      

      (d)
Lock-up Agreement in the form attached hereto as Exhibit
“D”;

      

      (e)
Waiver of Dr. Smith of Change of Control provisions contained in hisEmployment
Agreement with the Company in the form attached hereto asExhibit
“E”.

      

      (f)
Waiver of William Oyster of Change of Control provisions contained in
hisEmployment Agreement with the Company in the form attached hereto asExhibit
“F”;

      

      (g)
Secretary’s Certificate of DGSE, including copies of the Resolutions of theBoard
of Directors of Company authorizing and approving the execution anddelivery of
this Agreement and the Closing Documents, as well as theconsummation of the
transactions contemplated herein and therein in theformattached hereto as Exhibit
“G”;

      

      (h)
Certified Copy of Resolutions of the Members of NTRauthorizing and approving
theexecution and delivery of this Agreement and the ClosingDocuments, as wellas
the consummation of the transactions contemplated herein and therein in theform
attached hereto as Exhibit “H”; and

      

      (i) Sale
Order.

      

      (j)
Subject to NTR’s prior receipt and reasonable approval of the form of
Buyer’sRelease (as identified in Section 1(D) of the Company-SIBL
PurchaseAgreement), an executed Buyer’s Release of claims against the
court-appointedReceiver of SIBL.

      

      9.2 The parties acknowledge and agree
the terms and conditions of this Agreement, including the representations and
warranties of the parties as set forth herein, shall control and govern as to
each Closing Document executed and/or delivered by the parties in connection
herewith, including the Partial Assignment Agreement.

       

      
        
          
          

        

        
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      10. Post-Closing
Covenants.  

      

      10.1 The Company shall be responsible
for payment of all taxes, if any, assessed with respect to the NTR Acquired
Interest prior to Closing. Further, the Company shall be responsible for payment
of all sales and transfer taxes (including, without limitation, documentary
transfer) and similar fees and taxes, if any, payable in connection with the
transfer of the NTR Acquired Interest to NTR and the consummation of the
transactions contemplated herein.

      

      10.2 Prior to NTR’s exercise of the
Option (as defined in the Option Contract), the Company shall:

      

      (a)
reaffirm the Company’s representations and warranties that the NevadaAcquisition
of Controlling Interest Act is not applicable to NTR’s exercise ofthe Option
and/or the transactions contemplated therein.

      

      (b) take
such action as necessary to approve NTR’s exercise of the Option, and
thetransactions contemplated thereby, for purposes of compliance with the
NevadaCombinations With Interested Stockholders.

      

      10.3 The Company shall execute and
deliver, at the Company’s own expense, such further instruments and documents as
may be reasonably requested by NTR to satisfy any of the Company’s obligations
hereunder and/or to complete any of the transactions contemplated
hereby.

      

      11. Direct Claims and
Indemnification. 

      

      11.1 Direct Claims. Each
party agrees to pay and reimburse the other party for any damages resulting from
or arising out of any breach of, or failure to perform, any obligation,
representation and/or warranty of such party under this Agreement.

      

      11.2 Third-Party Claims.
Each party agrees to defend, indemnify and hold the other party harmless from
and against any and all third-party claims (including claims of shareholders of
the Company), causes of action, suits, penalties, losses, damages and expenses
of any nature incurred or suffered, arising out of or in connection with the
breach of, or failure to perform, any obligation, representation or warranty of
such party under this Agreement.

       

      11.3 Attorneys’ Fees. In
the event of litigation arising under Section 11, the non-prevailing party shall
pay the other party’s reasonable attorneys' fees and expenses. 

       

      
        
          
          

        

        
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      12. Miscellaneous.

      

      12.1 Waivers and
Amendments.  This Agreement or any provision hereof may be
amended, waived, discharged or terminated only by a statement in writing signed
by all of the parties hereto.

      

      12.2 Governing Law; Jurisdiction;
Choice of Venue and Forum.  This Agreement has been prepared,
is being executed and delivered, and is intended to be performed, in the State
of Texas, and the substantive laws of Texas shall govern the validity,
construction, enforcement, and interpretation of this Agreement. The parties
shall have the right, but not the obligation, to apply to a court of competent
jurisdiction within Dallas County, Texas to enjoin any breach of this Agreement
or to seek specific performance of this Agreement. Excepting the right of a
party to seek such injunctive relief, all claims, disputes and matters in
question arising out of or related to this Agreement, whether sounding in
contract, tort or otherwise, shall be resolved by binding arbitration,
administered by the American Arbitration Association (“AAA”) pursuant to its
then current AAA Commercial Arbitration Rules (“Rules”). The dispute shall be
heard and determined by one (1) arbitrator. Within thirty (30) days of the
notification of a party’s intent to proceed with arbitration, the parties shall
mutually agree upon and designate an arbitrator. If the parties fail to
designate an arbitrator within the time specified, then the arbitrator shall be
appointed by the AAA. The arbitrator shall decide whether a particular dispute
is or is not arbitrable. The costs of the arbitrator shall be divided equally
between the parties. Only damages alleged pursuant to this Agreement may be
awarded, and the arbitrator shall have no authority to award punitive or
exemplary damages, the parties hereby waiving their right, if any, to recover
punitive or exemplary damages, either in arbitration or in litigation. The
arbitration shall take place in Dallas, Texas.  Judgment on the award
may be entered in any court having jurisdiction. 

