-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, Wo6tI3HhtYPVlQxNbT8tANWEJb9dwxqXZZlz5v6W7fGA4any9/3jwpeBwTguMHOE DxlsNVPLGtm4TeItVVO3WA== 0001144204-07-033959.txt : 20070628 0001144204-07-033959.hdr.sgml : 20070628 20070628115056 ACCESSION NUMBER: 0001144204-07-033959 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 5 CONFORMED PERIOD OF REPORT: 20070621 ITEM INFORMATION: Entry into a Material Definitive Agreement ITEM INFORMATION: Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant ITEM INFORMATION: Other Events ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20070628 DATE AS OF CHANGE: 20070628 FILER: COMPANY DATA: COMPANY CONFORMED NAME: SENTRA CONSULTING CORP CENTRAL INDEX KEY: 0001385872 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-MISCELLANEOUS BUSINESS SERVICES [7380] IRS NUMBER: 000000000 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 333-140572 FILM NUMBER: 07945764 BUSINESS ADDRESS: STREET 1: 466 CENTRAL AVE CITY: CEDARHURST STATE: NY ZIP: 11516 MAIL ADDRESS: STREET 1: 466 CENTRAL AVE CITY: CEDARHURST STATE: NY ZIP: 11516 8-K 1 v079580_8k.htm
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549

FORM 8-K

CURRENT REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE
SECURITIES EXCHANGE ACT OF 1934

Date of report (Date of earliest event reported): June 21, 2007
 
 
SENTRA CONSULTING CORP.
(Exact name of Registrant as specified in its charter)
 
Nevada
 
333-140572
 
20-5297544
(State or other jurisdiction of incorporation)
 
(Commission File Number)
 
(IRS Employer Identification No.)
 
Sentra Consulting Corp.
466 Central Avenue, Suite 200
Cedarhurst, New York 11516
(Address of principal executive offices)
 
(516) 301-3939
(Registrant's Telephone Number, Including Area Code)
 
  
(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
 
 
 

 
 
Section 1 - Registrant’s Business and Operations
Item 1.01. Entry into a Material Definitive Agreement.

On June 22, 2007, Sentra Consulting Corp. (the “Company”) agreed to loan funds to Karat Platinum, LLC (“KP”), a company which manufactures and sells a platinum alloy and platinum jewelry. Pursuant to the terms of the Promissory Note executed by KP to the Company, the outstanding principal and accrued interest at the rate of 1.5% per month shall be due and payable September 22, 2007. The Company has currently loaned KP $150,000 and may advance additional sums to KP. If KP does not pay said amount when due, interest shall accrue on the outstanding principal amount at the rate of 2% per month thereafter. KP has the right to prepay the Notes without penalty or premium.

The loan was made in connection with the execution of the Letter of Intent between KP and the Company described below.

For all the terms and conditions of the Note issued by KP to the Company, reference is hereby made to such note annexed hereto as Exhibit 10.3. All statements made herein concerning the foregoing are qualified by reference to said exhibit.

Section 2 - Financial Information
Item 2.03. Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant.

On each of June 22nd, 25th and 26th, 2007, Sentra Consulting Corp. (the “Company”) issued promissory notes (the “Notes”) to three persons who are minority shareholders of the Company (the “Noteholders”), in the original principal amounts of $100,000, $50,000 and $450,000, respectively, in consideration for loans made simultaneously therewith by each of the three Noteholders. Principal and interest, which accrues at 1.5% per month, are due and payable by the Company 90 days after the date of each of the Notes. If the Company does not pay said amount when due, interest shall accrue on the outstanding principal amount at the rate of 2% per month thereafter. The Company has the right to prepay the Notes without penalty or premium. Each of the Notes are secured by a guaranty of payment by a principal of KP.

As additional consideration for issuance of the Notes, the Company entered into Warrant Agreements with the Noteholders, whereby the Company issued an aggregate of 60,000 common stock purchase warrants. Each common stock purchase warrant grants the holder thereof the right to purchase one share of common stock of the Company at an exercise price of $0.50 per share for a term of 3 years; said term to commence 6 months from the date of each Note. The Warrant Agreements provide that under certain issuances by the Company of additional equity securities for a consideration per share less than $0.50 (the exercise price of the common stock purchase warrants), the exercise price of the warrants shall be reduced to such price.
 
For all the terms and conditions of the Notes and Warrant Agreements, reference is hereby made to the form of such notes and agreements annexed hereto as Exhibits 4.1 and 4.2, respectively. All statements made herein concerning the foregoing are qualified by reference to said exhibits.
 
 
 

 
 
Section 8 - Other Events
Item 8.01. Other Events.

On June 21, 2007, the Company entered into a non-binding Letter of Intent (the “LOI”) with KP pursuant to which the Company would purchase all the outstanding membership interests of KP in consideration for the issuance of 30,000,000 shares of the Company’s common stock and 500,000 common stock purchase warrants, each of which will provide the holder thereof the right to purchase one share of common stock of the Company for $0.01. The warrants will expire 10 years after the issuance thereof. The closing of the transaction contemplated by the LOI is subject to the satisfaction of certain conditions, including without limitation, the consent from the lenders to KP of the transaction with the Company and/or the release of the collateral of KP satisfactory to the Company, the completion of the due diligence investigation of both parties, the making of loans by the Company to KP in an amount of not less than $1,000,000, the delivery of any required consents from third parties and the delivery of audited financial statements of KP. Pursuant to the terms of the LOI, the Company and KP agreed to use their best efforts to negotiate and agree to a mutually acceptable definitive agreement within 120 days. If there is a closing, each of the Company and KP will have the right to appoint 2 members to the Board of Directors of the Company and said members shall appoint a fifth member.

KP further agreed that it will not directly or indirectly solicit, negotiate, or accept any offer from a third party to acquire any of KP’s assets or securities until October 21, 2007. KP also agreed to permit the Company and its representatives to begin its due diligence investigation and to have access to and inspect KP’s records, properties, personnel, and other such matters.
  
For all the terms and conditions of the LOI, reference is hereby made to such agreement annexed hereto as Exhibit 10.4. All statements made herein concerning the foregoing agreement are qualified by reference to said exhibit.

Section 9 - Financial Statements and Exhibits
Item 9.01  Financial Statements and Exhibits

(a) Financial Statements of business acquired.    Not applicable
(b) Pro forma financial information.    Not applicable
(c) Exhibits

4.1
Form of Promissory Note
   
4.2
Form of Warrant Agreement
   
10.3
Promissory Note, dated June 22, 2007, between Sentra Consulting Corp. and Karat Platinum LLC
   
10.4
Letter of Intent, dated June 21, 2007, between Sentra Consulting Corp. and Karat Platinum LLC

 
 

 

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Date: June 27, 2007
 
     
 
SENTRA CONSULTING CORP.
(Registrant)
 
 
 
 
 
 
  By:   /s/ Philip Septimus
  Name:   Philip Septimus
  Title: President and Director (Principal Executive, Financial, and Accounting Officer)
 
 
 

 
EX-4.1 2 v079580_ex4-1.htm Unassociated Document
THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR THE SECURITIES LAWS OF ANY STATE. THE SECURITIES HAVE BEEN ACQUIRED FOR INVESTMENT AND MAY NOT BE SOLD, ASSIGNED, TRANSFERRED OR OTHERWISE DISPOSED OF EXCEPT IN COMPLIANCE WITH SUCH ACT AND LAWS.

 
SECURED PROMISSORY NOTE
 
$_____________
 
June ___, 2007
 
FOR VALUE RECEIVED, the undersigned, SENTRA CONSULTING CORP., a Nevada Corporation (the “Maker”), promises to pay to ___________________, (the “Payee”), on or before ninety (90) days from the date of execution of this Note (the “Payment Date”) the principal sum of _____________ and 00/100 ($___________) Dollars (the “Principal Amount”).

