CUSTODIAN ESCROW FIDUCIARY & PAYMASTER SERVICES INTRODUCTION

Commodities Import & Export - Properties Governments Financial Services Aircraft, Shipping, Motor Vehicles
Custodian Escrow is a trademark subsidiary of 1st Equity Group Ltd based in Belize and New Zealand. Custodian Escrow are International Escrow Agents who provide Escrow Facilities for Commodity Trading Import & Export of Goods and Financial Services by the facilitation of commercial transactions in a safe, risk free method for Commodities and Commercial transactions. Their services are specifically designed for todays International trading markets. Their goal is to provide risk free trading facilities including Commodity and Import / Export trading by Companies and Government Departments. Escrow provides a level playing field no matter how or where your company is located. Custodian Escrow is keen to assist all African and Third World Countries to develop their international business in a risk free and safe environment. Custodian Escrow safeguards both the seller and buyer. Custodian Escrow enables their clients to buy and sell products and commodities without the need for Letters of Credit. There is NO risk to clients funds or products. Custodian Escrow is a provider of safe, secure, and risk free trading facilities to ALL countries worldwide. Custodian Escrow has a dedicated African Company and Government Department division. Custodian Escrow provides safe trading facilities for both buyer and seller regardless of geographical location or credit history. Custodian Escrow is a trusted 3rd party who ensures a safe, efficient and quick method of buying and selling products and services on an international basis. Custodian Escrow accepts funds into the escrow account from the buyer and confirms to the seller that the funds are held pending delivery or confirmed shipment of the goods, or in the case of a financial transaction, an approved Bank to Bank verification by Swift wire transfer.

WHAT IS AN ESCROW AGREEMENT?

An Escrow agreement is a document outlining terms between a buyer and seller. Once the terms of a transaction are confirmed between the parties, neither party can change the terms of the agreement without both parties agreeing in writing. This effectively prevents either the buyer or seller from changing the agreement for some commercial advantage. Once the Escrow Agreement has been signed by both parties the transaction can go ahead quickly, safely and efficiently.

LETTERS OF CREDIT ARE NOT REQUIRED

Letters of credit have always been the usual method of transacting International trade. However, complications can and do arise. International Banks can be difficult to deal with. Your Companies credit rating may prevent a Bank from providing your business with the necessary facilities. Your Company may be recently formed with no track record or you may

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be dealing in countries and with Banks that are not sufficiently rated to ensure a successful Letter of Credit transaction. Under these circumstances an Escrow agreement is an ideal solution. You do not have to expose yourself or your Company to scrutiny by your Bank, no credit score is required, and no Bank references are required. If you wish to use our Escrow using a letter of credit we can assist you. Please contact us for further Information.

INFORMATION FOR SELLERS

NO LETTERS OF CREDIT ARE REQUIRED. Letters of Credit are often very slow transactions. If you use the services of Custodian Escrow your cash is sent to the escrow bank to bank via the SWIFT system. Your money sits there pending shipping or delivery documents from the seller. If the seller does not perform and your goods dont turn up, your money is returned to you intact. Custodian Escrow ensures that you only transact with sellers who have demonstrated that they have the goods for you and this eliminates time wasters; once again saving you time and money. Custodian Escrow provides a safe, secure and confidential method of selling your commodities, products or services quickly and efficiently without the need for complicated and expensive Letters of Credit. You will not have to worry about invoicing customers you have not dealt with before thus saving you considerable time and money. Custodian Escrow provides a totally safe and secure method of ensuring that you are paid with absolutely no risk of losing your goods or endangering your business.

INFORMATION FOR BUYERS

Letters of Credit are often slow transactions and the cost of issuing financial instruments such as Letters of Credit, Bank Guarantees and Stand-By Letters of Credit these days has increased dramatically. If you choose to pay via Escrow, your cash is sent to the escrow bank to bank via the SWIFT system and your money sits there pending shipping or delivery of documents from the seller. If the seller does not perform and the goods do not turn up, your money is returned to you intact.

FOR COMMODITY TRADING IMPORT & EXPORT OF GOODS & FINANCIAL TRANSACTIONS
Custodian Escrow is a provider of Escrow facilities to Companies & Government Departments, enabling trade transactions to be undertaken by all parties with confidence and security. Custodian Escrow can help to provide safe and reliable trade transactions for all your business needs. Custodian Escrow works with companies worldwide providing Custodian Escrow for: COMMODITIES o Oil, Rice, Chemicals, Fertilizer, and Food related products, Orange Juice, Minerals, Steel, Cement, HMS 1 & 2, Used Rail, Diamonds, and Iron Ore etc. PROPERTY o Hotels, Commercial, Residential properties etc. GOVERNMENT DEPARTMENTS o Government Procurements, Sale of Government Assets, Commission Payments. Custodian Escrow by 1st Equity Group Ltd Page 2

 FINANCIAL SERVICES o Sale of Company Shares, Exchange of Financial Instruments. Financial and Investment Contracts for Boats, Cars and Aircraft etc.