      

      12.3 Entire
Agreement.  This Agreement and the Closing Documents delivered
pursuant hereto constitute the full and entire understanding and agreement
between the parties with regard to the subjects hereof and thereof and they
supersede, merge and render void every other prior written and/or oral
understanding or agreement among or between the parties hereto. This Agreement
supersedes all agreements previously made between the parties relating to its
subject matter. There are no other understandings or agreements between the
parties concerning the matters set forth herein. 

      

      12.4 Severability.  In
case any provision of this Agreement shall be found by a court of law to be
invalid, illegal or unenforceable, the validity, legality and enforceability of
the remaining provisions of this Agreement shall not in any way be affected or
impaired thereby.

      

      12.5 Brokers’ Fees and/or
Expenses. The parties agree that if any claims for commissions, fees or
other compensation, including, without limitation, brokerage fees, finder's
fees, or commissions are ever asserted against a party in connection with this
Agreement and the Closing Documents or the transactions contemplated herein or
therein, based upon that party’s dealings or activities, all such claims shall
be handled and paid by the party against whom such claims have been made and the
party shall indemnify, defend (with counsel reasonably satisfactory to the other
party), protect and save and hold the other party harmless from and against any
and all such claims or demands asserted by any person, firm or corporation.
Notwithstanding the foregoing, the parties acknowledge and agree that no party
shall have any obligation or liability relating to any broker’s commissions or
fees incurred by SIBL in connection with the Company-SIBL
Transaction.

       

      
        
          
          

        

        
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      12.6 Expenses. Except as
otherwise stated in Sections 6.6 and 6.7 hereinabove, each of the parties hereto
shall each bear their own expenses and legal fees in connection with the
preparation and execution of this Agreement and the Closing Documents and the
consummation of the transactions contemplated herein and therein.

      

      12.7 Counterparts.  This
Agreement may be executed in any number of counterparts, each of which shall be
an original, but all of which together shall constitute one
instrument.  Facsimile signatures are as binding as original
signatures for all purposes hereunder.

      

      12.8 Non-Waiver.  No
delay or failure by a party to exercise any rights under this Agreement, and no
partial or single exercise of that right, shall constitute a waiver of that or
any other right, unless otherwise expressly provided herein.

      

      12.9 Headings.  Headings
in this Agreement are for convenience only and shall not be used to interpret or
construe its provisions.

      

      12.10 Necessary
Acts.  Each of the parties hereto agrees that it will do any
act or thing and will execute any and all instruments necessary and/or proper to
make effective the provisions of this Agreement.

      

      12.11 Binding
Effect.  This Agreement shall be binding upon and shall inure
to the benefit of the parties hereto and their respective heirs, executors,
successors and assigns. Notwithstanding anything contained in this Agreement to
the contrary, nothing in this Agreement, expressed or implied, is intended to
confer on any person other than the parties hereto or their respective heirs,
executors, successors and assigns any rights, remedies, obligations or
liabilities under or by reason of this Agreement.

      

      IN WITNESS WHEREOF, the
parties have signed this Closing Agreement effective as of the date first
written hereinabove.

       

       

      
        
          	 	 	 
	 	NTR METALS, LLC, a Texas limited liabilitycompany	 
	 	 	 	 
	
                   

                	
                  By:
      

                	 
      	 
	 	Name:	John
      R. Loftus	 
	 	Title:	President	 
	 	 	 	 

        

      

      
         

        
          
            
            

          

          
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            	 	COMPANY	 
	 	 	 
	 	DGSE
      COMPANIES, INC., a Nevada corporation	 
	 	 	 	 
	
                     

                  	
                    By:
      

                  	 
      	 
	 	Name:	 	 
	 	Title:	 	 
	 	 	 	 

          

        

        
          
             

            
              	 	DR.
      L.S. SMITH	 
	 	 	 
	 	 
      	 
	 	Dr.
      L.S. Smith	 
	 	 	 	 

            

          

           

          
            
              
              

            

            
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      Exhibit
“A”

      

      Form of Partial Assignment
Agreement

       

       

       

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      Exhibit
“B”

      

      Form of Option
Contract

       

       

       

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      Exhibit
“C-1”

      

      Form of NTR Irrevocable
Proxy

       

       

       

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      Exhibit
“C-2”

      

      Form of Agreement to Execute
Smith Irrevocable Proxy

       

       

       

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      Exhibit
“D”

      

      Form of Lock-Up
Agreement

       

       

       

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      Exhibit
“E”

      

      Form of Waiver Agreement
(Dr. Smith)

       

       

       

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      Exhibit
“F”

      

      Form of Waiver Agreement
(William Oyster)

       

       

      
 

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

         

      

      Exhibit
“G”

      

      Secretary’s Certificate of
DGSE Companies, Inc.

       

       

      
 

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

         

      

      Exhibit
“H”

      

      Certified Copy of
Resolutions of the Members of  NTR Metals, LLCUnassociated Document

    
      EXHIBIT
10.2

      

      PURCHASE
AND SALE AGREEMENT

    

     

     

    This
Purchase and Sale Agreement (“Agreement”) is made
this 27th day of January, 2010 (the “Effective Date”), by
and between (i) Stanford International Bank, Ltd., an entity organized under the
laws of Antigua (“Seller”), and (ii)
DGSE Companies, Inc., a Nevada corporation (the “Company”), and/or any
Company assignees pursuant to Section 9 of this Agreement, (collectively, “Buyers” and each,
individually, a “Buyer”) (Seller and
Buyers being sometimes hereinafter referred to, collectively, as the “Parties,” and each,
individually, as a “Party”).