Interest shall accrue on the unpaid balance of the Principal Amount at a rate of one and one-half percent (1.5%) per month (the “Interest Rate”). All interest payable hereunder shall be computed on the basis of actual days elapsed and shall be due and payable on the Payment Date.

Maker shall have the right to prepay all or any portion of the Outstanding Principal Amount and accrued interest thereon at any time without penalty or premium. All payments hereunder when paid shall be applied first to the payment of all accrued interest and the balance shall be applied to principal.

Notwithstanding any provision contained herein, the total liability of Maker for payment of interest pursuant hereto, including late charges, shall not exceed the maximum amount of such interest permitted by law to be charged, collected, or received from Maker, and if any payments by Maker include interest in excess of such a maximum amount, Payee shall apply such excess to the reduction of the unpaid principal amount due pursuant hereto, or if none is due, such excess shall be refunded.

Upon the occurrence and continuance of an Event of Default (hereafter defined) (whatever the reason for such Event of Default and whether it shall be voluntary or involuntary or be effected by operation of law or pursuant to any judgment, decree or order of any court or any order, rule or regulation of any administrative or governmental body), interest shall accrue on the unpaid balance of the Principal Amount at a rate of two percent (2%) per month (the “Default Interest Rate”).

1. Events of Default. In case one or more of the following events (each, an “Event of Default”) (whatever the reason for such Event of Default and whether it shall be voluntary or involuntary or be effected by operation of law or pursuant to any judgment, decree or order of any court or any order, rule or regulation of any administrative or governmental body) shall have occurred and be continuing:
 

 
a. Default in the payment, when due or declared due, of any principal or interest payments hereunder.

b. Maker makes a general assignment for the benefit of creditors; or, in the absence of such application, consent, acquiescence or action, a trustee, receiver or other custodian is appointed for Maker; or for a substantial part of the property of Maker; or any bankruptcy, reorganization, debt arrangement or other proceeding under any bankruptcy or insolvency law, or any dissolution or liquidation proceeding, is authorized or instituted by, or instituted against, Maker; or any warrant of attachment or similar legal process is issued against any substantial part of the property of Maker.

c. Any representation or warranty made by Maker under this Note shall be untrue or misleading in any material respect when made.

d. Maker shall have breached any of its covenants and agreements hereunder.

then, in each case where an Event of Default occurs, the Payee, by notice in writing to Maker shall inform Maker of such Event of Default and if such default is not cured within sixty business days from the date such notice is received by Maker, then Payee, may, at its option, declare the outstanding Principal Amount to be due and payable immediately, and upon any such declaration the same shall become immediately due and payable.
 
2. Representations of Payee. The Payee hereby acknowledges, represents and warrants to, and agrees with, the Maker as follows:

a. The Payee is executing the transactions contemplated by this Note and the Warrant Agreement dated the date hereof between the Maker and Payee (the “Warrant Agreement”; capitalized terms used herein not otherwise defined shall have the meanings ascribed to such terms in the Warrant Agreement), for his own account as principal, not as a nominee or agent, for investment purposes only, and not with a view to, or for, resale, distribution, or fractionalization thereof, in whole or in part, and no other person has a direct or indirect beneficial interest in this Note, the Warrants or the Warrant Shares or any portion thereof. Further, the Payee does not have any contract, undertaking agreement or arrangement with any person to sell, transfer or grant participations to such person or to any third person, with respect to the Note, the Warrants or the Warrant Shares (collectively, the “Securities”) in whole or in part.

b. The Payee is not investing in the Securities as a result of, or subsequent to, any advertisement, article, notice, or other communication published in any newspaper, magazine or similar media or broadcast over television or radio, or presented at any seminar or meeting, or any solicitation of a subscription by a person other than the officers of the Maker.
 
2

 
c. Payee understands that the Securities have not been registered under the Securities Act of 1933, as amended (the “Securities Act”) or registered or qualified under any the securities laws of any state or other jurisdiction, and are “restricted securities,” and cannot be resold or otherwise transferred unless they are registered under the Securities Act, and registered or qualified under any other applicable securities laws, or an exemption from such registration and qualification is available.

d. Payee is an “accredited investor” as that term is defined in Rule 501 of the General Rules and Regulations under the Securities Act by reason of Rule 501(3).

e. Payee is (i) experienced in making investments of the kind described herein and in the Warrant Agreement and related documents, (ii) able, by reason of the business and financial experience of its officers (if an entity) and professional advisors (who are not affiliated with or compensated in any way by the Maker or any of its affiliates or selling agents), to protect his own interests with respect to the Securities, and (iii) able to afford the entire risk of loss of his investment in the Securities.

f. Payee has the financial ability to bear the economic risk of his investment in the Securities, has adequate means for providing for his current needs and personal contingencies and has no need for liquidity with respect to any investment made pursuant to this Note and the Warrant Agreement. Payee has such knowledge and experience in financial and business matters as to be capable of evaluating the merits and risks of the prospective investment in the Securities.

g. Payee has reviewed or received copies of all reports and other documents filed by Maker with the Securities and Exchange Commission and any other documents or information requested by Payee. 

h. Other than as set forth herein, Payee is not relying upon any other information, representation or warranty by Maker, or any officer, employee, agent or affiliate of Maker in determining to invest in the Securities.  Payee has consulted, to the extent deemed appropriate by Payee, with the Payee’s own advisers as to the financial, tax, legal and related matters concerning an investment in the Securities and on that basis believes that his investment in the Securities is suitable and appropriate for Payee.

3.Miscellaneous.

a. This Note shall be binding upon and inure to the benefit of and be enforceable by the respective successors and assigns of the Maker and Payee.

b. All notices, requests, claims, demands and other communications given or made pursuant hereto shall be in writing and shall be deemed to have been duly given if delivered in person against written receipt, by facsimile transmission, overnight courier prepaid, or mailed by prepaid first class registered or certified mail, postage prepaid, return receipt requested to the respective parties at the following addresses (or at such other address for a party as shall be specified in a notice given in accordance with this Section):
 
3

 
(a)  
If to the Maker:
 
Sentra Consulting Corp.
466 Central Avenue, 2nd Floor
Cedarhurst, New York 11516
Telecopy: (516) ___________
 
(b)  
With copies to:
 
David Lubin & Associates, PLLC
26 East Hawthorne Avenue
Valley Stream, NY 11580
Telecopy: (516) 887-8250
 
(c)  
If to Payee:
 
__________________________
__________________________
__________________________
__________________________

 
(d)  
With copies to:
 
__________________________
__________________________
__________________________
__________________________
All such notices, requests and other communications will (i) if delivered personally to the address as provided in this Section, be deemed given upon delivery, (ii) if delivered by facsimile transmission to the facsimile number as provided in this Section, be deemed given upon receipt, (iii) if delivered by overnight courier to the address as provided in this Section, be deemed given on the earlier of the first business day following the date sent by such overnight courier or upon receipt or (iv) if delivered by mail in the manner described above to the address provided in this Section, be deemed given on the earlier of the third business day following mailing or upon receipt.

c. This Note is to be governed by and construed in accordance with the laws of the State of New York. In any action brought under or arising out of this Note, the Maker hereby consents to the in personam jurisdiction of any state or federal court sitting in New York, New York, waives any claim or defense that such forum is not convenient or proper, and consents to service of process by any means authorized by New York law.
 
4

 
SENTRA CONSULTING CORP.


