Utah Jojoba I Research, William G. Kellen, Tax Matters Partner - Page 5

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          December 31, 1983.  However, no activity under the research and              
          development (R&D) agreement occurred prior to December 31, 1982.             
               In 1982, Kellen worked primarily as an attorney and a bank              
          executive in the Fontana and Riverside areas of California.  In              
          October 1982, Kellen was introduced by Eugene Pace (Pace), a                 
          former neighbor and casual business acquaintance, to Coordinated             
          Financial Services (CFS) of Salt Lake City, Utah.  CFS and Pace              
          represented a group of investors who were seeking someone to                 
          serve as the general partner for a limited partnership with a                
          described purpose of conducting research and development of the              
          jojoba plant and its product, the jojoba nut (or bean).  Pace                
          suggested to CFS that Kellen would be a suitable general partner             
          for the jojoba limited partnership.                                          
               Prior to his formation of U.S. Agri, discussed infra, Pace              
          was a financial planner.  In 1968 Pace simultaneously formed                 
          Gemini Financial Corp. (Gemini) and a brokerage/dealership called            
          GFCS, Inc.  Through Gemini, Pace marketed life insurance and                 
          securities in various forms.  Gemini was also involved in the                
          promotion of syndications as tax-advantaged investments in the               
          form of limited partnerships.  Among the many syndications                   
          organized by Gemini were those involving investments in an orange            
          grove, apartment units, shopping centers, and egg-laying hens.               
               At Pace's suggestion, Kellen traveled to Salt Lake City,                
          Utah, to interview with members of CFS regarding the general                 





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