     

    WITNESSETH:

     

    WHEREAS,
Seller owns certain of the Company’s equity securities (the “Securities”), which
are set forth on Schedule 1 hereto,
inclusive of the shares of Company common stock, $0.01 par value per share
(“Common
Stock”), to be obtained pursuant to the Conversion Agreement (as defined
below);

     

    WHEREAS,
according to the books and records of Seller, as of the date hereof, Superior
Galleries, Inc. (“Superior”), a
subsidiary of the Company, has drawn down $10,550,000 (the “Outstanding Debt”)
under that certain Amended and Restated Commercial Loan and Security Agreement,
by and between Superior and Seller, dated as of May 30, 2007 (the “Credit
Agreement”);

     

    WHEREAS,
the Company and Seller desire to convert the Outstanding Debt into 1,000 shares
of Common Stock pursuant to the terms of the Conversion Agreement;

     

    WHEREAS,
the Court (as defined below) entered an order on February 17, 2009, appointing
Ralph S. Janvey as Receiver (the “Receiver”) for the
assets of Seller, Stanford Group Company, Stanford Capital Management, LLC, R.
Allen Stanford, James M. Davis and Laura Pendergest-Holt and the entities they
own or control (the “Receivership
Estate”); and

     

    WHEREAS,
Seller desires to sell and convey to Buyers, and Buyers desire to accept and
purchase from Seller, for the Purchase Price (as defined below), all of Seller’s
right, title and interest in the Securities, including the Common Stock
converted pursuant to the terms of the Conversion Agreement, upon the terms and
conditions hereinafter set forth in this Agreement;

     

    NOW,
THEREFORE, for and in consideration of the premises and the mutual covenants and
agreements herein contained, Seller and Buyers hereby agree as
follows:

     

    
      	
              1.

            	
              DEFINED
      TERMS:  Capitalized
      terms and expressions used in this Agreement shall have the meanings set
      forth in the Recitals above or as
follows:

            

    

     

    
      	
               
      

            	
              A.

            	
              Affiliates:  means
      with respect to any specified Person, a Person that directly or
      indirectly, through one or more intermediaries, controls, is controlled by
      or is under common control with the Person specified.  For
      purposes of this definition, “control” (including the correlative terms
      “controlled by” and “under common control with”) means the possession,
      direct or indirect, of the power to direct or cause the direction of the
      management and policies of a Person, whether through the ownership of a
      voting equity interest, by contract or
  otherwise.

            

    

     

    
      	
               
      

            	
              B.

            	
              Antiguan
      Petition: means the Antiguan receivers-liquidators April 20, 2009
      petition for recognition under Chapter 15 of the U.S. Bankruptcy Code with
      respect to the Seller.

            

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    
      	
               
      

            	
              C.

            	
              Bill of
      Sale:  means an instrument transferring the Securities
      from Seller to Buyers in the form attached hereto as Exhibit
      A.

            

    

     

    
      	
               
      

            	
              D.

            	
              Buyers’
      Release: means an agreement wherein each Buyer and the Company, and
      each of their respective affiliates, releases Seller and the Receiver from
      any and all claims, actions, causes of action, suits, debts, liens,
      demands, contracts, liabilities, agreements, costs, expenses, or losses of
      any type known to Buyer, fixed or contingent, whether based on contract,
      tort, statute, local ordinance, regulation or any comparable law in any
      jurisdiction.

            

    

     

    
      	
               
      

            	
              E.

            	
              Closing:  means
      the closing of the transactions set forth in this Agreement, including the
      performance by Seller and Buyers of their respective obligations set forth
      herein.

            

    

     

    
      	
               
      

            	
              F.

            	
              Closing
      Date:  means the date five (5) business days following
      entry of the Sale Order.

            

    

     

    
      	
               
      

            	
              G.

            	
              Conversion
      Agreement: means an agreement between the Company and Seller, dated
      the date hereof, that converts the Outstanding Debt to 1,000 shares of the
      Company’s Common Stock.

            

    

     

    
      	
               
      

            	
              H.

            	
              Court:  means
      the United States District Court for the Northern District of Texas,
      Dallas Division, which is the court with exclusive jurisdiction in Case
      No. 3-09CV0298-L (the “Litigation”).

            

    

     

    
      	
               
      

            	
              I.

            	
              Liens: means
      any ownership claims, liens, charges, pledges or other encumbrances
      whatsoever, known or unknown, recognized under the laws of the United
      States.

            

    

    

    
      	
               
      

            	
              J.

            	
              Person: means
      any individual, firm, corporation, partnership, limited liability company,
      joint venture, association, trust, unincorporated organization, government
      or agency or subdivision thereof or any other
  entity.

            

    

    

    
      	
               
      

            	
              K.

            	
              Purchase Price:
      means Three Million, Six Hundred Thousand and No/100 Dollars
      ($3,600,000.00).

            

    

     

    
      	
               
      

            	
              L.