By: ________________________
Name:
Title:


PAYEE

 
_________________________________
 
5

 
EX-4.2 3 v079580_ex4-2.htm Unassociated Document
WARRANT AGREEMENT
 
WARRANT AGREEMENT (“Agreement”), dated as of June __, 2007, by and between Sentra Consulting Corp., a Nevada corporation (the “Company”), and ____________ (“Warrantholder”). Certain capitalized terms used herein are defined in Section 14 hereof.
 
In consideration of the mutual terms, conditions, representations, warranties and agreements herein set forth, and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereto hereby agree as follows:
 
Section 1. Issuance of Warrants.
 
The Company hereby issues and grants to Warrantholder __________________ (________) stock purchase warrants (hereinafter referred to as “Warrants”). Each Warrant shall grant to the holder thereof the right to purchase one (1) share of common stock of the Company (the “Common Stock”). Commencing six (6) months from the date hereof (the “Warrant Commencement Date”), and terminating on _____________, 2010 (the “Warrant Expiration Date”), the holder shall have the right, subject to the satisfaction of the conditions to exercise set forth in Section 7 of this Agreement, to purchase one (1) share of Common Stock per each Warrant (the shares of Common Stock issuable upon exercise of the Warrants being collectively referred to herein as the “Warrant Shares”) at an exercise price of $.50 per Warrant Share (the “Exercise Price”). The number of Warrant Shares issuable on exercise of each Warrant and the Exercise Price are all subject to adjustment pursuant to Section 8 of this Agreement.
 
Section 2. Form of Warrant Certificates.
 
Promptly after the execution and delivery of this Agreement by the parties hereto, the Company may, in its sole and absolute discretion, cause to be executed and delivered to Warrantholder one or more certificates evidencing the Warrants (the “Warrant Certificates”). Each Warrant Certificate delivered hereunder shall be substantially in the form set forth in Exhibit A attached hereto, and may have such letters, numbers or other identification marks and legends, summaries or endorsements printed thereon as the Company may deem appropriate and that are not inconsistent with the terms of this Agreement or as may be required by applicable law, rule or regulation. Each Warrant Certificate shall be dated the date of execution by the Company.
 
Section 3. Execution of Warrant Certificates.
 
Each Warrant Certificate delivered hereunder shall be signed on behalf of the Company by at least one of the following: its Chief Executive Officer, President, Secretary or Treasurer. Each such signature may be in the form of a facsimile thereof and may be imprinted or otherwise reproduced on the Warrant Certificates.
 
If any officer of the Company who signed any Warrant Certificate ceases to be an officer of the Company before the Warrant Certificate so signed shall have been delivered by the Company, such Warrant Certificate nevertheless may be delivered as though such person had not ceased to be such officer of the Company.
 
Section 4. Registration of Ownership and Transfer.
 
Warrant Certificates shall be issued in registered form only. The Company will keep or cause to be kept books for registration of ownership and transfer of each Warrant Certificate issued pursuant to this Agreement. Each Warrant Certificate issued pursuant to this Agreement shall be numbered by the Company and shall be registered by the Company in the name of the holder thereof (initially the Warrantholder). The Company may deem and treat the registered holder of any Warrant Certificate as the absolute owner thereof (notwithstanding any notation of ownership or other writing thereon made by anyone) for the purpose of any exercise thereof and for all other purposes, and the Company shall not be affected by any notice to the contrary.
 
 
 

 
 
Section 5.
No Transfers.
 
No Warrant may be sold, pledged, hypothecated, assigned, conveyed, transferred or otherwise disposed of without the agreement of the Company, which will not be unreasonably withheld.
 
Section 6.
Mutilated or Missing Warrant Certificates.
 
If any Warrant Certificate is mutilated, lost, stolen or destroyed, the Company shall issue, upon surrender and cancellation of any mutilated Warrant Certificate, or in lieu of and substitution for any lost, stolen or destroyed Warrant Certificate, a new Warrant Certificate of like tenor and representing an equal number of Warrants. In the case of a lost, stolen or destroyed Warrant Certificate, a new Warrant Certificate shall be issued by the Company only upon the Company’s receipt of reasonably satisfactory evidence of such loss, theft or destruction and, if requested, an indemnity or bond reasonably satisfactory to the Company.
 
Section 7.
Exercise of Warrants.
 
A.  Exercise. Subject to the terms and conditions set forth in this Section 7, Warrants may be exercised, in whole or in part (but not as to any fractional part of a Warrant), at any time or from time to time on and after the Warrant Commencement Date and on or prior to 5:00 p.m., Eastern time, on the Warrant Expiration Date.
 
In order to exercise any Warrant, Warrantholder shall deliver to the Company at its office referred to in Section 15 the following: (i) a written notice in the form of the Election to Purchase appearing at the end of the form of Warrant Certificate attached as Exhibit B attached hereto, to Purchase hereto of such Warrantholder’s election to exercise the Warrants, which notice shall specify the number of such Warrantholder’s Warrants being exercised; (ii) the Warrant Certificate or Warrant Certificates, if any, evidencing the Warrants being exercised; and (iii) payment of the aggregate Exercise Price.
 
All rights of Warrantholder with respect to any Warrant that has not been exercised, on or prior to 5:00 p.m., Eastern time, on the Warrant Expiration Date shall immediately cease and such Warrants shall be automatically cancelled and void.
 
B. Payment of Exercise Price. Payment of the Exercise Price with respect to Warrants being exercised hereunder shall be made by the payment to the Company, in cash, by check or wire transfer, of an amount equal to the Exercise Price multiplied by the number of Warrants then being exercised.
 
C. Payment of Taxes. The Company shall be responsible for paying any and all issue, documentary, stamp or other taxes that may be payable in respect of any issuance or delivery of Warrant Shares on exercise of a Warrant. Notwithstanding anything contained herein to the contrary, the Warrantholder shall be responsible for all taxes that may be due and payable by the Warrantholder as a result of the issuance of this Warrant to the Warrantholder or as a result of the issuance of the Warrant Shares upon due exercise hereof.
 
 
- 2 -

 
 
D. Delivery of Warrant Shares. Upon receipt of the items referred to in Section 7A, the Company shall, as promptly as practicable, execute and deliver or cause to be executed and delivered, to or upon the written order of Warrantholder, and in the name of Warrantholder or Warrantholder’s designee, a stock certificate or stock certificates representing the number of Warrant Shares to be issued on exercise of the Warrant(s). The certificates issued to Warrantholder or its designee shall bear any restrictive legend required under applicable law, rule or regulation. The stock certificate or certificates so delivered shall be registered in the name of Warrantholder or such other name as shall be designated in said notice. A Warrant shall be deemed to have been exercised and such stock certificate or stock certificates shall be deemed to have been issued, and such holder or any other Person so designated to be named therein shall be deemed to have become a holder of record of such shares for all purposes, as of the date that such notice, together with payment of the aggregate Exercise Price and the Warrant Certificate or Warrant Certificates evidencing the Warrants to be exercised, is received by the Company as aforesaid. If the Warrants evidenced by any Warrant Certificate are exercised in part, the Company shall, at the time of delivery of the stock certificates, deliver to the holder thereof a new Warrant Certificate evidencing the Warrants that were not exercised or surrendered, which shall in all respects (other than as to the number of Warrants evidenced thereby) be identical to the Warrant Certificate being exercised. Any Warrant Certificates surrendered upon exercise of Warrants shall be canceled by the Company.
 
Section 8.
Adjustment of Number of Warrant Shares Issuable Upon Exercise of a Warrant and Adjustment of Exercise Price.
 