PARTNER VERIFICATION PRODUCT (PVP)

Custodian Escrow PVP for buyers or sellers system has been specifically designed for todays commodity and trading market. Using Custodian Escrow as a trusted 3rd Party, sellers send in their soft Proof of Product (POP) such as refinery documents, allocation papers or ownership licenses depending on the commodity, buyers send their blocked Proof of Funds via the SWIFT system into the Escrow Account, and after verification by Custodian Escrow, the buyer and seller can be assured that each other (party) is genuine. Up until this point, both the buyer and seller are not aware of each others identity. As soon as the real buyer and seller has been confirmed and verified, Custodian Escrow contacts both parties inviting them to both commence the transaction as per the terms of the agreement. PROCEDURES: Step 1. The Seller is required to submit a soft proof of product, capacity to deliver, authentication of products being a genuine seller to Custodian Escrow PVP system. Documents can be sent by email, fax or courier directly to Custodian Escrow Agent / Lawyers. ***** OR ***** The Buyer is required to submit via the SWIFT wire system into a Major International Bank the verification that the buyer has blocked the funds for the transaction for the agreed period of time. Funds stay in the buyers account until contracts are agreed upon and the transaction process has commenced. PROCEDURES: Step 2 Custodian Escrow sets up the initial structure for the Paymaster Dispersal System to ensure that brokers and mandates are covered by fees and confidentiality including non-circumvention. Numerous benefits for both the buyer and the seller include, but are not limited to: Complete confidentiality knowing that there is a genuine allocation of products available. Sellers can be sure that they are dealing with a real buyer who has already blocked the funds for the transaction.

PARTNER VERIFICATION PRODUCT (PVP) CONTINUED

Information available for a Buyer. Under the terms of Custodian Escrow PVP no further information will be revealed to any other 3rd party unless the Escrow PVP contract states. The following is standard information that an Escrow Agent / Lawyer is authorized to reveal; information only regarding the seller is the following information: Custodian Escrow by 1st Equity Group Ltd Page 3

Seller Verification Details: 1. Product 2. Quantity 3. Allocation is valid from (date) to (date) 4. Origin of product 5. Sellers have been verified Information available for a Seller. Under the terms of the Escrow PVP contract the buyers blocked Proof of Funds (POF) will be requested bank to bank by SWIFT wire into the Escrow PVP system. Bank account coordinates will be issued under the terms of the buyers Escrow PVP contract, the Escrow Agent / Lawyer is authorized only to reveal information to the seller and / or authorized mandate such as: Buyer Verification Details: 1. Amount in USD / EURO / Sterling 2. Cash financial instrument 3. Name of bank 4. Blocked funds / POF validity dates.

FLOW CHART OF TYPICAL COMMODITY TRANSACTION

Stage Two (For Buyer & Seller) Once successfully established Custodian Escrow by 1st Equity Group Ltd Page 4

1. The buyer has a valid POP / capacity to deliver. 2. The seller has valid blocked funds 3. Sales Purchase Contracts are agreed and issued to the seller and buyer and the transaction process commences.

ESCROW FEES

Transaction fees are a total of the above stated plus nominal bank/transfer charges. Custodian Escrow fees can be paid either by the buyer, seller or split 50/50

CONCLUSION
The use of Custodian Escrow will ensure a safe and positive outcome for your international transactions. It ensures that only buyers who have funds and are capable of proving it are entertained. Custodian Escrow ensures that sellers are dealing only with properly qualified clients who can and will pay and that buyers receive the product that they are paying for.

FREQUENTLY ASKED QUESTIONS ESCROW ACCOUNT

The Agreement can contain other conditions, for instance; the parties may decide that the funds can be dispersed by the Custodian Escrow agent once the property has been delivered to an agreed shipping agent. The shipping agent will confirm to Custodian Escrow agent in writing that he has the property and will ship the vehicle upon the Custodian Escrow Agents instructions.

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 The Agreement can contain whatever is agreed in writing by the parties to the agreement and is part of the Escrow Agreement. The Escrow Agreement is a legally binding document. Any changes must be with the written consent of both parties (buyer and seller). If the conditions of the agreement are changed a new Escrow Agreement will have to be put into place. Funds and title documentation will be held by Custodian Escrow which will use a number of top International Banks. Funds and documentation will always be held safe and under the control of Custodian Escrow. Custodian Escrow fees are a percentage of the value of the transaction which is usually a specified percentage based on the escrow amount. This fee is very reasonable considering the peace of mind that clients get from the service. Refer to our fee schedule. Custodian Escrow compared to the very high cost and inconvenience of obtaining Bank Letters of Credit is the best alternative. Fees can be paid by either party to the agreement, or on a 50 / 50 basis. There is NO due diligence. Custodian Escrow works within current International Money Laundering Laws globally. They simply ask for a copy of the clients passport and address verification and the source of funds (sending Bank). A copy of the Escrow Agreement will also be lodged with the receiving Bank. Custodian Escrow has their own in-house verification services to ensure that buyers products are shipped according to the terms of the Escrow Agreement.

TIME IS OF THE ESSENCE

If your project requirements fall into one or more of the following categories we are here to serve:

Commodities Import & Export - Properties Governments Financial Services Aircraft, Shipping, Motor Vehicles
Please send your brief project details / requirements by email or email attachment to Custodian Escrow email: info@1stequitygroup.com As soon as we receive your project information we will be pleased to put you in direct contact with our escrow staff. Best regards

Escrow Agent Custodian Escrow 1st Equity Group Ltd

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