            	
              Sale
      Order:  means an order in form and substance acceptable
      to Buyers that, among other things, confirms (i) the sale of the
      Securities by Seller to Buyers for the Purchase Price and upon the terms
      and conditions set forth in this Agreement (the “Sale”), (ii)
      that all creditors, parties who have appeared in the Litigation, and
      parties in interest received adequate notice and an opportunity to be
      heard regarding the terms of the Sale, and (iii) that the Securities are
      conveyed to Buyers free and clear of any
Liens.

            

    

     

    
      	
              2.

            	
              SALE AND CONVEYANCE OF
      SECURITIES:

            

    

     

    
      	
               
      

            	
              A.

            	
              Subject
      to the terms and conditions of this Agreement, and for the Purchase Price
      contemplated herein, Seller hereby agrees to sell and convey the
      Securities to Buyers, and Buyers, jointly and severally, hereby agree to
      purchase and accept the Securities from
Seller.

            

    

     

    
      	
               
      

            	
              B.

            	
              In
      addition to the Securities, each Party hereby agrees to deliver at Closing
      all documents required by this Agreement and perform any other acts as may
      be reasonably required by the other Party to successfully effect the
      transactions contemplated in this
Agreement.

            

    

     

    
      
        
        

      

      
        - 2
-

        
          

        

      

      
        
        

      

    

     

    
      	
              3.

            	
              BUYERS’
      CONDITIONS TO CLOSING:  In addition
      to all other conditions set forth herein, the obligation of Buyers to
      consummate the transactions contemplated hereunder is subject to the
      following conditions (each, a “Buyers’ Closing
      Condition”), all of which may be waived by each Buyer in its sole
      discretion.  In the event any Buyers’ Closing Condition remains
      unfulfilled at Closing, Buyers may terminate this Agreement or waive such
      condition and proceed with Closing as provided for in this
      Agreement:

            

    

     

    
      	
               
      

            	
              A.

            	
              The
      representations and warranties of Seller set forth herein are true and
      correct as of the date hereof and as of the Closing
  Date.

            

    

     

    
      	
               
      

            	
              B.

            	
              The
      Court shall have entered the Sale Order, and no stay of such order shall
      be in effect. In connection therewith, Seller hereby covenants and agrees
      that as soon as reasonably possible after the execution of this Agreement
      by each Buyer, Seller shall file and serve a motion and supporting papers
      to seek approval of the Court of this Agreement and for entry of the Sale
      Order.  Buyers will have the opportunity to review and approve
      the motion for approval of the Sale Order before it is filed and
      served.  Seller shall use all reasonable efforts to obtain such
      entry as soon as reasonably
possible.

            

    

     

    
      	
               
      

            	
              C.

            	
              

                Seller
      shall have delivered to Buyers evidence of (i) all governmental, court,
      regulatory and third party approvals, consents and/or waivers as may be
      required under the laws of the United States to consummate the
      transactions contemplated hereby and (ii) compliance with all regulatory,
      court and governmental requirements, including proof acceptable to the
      Buyers that, upon transfer to the Buyers, the Buyers will receive, subject
      to Section 6(d) valid title to the Securities, free and clear of all
      Liens.  In connection therewith, Seller hereby covenants and
      agrees that as soon as reasonably possible after the execution of this
      Agreement by each Buyer, Seller shall seek such approvals, consents and/or
      waivers, and use all reasonable efforts to obtain such approvals, consents
      and/or waivers as soon as reasonably
  possible.

              

            

    

     

    
      	
               
      

            	
              D.

            	
              Seller
      shall have delivered the Bill of Sale, fully executed by
      Seller.

            

    

     

    
      	
               
      

            	
              E.

            	
              The
      Company and Seller shall have entered into the Conversion
      Agreement.

            

    

     

    
      	
               
      

            	
              F.

            	
              Seller
      shall have cancelled all agreements entered into between Seller and
      Superior, including, but not limited to, the Credit
    Agreement.

            

    

     

    
      	
               
      

            	
              G.

            	
              Seller
      shall have delivered all third party approvals, consents and/or waivers as
      may be required under the contracts of
Seller.

            

    

     

    
      	
               
      

            	
              H.

            	
              Seller
      shall have delivered to Buyer the original stock certificates and original
      warrants representing all the Securities set forth in Schedule 1
      hereto.

            

    

     

    
      	
               
      

            	
              I.

            	
              Seller
      shall have delivered evidence reasonably satisfactory to Buyers that
      either the Antiguan Petition has been dismissed or the Court has issued an
      order in respect of the Antiguan Petition and such order (i) (A) does not
      recognize the Antiguan receivers-liquidators as “foreign representatives”
      under Chapter 15 of the United States Bankruptcy Code or (B) contains a
      finding or holding that the proceeding pending in Antigua pursuant to
      which the Antiguan receivers-liquidators were appointed does not
      constitute a “foreign main proceeding” within the meaning of Chapter 15 of
      the United States Bankruptcy Code or (ii) does not prohibit the transfer
      of Seller’s assets.

            

    

     

    
      
        
        

      

      
        - 3
-

        
          

        

      

      
        
        

      

    

     

    
      	
              4.