A.  Adjustment for Stock Splits, Stock Dividends, Recapitalizations. The number of Warrant Shares issuable upon exercise of each Warrant and the Exercise Price shall each be proportionately adjusted to reflect any stock dividend, stock split, reverse stock split, recapitalization or the like affecting the number of outstanding shares of Common Stock that occurs after the date hereof.
 
B.  Adjustments for Reorganization, Consolidation, Merger. If after the date hereof, the Company (or any other entity, the stock or other securities of which are at the time receivable on the exercise of the Warrants), consolidates with or merges into another entity or conveys all or substantially all of its assets to another entity, then, in each such case, Warrantholder, upon any permitted exercise of a Warrant (as provided in Section 7), at any time after the consummation of such reorganization, consolidation, merger or conveyance, shall be entitled to receive, in lieu of the stock or other securities and property receivable upon the exercise of the Warrant prior to such consummation, the stock or other securities or property to which such Warrantholder would have been entitled upon the consummation of such reorganization, consolidation, merger or conveyance if such Warrantholder had exercised the Warrant immediately prior thereto, all subject to further adjustment as provided in this Section 8. The successor or purchasing entity in any such reorganization, consolidation, merger or conveyance (if other than the Company) shall duly execute and deliver to Warrantholder a written acknowledgment of such entity’s obligations under the Warrants and this Agreement.
 
C.  Adjustments Upon Issuance of Additional Stock.
 
If, at any time prior to the Warrant Expiration Date, the Company shall issue ''Additional Stock'' (as hereafter defined) for a consideration per share less than the Exercise Price, then and in that event, the Exercise Price shall be reduced concurrently with that issue to a price equal to the aggregate consideration paid per share in that issue. For purposes of this Section 8(C), ''Additional Stock'' shall mean all shares of Common Stock issued by the Company after the date on which the Warrants were first issued other than shares of Common Stock (or securities convertible into shares of Common Stock) issued or issuable at any time (i) to officers, directors, and employees of, and consultants to, the Company after the date on which the Warrants were first issued as designated and approved by the Board of Directors; (ii) in connection with equipment leasing or bank financing transactions approved by the Company's Board of Directors; (iii) shares of Common Stock issued upon the exercise of securities convertible into Common Stock which were granted prior to the date on which the Warrants were first issued; and (iv) securities of the Company issued to a Strategic Investor (hereafter defined). As used herein, “Strategic Investor” means that a majority of the Company's Board of Directors determines that such investor is a strategic investor and the Company does not issue to such investor more than ten percent (10%) of the Company's then outstanding securities.
 
 
- 3 -

 
 
For the purpose of making any adjustment in the Exercise Price as provided herein, the consideration received by the Company for any issue or sale of shares of Common Stock will be computed as follows:

(i) To the extent it consists of cash, as the amount of cash received by the Company before deduction of any offering expenses payable by the Company and any underwriting or similar commissions, compensation, or concessions paid or allowed by the Company in connection with the issue or sale;

(ii) To the extent it consists of property other than cash, at the fair market value of that property as determined in good faith by the Company's Board of Directors; and

(iii) If shares of Common Stock are issued or sold together with other stock or securities or other assets of the Company for a consideration which covers both, as the portion of the consideration so received that may be reasonably determined in good faith by the Board of Directors to be allocable to those shares of Common Stock.
 
If the Company (i) grants any rights or options to subscribe for, purchase, or otherwise acquire shares of Common Stock, or (ii) issues or sells any security convertible into shares of Common Stock, then, in each case, the price per share of Common Stock issuable on the exercise of the rights or options or the conversion of the securities will be determined by dividing the total amount, if any, received or receivable by the Company as consideration for the granting of the rights or options or the issue or sale of the convertible securities, plus the minimum aggregate amount of additional consideration payable to the Company on exercise or conversion of the securities, by the maximum number of shares of Common Stock issuable on the exercise of conversion. Such a grant, issue, or sale will be considered to be an issue or sale for cash of the maximum number of shares of Common Stock issuable on exercise or conversion at the price per share determined under this section, and the Exercise Price will be adjusted as provided above to reflect (on the basis of that determination) the issue or sale. No further adjustment of the Exercise Price will be made as a result of the actual issuance of shares of Common Stock on the exercise of any such rights or options or the conversion of any such convertible securities.

D.  Notice of Certain Events.
 
Upon the occurrence of any event resulting in an adjustment in the number of Warrant Shares (or other stock or securities or property) receivable upon the exercise of the Warrants or the Exercise Price, the Company shall promptly thereafter (i) compute such adjustment in accordance with the terms of the Warrants, (ii) prepare a certificate setting forth such adjustment and showing in detail the facts upon which such adjustment is based, and (iii) mail copies of such certificate to Warrantholder.
 
Section 9.
Reservation of Shares.
 
The Company shall at all times reserve and keep available, free from preemptive rights, out of the aggregate of its authorized but unissued Common Stock, or its authorized and issued Common Stock held in its treasury, the aggregate number of the Warrant Shares deliverable upon the exercise of all outstanding Warrants, for the purpose of enabling it to satisfy any obligation to issue the Warrant Shares upon the due and punctual exercise of the Warrants, through 5:00 p.m., Eastern time, on the Warrant Expiration Date.
 
 
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Section 10.
No Impairment.
 
The Company shall not, by amendment of its certificate of incorporation or bylaws, or through reorganization, consolidation, merger, dissolution, issuance or sale of securities, sale of assets or any other voluntary action, willfully avoid or seek to avoid the observance or performance of any of the terms of the Warrants or this Agreement, and shall at all times in good faith assist in the carrying out of all such terms and in the taking of all such actions as may be necessary or appropriate in order to protect the rights of Warrantholder under the Warrants and this Agreement against wrongful impairment. Without limiting the generality of the foregoing, the Company: (i) shall not set or increase the par value of any Warrant Shares above the amount payable therefor upon exercise, and (ii) shall take all actions that are necessary or appropriate in order that the Company may validly and legally issue fully paid and nonassessable Warrant Shares upon the exercise of the Warrants.
 
Section 11.
Representations and Warranties of Warrantholder.
 
Warrantholder represents and warrants to the Company that, on the date hereof and on the date the Warrantholder exercises the Warrant pursuant to the terms of this Agreement:
 
A. Warrantholder understands that the Warrants and the Warrant Shares have not been registered under the Securities Act and acknowledges that the Warrants and the Warrant Shares must be held indefinitely unless they are subsequently registered under the Securities Act or an exemption from such registration becomes available.
 
B.  Warrantholder is acquiring the Warrants for Warrantholder’s own account for investment and not with a view to, or for sale in connection with, any distribution thereof.
 
C.  Warrantholder understands that the Warrants and the Warrant Shares are being offered and sold to him in reliance on an exemption from the registration requirements of United States federal and state securities laws under Regulation D promulgated under the Securities Act and that the Company is relying upon the truth and accuracy of the representations, warranties, agreements, acknowledgments and understandings of the Warrantholder set forth herein in order to determine the applicability of such exemptions and the suitability of the Warrantholder to acquire the Warrants and Warrant Shares.  
 
D.   All the representations made by the Warrantholder in the Promissory Note dated the date hereof between the Company and the Warrantholder (the “Note”) shall be true and correct as of the date the Warrantholder exercises the Warrant. Warrantholder further understands that if the information provided by the Warrantholder in the Note between the Company and the Warrantholder are not true and accurate before or at the time of the exercise of the Warrants, the Warrantholder shall inform the Company before or at the time of the exercise of the Warrants.
 
