BKF CAPITAL GROUP INC
EX-10.33: EMPLOYMENT AGREEMENT-GRAY
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<TYPE>EX-10.33
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<DESCRIPTION>EX-10.33: EMPLOYMENT AGREEMENT-GRAY
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<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><B>Exhibit&nbsp;10.33</B>
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<DIV align="center" style="font-size: 10pt; margin-top: 18pt">BKF CAPITAL GROUP, INC.<BR>
One Rockefeller Plaza<BR>
New York, New York 10020
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<DIV align="right" style="font-size: 10pt; margin-top: 12pt">March&nbsp;7, 2008
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Mr.&nbsp;J. Clarke Gray<BR>
805 Ramapo Way<BR>
Westfield, New Jersey 07090

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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Dear Clarke:
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On behalf of BKF Capital Group, Inc. (&#147;Company&#148;), I am pleased to extend you a formal offer to
continue to serve as our Chief Financial Officer on the following terms:
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.&nbsp;You shall serve as the Company&#146;s Chief Financial Officer and will be responsible for the
Company&#146;s principal accounting activities, statutory reporting obligations and assisting the
Company&#146;s Chairman of the Board and Chief Executive Officer in the Company&#146;s general operations as
they or the Company&#146;s board of directors may reasonably request. You will devote a reasonable
portion of your business time to the Company and shall diligently address your obligations
hereunder and shall not engage in any other business that is competitive with the Company. You
shall report directly to the Company&#146;s Chairman of the Board and Chief Executive Officer and the
Company&#146;s board.
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.&nbsp;You shall be paid a base annual salary of $150,000 paid semi-monthly in accordance with the
Company&#146;s normal payroll.
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.&nbsp;You shall be paid a &#147;project bonus&#148; for additional significant projects which are in
addition to your day-to-day responsibilities. The amount of the bonus will be based on your time
incurred at a rate of $250 per hour and paid in two installments: 50% during the month when 50% of
the project is completed and the other 50% in the month during which the project is completed. Mr.
Olshan or myself will approve an estimate of costs prior to the work commencing. Currently, there
are only two known such projects: the general ledger conversion related to the bookkeeping
outsourcing to JH Cohn and the relocation related to the termination of the third floor lease of
One Rockefeller. Other potential projects are any form of acquisition or corporate finance action,
new litigations, investigations, atypical audits, or any other significant work effort not
currently contemplated.
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.&nbsp;Upon the consummation of a material acquisition or other strategic transaction by the
Company, you shall be eligible for a bonus and in an amount in accordance with parameters to be
reasonably determined by the compensation committee of the Company. Any project bonus paid related
to the successful acquisition will be treated as a draw against the acquisition success bonus.
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<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CONFIDENTIAL</B>
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.&nbsp;Your term of employment hereunder shall commence as of the date hereof; provided, however,
that such employment may be terminated earlier as follows:
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) by the Company for &#147;Cause.&#148; &#147;Cause&#148; shall mean (i)&nbsp;your failure to diligently
carry out any duty reasonably requested by the board of directors that is commensurate with
your title as Chairman of the Board, (ii)&nbsp;your breach of this Agreement, (iii)&nbsp;your breach
of the Confidentiality and Assignment of Creative Works Agreement (defined below), (iii)&nbsp;any
indictment for any (a)&nbsp;felony or (b)&nbsp;misdemeanor involving a question of moral turpitude,
(iv)&nbsp;your engagement with any activity that is competitive with the interests of the Company
or (v)&nbsp;any act of gross negligence or willful misconduct that would reasonable be likely to
cause harm to the Company; provided, however, that in the cases of clauses (i)&nbsp;and (ii),
above, no &#147;cause&#148; shall be deemed to exist until the board of directors has given you
written notice of such failure or breach and you have failed to cure same within 10&nbsp;days of
your receipt of such notice; and
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) by either you or the Company, with 60&nbsp;days written notice.
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.&nbsp;You represent and warrant to the Company that
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) you have the right to provide services to the Company and you are not subject to
any contract, commitment, agreement, arrangement or restriction of any kind which would
prevent you from performing you duties and obligations hereunder; and
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 2%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) you have not retained and will not retain original records or copies thereof of
any proprietary information of your former employer.
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">You agree to indemnify the Company against any loss, liability, claim, damage and expense
(including but not limited to reasonable attorney&#146;s fees) to which the Company may be subject in
any action brought by any present or former employer arising out of or relating to a breach or
alleged breach by you of any of your representations or warranties set forth above by your present
employer.
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.&nbsp;You shall be entitled to participate in all of the employee benefit plans provided by the
Company, if any.
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<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CONFIDENTIAL</B>
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Please indicate by your signature below your agreement with the terms set forth above. In
closing, I want to reiterate how excited we are to have you join us at such a significant time in
the development of the Company and look forward to your important contributions to our success.
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Sincerely,

</DIV>
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    <TD colspan="3" valign="top" align="left">BKF CAPITAL GROUP, INC.</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">AGREED AND ACCEPTED<BR>
AS OF THE DATE WRITTEN ABOVE:</TD>
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    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
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    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">By:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;/s/&nbsp;Harvey Bazaar</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;/s/&nbsp;J. Clarke Gray</TD>
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<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD colspan="2" align="left" valign="top" style="border-top: 1px solid #000000">&nbsp;
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
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    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD colspan="2" align="left" valign="top"><DIV style="margin-left:45px; text-indent:-15px">Harvey Bazaar</DIV>
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><DIV style="margin-left:45px; text-indent:-15px">J. Clarke Gray</DIV></TD>
</TR>
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    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD colspan="2" align="left" valign="top"><DIV style="margin-left:45px; text-indent:-15px">Chief Executive Officer</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
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