            	
              SELLER’S
      CONDITIONS TO CLOSING:  In addition
      to all other conditions set forth herein, the obligation of Seller to
      consummate the transactions contemplated hereunder is subject to the
      following conditions (each, a “Seller Closing
      Condition”), all of which may be waived by Seller in its sole
      discretion.  In the event any Seller Closing Condition remains
      unfulfilled at Closing, Seller may terminate this Agreement or waive such
      condition and proceed with Closing as provided for in this
      Agreement:

            

    

     

    
      	
               
      

            	
              A.

            	
              The
      representations and warranties of each Buyer set forth herein are true and
      correct as of the date hereof and as of the Closing
  Date.

            

    

     

    
      	
               
      

            	
              B.

            	
              Each
      Buyer shall have delivered to Seller evidence reasonably satisfactory to
      Seller of all consents and authorizations necessary to authorize such
      Buyer to consummate the transactions contemplated by this
      Agreement.

            

    

     

    
      	
               
      

            	
              C.

            	
              The
      Court shall have entered the Sale Order, and no stay of such order shall
      be in effect.

            

    

     

    
      	
               
      

            	
              D.

            	
              The
      Company and Seller shall have entered into the Conversion
      Agreement.

            

    

     

    
      	
               
      

            	
              E.

            	
              Buyers
      shall have delivered the Bill of Sale, fully executed by each
      Buyer.

            

    

     

    
      	
              5.

            	
              CLOSING:

            

    

     

    
      	
               
      

            	
              A.

            	
              The
      Closing shall be held at the offices of Baker Botts L.L.P., 910 Louisiana
      St., Houston, Texas 77002, on or before the Closing
  Date.

            

    

     

    
      	
               
      

            	
              B.

            	
              At
      Closing, Buyers and Seller shall perform the obligations set forth in,
      respectively, subparagraphs (i) and (ii) below, the performance of which
      obligations shall be concurrent
conditions:

            

    

     

    
      	
               
      

            	
              (i)

            	
              Buyers
      shall deliver, or cause to be delivered, to
  Seller:

            

    

     

    
      	
               
      

            	
              (a)

            	
              the
      Bill of Sale, fully executed by each
Buyer;

            

    

     

    
      	
               
      

            	
              (b)

            	
              the
      Conversion Agreement, fully executed by the
  Company;

            

    

     

    
      	
               
      

            	
              (c)

            	
              the
      Purchase Price in the form of immediately available funds by wire transfer
      to an account or accounts specified by the
  Receiver;

            

    

     

    
      	
               
      

            	
              (d)

            	
              the
      Buyers’ Release, fully executed by each Buyer;
  and

            

    

     

    
      	
               
      

            	
              (e)

            	
              any
      other documents reasonably requested by Seller to evidence each Buyer’s
      authority to enter into and comply with all of the terms and conditions
      contained in this Agreement.

            

    

     

    
      	
               
      

            	
              (ii)

            	
              Seller
      shall deliver, or cause to be delivered, to
  Buyers:

            

    

     

    
      	
               
      

            	
              (a)

            	
              the
      Bill of Sale, fully executed by
Seller;

            

    

     

    
      	
               
      

            	
              (b)

            	
              the
      Conversion Agreement, fully executed by
Seller;

            

    

     

    
      	
               
      

            	
              (c)

            	
              a
      copy of the entered Sale Order, and any other documents reasonably
      requested by Buyers to evidence Seller’s authority under the laws of the
      United States to enter into and comply with all of the terms and
      conditions contained in this Agreement;
and

            

    

     

    
      
        
        

      

      
        - 4
-

        
          

        

      

      
        
        

      

    

     

    
      	
               
      

            	
              (d)

            	
              the
      original stock certificates and the original warrants representing all the
      Securities set forth in Schedule 1
hereto.

            

    

     

    
      	
               
      

            	
              C.

            	
              Each
      Party shall bear its own expenses with respect to the performance of its
      obligations under this Agreement and providing all of the documents
      required under this Agreement in connection with
  Closing.

            

    

     

    
      	
               
      

            	
              D.

            	
              In
      the event the Parties hereto are unable to obtain the approval of the
      Court or are otherwise unable to legally consummate the transactions
      contemplated under this Agreement by March 29, 2010 (the “Termination
      Date”), then the obligations of the Parties to each other pursuant
      to this Agreement shall terminate, unless such time period is extended by
      mutual agreement of the parties.  Furthermore, the Termination
      Date may be extended at any time by written agreement of the
      parties.

            

    

     

    
      	
              6.

            	
              SELLER’S
      REPRESENTATIONS:  Seller
      makes the following representations and warranties, which shall be true as
      of the Effective Date and at Closing and which shall survive
      Closing:

            

    

     

    
      	
               
      

            	
              A.

            	
              Authorization of
      Agreement and Enforceability:  Subject to Court approval,
      this Agreement is a valid and legally binding obligation of Seller under
      the laws of the United States and enforceable against it in accordance
      with its terms and, subject to entry of the Sale Order, each document and
      instrument of transfer contemplated by this Agreement, when executed and
      delivered by Seller in accordance with the provisions hereof, shall be
      valid and legally binding upon Seller under the laws of the United States
      and enforceable against Seller in accordance with its
    terms.

            

    

     

    
      	
               
      

            	
              B.