E. Each certificate representing the Warrants and the Warrant Shares shall be endorsed with the following legends, in addition to any other legend required to be placed thereon by applicable federal or state securities laws:
 
 
- 5 -

 
 
“THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933 AND MAY NOT BE SOLD OR TRANSFERRED IN THE ABSENCE OF SUCH REGISTRATION OR WITHOUT AN EXEMPTION THEREFROM OR AN OPINION OF COUNSEL IN A FORM SATISFACTORY TO THE COMPANY THAT SUCH REGISTRATION IS NOT REQUIRED UNDER THE SECURITIES ACT OF 1933.”

  Warrantholder consents to the Company making a notation on its records or giving instructions to any transfer agent of the Company in order to implement the restrictions on transfer of the Warrants and Warrant Shares set forth in this Section 11.
 
Section 12.
No Rights or Liabilities as Stockholder.
 
No holder, as such, of any Warrant Certificate shall be entitled to vote, receive dividends or be deemed the holder of Common Stock which may at any time be issuable on the exercise of the Warrants represented thereby for any purpose whatever, nor shall anything contained herein or in any Warrant Certificate be construed to confer upon the holder of any Warrant Certificate, as such, any of the rights of a stockholder of the Company or any right to vote for the election of directors or upon any matter submitted to stockholders at any meeting thereof, or to give or withhold consent to any corporate action (whether upon any recapitalization, issuance of stock, reclassification of stock, change of par value or change of stock to no par value, consolidation, merger, conveyance or otherwise), or to receive notice of meetings or other actions affecting stockholders or to receive dividend or subscription rights, or otherwise, until such Warrant Certificate shall have been exercised in accordance with the provisions hereof and the receipt and collection of the Exercise Price and any other amounts payable upon such exercise by the Company. No provision hereof, in the absence of affirmative action by Warrantholder to purchase Warrant Shares shall give rise to any liability of such holder for the Exercise Price or as a stockholder of the Company, whether such liability is asserted by the Company or by creditors of the Company.
 
Section 13.
Fractional Interests.
 
The Company shall not be required to issue fractional shares of Common Stock upon exercise of the Warrants or to distribute certificates that evidence fractional shares of Common Stock. If any fraction of a Warrant Share would, except for the provisions of this Section 13, be issuable on the exercise of a Warrant, the number of Warrant Shares to be issued by the Company shall be rounded to the nearest whole number, with one-half or greater being rounded up.
 
Section 14.
Definitions.
 
Unless the context otherwise requires, the terms defined in this Section 14, whenever used in this Agreement shall have the respective meanings hereinafter specified and words in the singular or in the plural shall each include the singular and the plural and the use of any gender shall include all genders.
 
Business Day” shall mean any day on which banking institutions are generally open for business in New York.
 
Common Stock” means the common stock of the Company.
 
 
- 6 -

 
 
Exercise Price” shall be the price per Warrant Share at which Warrantholder is entitled to purchase Warrant Shares upon exercise of any Warrant determined in accordance with Section 7 and subject to adjustment as provided in Sections 8 and 16 hereof.
 
Person” shall mean any corporation, association, partnership, limited liability company, joint venture, trust, organization, business, individual, government or political subdivision thereof or governmental body.
 
Securities Act” shall mean the Securities Act of 1933, as amended, or any similar federal statute as at the time in effect, and any reference to a particular section of such Act shall include a reference to the comparable section, if any, of such successor federal statute.
 
Section 15.
Notices.
 
All notices, consents, requests, waivers or other communications required or permitted under this Agreement (each a “Notice”) shall be in writing and shall be sufficiently given (a) if hand delivered, (b) if sent by nationally recognized overnight courier, or (c) if sent by registered or certified mail, postage prepaid, return receipt requested, addressed as follows:
 
if to the Company:

Sentra Consulting Corp.
466 Central Avenue, 2nd Floor
Cedarhurst, New York 11516
Telephone: (516) 301-3939
Facsimile: (516) ___________

if to Warrantholder:

________________________
________________________
________________________
________________________
 

or such other address as shall be furnished by any of the parties hereto in a Notice. Any Notice shall be deemed given upon receipt.
 
Section 16.
Supplements, Amendments and Waivers.
 
This Agreement may be supplemented or amended only by a subsequent writing signed by each of the parties hereto (or their successors or permitted assigns), and any provision hereof may be waived only by a written instrument signed by the party charged therewith.
 
Section 17.
Successors and Assigns.
 
Except as otherwise provided herein, the provisions of this Agreement shall be binding upon and inure to the benefit of and be enforceable by the successors and permitted assigns of the parties hereto. Warrants issued under this Agreement may be assigned by Warrantholder only to the extent such assignment satisfies the restrictions on transfer set forth in this Agreement; any attempted assignment of Warrants in violation of the terms hereof shall be void ab initio.
 
 
- 7 -

 
 
Section 18.
Termination.
 
This Agreement (other than Sections 7C, 11, and Sections 15 through 26, inclusive, and all related definitions, all of which shall survive such termination) shall terminate on the earlier of (i) the Warrant Expiration Date and (ii) the date on which all Warrants have been exercised by the Warrantholder or redeemed by the Company.
 
Section 19.
Governing Law; Jurisdiction.
 
A.  Governing Law. This Agreement and each Warrant Certificate issued hereunder shall be governed by and construed in accordance with the laws of the state of New York and the federal laws of the United States applicable herein.
 
B.  Submission to Jurisdiction. Each party to this Agreement hereby irrevocably and unconditionally submits, for itself and its property, to the jurisdiction of the state of New York, county of New York, or if it can obtain jurisdiction in the federal courts located in such county, and any appellate court from any thereof, in respect of actions brought against it as a defendant, in any action, suit or proceeding arising out of or relating to this Agreement or the Warrant Certificates and Warrants to be issued pursuant hereto, or for recognition or enforcement of any judgment, and each of the parties hereto hereby irrevocably and unconditionally agrees that all claims in respect of any such action, suit or proceeding may be heard and determined in such courts. Each of the parties hereto agrees that a final judgment in any such action, suit or proceeding shall be conclusive and may be enforced in other jurisdictions by suit on the judgment or in any other manner provided by law.
 
C.  Venue. Each party hereto irrevocably and unconditionally waives, to the fullest extent it may legally and effectively do so, any objection which it may now or hereafter have to the laying of venue of any action, suit or proceeding arising out of or relating to this Agreement, or the Warrant Certificates and Warrants to be issued pursuant hereto, in any court referred to in this Subsection B. Each of the parties hereby irrevocably waives, to the fullest extent permitted by law, the defense of an inconvenient forum to the maintenance of such action, suit proceeding in any such court and waives any other right to which it may be entitled on account of its place of residence or domicile.
 
Section 20.
Third Party Beneficiaries.
 
Each party intends that this Agreement shall not benefit or create any right or cause of action in or on behalf of any Person other than the parties hereto and their successors and permitted assigns.
 
Section 21.
Headings.
 
The headings in this Agreement are for convenience only and shall not affect the construction or interpretation of this Agreement.
 
Section 22.
Entire Agreement.
 
This Agreement, together with the Warrant Certificates and Exhibits, and the Note, dated of even date herewith, by and between the Company and the Warrantholder, constitute the entire agreement and understanding between the parties hereto with respect to the subject matter hereof and shall supersede any prior agreements and understandings between the parties hereto with respect to such subject matter.
 
 
- 8 -

 
 
Section 23.
Expenses.
 
Each of the parties hereto shall pay its own expenses and costs incurred or to be incurred in negotiating, closing and carrying out this Agreement and in consummating the transactions contemplated herein, except as otherwise expressly provided for herein.
 
Section 24.
Neutral Construction.
 
