INNOVATIVE SOFTWARE TECHNOLOGIES


April 11, 2003

Grant Thornton LLP
5252 N. Edgewood Drive
Suite 350
Provo, UT  84604

Dear Sirs:

I am in receipt of your letter dated April 4, 2003.

Foremost,  let it be understood  that we take these matters very  seriously.  We
have  forwarded  the letters to our board and asked that the  independent  board
members  form a special  committee to review the  information  contained in your
letters in respect to Mr.  Chipman and sales of  software in 2001 and 2002.  The
committee will expect your  cooperation as well as access to involved  personnel
in your firm.

Additionally,  we have  forwarded  the letters to our SEC Counsel to be reviewed
and advise us of our reporting requirements.

I would like to point out some major errors in your letter.

One,  you state that your firm had no prior  knowledge  of Mr.  Chipman's  past.
That, in fact,  is incorrect.  Before  engaging your firm,  Mr. Wayne Kaplan,  a
partner of your  Philadelphia  office,  contacted  me  directly  to discuss  Mr.
Chipman's role with company due to his past  convictions.  Among other items, it
was discussed  that he was not an officer or director of the company and that we
intended to continue to retain him in his  consultancy  role.  Additionally,  we
discussed the  background on how I met Mr. Chipman and my employment at enSurge,
Inc., as well as his. Additionally, we discussed his involvement with the former
enSurge  subsidiary KT Solutions.  In any submission to the SEC, we will have an
obligation to report our communications with Mr. Kaplan.

As you are aware,  Mr.  Chipman's  son Chris  Chipman,  a former Grant  Thornton
employee,  maintained our corporate accounting records and he also disclosed his
father's past with your firm.

Please  let me remind  you that Bill  Chipman  is not now and has never  been an
officer or director of Innovative Software Technologies, Inc.

Secondly,  in your  letter you state  that in the  representation  letters,  the
Company has assured you that no relationship  exists between the Company and its
officers on the one hand, and these buyers on the other.  Mr.  Chipman's  former
employment at enSurge, Inc. and on going involvement with KT Solutions was fully
disclosed to Grant  Thornton,  even though he was not an officer and/or director
of IST. During the preparation of our filings,  we were specifically  advised by
Grant Thornton that Mr.  Chipman's past or current  involvement with enSurge was
not subject to  disclosure,  although  mine as the current  President and CEO of
Innovative  Software and former  President and CEO of enSurge would be. Thus, it
was reported in the filings as directed and advised.

Third, on the sale of the software for securities, Grant Thornton was advised in
advance of the  transactions,  during  the  transaction  and gave  advice on the
transactions.  Specifically,  Wayne  Kaplan had multiple  conversations  with me
about possible  revenue  recognition  and balance sheet issues.  On the sales to
enSurge  subsidiaries,  your firm  during the  audit,  required  many  technical
details  on the  platforms  and  conducted  due  diligence  as to the  technical
validity of the software and the delivery of the sale.


Additionally, your letter raises the question about the devaluation of KT common
stock  on our  books  then we  enter  into an  agreement  to sell  the  Business
Development Series for preferred  securities with the same company.  We believed
that the preferred securities would be a more stable tangible asset and wouldn't
be prone to market collapse,  as did the common stock we held. One of our stated
goals  has been to build  our  tangible  asset  base,  which  is  necessary  for
qualifications to both the NASDAQ and American Stock Exchanges. Months after the
transaction with KT, we entered into a confidentiality  agreement with prospects
of  potentially  acquiring  one of their  subsidiaries.  Discussions  that  were
initiated by KT management.

During our due diligence,  we found that KT Solutions was practically  insolvent
and could not be considered for acquisition.  In subsequent  conversations  with
Steve Burke, CEO, he informed us that they were engaging  bankruptcy counsel and
would be filing for Chapter 7 -  liquidation.  While we would have liked to have
kept  the  preferred  stock  on our  balance  sheet,  it  was  agreed  that  the
conservative  and  proper  accounting  method  would be to  write  it off,  thus
incurring  an unwanted  but valid loss. I was not aware of any concerns by Grant
Thornton regarding the transaction or write down until your letter.

Most recently,  we have discussed  these  write-downs and  transactions  with an
outside CPA firm and they confirmed  that this was the proper  approach based on
our knowledge of the bankruptcy.

It is of great  concern  to our  company  the way that  Grant  Thornton  and its
representatives have conducted themselves. Until the conference call last Friday
and the follow up letter, none of the transactional  issues had ever been raised
by your firm. There was no communication, no questions and based on your letters
- very little regard to research or fact.

Sincerely,


/s/ Douglas S Hackett
--------------------------------------
Douglas S Hackett
President & CEO
Innovative Software Technologies, Inc.







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