            	
              Ownership of
      Securities: Seller is the sole and exclusive registered and
      beneficial owner of the Securities and, subject to Section 6(d), Seller
      has good, valid and marketable title thereto, free and clear of any
      Liens.  Upon delivery of the Purchase Price, as provided for in
      this Agreement, Buyers will receive, subject to Section 6(d), good, valid
      and marketable title to the Securities, free and clear of any
      Liens.  The Securities constitute all of Seller’s interests in
      the Company and, on the Closing Date, Seller shall cease to have any
      interest in the Company, whether direct or indirect, actual or
      contingent.

            

    

     

    
      	
               
      

            	
              C.

            	
              No Conflicts; Consents
      and Approvals:  Seller has not granted to any Person any
      rights in the Securities that will survive the Closing or any rights to
      acquire all or any part of the Securities that remain in effect, and there
      is no outstanding agreement by Seller to sell all or any part of the
      Securities to any other Person. No consent, approval, waiver,
      authorization or other order of or filing with any person is required
      under the laws of the United States on the part of Seller in connection
      with Seller’s execution and delivery of this Agreement or the consummation
      of the transactions contemplated hereby, except for approval of the Court,
      which will be delivered to Buyers in the form of a copy of the entered
      Sale Order prior to Closing.

            

    

     

    
      	
               
      

            	
              D.

            	
              Litigation:  Seller
      has not received any written notice of any pending or threatened
      litigation, proceeding or investigation by any Person against it with
      respect to or against the Securities, except for those matters within the
      jurisdiction of the Court and consolidated under the
      Litigation.

            

    

     

    
      
        
        

      

      
        - 5
-

        
          

        

      

      
        
        

      

    

     

    
      	
               
      

            	
              E.

            	
              Knowledge of
      Receiver:  To the extent that the Receiver or the
      Receivership Estate is deemed to have made any of the representations of
      the Seller in this Agreement, any such representations shall be made
      subject to the Receiver’s knowledge.  All such representations
      shall be binding on the Receiver and the Receivership Estate, and the
      Receiver and the Receivership Estate are prevented and estopped from
      taking a position contrary to any such representations in the Litigation
      or any other legal or administrative
proceeding.

            

    

     

    
      	
               
      

            	
              F.

            	
              Access
      to Information:  Seller
      has had access to all reports required to be filed by the Company (the
      "SEC Reports") under the 1934 Act as well as other material information
      concerning the Company which is known to the Buyers.  The Seller
      represents that it has had the opportunity to ask questions of, and
      receive answers from, the Company and the Buyers regarding the foregoing
      documents and information, and otherwise as to the business of the
      Company.  Seller has sought
      such accounting, legal and tax advice as it has considered necessary to
      make an informed investment decision with respect to its sale of the
      Securities.

            

    

     

    
      	
              7.

            	
              BUYERS’
      REPRESENTATIONS:  Each Buyer
      makes the following representations and warranties, severally, which shall
      be true as of the Effective Date and at Closing and which shall survive
      Closing:

            

    

     

    
      	
               
      

            	
              A.

            	
              Authority:  Buyer
      has the legal authority to enter into and to consummate the transactions
      contemplated by this Agreement.

            

    

     

    
      	
               
      

            	
              B.

            	
              Authorization of
      Agreement:  The execution, delivery and performance of
      this Agreement have been duly and validly authorized within each Buyer’s
      organization.  This Agreement is a valid and legally binding
      obligation of Buyer enforceable against it in accordance with its terms
      and each document and instrument of transfer contemplated by this
      Agreement, when executed and delivered by Buyer in accordance with the
      provisions hereof, shall be valid and legally binding upon Buyer in
      accordance with its terms.

            

    

     

    
      	
               
      

            	
              C.

            	
              Consents and
      Approvals: No consent, approval, waiver, authorization or other
      order of or filing with any person is required on the part of Buyer in
      connection with Buyer’s execution and delivery of this Agreement or the
      consummation of the transactions contemplated hereby, except for approval
      of the Court.

            

    

     

    
      	
               
      

            	
              D.

            	
              Purchase for
      Investment: Buyer is acquiring the Securities for its own account,
      for investment purposes and not with a view to any distribution or resale
      thereof, except in compliance with the Securities Act of 1933, as amended,
      and applicable state securities
laws.

            

    

     

    
      	
              8.

            	
              REMEDIES:  In the
      event of a default by any Buyer hereunder, which default remains uncured
      for a period of ten (10) business days after written notice thereof is
      received by such Buyer, Seller shall be entitled to all remedies available
      to Seller at law or in equity, including without limitation, the right to
      maintain an action for monetary damages or for specific performance of the
      terms of this Agreement; provided, however, that
      Seller may not seek monetary damages in excess of the aggregate Purchase
      Price.  In the event of a default by Seller hereunder, which
      default remains uncured for a period of ten (10) business days after
      written notice thereof is received by Seller, Buyers shall be entitled to
      all remedies available to Buyers at law or in equity, including without
      limitation, the right to maintain an action for equitable relief, monetary
      damages or for specific performance of the terms of this Agreement; provided, however, that
      Buyers may not seek monetary damages in excess of the aggregate Purchase
      Price.

            

    

     

    
      
        
        

      

      
        - 6
-

        
          

        

      

      
        
        

      

    

     

    
      	
              9.