The parties to this Agreement agree that this Agreement was negotiated fairly between them at arm’s length and that the final terms of this Agreement are the product of the parties’ negotiations. Each party represents and warrants that it has sought and received legal counsel of its own choosing with regard to the contents of this Agreement and the rights and obligations affected hereby. The parties agree that this Agreement shall be deemed to have been jointly and equally drafted by them, and that the provisions of this Agreement therefore should not be construed against a party or parties on the grounds that such party or parties drafted or was more responsible for the drafting of any such provision(s).
 
Section 25.
Representations and Warranties.
 
The Company hereby represents and warrants to the Warrantholder that:
 
(a)  the Company has all requisite corporate power and authority to (i) execute and deliver this Agreement and (ii) issue and sell the Common Stock upon the conversion thereof and carry out provisions of this Agreement. All corporate action on the part of the Company, its officers, directors and stockholders necessary for the authorization, execution and delivery of this Agreement, the performance of all obligations of the Company hereunder, and the authorization (or reservation for issuance), sale and issuance of the Common Stock to be sold hereunder has been taken or will be taken prior to the date hereof;
 
(b)  this Agreement constitutes a valid and legally binding obligation of the Company, enforceable in accordance with its terms, except (i) as limited by applicable bankruptcy, insolvency, reorganization, moratorium and other laws relating to application affecting enforcement of creditor’s rights generally and (ii) as limited by laws relating to the availability of specific performance, injunctive relief of other equitable remedies;
 
(c)  the Common Stock issuable upon the conversion thereof that is being purchased hereunder, when issued, sold and delivered in accordance with the terms of this Agreement for the consideration expressed herein, will be duly and validly issued, fully paid and nonassessable and will be free of restrictions on transfer, other than restrictions on transfer under applicable state and federal securities laws;
 
(d)  subject in part to the truth and accuracy of Warrantholder’s representations set forth in Section 11 of this Agreement, the offer, sale and issuance of the Common Stock issuable upon the conversion thereof as contemplated by this Agreement are exempt from the registration requirements of the Securities Act and the qualification or registration requirements of any state securities or other applicable blue sky laws; and
 
(e)  the execution, delivery and performance of this Agreement and the consummation of the transactions contemplated hereby will not result in any such violation, or be in conflict with or constitute, with or without the passage of time and giving of notice, either a default under any such provision or an event that results in creation of any lien, charge or encumbrance upon any assets of the Company or the suspension, revocation, impairment, forfeiture or nonremoval of any material permit, license, authorization or approval applicable to the Company, its business or operations or any of its assets or properties.
 
 
- 9 -

 
 
Section 26.
Counterparts.
 
This Agreement may be executed in counterparts and by facsimile and each such counterpart shall for all purposes be deemed to be an original, and all such counterparts shall together constitute but one and the same instrument.
 
[Remainder of Page Intentionally Omitted; Signature Pages to Follow]
 
 
- 10 -

 
 
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the day and year first above written.
 
    COMPANY: 
     
    SENTRA CONSULTING CORP.
     
   
  By:    
 
Name:
  Title 
 
 
    WARRANTHOLDER:
     
   
  By:    
 
Name:
  Title 
 
 
- 11 -

 

EXHIBIT A
 
WARRANT FORM
 
THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR THE SECURITIES LAWS OF ANY STATE. THE SECURITIES HAVE BEEN ACQUIRED FOR INVESTMENT AND MAY NOT BE SOLD, ASSIGNED, TRANSFERRED OR OTHERWISE DISPOSED OF EXCEPT IN COMPLIANCE WITH SUCH ACT AND LAWS. THE SECURITIES REPRESENTED BY THIS CERTIFICATE ARE SUBJECT TO THE TERMS AND CONDITIONS OF, AND MAY ONLY BE TRANSFERRED IN ACCORDANCE WITH, A WARRANT AGREEMENT BETWEEN SENTRA CONULTING CORP. AND THE HOLDER OF THE SECURITIES REPRESENTED BY THIS CERTIFICATE. COPIES OF SUCH AGREEMENT MAY BE OBTAINED UPON WRITTEN REQUEST TO THE COMPANY.
 
NO.       
_______________WARRANTS
 
 
FORM OF
 
Warrant Certificate
 
SENTRA CONSTULTING CORP.
 
This Warrant Certificate certifies that _____________ (the “Warrantholder”), is the registered holder of _______ Warrants (the “Warrants”) to purchase shares (the “Warrant Shares”) of Common Stock of Sentra Consulting Corp. (the “Company”). Each Warrant entitles the holder, subject to the satisfaction of the conditions to exercise set forth in Section 7 of the Warrant Agreement referred to below, to purchase from the Company at any time or from time to time on and after six (6) months from the date hereof (the “Warrant Commencement Date”) and terminate on or prior to 5:00 p.m., Eastern time, on __________, 2010 (the “Warrant Expiration Date”) one fully paid and nonassessable Warrant Share at the Exercise Price set forth in the Warrant Agreement. The number of Warrant Shares for which each Warrant is exercisable and the Exercise Price are subject to adjustment as provided in the Warrant Agreement.
 
The Warrants evidenced by this Warrant Certificate are part of a duly authorized issue of Warrants to purchase Warrant Shares and are issued pursuant to a Warrant Agreement, dated as of ___________, 2007 (the “Warrant Agreement”), between the Company and the Warrantholder, which Warrant Agreement is hereby incorporated by reference in and made a part of this instrument and is hereby referred to for a description of the rights, limitation of rights, obligations, duties and immunities thereunder of the Company and Warrantholder.
 
Warrantholder may exercise vested Warrants by surrendering this Warrant Certificate, with the Election to Purchase attached hereto properly completed and executed, together with payment of the aggregate Exercise Price, at the offices of the Company specified in Section 15 of the Warrant Agreement. If upon any exercise of Warrants evidenced hereby the number of Warrants exercised shall be less than the total number of Warrants evidenced hereby, there shall be issued to the holder hereof or its assignee a new Warrant Certificate evidencing the number of Warrants not exercised.
 
 
 

 
 
This Warrant Certificate, when surrendered at the offices of the Company specified in Section 15 of the Warrant Agreement, by the registered holder thereof in person, by legal representative or by attorney duly authorized in writing, may be exchanged, in the manner and subject to the limitations provided in the Warrant Agreement, for one or more other Warrant Certificates of like tenor evidencing in the aggregate a like number of Warrants.
 
The Company may deem and treat the registered holder hereof as the absolute owner of this Warrant Certificate (notwithstanding any notation of ownership or other writing hereon made by anyone), for the purpose of any exercise hereof and for all other purposes, and the Company shall not be affected by any notice to the contrary.
 
WITNESS the signatures of the duly authorized officers of the Company.
 
Dated: ______________, 2007 
 
    SENTRA CONSULTING CORP.
     
  By:    
 
Name:
  Title 
 
 
1-ii

 
 
Exhibit B
 
Form of Election to Purchase
 
The undersigned hereby irrevocably elects to exercise _________ of the Warrants evidenced by the attached Warrant Certificate to purchase Warrant Shares, and herewith tenders (or is concurrently tendering) payment for such Warrant Shares in an amount determined in accordance with the terms of the Warrant Agreement. The undersigned requests that a certificate representing such Warrant Shares be registered in the name of __________________, whose address is ___________________________ and that such certificate be delivered to ___________________________, whose address is __________________________. If said number of Warrants is less than the number of Warrants evidenced by the Warrant Certificate (as calculated pursuant to the Warrant Agreement), the undersigned requests that a new Warrant Certificate evidencing the number of Warrants evidenced by this Warrant Certificate that are not being exercised be registered in the name of _________________________, whose address is ____________________________ and that such Warrant Certificate be delivered to ______________________, whose address is ___________________________________________.
 