            	
              ASSIGNMENT:  The Company
      shall have the right to assign its rights and obligations, in whole or in
      part, under this Agreement.  Any such assignment shall be
      performed, and Seller shall be notified in writing, no later than three
      business days before the Closing Date.  To the extent the
      Company assigns all or a portion of its rights under this Agreement, the
      Company shall be jointly and severally liable for the Company’s and any
      assignees' obligations hereunder, and any assignee shall be liable only
      for the obligations corresponding to the portion of the rights assigned by
      the Company to that assignee.  The Seller shall not assign any
      interest in this Agreement to any other party without the prior written
      consent of the Company.

            

    

     

    
      	
              10.

            	
              BROKERS:  Except as
      set forth on Schedule 2,
      each Party represents to the other Party that (i) there are no
      finders’ fees or brokers’ fees that have been or will be incurred in
      connection with this Agreement or the transfer of the Securities, and
      (ii) such Party has not authorized any broker or finder to act on
      such Party’s behalf in connection with the sale and purchase
      hereunder.

            

    

     

    
      	
              11.

            	
              FURTHER
      ASSURANCES:  Each Party
      shall from time to time, before and after Closing, at the other Party’s
      request, execute and deliver such further instruments of conveyance,
      assignment and transfer and shall take such further action as either Party
      may reasonably require for the conveyance and transfer of the Securities
      and to consummate the transactions contemplated by this
      Agreement.

            

    

     

    
      	
              12.

            	
              PUBLICITY: Neither Party shall make any
      public statement, press release or other announcement concerning the
      matters covered by this Agreement without the approval of the other Party
      hereto and the Court, as deemed necessary by Seller; provided
      that Buyers may make
      such press releases or other public statements it believes are required
      under applicable securities laws and regulations and the rules of any
      stock exchange or market on which its securities are traded provided that
      Buyers provide Seller with an opportunity to review and comment on such
      press releases or other public statements in
    advance.

            

    

     

    
      	
              13.

            	
              NOTICES:  All notices
      and other communications from one Party to the other pertaining to this
      Agreement shall be given in written form and shall be served either (i) by
      personal delivery, or (ii) by depositing the same with the United States
      Postal Service addressed to the Party to be notified, postage prepaid and
      in registered or certified form, with return receipt requested, or (iii)
      by deposit with FedEx or other recognized courier for overnight delivery,
      or (iv) by email or facsimile, and in any event addressed as set forth
      below.  Notice given as aforesaid shall be deemed delivered on
      the date actually received at the address to which such notice was sent,
      or if delivery is refused or not accepted, such notice shall be deemed
      delivered on the date of such refusal or failure to accept
      delivery.  For purposes of notice, the addresses of the Parties
      shall be as follows:

            

    

     

    If to
Seller or the Receiver:

     

    Ralph S.
Janvey

    Receiver
for the Stanford Financial Group

    2100 Ross
Avenue, Suite 2600

    Dallas,
TX 75201

    Email:
info@stanfordfinancialreceivership.com

    Phone:
214-397-1912

    Fax:
214-220-0230

     

    
      
        
        

      

      
        - 7
-

        
          

        

      

      
        
        

      

    

     

    With copy
to:

     

    Baker
Botts L.L.P.

    2001 Ross
Avenue

    Dallas,
TX 75201

    Attn:
Craig N. Adams

    Email:  Craig.Adams@BakerBotts.com

    Phone:  214-953-6819

    Fax:  214-661-4819

     

    If to
Buyers:

     

    DGSE
Companies, Inc.

    519
Interstate 30, PMB 243

    Rockwall,
TX 75087

    Attn:  Dr.
L.S. Smith

    Email:
lssmith1@airmail.net

    Phone:  972-772-3091

    Fax:  972-772-3093

     

    With copy
to:

     

    Sheppard
Mullin Richter & Hampton LLP

    333 South
Hope Street, 48th
Floor

    Los
Angeles, CA 90071

    Attn:
Gregory P. Barbee

    Email:  GBarbee@sheppardmullin.com

    Phone:  213-620-1780

    Fax:  213-620-1398

     

    Either
Party may change its address to another location in the continental United
States upon five (5) days’ prior written notice thereof to the other party;
provided, however, a notice of change of address shall not become effective
unless actual receipt thereof by the Party to be notified.

     

    
      	
              14.

            	
              EXCLUSIVE
      DEALING:

            

    

     

    
      	
               
      

            	
              A.

            	
              For
      a period commencing on the date hereof and ending upon the sooner of
      either (i) the completion of all the transactions contemplated by this
      Agreement or (ii) the Termination Date, Seller agrees that it will not,
      and it will cause it and its affiliates and their respective directors,
      officers, affiliates, employees and other agents and representatives
      (including, without limitation, any investment banking, legal or
      accounting firm retained by it or any of them and any individual member or
      employee of the foregoing) (each, a “Representative”)
      not to, unless otherwise ordered by the Court, (i) initiate, solicit or
      seek, directly or indirectly, any inquiries or the making or
      implementation of any proposal or offer with respect to a liquidation, or
      similar transaction involving, or any purchase of all or any substantial
      portion of, the Securities (any such proposal or offer being hereinafter
      referred to as a “Proposal”),
      (ii) engage in any negotiations concerning, or provide any confidential
      information or data to, or have any discussions with, any person relating
      to a Proposal, (iii) otherwise cooperate in any effort or attempt to make,
      implement or accept a Proposal, or (iv) enter into or consummate any
      agreement or understanding with any person relating to a
      Proposal.

            

    

     

    
      
        
        

      

      
        - 8
-

        
          

        

      

      
        
        

      

    

     

    
      	
               
      

            	
              B.

            	
              Seller
      has terminated, and its affiliates and its and their respective
      Representatives have also ceased and terminated, any existing activities,
      including
      discussions or negotiations with any parties conducted heretofore with
      respect to any Proposal.

            

    

     

    
      	
               
      

            	
              C.

            	
              Seller
      shall notify Buyers immediately if any inquiries, proposals or offers
      related to a Proposal are received by, any confidential information or
      data is requested from, or any negotiations or discussions related to a
      Proposal are sought to be initiated or continued with, Seller, its
      affiliates or any of their respective
  Representatives.

            

    

     

    
      	
               
      

            	
              D.

            	
              Seller
      represents and warrants that Buyers will not incur any liability by virtue
      of the execution of this Agreement or the completion of the transactions
      contemplated by this Agreement to any third party with whom Seller or its
      affiliates have had discussions concerning a sale of the
      Securities.

            

    

     

    
      	
              15.

            	
              MISCELLANEOUS:

            

    

     

    
      	
               
      

            	
              A.

            	
              This
      Agreement shall be construed in accordance with the laws of the State of
      Texas notwithstanding any contrary “choice of laws” provisions of that or
      any other State. Each Party hereto agrees that it shall bring any action
      or proceeding in respect of any claim arising out of or related to this
      Agreement, whether in tort or contract or at law or in equity, exclusively
      in the Court.

            

    

     

    
      	
               
      

            	
              B.

            	
              This
      Agreement may be executed in multiple counterparts, including emailed or
      faxed counterparts, each of which shall be deemed to be an original, but
      all of which, taken together, shall constitute one and the same
      agreement.

            

    

     

    
      	
               
      

            	
              C.

            	
              If
      the final day of any period of time set out in any provision of this
      Agreement falls upon a Saturday or Sunday or a legal holiday under the
      laws of the State of Texas, then, and in such event, the time of such
      period shall be extended to the next business day that is not a Saturday,
      Sunday or legal holiday.  The term “business day” shall mean a
      day that is not a Saturday, Sunday or national bank holiday in Houston,
      Texas.

            

    

     

    
      	
               
      

            	
              D.

            	
              Time
      is of the essence in the performance of this
  Agreement.

            

    

     

    
      	
               
      

            	
              E.

            	
              Subject
      to any limitations on an assignment by Buyers or Seller set forth in this
      Agreement, this Agreement shall bind and benefit the Parties and their
      respective representatives, successors and
  assigns.

            

    

     

    
      	
               
      

            	
              F.

            	
              This
      Agreement may not be amended except in writing, executed by the Party
      against whom enforcement of any waiver, change, or discharge is
      sought.

            

    

     

    
      	
               
      

            	
              G.

            	
              This
      Agreement and its Schedules and Exhibits contain all of the
      representations by each Party to the other and expresses the entire
      understanding between the Parties with respect to the transactions
      contemplated in this Agreement. All prior communications concerning the
      sale of the Securities are replaced by this
  Agreement.

            

    

     

    [End
of text.]

     

     

    
      
        
        

      

      
        - 9
-

        
          

        

      

      
        
        

      

    

     

    IN WITNESS WHEREOF, the signatories
hereto have executed this Agreement as of the Effective Date.

     

    
      
        	 	BUYERS:	 
	 	 	 
	 	DGSE COMPANIES,
      INC.	 
	 	 	 	 
	
                 

              	
                 

              	 
	 	

                By:
      

              	Dr.
      L.S. Smith	 
	 	Title:
      	Chief
      Executive Officer	 
	 	 	 	 

      

    

    
       

      
        
          	 	SELLER:	 
	 	 	 
	 	STANFORD
      INTERNATIONAL BANK, LTD., an entity organized under the laws of
      Antigua	 
	 	 	 	 
	
                   

                	By: 	
                   
      

                	 
	 	

                   

                	

                  Name:

                	Ralph
      S. Janvey	 
	 	 	Title:
      	Receiver	 
	 	 	 	 

        

      

      
 

      
        
          
          

        

        
          - 10
-

          
            

          

        

        
          
          

        

      

    

     

    Schedule
1

    

    SECURITIES

    

    Common
Stock:

    

    
      	
               
      

            	
              1.

            	
              3,376,361
      shares of common stock; $0.01 par value (“Common
  Stock”)

            

    

    
      	
               
      

            	
              2.

            	
              1,000
      shares of Common Stock (to be converted from the $10,550,000 of debt
      outstanding under that certain Amended and Restated Commercial Loan and
      Security Agreement, by and between Superior Galleries, Inc. and Stanford
      International Bank, Ltd., dated as of May 30,
  2007).

            

    

    

    Warrants:

    

    
      	
               
      

            	
              1.

            	
              Warrants
      to purchase 422,814 shares of Common Stock at an exercise price of $1.89
      per share

            

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Schedule
2

    

    Brokers

    

    
      	
               
      

            	
              1.

            	
              Seller
      - Park Hill Group LLC

            

    

    

    
      	
               
      

            	
              2.

            	
              Buyers
      - None

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