Dated:                      ,      

Name of holder of Warrant Certificate:
 
__________________________________
 
__________________________________
(Please Print)

Address: ___________________________
 
                 ___________________________
 
Federal Tax ID No.: ___________________
 
Signature: __________________________

Note:  The above signature must correspond with the name as written in the first sentence of the attached Warrant Certificate in every particular, without alteration or enlargement or any change whatever, and if the certificate evidencing the Warrant Shares or any Warrant Certificate representing Warrants not exercised is to be registered in a name other than that in which this Warrant Certificate is registered, the signature above must be guaranteed.



Dated:                ,     

 
 

 
 
EX-10.3 4 v079580_ex10-3.htm Unassociated Document
PROMISSORY NOTE
 
$150,000.00
 
June 22, 2007
 
FOR VALUE RECEIVED, the undersigned, KARAT PLATINUM LLC, (the “Maker”), promises to pay to SENTRA CONSULTING CORP., (the “Payee”), on or before ninety (90) days from the date of this Note (the “Payment Date”) the principal sum of One Hundred and Fifty Thousand and 00/100 ($150,000.00) Dollars or the aggregate unpaid principal amount of all advances made by Payee to Maker hereunder, whichever is less (the “Principal Amount”), and all interest accrued thereon as provided herein.

Interest shall accrue on the unpaid balance of the Principal Amount at a rate of one and one-half percent (1.5%) per month (the “Interest Rate”). All interest payable hereunder shall be computed on the basis of actual days elapsed and shall be due and payable on the Payment Date.

Maker shall have the right to prepay all or any portion of the Outstanding Principal Amount and accrued interest thereon at any time without penalty or premium. All payments hereunder when paid shall be applied first to the payment of all accrued interest and the balance shall be applied to principal.

Notwithstanding any provision contained herein, the total liability of Maker for payment of interest pursuant hereto, including late charges, shall not exceed the maximum amount of such interest permitted by law to be charged, collected, or received from Maker, and if any payments by Maker include interest in excess of such a maximum amount, Payee shall apply such excess to the reduction of the unpaid principal amount due pursuant hereto, or if none is due, such excess shall be refunded.

Upon the occurrence and continuance of an Event of Default (hereafter defined) (whatever the reason for such Event of Default and whether it shall be voluntary or involuntary or be effected by operation of law or pursuant to any judgment, decree or order of any court or any order, rule or regulation of any administrative or governmental body), interest shall accrue on the unpaid balance of the Principal Amount at a rate of two percent (2%) per month (the “Default Interest Rate”).

1. Events of Default. In case one or more of the following events (each, an “Event of Default”) (whatever the reason for such Event of Default and whether it shall be voluntary or involuntary or be effected by operation of law or pursuant to any judgment, decree or order of any court or any order, rule or regulation of any administrative or governmental body) shall have occurred and be continuing:

a. Default in the payment, when due or declared due, of any principal or interest payments hereunder.

b. Maker makes a general assignment for the benefit of creditors; or, in the absence of such application, consent, acquiescence or action, a trustee, receiver or other custodian is appointed for Maker; or for a substantial part of the property of Maker; or any bankruptcy, reorganization, debt arrangement or other proceeding under any bankruptcy or insolvency law, or any dissolution or liquidation proceeding, is authorized or instituted by, or instituted against, Maker; or any warrant of attachment or similar legal process is issued against any substantial part of the property of Maker.
 

 
c. Any representation or warranty made by Maker under this Note shall be untrue or misleading in any material respect when made.

d. Maker shall have breached any of its covenants and agreements hereunder.
 
then, in each case where an Event of Default occurs, the Payee, by notice in writing to Maker shall inform Maker of such Event of Default and if such default is not cured within forty-five (45) days from the date such notice is received by Maker, then Payee, may, at its option, declare the outstanding Principal Amount to be due and payable immediately, and upon any such declaration the same shall become immediately due and payable.
 
2. General.

a. This Note shall be binding upon and inure to the benefit of and be enforceable by the respective successors and assigns of the Maker and Payee.

b. All notices, requests, claims, demands and other communications given or made pursuant hereto shall be in writing and shall be deemed to have been duly given if delivered in person, overnight courier prepaid, or mailed by prepaid first class registered or certified mail, postage prepaid, return receipt requested to the respective parties at the following addresses (or at such other address for a party as shall be specified in a notice given in accordance with this Section):

(a)  
If to the Maker:
 
Karat Platinum LLC
15 Hoover Street
Inwood, New York 11096
Attention: Chief Executive Officer

With copies to:
 
Horowitz & Reiser
30 Broad Street
New York, NY 1004
Attention: Sam Reiser, Esq.
 
2

 
(b)  
If to Payee:

Sentra Consulting Corp.
466 Central Avenue, 2nd Floor
Cedarhurst, New York 11516
Attention: Chief Executive Officer
 
With copies to:

David Lubin & Associates, PLLC
26 East Hawthorne Avenue
Valley Stream, NY 11580
Attn: David Lubin, Esq.
 
All such notices, requests and other communications will (i) if delivered personally to the address as provided in this Section, be deemed given upon delivery, (ii) if delivered by overnight courier to the address as provided in this Section, be deemed given on the earlier of the first business day following the date sent by such overnight courier or upon receipt or (iii) if delivered by mail in the manner described above to the address provided in this Section, be deemed given on the earlier of the third business day following mailing or upon receipt.

c. This Note is to be governed by and construed in accordance with the laws of the State of New York. In any action brought under or arising out of this Note, the Maker hereby consents to the in personam jurisdiction of any state or federal court sitting in New York, New York, waives any claim or defense that such forum is not convenient or proper, and consents to service of process by any means authorized by New York law.

d.  Maker hereby waives presentment, demand for payment, protest, and all other demands and notices in connection with the delivery, acceptance, performance and enforcement of this Note and authorizes Payee, without notice or further consent, to grant extensions of time in the payment of any monies under this Note, and to waive compliance of any provision of this Note.

e. In the event of a default in the payment of this Note, Maker shall pay Payee's reasonable costs and expenses of collection, including attorneys’ fees and costs.

3

 
IN WITNESS WHEREOF, the undersigned has duly executed this Note on the date first set forth above.


KARAT PLATIINUM LLC


By: /s/ David Neuberg                     
Name: David Neuberg
Title:  Member
 
4

EX-10.4 5 v079580_ex10-4.htm Unassociated Document
SENTRA CONSULTING CORP.
466 Central Avenue
Cedarhurst, NY 11516
Telephone: (516) 301-3939
 
June 21, 2007

Karat Platinum LLC
15 Hoover Street
Inwood, NY 11096

Re: Letter of Intent

Gentlemen:

This Letter of Intent (this “Agreement”) shall set forth our mutual agreement regarding a transaction (the “Transaction”) whereby Sentra Consulting Corp. (“Purchaser”) shall issue common stock in exchange for all the issued and outstanding membership interests of Karat Platinum LLC (the “Company”). This Agreement is intended solely as a basis for further discussion and is not intended to be and does not constitute a legally binding obligation except as provided below. No other legally binding obligations will be created, implied, or inferred until documentation in final form is executed and delivered by all parties. Without limiting the generality of the foregoing, it is the parties intent that, until that event, no agreement shall exist among them and there shall be no obligations whatsoever based on such things as parol evidence, extended negotiations, “handshakes,” oral understandings, or courses of conduct (including reliance and changes of position), except as provided below.

1. The Transaction. Purchaser hereby offers to purchase all of the issued and outstanding membership interests of the Company from the current owners thereof in consideration for the issuance of 30,000,000 shares of common stock (the “Consideration Shares”) of the Purchaser and 500,000 common stock purchase warrants, each of which will provide the Company the right to purchase one share of common stock of Purchaser for $0.01 until ten years after the date hereof (the “Consideration Warrants,” and together with the Consideration Shares, the “Consideration Securities”). The Consideration Securities shall be issued to the owners of the Company in proportion to their current equity ownership interest in the Company. If, after the date hereof but prior to the Closing (hereafter defined), Purchaser issues additional shares of common stock or other securities convertible into common stock to a third party without the written consent of Company (except for shares of common stock issued upon the exercise of securities convertible into common stock which were granted prior to the date hereof (which Purchaser represents only includes a warrant for 50,000 shares of common stock)), the number of Consideration Securities will be adjusted so that the number of Consideration Shares and shares of common stock issuable upon exercise of the Consideration Warrants will be equal to 90.7% of the outstanding shares of common stock of Purchaser. Upon consummation of the proposed transaction, the Company shall become a wholly-owned subsidiary of Purchaser.
 
 
 

 
 
2. Closing. The closing of the Transaction (the “Closing”) is subject to the following terms:

(i)  
The loan by Purchaser to the Company of not less than $1,000,000;
(ii)  
Purchaser performing its full due diligence over the Company and being fully satisfied in its absolute discretion with the due diligence;
(iii)  
Company performing its full due diligence over the Purchaser and being fully satisfied in its absolute discretion with the due diligence;
(iv)  
Delivery to Purchaser of evidence satisfactory to Purchaser that the agreement with Allgemeine Gold-und Silberscheideanstalt AG dated January 13, 2004_is valid, binding and enforceable against the parties thereto;
(v)  
Consent from ABN Amro Bank NV, or Harrods Capital LLC, and the lenders to the Company to the Transaction and/or release of the collateral which is pledged to the foregoing persons or entities satisfactory to the Purchaser;
(vi)  
Approval of the Transaction by the board of directors of Purchaser and the managers and members of the Company;
(vii)  
Delivery of audited financial statements of the Company, in form and substance satisfactory to Purchaser and its independent public auditors; and
(viii)  
Execution and delivery of documentation appropriate for the Transaction in form and substance mutually acceptable to both parties, including containing customary terms, representations, conditions, covenants and indemnities for a transaction of this nature.


Subject to the forgoing, it is the intent of the parties that definitive documentation with respect to the transactions contemplated in this Agreement shall be executed and delivered within 120 days from the date hereof (hereinafter referred to as the “Outside Closing Date”) and the parties shall use their best efforts to achieve same.

3.  Due Diligence. Each of the Company and its representatives, on one hand, and the Purchaser and its representatives, on the other hand, shall enable the officers, accountants, counsel, bankers and other representatives of such other party access to its properties, books, records, personnel, business and other commercial relationships, and will fully cooperate in order that such other party may have full opportunity to make such investigation as it desires to make.
 
 
2

 
 
4.  Exclusivity. In consideration of the above, the Company shall not, directly or indirectly, through any director, officer, member, manager, employee, agent, creditor, representative or otherwise (and each of said parties shall use reasonable efforts to insure such persons shall not directly or indirectly) (i) solicit, initiate or encourage the submission of inquiries, proposals or offers from any person or entity relating to (x) any business combination with respect to the Company or the business of the Company; or (y) the sale of any of the assets and/or securities of the Company (an "Alternative Transaction"), (ii) enter into or participate in any negotiations, or initiate any discussions or continue any discussions initiated by others, regarding any Alternative Transaction, or furnish to any other person or entity any information with respect to the assets or business of the Company or its business for the purposes of pursuing a possible Alternative Transaction with any other party, or (iii) otherwise participate in, assist, facilitate or encourage any effort or attempt by any other person or entity to do any of the foregoing. The Company shall promptly notify the Purchaser of any proposal or inquiry made to it or any of its directors, officers, members, managers, creditors, employees, agents, representatives, or otherwise with respect to any of the foregoing.

The foregoing exclusivity shall terminate upon the earlier of the Closing, or the Outside Closing Date, or the date Purchaser terminates this Agreement, provided, however, that if the Transaction has not been consummated prior to the Outside Closing Date as a result of the Purchaser not fulfilling its obligations provided for herein, including without limitation, the loan described in Section 2(i) above, the Company shall be released from its obligations hereunder and this Agreement shall be terminated and have no further force and effect, and provided, further that if the Transaction has not been consummated prior to the Outside Closing Date as a result of the Company not fulfilling its obligations provided for herein, including without limitation, those provided for in Sections 2(iv), (v) and (vii), the exclusivity shall continue until the earlier of the termination of this Agreement by the Purchaser or 60 days after the Outside Closing Date.

5. Brokers. The Company represents and warrants that it shall be solely responsible for commissions or fees payable to any broker or finder (except for any broker or finder retained by Purchaser) as a result of this Agreement or the contemplated Transaction and shall indemnify and hold the Purchaser and its affiliates harmless from any claims that may arise against the Purchaser or its affiliates for such brokerage or finder’s fee in connection with this Agreement and/or the Contemplated Transactions.
 
6. Expenses. Each party shall bear its own expenses and costs related to the Transaction, including, without limitation, attorneys’ fees and disbursements.

7. Confidentiality. 

(i)  Each party hereto shall maintain the other party’s Confidential Information (hereafter defined) in confidence. "Confidential Information" means all information that a party hereto has furnished to the other party which is not generally available to the public, including, but not limited to, financial information, whether tangible or intangible and in whatever form or medium provided, as well as all information generated by the receiving party that contains, reflects, or is derived from the disclosing party’s Confidential Information. The restrictions herein provided shall not apply with respect to Confidential Information which (i) is or becomes a part of the public domain without breach of this Section 7 hereof or (ii) is disclosed pursuant to judicial action or government regulations, provided the receiving party notifies the disclosing party prior to such disclosure and cooperates with the disclosing party in the event the disclosing party elects to legally contest and avoid such disclosure.
 
 
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(ii)  Except as required by applicable law and in connection with the Transaction, neither party shall disclose nor permit its respective officers, representatives, agents or employees to discuss the existence or terms of this Agreement to any third party without the prior written consent of Purchaser.

8. Board of Directors. The consummation of the Transaction will result in a change of control of Purchaser. The parties agree that upon the Closing, each of the Company and Purchaser shall appoint two members to the Board of Directors of Purchaser and said members shall mutually appoint a fifth member to the Board.

9. Binding Effect; Termination. The parties agree to negotiate in good faith the terms and conditions of the definitive agreements with respect to the Transaction until this Agreement is terminated in accordance with the terms hereof. The parties will use their best efforts to effectuate the closing of the Transaction on or before the Outside Closing Date; provided, however, that this Agreement will terminate upon written notice by Purchaser to the Company at any time prior thereto. Except with respect to paragraphs 6 through 11, inclusive, the parties shall no longer have any rights or obligations with respect to this Agreement after the termination hereof.

10. Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of New York applicable to agreements made and to be performed therein without giving effect to conflict of law principles.

11. Binding Effect.  This Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns. No assignment of this Agreement or any right or obligation hereunder made be made by the parties and any such attempted assignment shall be void.

12. Counterparts.  This Agreement may be executed in counterparts and by facsimile, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument.

If the foregoing accurately sets forth our agreement, please execute where indicated below and return a fully executed copy of this Agreement to our attention, whereupon this Agreement shall become a valid and binding agreement between us in accordance with the terms hereof.
 
 
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SENTRA CONSULTING CORP.
 

By: /s/ Philip Septimus                       
Name: Philip Septimus
Title: President



AGREED AND ACCEPTED:

[principal members and managers of the Company:]


By: /s/ David Neuberg                      
Name: David Neuberg
Title: Member


_____________________

 
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